If you work for commercial real estate investors with leasing requirements, the vacancy pressures and consequential issues will always be there. The variations of the market will impact tenant occupation and future leasing intentions; investors need help.
Leasing strategies and skills are valuable tools to offer and use in resolving vacancies in commercial real estate investment. So are you up to the vacancy challenge? You can be a top quality leasing agent for your location.
So how do vacancies actually impact an investment or an investor? Try some of these for starters:
- Destabilize the balance of the tenant mix
- Threaten market rental results for a reasonable period of time
- Extend the incentive demands of new tenants coming into the property
- Create a loss of net income due to outgoings costs not being recovered
- Create costs for the landlord with commissions and incentives in any new leasing situation
- Slow down lease negotiations as tenants ponder the occupancy alternatives
You can use these issues as factors of leverage in selling your real estate leasing services to your investment clients. You are the person to potentially provide the leasing solutions; you can resolve vacancies faster if you have lots of tenants in your database. Build your marketing story around those facts.
Be the Specialist Locally
So you can become a vacancy specialist in your commercial property industry; as a consequence, you can get to know what tenants and landlords are doing. You can have a collection of resources and tools that help you solve vacancies faster.
Here are some specific ideas to help with that:
- A diary of upcoming lease expiry dates in a location.
- A resume of market rentals that apply in a location.
- Different ways of marketing a vacancy into a target market.
- Lease clauses and lease documents that are carefully created for tenant types.
- Tenant retention plans that help consolidate occupancy over a period of time.
- A good awareness of outgoings levels and types for different property types.
- An awareness of upcoming new developments that could shift the balance in property rents or occupation.
- A database of tenants for a location
- A prospecting model that helps you stay in contact with all local businesses.
- Lease advertising layouts and photographs that really feature the asset and the tenant mix
So there are many good things that you can do here to help landlords with vacancy issues and challenges. A word of advice; concentrate on quality tenants and quality buildings. In that way you will find plenty of local interest and activity in property leasing.