In a commercial or retail property, the tenant mix analysis process has distinct advantages for the leasing agent and the property owner of any investment property. The analysis helps you with formulating the right decisions and negotiations relating to tenant placement and property use. This then makes the business plan for the property quite real…
In a commercial or retail property, the tenant mix analysis process has distinct advantages for the leasing agent and the property owner of any investment property.
The analysis helps you with formulating the right decisions and negotiations relating to tenant placement and property use. This then makes the business plan for the property quite real and relevant.
Here are some things that you can achieve as part of analyzing your tenant mix:
- Identifying the problem tenants before they impact your rental and income from the property
- Working on vacant areas early as part of a definite plan of attack on re-leasing.
- Setting benchmarks for rental and lease terms for the coming year ahead
- Understanding your good and bad tenants and formulating a strategy for each
- Working with anchor contracts effectively for the long term of the property growth
- Keeping the landlord briefed on upcoming negotiations on all critical lease matters.
- Targeting your property to the plans of the landlord and the trends of the leasing market
- Allowed for expansion and relocation of your good tenants to keep them in the property.
If you have a moderate size commercial or retail investment property with multiple tenants in occupation, undertake a regular assessment of your tenant mix so that the potential pressures within the property can be dealt with and removed.
Here are some ideas to help you set up the analysis of your tenant mix:
- Review the current shopper and business demographic in the local area. Look for issues of growth or contraction. Understand what these groups are looking for when it comes to goods and services. How does your property match and complement that requirement?
- Assess the potential of vacancy in the property. You will have to deal with the vacancies first so you are not exposing the property to an excess loss of rent. That being said you should not fill a vacancy with any tenant that comes along; it should be the right tenant for the property and the location.
- Understand the differences between your anchor tenants and the specialty contracts. Are there any synergies that can spin across the groups?
- Look at the lease expiry profiles in the property as well as the rent reviews coming up. Any critical dates in these categories should be deal with early so you do not have a vacancy to address. Excessive or protracted vacancies send the wrong message about the property to the market and the shoppers.
- Understand the clusters of tenants that work well together in the property. A larger retail property will have multiple clusters and locations for you to consider and optimize.
- What are the ideal lease terms and conditions that suit the landlord when it comes to lease negotiation and acceptance?
- What levels of market rental apply locally?
- What are your competing properties doing with incomes, vacancies, tenants, and marketing?
Simple questions like these will help you with formulating your tenant mix. That will then give some direction to the property for the landlord in both income and occupancy.
In commercial real estate agency you should have a personal marketing plan that you can relate and commit to as part of your daily diary. Without a plan of this type it really requires hard for some agents to drive any reasonable new business and client relationships. Many times I have heard agents say that…
In commercial real estate agency you should have a personal marketing plan that you can relate and commit to as part of your daily diary. Without a plan of this type it really requires hard for some agents to drive any reasonable new business and client relationships.
Many times I have heard agents say that the market is 'slow' or 'difficult'. Common complaints from agents are typically a variety of some of these things:
- 'I did not get any calls of the advertising this week'
- 'Inspections are harder to create'
- 'The property is creating little interest'
- 'The telephone did not ring this weekend'
- 'I took the inspection but they have not gotten back to me yet'
- 'Inquiries this week have been terrible'
- 'I can not get the people to commit on paper to an offer'
- 'I would rather be playing golf'
Yes, this property market is a bit of a challenge, but understand that what is happening now is all part of the property cycle and adjustment that happens every 10 years or so.
You really have to put in the right effort into your career to get something out. The business and the clients are still out there for you. Sales and leasing activity happens each and every day in your sales territory and patch.
Top agents are highly systemised. That is how they build their business, find the clients, and create their listings. If you are struggling in commercial real estate agency, have a good look at your systems or 'lack of systems'. The answer will usually be there.
Here are some rules to help you getting 'back on track' when it comes to personal marketing:
- You must have a database that is up to date and fresh. At the end of each day, enter the things that you have done and the results of the meetings and conversations that you have generated.
- Build a professional network of special groups of people that complement your market activity. They will usually be solicitors, accountants, property developers, and planners. Keep in touch with them as they will have clients and issues that need servicing.
- The telephone should be your 'friend' in business. Use it regularly to contact ever more people in your local area. Be prepared to grow every relationship with a prospect or client.
- Ask for referral business at the right time and with the right people. Use the strength of your existing relationships to 'open the doors' with new people.
- Devote 3 hours per day to prospecting. Yes, I know it will be a challenge for some to find 3 hours in the diary, but as it happens that is usually the reason their market share and decisions are not improving.
Simple rules like these should be implemented as soon as possible in every agent's business plan and diary. After a few weeks of fresh and deliberate effort, the market momentum will come back to you and you will see some new opportunities to act on.
