The best way to enter the commercial property market as an agent or salesperson is perhaps at the level of industrial property. That is because industrial property is easy to understand and not overly complex when it comes to leasing or selling. NB – You can get plenty of tips in industrial property leasing right here.
Industrial property is the base of business and it is the ‘power house’ of business activity. That being said, industrial property is usually the first to suffer when the property market is slow, and it is the first to pick up momentum when the property market is strengthening. You can do very well as a specialised agent in Industrial property today.
Many agents start their career with industrial property and then ‘graduate’ to office property and then retail property. In saying that, recognise that retail property is quite specialised and it is not for everyone. Shopping Centres are quite specialised properties to work on and require expert knowledge of leasing, tenant mix, rental strategies, occupancy costs, and a lot more.
Get the Facts
So let’s go back to industrial property. To help you establish yourself into industrial property, there are some factors to ask the business owners and tenants that you talk to. Here is a list to get you started.
- Whilst it sounds so obvious, you really do need to know that you are talking with the right person or decision maker for the business. There is no point talking to a person in ‘middle management’ that thinks that they run the business. At that level you will waste your time. Check out the right people to connect with and build the communication.
- Understand the business identity or brand, and the product or service that they provide. It could be that they require a certain location to tap into raw materials or suppliers for their industry.
- Do they require a particular location to allow their business to thrive? Where is their end market or customer base? Both of these factors could have issues of access and transport to and from the property.
- What is the ideal property size for them and what improvements would be needed for the business to operate? Customer access and car parking for staff can be a big issue in property selection.
- When will they look to expand or change property location? Would they look to do that locally? Most businesses stay in the same general area when they relocate. On that basis you should comprehensively know your area and the businesses inside it.
When you talk to business owners, ask them about the other business owners in the area; chances are they have observed some changes or know of the factors of change in their street or business precinct. Local market intelligence will be invaluable in growing your market share.