Local businesses and retailers are most likely to be the best prospects for leasing vacant premises in any investment property. That is because they understand the area of the city and are more inclined to lease locally.
It stands to reason that any commercial property leasing agent should have an ongoing strategy for connecting with local business owners in a meaningful way. Over time a direct marketing approach on a local basis can bring significant results. That being said, every marketing strategy requires planning, research, and effort.
The best way to approach local businesses and retailers regards leasing is through direct mail and personal contact. Wherever possible and direct mail piece sent to a business owner should be followed up with a telephone call within a few days. The idea in sending a letter is that it will allow the follow-up telephone call to be put through to the right person and on that basis be more productive.
Key Facts in Finding New Tenants
Here are a couple of facts to be aware of:
- Without a telephone call follow-up the standard direct mail piece converts to a meeting contact at about 0.5% to 1%.
- With a telephone call follow-up the conversion rate to a meeting lifts to about 2% to 5%. All the more reason to make lots of follow up telephone calls?
- So why do this? Ultimately you want to meet with business owners and retailers, so that is the reason for the direct letter.
- The letter introduces your call so you must only send out the appropriate number of letters that you can follow-up on via the telephone.
- In meeting retailers and business owners you are putting a name to a face and establishing the basis for ongoing contact.
It is easy to see why the system of sending letters and making calls requires real commitment. Things need to happen every working day. Over time the marketing process lifts meetings and conversions. The conversions that you make can be lifted by improving the direct mail content, and also through conversational practice.
Design a Leasing Package
If you have an interested tenant or a potential tenant to work on regards a leasing opportunity then you should send or hand out a leasing package of information. Typically that will include:
- An overview of the property or premises including the location and property detail
- A site plan or leasing plan relative to the property and premises
- A description of the property improvements and layout
- An aerial photograph of the location
- A fact sheet about the property and the tenant mix or customer profiles
- A trade area analysis (relevant to retail property)
- A contact process to move the enquiry to a full property inspection
The key to winning more leasing opportunity in any local area of your town or city is in talking to the business owners and tenants. Connect with these people every day.