When it comes to leasing and managing a retail property today, it is essential that you stay ahead of the tenant issues and changes. Regular ongoing connection with all the tenants in your property will help you achieve this simple and yet effective goal. Whilst your focus may be on just a single property, you…
When it comes to leasing and managing a retail property today, it is essential that you stay ahead of the tenant issues and changes. Regular ongoing connection with all the tenants in your property will help you achieve this simple and yet effective goal.
Whilst your focus may be on just a single property, you should expect that the other landlords and real estate agents in the area will be seeking to attract your tenants away from your property. On that basis you need to protect the tenant mix profile and the rental income. A tenant retention plan is a great idea.
Here are some tenant management strategies that you can implement as part of your specialized leasing and or management services:
- Make it easy for your tenants to contact you. Give them all the necessary points of contact that you can respond to efficiently and effectively.
- Any conversations and meetings that you will have with a tenant should be documented as soon as possible. Any critical agreements and discussions should be evidenced back to the tenant in writing or on email.
- The discussions that you have with your client (the landord) as part of tenant management should be documented. Particular instructions and actions required should be evidenced back to the landlord through an email or letter.
- Within the tenancy mix, you are likely to have anchor tenants. The anchor tenants provide surety to the income profile and the lease stability for the property. Get to know your anchor tenants and their intended business operations. Stay close to them throughout the year so you can see if they are experiencing any changes or pressures in operation. Any anchor tenants that are experiencing difficulty can have a flow through effect to the specialty tenants in the same property.
- As a general rule, you should be meeting with all your tenants on a monthly basis, and more frequently if circumstances require. All of those meetings should be documented. At the end of each month the results of those meetings can be incorporated into the report to the landlord about the tenancy mix.
- Properties that contain a number of tenants should feature a tenant retention plan. The tenant retention plan is a key component of the overall business plan for the property. At the beginning of each financial year, the rules are set regards the tenants in occupancy, current vacancies, predicted vacancies, rental standards, and leases to be negotiated.
- Stay well ahead of any rent reviews and options that apply to the tenancy mix and the current leases. The critical dates for those activities should be worked on well in advance. Talk to your client on a regular basis so that the necessary lease decisions can be put into place. Early negotations are a good thing.
- Inspect the awards occupied by each tenant regularly. Make sure that the current and prevailing usage of the promises complies with the permitted use of the lease.
- Maintenance issues and events in any property should be responded to efficiently and effectively. Give priority to those things that are a threat to property usage and customer visitation. Any risk to the landlord's position as property owner needs to be minimized.
Get to know your tenants comprehensively and keep the relationship going for the long term. That will then help you when it comes to the required leasing and management processes that underpin the property. You will also help you with minimizing vacancy activity.
In commercial real estate agency, your role as an Agent or Sales Manger is quite specific and you must know it in each case when working with clients and prospects. Your role is to work for your client and solve their particular problem in commercial real estate sales, leasing, or property management. This approach requires…
In commercial real estate agency, your role as an Agent or Sales Manger is quite specific and you must know it in each case when working with clients and prospects. Your role is to work for your client and solve their particular problem in commercial real estate sales, leasing, or property management.
This approach requires you to understand your client and their problem or challenge. That is a productive process and should be well considered for today's market. That will then help you win the new business or close on that difficult negotiation.
The client wants to be understood and it is your job to do that. Well-crafted questions will help you get there.
So what problems would clients have? Typically they are a mixture of issues such as:
- Getting a tenant to fill a vacancy
- Finding a buyer for the property
- Managing the property to improve property performance
- Solving a tenant mix issue so the property can improve rent returns and occupancy
- Negotiating a lease or a sale so that the clients property challenge is resolved in the best way possible given the market conditions
When you get to the real issue that the client needs to solve, your sales pitch and presentation is much easier to implement. Your conversions to a positive result are also increased.
This is a specific mindset and process that will help you with your real estate agency business. To help you understand your role with any particular client, here are a few ideas to implement:
- Meet the client at the property prior to any property presentation. Get them to take you around the property and show you the improvements, services, and amenities.
- Find out what the client may know about the area by asking key questions on property performance and availability.
- Ask them about how they came to purchase and own the property. Get some history and facts about where the property is today in the clients mind. Get the client to talk and open up on their perception of the market.
- Use open questions with the client so that more information will be gleaned from your discussions with them. Understand how to 'drill down' on key facts and information provided by the client. Take plenty of notes.
- Given the subject property and client, look at the surrounding area and what may be happening with other local properties, time on market, listings, competitiveness agents, and prices or returns. Pay particular attention to the local street and property precinct. Look at the history of the prices and rents locally.
