When you work in commercial real estate as a broker or an agent, undertake a regular assessment of your territory and designated listing area, so you know what is happening and where the opportunities are coming from. You need to understand what is happening when it comes to time on market, listing activity, enquiry, and property opportunity. Things change in commercial real estate brokerage, and that change is always a point of leverage for any agent or broker with both clients and listings.
In your area or territory, there will be investors to identify, clients to serve, tenants to track, enquiries to satisfy, and businesses to connect with. A defined area or precinct will help you do that effectively and to do so under some form of a system.
Set your geographical boundaries so that you can build some specific momentum and logical accuracy in prospecting on a street by street basis with property owners, businesses, and tenants in occupation.
Precinct Assessments for Brokerage Coverage
Here are some ideas to help you assess your precinct accurately and efficiently:
Identify the number of properties within the precinct by type and by location. Get to know the locations and the streets and make a list the property owners and local businesses. The greater your depth of ownership and investor knowledge across the location, the easier it is to find opportunities in property sales and leasing. The local businesses may also own the properties in which they are located. Questions and connections will help you find the information you need for future ongoing property opportunity.
Do a signboard count across the area and in all your targeted precincts. Differentiate between open listings and exclusive listings. Split the signboard count into agent groupings and property types. Identify the agents that have the market dominance and understand why that is the case.
Do an advertisement count on the Internet of all relevant and current listings. Split those listings into locations, property types, and brokerages. Throughout the year, those listing numbers will change seasonally, as will any property pressures that apply to the economy and the town or city. In some respects, you need to be a good predictor of market circumstances and changes to find the best listings and clients that you need. Work the opportunities and the changes that can provide you with listings.
Given the three factors mentioned above, it is necessary to understand time on market by precinct and by region. Some properties will stay on the market longer than others. Get to know why that is the case and develop some marketing strategies to position your properties and listings more favourably from a promotional perspective.
All these numbers will help you with your market awareness and future property opportunities. In assessing these situations, you will find new people and business owners to connect with.
Systemize your real estate business in all respects so that you can grow your opportunities and grow market share. Luck has nothing to do with commercial real estate brokerage today. Deliberate effort and logical systemization will help you get to the market penetration that you need.
In commercial real estate agency you need strict daily procedures and market knowledge to help you build market share. When you start your career in the industry it is very easy to develop poor or incorrect habits that can threaten to derail your career. This is certainly the case if you are modelling your activities off some other agent that is less than professional or somewhat ordinary when it comes to business skills.
Time in the industry does not always build the skills of an individual agent or salesperson. Personal effort is required. Learn and grow your skills and knowledge in every way possible.
It is wise to watch and assess the activities of the best people in the market. Find out what they do and why. Check out their marketing and prospecting skills; see if there is something that you can replicate.
To help you in building your commercial real estate business and listing focus, here are some tips and ideas to develop:
Define your sales territory by location and property type. You can then focus your prospecting into a zone on a ‘street by street’ and ‘property by property’ basis.
Organisation is the key; get a good database to help you with tracking information and leads.
Your ability to prospect will greatly impact the results that you get in listings and commissions. Top agents are great prospectors. This is a very specific skill and it can be refined to suit your market and territory. Practice in dialogue is the key.
Create a marketing folder that contains everything that you need in the field when talking with sellers, landlords, buyers, and tenants. You will need ‘visual’ material including charts, photographs, and comparable properties. Include with that a selection of listing forms and marketing proposals.
Create a set of 3 typical marketing strategies for the property types you work with. They can be used with the clients and prospects that you pitch your services to. The clients that we work with like to see and compare before they make choices in marketing and listing.
Start a weekly assessment of comparable properties, signboard counts, and current internet listings. From those facts you can check out the priorities when it comes to leasing and sale requirements from the market.
Quality listings will always give you better inbound enquiries from buyers and tenants. Assess you territory or sales patch for the best property locations and businesses. Those zones should contain the property targets and property investors that will help you with reaching market dominance.
Talk to more people every day. Always take the opportunity to fill your contact cycle and database with new prospects.
The commercial real estate industry has plenty of opportunity for those agents that work to a system and focus on growth of market share. Take charge of your career and get your systems and action plans in place.
We all know that the commercial real estate market is quite competitive today. Whilst the number of agents in each area will vary, the factors of territory domination become really important in attracting the right levels of enquiry and target market for each listing. Essentially your agency team needs to build market opportunity continually and constantly in and around the other agents with whom you compete. Monitoring your market share will become part of the process. Here are some tips from our Newsletter.
There are some key factors in growing your market share and here are some of the main ones:
The signage profile in the area needs to be significant and strong. This means that every listing should feature a suitably placed signboard wherever possible. Most property enquiry comes from the local area. The signboard on the property has significant leverage in attracting this enquiry; all signboards should be kept up to date and damage free from vandalism.
Every property enquiry can and should be captured into your database for future use and opportunity. The accuracy and up to date nature of the database will have direct impact on the deals and enquiries that you can convert. Salespeople should be held accountable for database entry and maintenance with all their listings.
The agency branding for your office should be suitably consistent across all marketing material. This will include contacts for salespeople, office detail, and telephone contact details for the office, website, and e-mail contact. As part of that process it is wise to make some early decisions regards the ownership of the mobile phone number associated with each and every salesperson. We all know that salespeople do move on or leave the industry given that the industry is very volatile. It is wise for the real estate office to own the mobile phone and the mobile phone number. When people leave, the enquiry from existing listings and previous client based contacts can still be captured from the mobile phone by other salespeople.
When you list a property locally, it is very important to take the property listing detail into the local business community through direct mail, direct flyers, and personal contact. When this is done correctly, you will gain significant market intelligence and future listing opportunity. This local contact process will generally optimise the price or rental outcome and shorten the time on market. Regrettably a lot of salespeople do not do this local marketing coverage process well enough.
From the outset of your agency establishment and operation, it pays for your agency and its individual salespeople to specialise within certain property types. Specialisation always provides better levels of enquiry and helps with your branding. By a specialisation, we mean Industrial Property, Retail Property, and Office Property. Certain members of the agency team can specialise in each segment and also the process of Sales, Leasing, or Property Management. As experts you can then attract more enquiry to your business.
It can be said that a large agency team presents special challenges in managing these factors above. The greater the number of salespeople, the more complex the management system required to optimise territory promotion and penetration. Nevertheless these four factors have to be optimised wherever possible. They can become part of your weekly office meeting agenda and strategies.
Track these numbers below with each member of the sales team:
New signboards placed on listings and in the territory
New listings for the week
Controlled listings for the week
Open listings for the week
Auctions coming up
Time on market per listing
Enhanced or exclusive listings on the Internet portals
To track the results that you set and obtain, it is wise to compare and monitor the number of advertisements, signboards placed on other properties, and Internet listings for each competitive agency. A good commercial real estate agency is one that completely understands their market and their current position within it.
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