MRA advises clients on the benefits and disadvantages of both leasing and purchasing real estate using a thorough analysis of individual business goals. Some areas of consideration include cash flow requirements, space needs and uses, the importance of branding, protecting or creating trade areas and establishing franchise value.
The extent of economic benefit varies based on the choice to buy or lease as does the tax benefit. Using accepted analytical methods such as Present Value (PV) and Internal Rate of Return (IRR), MRA quantifies and compares the advantages of each alternative. Requirements for space mobility and flexibility, availability of cash and stability of costs are considered versus the advantages of capital appreciation, salvage value, debt reduction and equity buildup.
MRA gathers the tangible information, conducts the analysis and confers with our client to identify the option most in line with investment and operational objectives.