This simple approach will help you understand your client and hence adjust your role to the required property challenge. Do not look at yourself as another agent that is quoting on the property for any upcoming sales or lease activity. Understand the high value that you can bring to the client and start to pitch toward it. That is your role.
In commercial real estate today, it pays to develop some solid telephone skills and prospecting strategies. Through effort and practice, you can lift your conversions of calls to meetings. Most of the new business that we create as real estate agents will only come over time and on that basis you need plenty of meetings…
In commercial real estate today, it pays to develop some solid telephone skills and prospecting strategies. Through effort and practice, you can lift your conversions of calls to meetings.
Most of the new business that we create as real estate agents will only come over time and on that basis you need plenty of meetings with new people to establish that trust and the right relationships that can be nurtured to a future opportunity.
Here are some ideas to help you with your telephone prospecting efforts:
- Make no mistake, telephone prospecting in commercial real estate is quite a specific process and does require practice. Failing to practice will slow your progress and even destroy your results. Be prepared to learn everything you can about professional telephone dialogue. Be prepared to improve what you say and how you do it.
- You will be calling two types of people. The first group will be those that are in the local business community and that may occupy or own the concessions in which they are located. It is easy to reach and identify this group of contacts. The business telephone book will be the initial place to start from. As part of this contact process, you should also add local property developers to the list.
- The second group of people to contact will be property investors. In many respects they may be private individuals. On that basis you will be looking for the right telephone number to call. Finding the right number can be an issue and will take time. Given that they are private individuals, your call process will be impacted by the do not call register. Be aware of the rules and regulations that apply to making calls to individuals in your location. Do not break the rules and the laws that apply when it comes to calling individual people on the private and domestic telephone system.
- A lot of agents struggle with the mind behind the call contact process. They think that each call should be a sales pitch in some form. That is not the case. Any call that you make to a new person should be based around a single question that centers on their current or future need in commercial real estate. Some other people that you call will have no interest, and that is quite OK. Simply move on to the next person to speak to. There is absolutely no reason to generate a meeting with someone who really does not want to talk to you.
- Good client and prospect relationships are built from relevant and real contact. I go back to the point that your first approach to a prospect or client across the telephone should be to simply see if they have a need or an interest in commercial real estate. When you have established that fact, the conversation can proceed further to the potential of a meeting. That is how you grow your share share and your client base.
- To help with your call contact activities, prepare the list of targets to call each evening prior to the next day. In doing this, you will not distract yourself from the requirement for momentum when making calls.
- There are many call scripts to use, but the important thing is that you choose the one that works for you. Your approach to someone that you have not spoken to before should be simple and direct. It should be nonthreatening and efficient. The dialogue that you develop should be natural and efficient. You need to be comfortable with the words and the direction of the conversation. This does require some practice.
- To help with the call process, you will find that your conversational ability will be lifted significantly when you stand up as part of making the call. The most successful agents in the call contact process are usually those that stand up for the 2 or 3 hours that call prospecting requires. The depth and versatility of the conversation that they create can be observed and heard. From a more effective conversation they create more meetings with qualified individuals.
You can add to this list of telephone activities given your property location and specialty. The fact of the matter is that you can do very well as an agent providing you master the telephone prospecting model that works for you. Market share will then follow.
When it comes to advertising commercial real estate for sale or for lease, certain rules need to be followed so you attract the right focus and rate of inquiry from your property marketing efforts. The advertising and marketing of any exclusively listed commercial property is a strategic process and must be of high quality (open…
When it comes to advertising commercial real estate for sale or for lease, certain rules need to be followed so you attract the right focus and rate of inquiry from your property marketing efforts. The advertising and marketing of any exclusively listed commercial property is a strategic process and must be of high quality (open listings excluded).
The First 3 Weeks
In most promotional situations you will find that a property becomes 'stale' from a marketing perspective after only a few weeks. For this reason the early stages of every property marketing campaign should be optimized so you get the inspections and the inquiries that you need.
So many agents take a 'generic' approach to advertising. Sometimes that is due to the greater numbers of listings on the market today and the consequential 'process and promote' requirement to get the message out about a property.
The 'generic' approach to marketing only brings in average results at best. If you have a quality exclusively listed property then the message that you formulated in the marketing campaign should be carefully created and released selectively to the target market. Put yourself personally into the process.
Getting Low Inquiry Rates?
Have you ever come across the situation where a good property has been listed, and it is then advertised for a couple of months with little result? Soon you can see that the enquiries coming in are few and far less than desirable.
In such a short period of time the good momentum that the property could have had, has been diluted. You then only get a slow stream of average and poorly matched buyers or tenants as the case may be.
So why does this happen? The agent has not spent enough time in getting the marketing campaign just right for the property. The agent has generally advertised and rented that the advertising will create the required inbound calls and inspection requests. 'Generic' does not work in commercial property marketing today.
