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How to Change Your Leasing Results with a Local Tenants List

boat on hong kong harbour

A local tenants list will help your commercial real estate leasing business thrive.  It is such a simple idea, and yet many leasing agents overlook the value and the creation of a leasing register for their territory and buildings.

Activate your leasing market with better tenants and landlords.  Think about these questions relative to your location or allocated precinct of properties:

  • How many businesses are in the zone?
  • What do local businesses expect when it comes to leasing occupancy?
  • Who are the larger landlords for the location?
  • Why will tenants and landlords use your services in leasing?
  • What is the future of space supply in your zone?
  • How many older buildings do you have that need renovation or demolition?
  • What are the rents and the incentives today when it comes to new leases in modern premises?

These questions and the answers will help you move into productive tenant discussions through a canvassing activity.  Make your canvassing calls every day to the tenants of the local area and in your priority buildings.  Know what they are thinking and what they need to move to other properties.  Understand why they may stay in their current premises.  You can negotiate either way depending on who your client is in the leasing activity.

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Leasing Course for Brokers and Agents

 

Leasing Questions that Get to the Facts

These are the questions that you need to address talking to tenants and in leasing property:

  1. Where are they located? Understand the location from the tenant’s perspective.  They may have transport requirements, a client base nearby, or some property use factors of a critical nature.
  2. What is the type of building are they situated in now? Know the property in which they are located, and the services and amenities therein.  If necessary, visit the building yourself and do some preliminary checking.
  3. What are the types of improvements that they require? Understand the floor area, the floor plates, how a property or tenancy is used currently, and what could be the critical services of the building for a tenant in new occupancy decisions.  Questions like security, car parking, client access, climate control, and signage rights can be examples of special requirements.
  4. When does their lease expire? A simple date like this will allow you to predict leasing change and or a future negotiation opportunity.
  5. Who is the decision maker in the business? There is always a series of managers in a company or corporation.  The leasing research activity for a business is usually delegated to a junior manager to ‘gather the property market facts’.  If you are working with a person of lower rank in the corporate or company chain, ask the questions and provide the answers that they need, however, selectively get to the real facts of the final property leasing decision.  Who will be making that decision?

So, these five simple strategies will help you match your leasing services to the tenants and companies in your location.  These strategies will help you change your leasing successes.

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The Golden Rules of Commercial Real Estate Listing Promotions

city buildings on river

I like to think that every property taken to the market for sale or lease is handled with a direct and deliberate strategy; that is my rule and process, and that is why I will not take on open listings.  As busy as we can be in commercial real estate brokerage, the promotional strategies that we adopt are unique.

 

Every listing deserves the ‘deliberate’ approach to marketing and engagement with potential buyers or tenants.  When you focus on the quality side of our business, you can achieve more results over time.

 

When you look at your average working week, where are the priorities?  There should be only three or four things that you do every day, and those things should take precedence in your business activities.  Sure, other things will have to be done, but the four main things will always take precedent.

 

 

Marketing Rules for Enquiry Attraction

 

So, the marketing process can be refined back to simple rules.  Here are some of those rules that I like to work to:

 

  1. Set a clear target market that applies to the listing.  Where can you tap into that target market?  How can you tune the marketing campaign to reach that group of targeted people?  When you know those answers you can drill down on the campaign timing and media channels to be used.  There are always different and better ways for us to do things.  The clients that we serve like to hear fresh ideas and strategies; that is how you win more listings over time.
  2. Use some different approaches to your promotional processes.  The owner of the property can likely share some stories with you about the property and the location that would be valuable in your editorials and articles about the listings.  A story makes a property more interesting.  Historic properties are also valuable to helping you build a local profile that is different and perhaps specialized.
  3. Build a matrix of marketing that can change and adjust every few weeks.  It takes about three weeks for the first level of marketing to be assessed; from that assessment, you can modify adverts, media choices, and photography.  Every website advert for each listing can be slightly different in layout or property facts.  That then builds the attraction factor for better property inquiry.
  4. Knowing the value of inbound inquiry, look at your listing groups so you can feed inquiry across the locations and the property types in positive ways.  One inquiry can be directed to several properties and inspections.  Do more with your inquiries.  Track your inquiries so you know what is working for you with inbound property inquiry.

 

Take every property to the market with deliberate promotional strategies.  Build some momentum with your listing activity and target marketing.

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Career Tips and Advice for Commercial Property Managers

City buildings on the edge of a river. Commercial high-rise buildings and bridge.

The levels of knowledge and the professional skills required in commercial and retail property management are unique and deep.  They are quite different to the skills required in a leasing or sales situation.  A property manager is a differently skilled person, and they need to look at the big picture and remain focused on their properties and clients for months if not years.

 

That long-term focus allows the managed investment to improve over time through changes to the tenancy mix, the cash flow, and the property function.  The investment process is lengthy; the investment requirements of clients will be individually unique.  That is why and where professional service and property manager performance will underpin client attraction, retention, and engagement.

 

If commercial property management is a career for you, then there are some things to learn and disciplines to implement for the long term.  Expect to be very busy as you embark on your career and remain in it as a professional.

 

What do you need to know?

 

You will need to learn about the legalities of occupancy, investment performance, leasing, cash flow strategy, and property documentation.  Control systems will be at the centre of your property management career and portfolio control.

 

Every day there will be pressures on your portfolio and your properties with tenants, maintenance, landlord focus, reporting, and risk management.  As part of your career, you will be at the centre of many events, requests, and communications.

