If you have chosen commercial real estate as your preferred career, you have likely done so for a reason. Perhaps someone has introduced you to the profession, or you have seen what some agents do and achieve in their career and you want to get similar results.
Many ‘Roads’ to Take in Commercial Property
Certainly there are many ‘roads’ of focus and activity to take in commercial real estate brokerage; all of those ‘roads’ are specialized in some way for both property type and location. All of those ‘roads’ involve client contact, personal performance, commissions, and listings.
You have to be a person that will focus personal effort into all of those things, and that is certainly the case if you want to get more or improved results from your industry and from your efforts over time.
You need a plan as an agent or broker, and that plan when started can be refined over time. The commissions come to those that work with professional skills that are improved over time. Are you that person?
Get More Real Estate Traction and Focus
Here are some ideas to help you get more traction in your career as an agent or broker, and attract better levels of commissions:
Specialist skills – choose the property types that you understand and can match your professional skills into. Boost your skills through practice. There is no point specializing in something that sells or leases in low volume. Look at the end result of what could happen in your property specialization. Improve your skills through deliberate effort.
Local area – choose the local area that shows the best possibilities for your efforts over time. Review the streets and precincts. Look at the buildings and investment properties in the chosen location.
Owners, Tenants and Business owners – you can work for clients in all 3 of these categories, but in saying that, each category requires understanding and unique qualities of service. Given your location, how much business could you extract from the segments? You could be an agent for landlords, tenants, buyers, or sellers; match your services into the segments that you prefer and then prospect the segments comprehensively in an ongoing way.
Referrals – when you know a customer or client with reasonable familiarity, the referral process gets a lot easier. Encourage your clients to tell you about other people that they know who may be interested in property investment.
Repeat business – some clients will transact commercial property in a number of different ways over time. That is especially so if they own multiple properties or a portfolio. Review your clients on that basis.
Quality properties – work with the better quality properties as they will attract more inquiry and that will lead to a better churn of listings and properties. As you work with more listings piggy back your listings and inquiries so you can move an inquiry from one property to another and eventually find the right solution for the buyer or tenant.
A quality database – review the database software that you use an understand its potential for you in finding the right people to transact real estate in some way. Spreadsheets don’t offer a complete level of coverage; the larger that they get, the more difficult it is in finding the right people to match into a property listing or inquiry.
There are some special things that you can do here with a listings and commissions focus. If commercial real estate is your career, then the elements mentioned here will be vital to the outcomes that you seek. Refine them and improve them over time. Top agents are created and shaped over time; luck has nothing to do with the process. Your career and its results are influenced by deliberate choices and refined actions.
In this podcast I thought I should spend some time focusing on Commercial Real Estate Leasing. That is for a number of reasons, the most important of which is that property leasing introduces you to the landlords and property owners who will eventually need more help in the future with things like sales and property management. In other words a simple lease transaction can lead to other things.
I have split the audio program up into a number of segments. The summaries of the program are below:
Why you should not let your tenants get out of control – in any property containing a group of tenants, the communication and control process is very important. Tenants talk to other tenants and that can be a problem if issues exist in the building. So this is all about those buildings with multiple occupants and how to connect with them.
How you can be a commercial real estate leasing expert – you can do so much with your leasing knowledge. You can establish tenant advocacy services, landlord leasing services, tenant mix advice, and basis brokerage leasing. What sections of the leasing market can you see reasonable leverage and commission activity evolving from? This part of the audio program will help you with ideas.
How to work with franchise tenants and why that is a good idea – the franchise section of the commercial property market today is forever evolving and growing. If you connect regularly with local franchise groups you can help them with property selection choices and any required relocation’s. Get to know a few franchise tenants locally and come to understand what they need by way of property and when that is likely to occur.
Some simple ideas for qualifying industrial property tenants – the industrial part of the property market is generally the first to respond in an upturn and also a downturn. That being said it is a reasonably uncomplicated part of the industry. Get to know a number of industrial tenants and businesses locally; see if you can help them with current and future property needs.
These are parts of the audio podcast by John Highman. You can listen to the audio below.
In commercial real estate agency, you can be distracted by lots of things. They can take you away from the issues that really matter and disturb any good intentions that you may have had with your business day. Let’s face it, in selling or leasing commercial property you will have (hopefully) lots of people to talk to and connect with. Without some ‘game plan’, you can actually forget where you are and what you are doing.
If you are like most salespeople in the industry, the pressures will always be on when it comes to prospecting, listings, marketing, inspections, and negotiation. So these are all parts of ‘the game’ and they can all be improved. It just takes deliberate practice.
So here are some tips that can be adopted when it comes to improvement in the agency side of commercial real estate, and most particularly sales and leasing.
Define exactly what you do want to do on a daily basis and that can have significant impact in your business. Those things will usually be prospect calls, new business leads, meetings, and listings. What you can do here is track the numbers with each of these activities. In tracking the numbers, you can see where you are improving, and you can also see where you need to improve. The numbers are actually a way of supporting your progress.
You will have determined the parts of the business and the types of property that are your mainstream source of commission. Track the levels of enquiry that come in for each listing, and track the time on market when it comes to each exclusive listing.
The enquiries that come in for each property should be questioned as to the source of enquiry. In that way you will understand what parts of your marketing are actually working. You can then adjust future activities with your key listings.
Commercial real estate is a type of ‘game’, and when you look upon it in that respect, you can start keeping your scores and tapping into your progress.
When you run a commercial real estate agency it is really hard to find the right salespeople for the jobs at hand. How can you find the right person that really understands sales, leasing, and property management? It is very rare to get a salesperson that understands all 3 disciplines, however they are out there.
Most agency principals revert to attracting successful agents from other offices in the same location. Whilst that has some merit, you still really do not know exactly who the person is when you hire them. You do not know how they work and how they think. Mistakes can be made and that will cost you money and time.
A tip for real estate principals in hiring new salespeople and agents is to put the candidates through a character test such as ‘Meyers Briggs’ or similar. Whilst the process will cost some dollars, you will really know some key things about the person; such as focus, discipline, drive, and sales ability. In commercial property these skills and traits of the salesperson are really important.
Do not employ a salesperson just on what they say. Find out what they think and what they know.
You can get some more ideas for commercial agents and brokers at our website