So what should an agent do with a good property to be marketed exclusively? Try some or all of these:
- Inspect the property with the owner or client so you can discuss the selling features or items that will have an impact on your momentum.
- If you see any glaring issues that will frustrate the property promotion, get them fixed before others see the property.
- Get high quality photographs taken from the property to use in all of your marketing efforts.
- Select a clear target market to promote the property to.
- Build a headline that draws attention from the target market. Use keywords that are attractive to the market.
- Select 5 things that the property will be known or attractive for. Promote them.
- Balance your marketing across the right media channels to capture the target audience.
- Most buyers and tenants come from the local area. Take the property to those market segments personally by door knocking, and making direct mail and calls.
- Track your results from all promotional efforts. If something is not working, change it fast and do something else.
To be successful in marketing a commercial property today, put the effort into campaign design and implementation. Make the right media choices and monitor how you are going. Top agents do that all the time.
Dealing with real estate issues can be a challenge if you do not know what to do when they arise. While it may seem as if the easiest things to do in the industry are to purchase and sell property, you need to be aware that none process is a black white as it looks.…
Dealing with real estate issues can be a challenge if you do not know what to do when they arise. While it may seem as if the easiest things to do in the industry are to purchase and sell property, you need to be aware that none process is a black white as it looks. Instead of taking your chances in hopes of things proceeding smoothly, you may want to consider hiring a realtor service while you are involved in any transactions.
It may seem as if everywhere you go, everyone keeps talking about how they handled their real estate transactions on their own. While people may talk about how much money they saved or spent in the process, no one mentions all of the unnecessary legwork and stress they had to deal with.
When things go wrong or get mixed up in the world of real estate, it can put bringing any purchase or selling transaction to a complete stand still. Unlike other situations in your life where it only takes few moments to a few days to clear things up, it can take anywhere from a few weeks to several months for things to get back on track. Part of the reason why it takes so long to get things straightened out is because there are several parties that are involved in these types of transactions at any given time. If you are using a lender to provide you with financial support to help you purchase a particular piece of property, then you also have to deal with the stipulations that they have put in place before they will pay for any property. Even people who have the best credit profiles can end up with delays in their transactions.
Here is where realtors become really valuable. They are very knowledgeable about any type of situation you can wind up in. They know the laws and regulations in the industry, and have access to resources that can help make things much easier for you to deal with. Not only can they provide you with the guidance and expertise that is needed, they can also handle all of the work. Why should you struggle and frustrate yourself trying to understand an industry that you do not have enough knowledge or experience in? You already have enough to deal with in your life. That is why you should hire a group of reliable and experienced professionals to handle all of your real estate transactions.
With all of the time you spend waiting to find and purchase your dream home, why take chances and wait much longer when you are so close to making that dream a reality? The same goes for selling; why are you counting the income you gain from a sale before it has been finalized? Let the real estate professionals give you peace of mind, and make sure that everything is handled smoothly and efficiently.
When it comes to choosing a new town to live in, having the word “paradise” in the name may seem like hyperbole. If you are looking at potentially buying Paradise Valley homes in Arizona, however, you may find that the name is apt. The town of Paradise Valley is located in the beautiful Sonoran Desert,…
When it comes to choosing a new town to live in, having the word “paradise” in the name may seem like hyperbole. If you are looking at potentially buying Paradise Valley homes in Arizona, however, you may find that the name is apt. The town of Paradise Valley is located in the beautiful Sonoran Desert, between the cities of Scottsdale and Phoenix. With a population of just under 13,000, Paradise Valley offers the benefits of a small community with easy access to larger municipalities. If you are looking at houses in Paradise Valley, you will want to seek a REALTOR® with specialized knowledge of the area.
Living in desert areas can provide you with breathtaking views and unparallel experiences of nature. Homes in Paradise Valley are built to follow residential guidelines that have been established by the town's government with the intent to reserve the residential character that exists within the Paradise Valley community. This means there are limitations to the height and size of new structures with the aim of maximizing residents' experience of the surrounding natural beauty. Finding a REALTOR® with knowledge of the town's regulations will be essential in ensuring that you know exactly what you are getting into terms of community expectations.
When you are considering moving to a new area, it is important for you to do some research into what the area has to offer in terms of public amenities and balance this with location. If you are seeking a place of sanctuary, then Paradise Valley houses may be particularly suitable for your needs. With very peaceful and quiet surroundings, the town has a lot of open spaces with residents who are particularly proud of their views of the pristine desert and the night-time sky. The town also presents its residents with unobstructed views of the surrounding mountains and other geographical landmarks including the Indian Bend Wash, Camelback Mountain, the Phoenix Mountain Preserve and Mummy Mountain.
