When you work as a salesperson or agent in commercial property sales and leasing, you should always be on the hunt for opportunity and listings. Given that the commercial and retail property market revolves around businesses, the key to creating listing and enquiry ‘churn’ is in keeping in contact with business owners and tenants.
So you ask them questions. You need to know what they are looking for in premises when and if the time comes to move, the time that they will be getting to the end of their current lease, and what budget they may have in making a change.
It is also interesting to note that many tenants will tell you about the local area and the other nearby businesses. Given that they know their area so well, they are likely to read the change and pressures of the area better than you do.
This tenant contact process takes a systemised approach and requires meaningful content that the tenants value each time they talk to you. In most cases that will be something like the following:
1. A list of vacant premises in the local area that match the industry type for the tenant
2. Details of recent asking rentals and achieved rents from new leases, and also the rents from existing lease relationships (renewals)
3. Details of new property developments that will impact the supply and demand for business premises
4. Comparable property detail in the local area. This will include area, proximity, and improvements.
5. Movements of other major businesses or competitors coming and going through the precinct
6. Prices of property in the local area given the usage and improvements.
7. Levels of incentives being offered to new tenants in the current market
In giving a tenant this helpful information about the local area, the exchange of information you require and seek back from them is quite simple and takes the following form:
1. Who is moving in the local area?
2. What businesses are under pressures of space or relocation?
3. What or who is the landlord for the property and how can they be contacted?
4. When will you need to look for the alternatives of relocation?
5. When will your lease come up for review?
6. What are the neighbouring tenants like and who runs the business?
Asking these questions will give you so much information to build your ongoing prospecting and cold calling model around. Making the fullest use of the local information that abounds is just so simple if you ask the questions and make it part of your meetings and connections with clients or prospects. Every business person knows someone that occupies or owns a commercial property; get the names and build on the facts.