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  • Dale Rouessart

Archon puts the Power of Information in your Hands.

For our first Blog of 2023 we would like to showcase our Reporting and Result Capabilities with regards to the Utilities and Tenant Management of your Commerical or Industrial Property.

This article showcases one of the many sites we took over recently, and how the site has changed from losing (or under-recovering) substantial amounts money on a monthly basis, to now where the site is slightly over-recovering and able to use that money for upgrades and maintenance of the system to in turn, offer a better service and peace of mind onto one of their most important assets... their Tenants.

Having the knowledge and information at your fingertips is an insurmountably valuable tool in turning your property in to a profitable and hassle-free business that brings joy and confidence to your company instead of worry and headaches.

Our Next Level Cutting Edge Utility Management approach to Industrial and Commercial Properties, goes without saying... is one of the most comprehensive on the market today, giving our Clients a holistic overview of the Utility wellbeing of their beloved properties with as little impact on their daily activities and overall performance of the site. Freeing up time and resources to concentrate on what they actually desire to do, which is run the business effectively to the best of their ability. The image reflects a typical site pre-Archon and post Archon intervention. We took over the site in July 2019 and it was in a very poor shape. Under-recovering by R60k a month! With rental income from the utility component below R20k, it seemed like a bottomless pit of wasted costs and was they in the fast lane on the highway to destruction. They were under-recovering due to a multitude of factors including: incorrect tenant tariffing,

  • incorrect sub metering,

  • faulty sub metering,

  • unmetered feeds,

  • incorrect sub meter installations,

  • incorrect sub meter programming,

  • tenant theft,

  • and unmanaged, unmetered common area usages.

The Landlord was using his rental income to off-set the high non-recovery costs which obviously affected their ROI on the property investment. This was affecting their profit directly and in big amounts, not to mention all the stress and frustration as the profits were literally being flushed down the toilet. The Landlord needed help and had had enough... this is when he contacted Archon to assist him, make sense of it all and take some of the weight off his shoulders.

In the following month after we started the shortfall almost halved. 6 months later it was almost 10% of what it was when we took over and 16 months later the Landlord started to actually start to over-recover. Since then, he is constantly over-recovering and can now put money away for their upcoming Solar Projects and other metering upgrades, and actually start to recoup some of the losses experienced in the past.

Archon audited the electrical reticulation, put forwards a project plan to address the site issues and started the project in August 2020. This was achieved by identifying and replacing faulty meters, making sure tenants were being charged on the correct tariff for their usage profiles, and accounting for all common area usages. Over the next 3 months Archon improved the recoveries on site by 30%. The average annual savings on this site is now over R300k per annum or R25k p/m.

The Landlord is now extremely happy, as you can imagine, his tenants are also happy, and everybody is confident that they are being looked after by a capable and knowledgeable team, so they can all continue to concentrate on their own individual businesses.

They know exactly what they should be paying Council when they make a hash of their bills with estimates and overcharging errors. Our guidance on what should be paid to Council in these erratic times have led to many rebills and credits due to our Clients over the years.

Please give us a call today and we can do the same for your Company or Property Portfolio.

The results will shock you and leave you wondering why you didn't do anything about it sooner.

big enough to get things done - small enough to care

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