As with many other locations in Arizona, Paradise Valley is also home to nine resorts which in turn offer residents a multitude of recreational opportunities, including tennis and golf, in addition to other service amenities such as fine dining and high-end spas. Spending some time in a new community before you purchase your new home can give you a valuable experience of what the community has to offer and also help you to determine if it is a community that you want to be a part of. In addition to talking to your REALTOR® at length about the area, speak to locals and experience it for yourself.
It could be said that everyone would like to live in paradise one day, but there are times when the process of finding a new home and establishing yourself within a new community can feel daunting. Seeking professionals who can guide you knowably through this process can bring you one step closer to finding your perfect sanctuary.
In commercial real estate agency today, you as an agent really do need a personal prospecting system. When you can establish a prospecting system that is geared to the local area and your relevant property experience, things get a lot easier when it comes to market share and growing your responsibilities. One key problem that…
In commercial real estate agency today, you as an agent really do need a personal prospecting system. When you can establish a prospecting system that is geared to the local area and your relevant property experience, things get a lot easier when it comes to market share and growing your responsibilities.
One key problem that exists in the commercial property industry is that many agents work with far too few clients. When they lose a few key clients, they lose a massive amount of income and momentum. It takes time to build up good and productive client relationships.
Your personal prospecting process should bring new clients into your 'pipeline' of client contact and networking. Be prepared to lose a few clients every 6 months or so. Prepare for the loss by building new relationships. Nurture good clients and quality listings; it is a deliberate process that is 'composed and completed' at an individual level.
The cycle of commercial real estate sales and leasing is quite long. On that basis it can be months if not years before a client is ready to act in a sale, purchase, or lease. Your networking system has to continue in a relevant way for the ongoing time to capture that business. The only thing that you should determine at the outset of a first contact is that you then know that the person or prospect has the potential to need your services in the future.
Here are some other tips to help you with your personal prospecting system in this property market and economy:
- Define your business area and your property type so you clearly know where you are focusing. You should also determine why people should use your services. If you can not find that information for yourself it will be very hard to sell and pitch the idea of your services to anyone else. Confidence and relevance are key factors in presenting and pitching your agency services. You must be better than the competition agents; how can you do that?
- Given your special services, why are you a top agent? Can you sell that idea to a prospective client? What can you do that is more relevant and real than some of your competitors? Over time these things will need to grow and consolidate. They must become part of your personal brand.
- At any time and in any market you will find clients that are under property pressure in some way or form. Through consistent daily prospecting you will locate these clients and you can work with them to solve the 'property pain'. If you are lacking clients and listings now, take a serious look at your prospecting systems and efforts. Most of the agents that are struggling are those that do not prospect enough. I have met agents that admit that they do little or no prospecting at all; I then wonder why they even bother being in the industry given the costs and pressures that apply to the average agent. Every property market has opportunity to identify and action.
- Track your prospecting efforts so you can see where you are progressing in conversions, calls and meeting outcomes. It takes about 3 or 4 approaches to some prospects and targets to get them to let you have a meeting with them. Consistency and relevancy in contact are the key factors. When you 'open the right doors' with prospects, keep them open through ongoing relevant contact.
Given all of the above, the prospecting time that you apply to your career every day should be split 50% to established contacts, and 50% to finding new prospects. In this way you can build market share for the time that you lose a few good clients. Understand what works for you in commercial real estate and repeat the process over and over again. That's a good way to get more new business.
Selling your home can be a stressful experience. With so much to organize and do it can be a hard task to know where to start. This article provides five simple tips which will make your home more attractive to prospective buyers, and help you to sell it in a much quicker period of time.…
Selling your home can be a stressful experience. With so much to organize and do it can be a hard task to know where to start. This article provides five simple tips which will make your home more attractive to prospective buyers, and help you to sell it in a much quicker period of time.
Make the First Impressions Count
You never get a second chance to make a first impression. Prospective buyers will often form an opinion on your property within the very first few seconds of pulling up in the driveway. Therefore it is essential that you organize, clean and make the entrance to your home look as good as possible. Make the time to trim all bushes and trees which are positioned in the entrance of your property. Remove all leaves and other debris in these areas too. Make sure that your door is cleaned, and that the light fixtures are working correctly. You can purchase a few things to make the entrance of your home look nicer, such as a pretty new doormat, a hanging basket, or a pair of small olive trees which can be positioned either side of the doorway.
Take half a day to have a thorough spring clean of your entire house. Make sure that every surface, floor and appliance is sparkling clean. The cleanliness of your house is of the utmost importance when it comes to attracting the attention of buyers during a viewing. Also be sure to dust all areas of the house so that there are no unsightly cobwebs anywhere. Be sure to remove any clutter around the house, as clutter will make the house appear smaller. If you do not want to throw it out then you can put it into storage so that it is kept out of sight when you have viewings.
