Business Case Studies & Business Publications

Real Estate Lease for Oilfield Services’...

Parmar, Bidhan L.,...

Case

Real Estate Lease for Oilfield Services’ Division in Surgut: CEO of AVIV Group

Parmar, Bidhan L.; Belashova, Alina; Mead, Jenny

E-0512 | Published April 8, 2025 | 6 pages Case

Collection: Darden School of Business

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In this disguised negotiation case, students take on the role of the CEO of AVIV Group, which rents office spaces to Oilfield Services, Inc., among other tenants. The CEO is about to meet with the procurement manager from Oilfield Services and anticipates a conversation about extending the tenant’s lease for another five years. It’s important for AVIV to keep the company as a tenant—it currently occupies three of AVIV’s properties—but competition in local real estate is rising, as a new, attractive property has recently become available with modern facilities and significantly discounted rental rates. The CEO’s goal is to retain Oilfield Services as a tenant, avoid revenue loss, and maximize AVIV’s potential income—especially in the face of a changing real estate market. This case study is suitable for negotiation, ethics, and general management courses and can be utilized in first-year courses as well as second-year electives.