Commercial property management is a special field in the property industry. The same if not more can be said about retail property. The property managers that work on these property types should be well chosen for their skills and or trained for the skills that are needed. NB – you can get plenty of commercial property management presentation tips here.
The industry averages?
Far too many agencies employ people in property management with little commercial or retail property training, and then they leave those people to the tasks of ‘managing’. The end result will be properties that are poorly managed and a tenant mix that is ‘imploding’. It is easy to see a commercial building that is poorly managed. They can be focus points for you from a new business perspective in commercial real estate brokerage and property management.
Poorly managed properties then have common problems such as:
- Leases that miss critical dates
- Rents that are below market
- Tenants that are disruptive
- High maintenance costs
- No property budget in income or expenditure
- Landlords that are unhappy with the property manager but fail to move their portfolio elsewhere
So what can you do here?
The simple answer is to employ the right people and train them up to do a great job for the clients that they work for. It is a fact that good property managers will help your agency fee base and increase the portfolio over time; that will then mean more properties that you will have to sell at some stage in the future.
If you are going to present to a client for a new property management appointment, bring innovation and relevance to the pitch or presentation.
You should not have to win the appointment on low fees, but rather use top services and innovative property management work systems.
Pitch and presentation ideas
Here are some ideas to help you with your next presentation for commercial or retail property management:
- Tell the client about the local area and competing properties so they know what supply and demand can do to or for their tenant mix.
- Build a profile of market rents that apply to the property type today. Tell the client about how those rents can impact their next market rent review and show them what you will do to improve the results that can be obtained.
- Give the client some strategies to minimize the vacancy factors in the property over time. The next 2 years will always be a challenge when it comes to vacancy management. If you have some good tenants in the property now, it pays to establish a ‘tenant retention plan’ to keep those tenants in situ.
- Tell the client how you will optimize the rent for the property and control the expenditure to a budget. This process will help remove the challenges and instability from the cash flow for the client.
To win a new property management appointment today, use your best people and implement the best systems.
Over time the message will get out into the market that your agency is a top performer in commercial and retail property management.