Fix it Up
Take the time to fix any fittings or fixtures which are damaged or broken. Simple things like a leaking tap, a broken light or a cracked tile can all help to give the wrong impression to potential buyers. You can fix most of these issues yourself, or you can hire the help of a local tradesman.
Keep it Neutral
This step requires a little more time and effort than the others but it is worth it in the long run. When people come to look at a house they like to imprint their own style onto it. Therefore it helps to start with a neutral 'shell' in which they can improve on. Bright or unusual colored walls can be off putting to many potential buyers. A simple coat of neutral colored paint will freshen up your home and make it more appealing to buyers.
A few small items can be used to add the finishing touches to your home. A lovely fresh bouquet of flowers will brighten up any room and add a lovely fragrance to the air too. A lit scented candle will make a home feel more cozy.
In commercial real estate agency, you will find that the leasing of concessions can be quite lucrative for you as an agent when it comes to contracts and growth of market share. Over time successful leasing appointments can give you greater opportunities for selling properties. In working with clients through a lease process, you build…
In commercial real estate agency, you will find that the leasing of concessions can be quite lucrative for you as an agent when it comes to contracts and growth of market share.
Over time successful leasing appointments can give you greater opportunities for selling properties. In working with clients through a lease process, you build the right relationships for ongoing help and service in commercial property.
Top commercial real estate agents are usually very familiar with both sales and leasing activities in the local area. They know that a leasing situation today that is well handled and negotiated will 'open the door' for a future sale opportunity if and when the property investor or owner gets to the point of action.
So the message here is quite clear. You should undertake and grow a leasing focus as part of your overall agency market share. Be open to helping the landlords that require guidance when it comes to leasing vacant promises.
Assuming that you can attract quality listings to your leasing portfolio, you will find that tenants will approach you directly for property inspections and property information. That being said, the tenant qualification process is quite specific. Ask the right questions before you go to a property inspection and match the awards accordingly.
Here are some questions to ask a tenant as part of considering new lease occupancy. You can use these questions to create a checklist and improve the professional leasing services that you provide.
- Understand that you are talking to the decision maker when it comes to that particular tenant and business. Also ask questions about how they may make a decision when it comes to a property that is shortlisted and available for lease. When it comes to businesses and larger corporations, the decision facility can be frustrated by boards of directors and a connection or approval requirement with head office. It is better to know about these things from the very start.
- Ask the tenant about the local factors that are important to the final property choice. In many respects, the property location may be based on current business operations and customer access.
- The ideal property that they choose will have certain priorities relating to improvements, services, and amenities. The tenant will have a short list of improvements that are essential to any property occupancy and relocation. Work through the short list so you can find the right locations and vacant promises.
- The tenant will have a budget that applies to rental and occupancy costs. Whilst the rent for concessions may be one thing to consider, there will be other costs associated with outgoings and consumable services such as electricity, water, and gas. Identify the correct and full budget that applies to the final property choice.
- Some tenants have a preconceived opinion as to the lease terms and conditions to be available, together with the incentives that they require in any new lease occupancy. The same can be said for landlords as part of leasing each vacant tenancy in their investment property .. That is where you should position yourself as the expert leasing negotiator with the local market information. You will need to arm yourself with evidence and information relating to compatible properties, lease situations, and incentives.
- Every tenant will have a particular use to apply to the concessions. That are useful be defined in the lease as the permitted use. The property needs to be suitable for that given the configuration of improvements, services, and amenities. The permitted use conditions of the lease will help you control the tenant's activities on the property. Be quite specific when it comes to the dismantling of the permitted use.
- Businesses will have particular requirements relating to staff access and car parking. A car park may also be used for customer access and loading or unloading of goods purchased. Ask questions about the practical ways in which the business will be functioning. Find out how the staff will be accessing the concessions, and what presses this will apply to the car parking availability.
- Find out if the tenant has inspected other properties in the local area with other competitive agents. It is common with most tenants that they will be looking around the market with three or four different agencies. You need to know this before you spend too much time with them.
- When it comes to leasing vacant promises, the landlord will require certain guarantees and commitments on the part of the tenant. They can be in the form of bank guarantees, rental bonds, and director's guarantees. Make sure that these are available from the tenant as part of the lease negotiation.
- It is likely that the tenant is coming from other concessions as part of the relocation. Find out where they coming from and when that needs to occur. That will have an impact on the negotiations that you undertake.
You can add to this list based on the property, the tenant, and the landlord. Create a checklist to help you with every lease negotiation and particular property type. In this way your services can be seen as superior and more professional when compared to the other agents locally.
