Software Company Renegotiates its HQ Lease

"Princeton Softech occupied larger quarters that weren't well configured to support their business plan, and the remaining lease term was only two years," says Matthew D. Kirby, vice president of Real Estate Strategies Corp. of Kenilworth, NJ. His firm represented the tenant in the negotiations. Further details of the transaction were not disclosed.

"The completed transaction permitted the company to reduce the amount of space that they occupy, to reconfigure their premises, reduce their occupancy costs, extend the lease to a term in keeping with their overall expectations, and to free-up significant working capital," according to Kirby. "The owner was a big help in collaborating with us and with Princeton Softech in structuring a transaction that created real benefits all the way around."

"After evaluating Princeton Softech's business requirements and planning alternative strategies, we recommended that they renegotiate the terms of their existing lease and remain in their current location," adds Andrew Zezas, president of Real Estate Strategies Corp., a real estate advisory firm. "The resulting transaction accomplished multiple objectives, including achieving defined operational and financial goals."

Princeton Softech is the major tenant of the one-story building at 111 Campus Dr., which is part of a larger three-building, 130,000-sf office campus owned by Reckson. The Melville, NY-based Reckson has its New Jersey regional office in Short Hills.

Princeton Softech, a top firm in the database archiving market, produces enterprise data management software products.