When you work in shopping centre leasing today, there are many different factors of performance to track within the shopping centre and within the tenancy mix. Stay on top of issues and future leasing opportunities.
Things change when it comes to vacancy factors, rental charges, and lease conditions. When your commission and income comes from the lease deals that you create, staying ahead of market trends will help you build momentum and results in shopping centre leasing.
Rewards for Skills
It should be said that the retail leasing segment of the property industry can be very rewarding in many different ways. The retail segment is quite special as are the tenants and landlords that you serve. A successful shopping centre is usually the product of a lot of effort, professional focus, and personal negotiation skills. Here are some ideas to help you understand those things:
- You want your best tenants to stay in occupancy for the long term. Some tenants are better than others. It is wise to track the levels of sales across the merchandise groups and then across the separate tenancies. Soon you will see the best tenants that are creating customer churn and strong retail business. Those tenants will need to be positioned in the best locations and best shops within the property. That is where tenant clustering comes in as a good strategy of retail shop management and leasing.
- Levels of business will change throughout the year across different merchandise segments. Carefully watch the activities and the differences in retail merchandising and seasonal sales. Watch the economic sentiment as it applies to retail goods and products.
- There is a balance to watch between specialty tenants and anchor tenants. Both tenant types need each other when it comes to retail trade and customer visitation. Encourage the tenants in the smaller shops to work with the anchor tenants in all of your marketing campaigns and customer support strategies.
When you take these factors into account there are elements of performance that you can track and measure within the shopping centre. Most particularly they are including the following:
- the gross income of the property as a total amount
- the net income for the property compared year by year
- occupancy rates for the shopping centre when compared to other nearby properties
- market rentals achieved for the specialty tenants by merchandise group
- lower levels of incentive with any new leases
- quick turnaround time with any vacancies
- effective lease documentation matched to the property
- excellent reporting standards to the landlords that you serve
- tenant mix strategies to optimise customer interest and traffic numbers
So there are some good things that you can do here in providing a professional and comprehensive retail leasing solution for the clients that you serve in shopping centre management. Focus on the long-term benefits of retail leasing and tenant stability. Focus on how you can improve the net return for your clients by selecting the right tenants.