In commercial real estate agency today every property that you list for sale or for lease should be carefully positioned for the best method of sale or leasing approach. Some strategies are better than others. Given that most towns and cities today have an abundance of available properties for occupancy or purchase, the right choices…
In commercial real estate agency today every property that you list for sale or for lease should be carefully positioned for the best method of sale or leasing approach. Some strategies are better than others.
Given that most towns and cities today have an abundance of available properties for occupancy or purchase, the right choices need to be made when it comes to marketing and promotion with each of your lists.
A generic approach to marketing is of little benefit to the client or the agent. Getting the right enquiries and the results in this market today are really important; all of your efforts should be considered accordingly.
Here are some ideas to help you with marketing strategies today in your local area and with your property listings:
- Every listing that you pitch for should be positioned for an exclusive listing. Ensure that the property is of quality and is attractive to the prevailing market and its current inquiry. When you take an exclusive listing, you have something to work with when it comes to the client, the property, and the negotiation. In an open listing situation you have little control and other agents that can affect your offer or negotiation position. In most open listing situations, you can not rely on the client to give you full and complete information of their intentions and the property.
- As part of considering the listing of a particular property, define the target market that should apply in each case. Show the client how you will be connecting with the target market, and personally put yourself into the marketing process. I go back to the point that you can only do this with exclusive listings. If the client only gives you an open listing, then place a signboard on the property and list it on the Internet. That is all that an open listing descriptes. Certainly do not waste much of your time on the listing unless you have a qualified prospect that can inspect.
- The property will have particular improvements, services, and amenities that are suited to the target market. Construct a consistent message that features the property correctly to the targeted audience.
- Every exclusive listing should be subordinated to a professional photography process. Those photographs should be ready prior to the campaign commencing. It is a known fact that you will get much better inquiry from an advertisement when you feature professional photographs taken correctly. The cost of the process should be borne by the vendor as part of vendor paid marketing in the listing process.
- Review the property with the client to devise a strategy to the inspection process. In larger and higher quality properties, this strategy works successfully when it comes to creating interest in the property from tenants and buyers. Consider how you will move in and around the property with any potential qualified prospects. Consider also how you will provide them with further information relative to the property and its capabilities.
To successfully market a commercial or retail property for sale or for lease, take care with your marketing strategies and decisions. When you put the effort in to the correct promotion with the appropriate message, you will get more inquiries and ultimately a better outcome for the client.
A retail shopping center or mall is a very special place when it comes to property performance and leasing. A good retail leasing agent will specialize in the leasing process and the factors that impact retail property performance. Tenant mix and other factors will be part of that. A top performing retail property is built…
A retail shopping center or mall is a very special place when it comes to property performance and leasing. A good retail leasing agent will specialize in the leasing process and the factors that impact retail property performance. Tenant mix and other factors will be part of that.
A top performing retail property is built around a number of factors that are finely balanced to the requirements of the:
- Tenant mix
- Property design and improvements
- Local demographic
Every lease that you negotiate should take into account the functions of the tenants business and match that into the cash flow requirements of the landlord. Retail leasing specialists are perhaps the most specialized leasing experts in the property industry.
Retail property agents and leasing specialists understand the impact of a tenant when placed into a tenant mix and customer demographic. When the match is correct, the greater benefit flows across the property and the surrounding mix. Everyone benefits from a well-placed tenant and a good lease.
Look at every retail property in a unique way. Get to understand what makes the property 'tick' and check out the trading figures and customer numbers. Find out why people are visiting the property and on what days.
Here are some factors that can help you in reviewing the potential of tenant placement in a retail property today:
- Check out the property location and how people access it. Surrounding roads and freeways could have a real impact on trade and customer access.
- Determine the primary customer demographic. When you have done that, decide why people visit the property and when. Are the sales for tenants based on 'convenience' or 'destination' retailing? Choose your new contracts accordingly.
- The layout of the property and the situation of the tenancy will be of concern to the incoming tenant for any vacancy that you have to lease. Foot traffic passing the promises will help sales. The awards on corners and access doorways are likely to be the better in sales performance. Make sure you do not put a 'service' type tenant in such a prominent location. Top locations should be reserved for high profile and highly performing retailers.
- What exposure can you give contracts when it comes to signage both inside and outside of the property? A good retail property gives a solid marketing message to the customers surrounding it.
- When people visit the property, how can the get from the car park to the shops? Is the car park user friendly? Look at property access from a customer perspective. Understand how tenants can be placed in and around the movement of customers in and out of the property.
You can add to this list based on the property and the location. It is critical that you understand the opportunities that the retail shopping center offers to its tenants and customers. From those facts you can build a good lease and protect the landlord's rental income and cash flow.
