AIChE Move FAQ's
- Why not just stay where you are?
- Why can’t we move to someplace less pricey than 3 Park Avenue in New York?
- I don’t understand why we couldn’t work a deal and stay in the same general area as the other professional organizations?
- Can’t you get a chemical company to donate space to you?
- Did we ask large companies like Dow and DuPont for office space we could lease cheaper than lease space available in New York?
- Did you consider buying a building in NY or elsewhere?
- What other locations did you consider? What about Washington and Chicago?
- How much will we have to spend on rent after the move?
- What does "Greater New York area" mean?
- Are members going to help select the new space?
- Why did members not get included?
- Who picked Quatt Associates?
- Why do we need to pay retention and severance expenses to staff? How much are they?
- What will be our long-term strategy (next 5-10 years) regarding our office location?
- Why can’t we establish a small satellite office (could be customer service office) in the Houston area to be closer to our customers in the chemical industry?
That would be the cheapest option. We do not believe that our current location fits our needs and believe that we can get a better value (lower cost) lease elsewhere.
We most certainly will. While we have not yet settled on a particular space, we expect that the cost per square foot will be at least 20% lower than we currently pay.
I don’t understand why we couldn’t work a deal and stay in the same general area as the other professional organizations?
There are now three engineering organizations in the current location. The other two are not interested in joining forces to negotiate for space or share services.
We asked, but were unable to find a chemical or pharmaceutical company that would donate the space.
We asked, but were unable to find these or other chemical or pharmaceutical companies that would donate or rent less expensive space.
We do not believe we have the financial resources to buy a building at this time. The down-payment is prohibitive, and we do not want to get into the business of building management.
We considered many locations over the last few years, including Washington, Chicago, Boston, and San Francisco, along with Houston and Philadelphia. The first four cities were excluded early on since rental costs were as high, if not higher, than New York.
We have not yet settled on a particular space. However, we expect that the cost per square foot will be at least 20% lower than we currently pay.
Greater New York area means Manhattan and nearby, transportation-accessible areas.
A space-planning task force, which consists of members and staff, has helped us define the requirements.
Members were included in the Space Planning Task Force, and the Board of Directors is composed of members elected by other members to act on their behalf.
The Board evaluated the proposals of several companies and chose Quatt, a Washington, DC-based firm, to perform the analysis due to its comprehensive approach.
Why do we need to pay retention and severance expenses to staff? How much are they?
Like many organizations, AIChE has a severance policy that has been in place for many years. The government requires that we pay unemployment costs as well. In addition, retention costs are paid so that key individuals stay with AIChE during the transition, until their replacements are hired. These costs would be minimized as much as possible, of course, if there were a major relocation that requires them.
We intend to sign a long-term lease at the new space, probably for a term of 10 years, to get the best rental rates and have the smallest impact on member services.
This approach would allow us to continue to pursue international growth based in NY, while positioning us closer to the bulk of our domestic membership. A small satellite office may be a strategy worth pursuing for certain segments of our business, especially when it could enhance member service.