I think that tenanting a property is one of the concerns for owners of profitable real estate. Property Management Brooklyn is a perfect way to hire new tenants and keep them attached to your rent flat. In particular, with the spread of the new coronavirus, tenants are moving out and cancellations are increasing, and I think that the situation continues to be troublesome for real estate owners who own small and medium-sized buildings. Should I wait for how long this situation will last, do I have to do nothing to fill the vacancy as soon as possible, or should I do something?
Therefore, in this article, we will introduce what is an effective method for lenders who have commercial buildings such as small and medium-sized stores and offices that want to attract tenants, regardless of the corona virus.
What is tenant leasing?
“Tenant leasing” is a word we often hear along with attracting tenants.
In the real estate industry, sales activities to attract tenants (borrowers such as stores and offices) to rental properties and conclude contracts are often called “tenant leasing”.
Its activities include marketing such as location trend surveys and planning of recruitment plans, and it can be said that the main purpose is to maximize the profit of the building by “tenant leasing”.
Understanding the current situation
The first thing I want you to do is to accurately analyze the current situation of your building and the surrounding environment.
For example, check the following points.
- How old is it?
- Are the facilities and rental space of the building usable without any problems? Isn’t it old again?
- Is there any change in the surrounding environment of the building?
- What is the rent status of competing buildings near the building?
Understand the types of recruited tenants
There are various types and classifications of tenants.
For example, if it is a chain store, it can be classified into “national chain”, “regional chain”, “local chain”, or “local independent store”.
Also, the suitable rental store will differ depending on whether it is a “built-in type” or a “roadside store”.
You may have an image that you want a store like this to be vaguely included in your building, but it is dangerous to have too many images.
If you try to create a list for each tenant classification, you may find unexpected destinations. For example, it may be difficult to decide even if only famous national chains (national chains) are assumed, but there is a possibility that excellent stores that are small in scale but loved by the locals can be attracted.
Of course, there may be restrictions on the types of business that can be entered due to the conditions of the building equipment. It is a good idea to consider from various perspectives what kind of type of store you should put in.
Consider conditions and appropriate rents that are attractive to tenants
Once you have a grasp of the property and identified potential tenants, we will create appropriate rents and rental conditions. It is easy to derive the appropriate rent by checking the average rent around your own building and the average rent by industry. If it is difficult to reduce the rent, I think it is possible to review the initial cost and security deposit, or consider a proposal to reduce the total store opening cost. In addition to rent, it is also important to organize rental conditions and property appeal points that appeal to those who wish to open a store.