In commercial real estate the leasing of property can be quite a special issue. It can also be said that the leasing process can give you as an agent a good stream of alternative transactions when the real estate sales market is slow. If leasing is to be part of your income and professional services…
In commercial real estate the leasing of property can be quite a special issue. It can also be said that the leasing process can give you as an agent a good stream of alternative transactions when the real estate sales market is slow.
If leasing is to be part of your income and professional services as an agent, you should take the time to understand the special issues and components of a good lease negotiation from a landlord perspective.
To work in this segment of the property market with some success, you must know the strategies and the tools to use. Here are some ideas to help you:
- Understand the client's focus and property intentions. A landlord client may want to hold the property for the long or short term. They may also have intentions of property expansion, contraction, or redevelopment. When you know what the landlord wants of their property you can match the rental and the lease negotiations to it.
- Services and amenities will vary when it comes to property location and type. Tenants today can be very demanding when it comes to the standards that they require of the property. Importantly the property should be well maintained so that the tenant mix is stable and not threatened by vacancy.
- Property improvements will suit a tenant type; that then has impact on your selection of tenants in the tenant mix. Know what the property offers by way of improvements and then match those facts to the leasing strategy that you adopt.
- Regional demographics are under constant change. Businesses will be impacted by the regional activity and change. Watch out for zone changes under and in the property development plans for the area. Also look out for changes to roads and freeways that could impact property access and use.
- Tenant mix establishment is not just a process of finding a tenant and negotiating a lease. Choose the right tenants for the property and the vacancy. When you get the selection correct, you strengthen the income base for the property and lower the vacancy factor or risk for the long term.
- Rent alternatives will vary based on location of property and the local market. Understand what the market rents are doing and what tenants are looking for by way of concessions and rental alternatives. Incentives will have something to do with that. The landlord should be flexible enough to adjust rents to the market conditions.
- Outgoings or operating costs will be part of the rent structure. Net or gross rental choices will handle the operating costs for the property but you must choose the right rent structure that protects the landlord's net income for the property over the lease duration.
- Permitted use controls are applied through the lease. The selected use should be restrictive so that the tenant does not have too much flexibility in property or tenancy use. This can also be a very important issue when it comes to lease assignments during the lease term.
- Keep in touch with tenants both in the property and outside of the property. Tenant relationships will help you build a great property and income for your client. Stay ahead of tenant intentions.
- Standard lease strategies and supporting documentation should be set for the property so it is easy to negotiate rents and occupancy with a tenant and fix a vacancy issue.
So how do you get to establish a perfect leasing strategy for your landlord clients? You take steps to understand the market, the property, the landlord, and the tenants in ways that can help you create a solid match of lease terms and conditions. Top leasing agents are very familiar with the property market and know how to do just that.
Using an assistant agreement is vital when hiring a real estate assistant. It should describe the working relationship between you and the assistant. The first thing you should consider is whether he or she is an employee or working as an independent contractor. If you choose to have an employee you have to deduct taxes,…
Using an assistant agreement is vital when hiring a real estate assistant. It should describe the working relationship between you and the assistant. The first thing you should consider is whether he or she is an employee or working as an independent contractor. If you choose to have an employee you have to deduct taxes, social security and unemployment insurance from their pay. This involves a lot of record keeping on your part plus the added expenses you incur by having an employee …
So after consideration most agents that hire assistants choose the independent contractor status. You do not have to do any of the withholding. You just have to provide a 1099 form. There is no salary only a commission or fee as payment or services rendered payment. This fee will also be deductible on your taxes as an expense .. It would be wise to check with your accountant to see how to handle the payment schedule.
You should hire an assistant that has an active real estate license because if they do not have one it will limit them to doing only what an unlicensed person can do. This will make a very big difference because there are many tasks that need a licensed agent to perform. Some of the requirements you should consider when interviewing an assistant would be having computer skills in programs such as Microsoft word, excel or comparable programs. If they do not have a laptop computer you may have to provide one. Although it's an expense the investment will prove well worth it.
Let's talk about what else an agreement should do.
- Define the work hours
- Define commission or payment services
- Explain what duties you expect from an assistant
- Assist with showings
- Assist with market value reports
- Go on market value report appointments with you
- Set Appointments
- Do open houses
- Record keeping
- Hand out flyers
- Place signs for open houses
- Make phone calls on your behalf
- Prospecting for new business
- Review the daily updates on the MLS
- Preview new listings
- Meet all of your clients and customers
- A team player attitude
You must determine a payment schedule of how much, when and how often the assistant should expect payment. Your business growth should have a direct effect on commission increases for the assistant. A confident clause is important to have in your agreement. The assistant must know that what goes on between both of you stays confidential. Having this all on paper will set the guidelines. Your assistant will know their job description and their duties .. A real estate assistant agreement should protect both parties.