Market Hazard Analysis for a Network of 47 Pharmacies
We identified 4 key gaps in lease agreements that allowed for drastic rent increases. We annexed all contracts.
The Farmacja Plus chain faced the specter of a sudden increase in fixed costs across 47 locations. The board received the first calls for rent indexation, which directly hit the margin of reimbursed drugs. We entered the game to stop this process and secure the premises for the next 3 years.
The challenge
In December 2024, owners of 9 key premises in Warsaw and Łódź sent notifications of a 12% rent increase. For one location, this meant a cost 8,420 PLN higher every month. Lease agreements, signed in 2017-2019, had unclear provisions about inflation indicators, which property managers tried to exploit to their advantage. The client risked losing liquidity in 1/4 of its network within one quarter.
Our approach
Our 3-person team, led by Robert Mazur, analyzed 47 binders of documentation in exactly 14 business days. We looked for specific errors in the definitions of GUS (Statistics Poland) indicators. We found 4 recurring legal gaps in points regarding termination periods and indexation rules. We act fast because time is capital — instead of writing long reports, we immediately moved to preparing legal pleadings.
The solution
Vistula Risk Solutions prepared 47 individual addenda correcting the rules for calculating maintenance fees. We conducted direct negotiations with 11 property managers, demonstrating an incorrect interpretation of indexation provisions. We save liquidity, not paper, so we also implemented an early warning system for automatic contract renewal deadlines, which is now handled by the client's administration department.
Results
Thanks to hard negotiations, we blocked increases in all disputed locations, which saved the operational profitability of the Farmacja Plus chain. The client regained control over the fixed cost structure and avoided the necessity of closing the 3 least profitable pharmacies.
Timeline
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December 2024Audit of 47 contracts and analysis of indexation clauses
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January 2025Negotiation sessions with 11 largest landlords
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February 2025Signing of addenda and implementation of cost control system
"Vistula Risk Solutions found an error in point 4.2 of our contracts that no one had seen before. It saved us from a loss of 38 thousand PLN monthly."