Investment in commercial property can be a productive and rewarding experience, but not all investors understand the true complexity of managing the leases, monitoring the legislation and pin-pointing the marketing that goes with a commercial property.
Successful investment in commercial property involves a high degree of industry knowledge and expertise that only a professional commercial manager can offer.
Here are eight reasons to use a commercial property manager and maximise your investment’s potential.
1. Wading through the legislation
Legislation regarding rent, leasing and tenancies is complicated, especially for investors starting out in the commercial area. But it’s vital to get it right: non-compliance, even when accidental, can lead to conflict, disputes, fines and even court cases.
2. Choosing a rental rate
Only a commercial property manager knows the industry inside out. ‘Beginner’ investors often get it wrong, and residential property managers lack the industry expertise to work out an appropriate rent. Too high and your tenants are likely to move to cheaper premises; too low and your investment could prove to be unprofitable.
3. Choosing a tenant
A lot goes into selecting the right tenant. Thorough background, financial and ID checks are essential when vetting potential tenants for your property. Commercial property managers have the experience and know-how to find great tenants – along with the experience to weed out undesirables.
4. Collecting the rent
It’s not enough to charge a good rent. You need the rent to drop into your bank account on a regular basis to maintain cash flow. A commercial property manager worth his or her salt ensures prompt collection and distribution of rent, keeping tenants on their toes.
5. Maintaining the property
Whether your investment is a car showroom, factory or retail outlet, you want it maintained in tip-top condition. This is where a commercial property manager steps in, ensuring regular inspections and enforcement of maintenance standards. They can call on their network of reliable, qualified professionals and tradesmen to service your property promptly and efficiently. This nips problems in the bud, preventing repair issues going unnoticed and becoming real headaches in the future.
6. Meeting safety standards
There are numerous safety requirements for any commercial premises. Think smoke and fire alarms, emergency access, security, slippery floors, hazardous materials and adequate ventilation. A commercial property manager can monitor a comprehensive range of safety concerns, while advising on the necessary insurance to cover every eventuality.
7. Clever marketing strategies
Do you really want the hassle of advertising for tenants? Commercial managers know exactly how to appeal to the maximum number of potential lessees, and are expert at selecting them. Smart advertising and promotion of your premises can help find the most suitable lessees, encouraging more stable tenancies and reducing vacancy rates.
8. Coming to grips with technology
Experienced commercial property managers have access to the latest digital technology and software for marketing and daily management. This means your premises are promoted to the widest possible audience, and you are kept up to date with changes of tenancy, repairs and such.
So whether you’re looking for help with property appraisal, a commercial lease or rental management, trust an established commercial property manager to take care of your investment needs.