The transaction will save HEI $500,000 annually in leasepayments. The transaction was crafted by John Crowley, a corporatemanaging director in Studley's Denver office, and Derek Graham, asenior managing director in Studley's Los Angeles office.

"Our challenge was to find a way to reduce HEI's occupancy costson a building that was part of the acquisition of Colorado Medtechin 2003 and that had eight-and-one-half years left on its lease,"Crowley says. "Since the existing landlord was not willing torenegotiate the lease early, we carefully scrutinized the lease anduncovered a way to leverage our position to acquire the buildingfor a competitive price."

"This building was not one that HEI wanted to leave," addsGraham, aninvestment sales specialist at Studley. "The facility isFDA-certified, which is necessary for HEI's business and would be avery costly to replicate had the firm been forced to move."