A warehouse lease: finding the walk-away point
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The prompt
A Singapore food distributor must renew its warehouse lease. The landlord asks SGD 1.2 million a year. Find its walk-away rent and the room for a deal.
The rent today is SGD 1 million a year on a three-year lease. The best alternative is another warehouse at SGD 0.95 million a year. Moving would cost SGD 0.3 million, plus about SGD 0.15 million of lost sales during two weeks of disruption. If the distributor leaves, the landlord expects the space to stand empty for six months. After that, it expects to rent it out at SGD 1.2 million a year. All figures are illustrative.
Practice with a partner
1. Send the interviewer link to a friend. They read the case aloud and hold the answers.
2. You open the candidate view: you see only the prompt, a timer and a notes box.
3. Speak the case out loud. Your partner shares data when you ask, then scores you with the rubric.
Interviewer view
For the person running the case
Candidate view
For the person answering the case
Clarifying questions, with the interviewer's answers
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