 

If your properties and workload pressures are excessive, you will lose control of the ‘property management process’; that then leads to unhappy clients and out of control tenants.  There is a balance between quality property management services and a sensible workload of tenants and landlords.

 

Typically, the landlord will be your client, and you will be the main controlling factor to property performance and investment outcomes.  That is why the skills of the property manager are so important.  The days of collecting rent and maintaining the property are well gone.  The strategic approach to property management is now well established and evolving in new and different ways with efficiencies in building technology and the requirements of local business.

 

What do you need to do?

 

Are you ready for the property management challenge?  If you have a large portfolio or a long list of tenants, the complexity of the daily workload just gets deeper and more challenging.  There will be plenty of work to control and direct.  Here are some rules to help you with that approach:

 

  1. Knowledge – get to know everything possible about your location, the leases, competing properties, business activity, rents, and investment priorities. Through a substantial level of knowledge, you will see how you can improve an investment situation for your clients.  That is where tenant mix changes and leasing strategies will help with property performance.  That then becomes an important part of your professional services.
  2. Complexity – there are many variations to tenancy mix control, lease negotiations, rental cash flow, and property performance. The decisions of today with a tenant or lease matter will impact the investment for the long term.  Understand your decisions and how you can improve the investment outcomes for your client.
  3. Clients – every client will have different pressures and priorities when it comes to property performance. Get to know those factors with your clients, understand their portfolio activity, and look at the life cycle of their investments.  Don’t just manage a property but understand the asset and the focus of the client.
  4. Controls – there will be different systems that you can use to help you in providing services to your clients. Software programs will cover the facts and variables of lease management, rent collections, maintenance, and facility management.
  5. Reporting – report about your managed properties in the ways that the landlords require. Information will help them make choices with rents, occupancy, and expenditure spending.
  6. Tenants – expect the tenants to be pressuring you on their issues and their occupancy. A retail property is a prime example of that pressure with many tenants positioning for better sales, lower rents, and a successful business.
  7. Property performance – every property should have a business plan and a budget to work to over time. The client or landlord will be setting investment priorities and cash flow controls.   If you manage properties for many clients, the issue gets deeper and more challenging.

 

Through all these pressures and strategies there will be opportunities for a professional property manager to excel in skills and career development.  Are you ready for the challenge?

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Essential Listing Strategies in Commercial Real Estate

city buildings on harbour

Some listings in commercial real estate are quite slow to attract enquiry and move to the next level of an offer or negotiation.  That is where our creative professionalism is so important for the clients that we serve.

 

Sometimes, you will find that the listing will stay on the listing books for too long.  In such situations, it is necessary to try for a listing extension.  Your skills in client communication at that time will be fully tested as you ask for more time.  The client must believe that you are still the right person to continue to work on the property and handle the challenges that it or the property market presents.  Are you the best agent to stay on the listing for the future?

 

 

Time on Market Problems?

 

Why will a property take longer to sell?  Try some of these for starters:

 

  • The property market is slow to respond due to economic circumstances in the region or the business community
  • Enquiry is low for the property type or location
  • It could be the wrong time of year to market the property
  • The price range for the property is too high or it is out of the range of most buyers
  • There are too many other properties on the market currently and those properties are not moving.
  • The target market for the property is too narrow or wrong for the listing
  • Not enough marketing was done at the time of initial promotion
  • Too many new properties are coming into the market creating a situation of oversupply
  • The business community is moving from a purchase priority to a lease priority

 

There are plenty of reasons for listing ‘stagnation’.  You may also have other local issues that are also evident in your location, and those that you believe are fundamental reasons for the slower listing enquiry.  Either way, you must know the reasons behind a ‘stale listing’ and its failure to attract local property enquiry.  Strategy then takes over; that’s your job.

 

 

Recommendations That Matter

 

When you have the fuller information for the slower enquiry rate, you can concentrate on the property owner and package up a series of recommendations to win a listing extension of time.

 

Consider these strategies in asking for a listing extension:

 

  • Provide a plan of change to the listing and its marketing, pricing, and inspections.
  • Identify a new target market of buyers or new ways of approaching the target market.
  • Revamp your inspection processes to show the property in a new way.
  • Get the client to lift the presentation of the property to encourage more enquiry.
  • Create new advertising layouts and copy so that all ongoing marketing will be ‘fresh’.
  • Get some new photographs taken of the property to show different features and angles of the building, the internals, and the surrounds.
  • Give the client some alternatives of marketing and pricing to help them decide on the future promotions.
  • Ask for an adjustment to the method of sale or pricing if you believe that change will attract more enquiry.
  • Change the method of sale to suit the preferred target market.

 

From these issues you can create a timeline of changes for the client to see and consider.  The clearer that you can be in this communication with the client will help you in winning a listing extension.

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Essential Commercial Real Estate Leasing Tools to Use with Landlords and Tenants

The commercial real estate leasing process is quite special.  You can work with tenants or landlords, but either way you will need some local area information and the tools to help you through any property inspection and negotiation.

In this audio, I share my thoughts on the tools that are most effective when it comes to engaging with landlords and tenants as they strive to arrange a lease on market conditions.  (NB if you need ideas to help you with leasing, you can get them here in Snapshot – its free)

Given that you know the property market and the trends in leasing, you can develop a ‘toolbox’ like this to create better real estate negotiations.

You can get the audio right here: