When the commercial property market gets tough or challenging it is a wakeup call to all those agents that have been neglecting the prospecting process and database creation. Let’s face it, the cycle of commercial real estate is about every 7 or 8 years in most towns and cities, and things change within that cycle. When you prepare for the dips and peaks, the business gets a bit easier for you.
Here are some tips from our newsletter for commercial real estate agents.
When the property market slows it is critical that you have a database of relevance and accuracy. In only that way can you network the right people and segments of the market that need help or are potentially active.
So this knowledge and experience comes with time; and over the years you will see many changes going on in sales, leasing and property management. As the changes occur we must match our focus to the trends and needs of those players that are active or want to be.
Here are some tips for agents in working a challenging property market:
- Take time every day to get out into the streets and precincts that contain the businesses that are active. Talk to the decision makers.
- Review all the property owners in the precincts for pressures of change such as new vacant space, weaknesses in the tenant mix, expansion or contraction of the premises, and refurbishment.
- Review all current property listings across your local area and chase down the listings that are for sale by owners. Invariably most owners do a very poor job of marketing their property.
- Any new listing that occurs with your competitors is a reason to talk to other businesses in the same street in case they would like to compete with the new listing nearby. The competition factor may get you some more listings.
- Talk to ever more people every day. It is remarkable just how much local market knowledge and leads you will get from other business owners in the area. They see things and know things that you will never see.
- Track down the franchise groups in your state or town and see what their priorities are in locating new premises to operate from. It is likely that they could need new business locations from time to time.
- The large businesses in your area are likely to have pressures of occupancy. Expansion or contraction will place some pressure on them as the year and their trade adjusts. Relocation to cheaper space or newer space is always a possibility for some successful businesses locally.
When it comes to a slower property market, the simple matters always seem to work. The common problem with most agents and salespeople is that they are not sufficiently organised to keep a contact system going. Look at your daily practices and activities; go back to the basics and do the right things.
You can get more free tips for commercial real estate agents at our main website right here.