When you analyse commercial real estate brokerage as an industry, you will soon see the multi layered benefits in sales and leasing of a professionally skilled commercial and retail property management team.
What is the focus here? A well-serviced property management portfolio will be a stable source of brokerage clients, income, and property listings. That assumes of course that you have the right people working the property management appointments and assets; skills are required to do that. Average property managers tend to loose business rather than keep it. Top managers tend to grow the business and retain the confidence of the client in so many different ways. (NB – you can get plenty of commercial property management ideas in Snapshot right here – its free)
Integrate all your teams and make sure they are talking to each other on a regular basis about clients and assets; make that review a part of the weekly team meetings.
There are some real synergy points of service between the sales or leasing team, and the property management team; all teams should interact and communicate weekly to ensure that any property changes or challenges for mutual clients are captured and serviced as required. Stay close to all your property management clients for that very purpose. There is nothing more frustrating than to see an asset under your management control be sold by another brokerage.
So here are some of the real benefits of a professionally controlled property management portfolio in our industry:
- A bank of listings for sale and lease – as a property client and their investment changes over time, look for the factors that require resolve and a specialised sales or leasing service. Stay ahead of the transaction opportunity and needs by observing income potential and capital value changes for the client. Understand when it would be the right time for a client to move assets or improve them through some deliberate upgrade. An ‘off market’ deal is always desirable to a ‘public campaign’ where you may lose control of the listing and or client.
- Good clients and better relationships – as a client relationship grows over time, the levels of trust and confidence rise. Split your clients into groups and locations. Differentiate your professional services with the top-quality clients with a ‘VIP service’. You will know who those clients are and why you should service them in a particular way.
- Multi levels of services and interaction – there are many services that you can offer to your property management customers. The most common and essential ones to offer are sales, leasing, project leasing, renovation services, project marketing, tenant mix changes, lease negotiations, vacancy reduction, and anchor tenant lease negotiations. All of these specialised property services should be a ‘fee earner’ in your client appointment documentation.
- Referrals to and from other industry based investors and professionals – the relationships that an investor client may have with other professionals will help you offer and integrate your services into other local people. Build the relationships with other good quality professionals such as attorneys, accountants, bankers, and liquidators. There are relationships to grow and nurture here over time.
- Regular fees and brokerage income – each month and throughout the year, look at how your property management portfolio is growing and changing. The fee base should be growing, and there should be a plan to the process. Grow the regular monthly management fees and the supplementary fees of leasing and sales.
- A growth of portfolio – understand the buildings that you manage now by size, type, workload, and location. Soon you will see just how you can grow your portfolio in ways that match your team skills and services. Good team skills are eminently marketable.
So, there are some valuable strategies here to help you build your commercial and retail property management business. These are some of the fantastic benefits of establishing and driving the overall brokerage business forward.