Finding new tenants

[Apollo]

Now have a photo of shopfront and floorplan
thanks for the feedback so far
I hope to get some interest soon but the new realcommercial site is awful
http://www.realcommercial.com.au/cg...ALIA&c=94031271&p=10&s=sa&t=com&tm=1297754202

 

[Compropmanager]

that looks a lot more inviting and the floor plan shows that there is a lot more then what I first thought was being offered.

 

[Bird Dog]

Now have a photo of shopfront and floorplan
thanks for the feedback so far
I hope to get some interest soon but the new realcommercial site is awful
http://www.realcommercial.com.au/cg...ALIA&c=94031271&p=10&s=sa&t=com&tm=1297754202

Apollo,
I would add the floor plan earlier in the photo sequence as I noticed I had to click through to the next page of slides to see it.
Due to the new format of www.realcommercial.com.au, users may not know about this and it could potentially get missed..

just my .02c..
cheers

B.D

 

[PrimeCommercial]

Ditch the agent or the price....Preferrably both.
A decent agent would have convinced you your property is overpriced or asked you to take your property elsewhere after 12 months.


Take the listing off the web for a couple of weeks then change the ad up..new text, new photo's.

Have an agents function and offer incentive to get other agents to attend and offer an agents incentive to the agent for a sucessful introduction.

 

[Apollo]

Hi Shady

The advertised price is about low to mid-range for something like this - it's only $146 per metre.

I have thought about changing agents but I have noticed that similar properties are alsao slow to move. I don't know what a new agent would do differently but if the ad is stale it may be best to start afresh.

I am not sure what you mean by "offer an agents incentive to the agent for a sucessful introduction." can you elaborate?

 

[PrimeCommercial]

I am not sure what you mean by "offer an agents incentive to the agent for a sucessful introduction." can you elaborate?

In many areas agents put some or all of there properties out to other agents on conjunction and offer anywhere from 50%-100% of the leasing fee. Generally where a property is offered on conjunction at 100% the listing agent is paid an "over rider" generally 2% extra above the normal leasing fee for co-ordinating the deal.
Thats all well and good but agents sometimes need a little more incentive to nominate the company name of their client to another agent.
Offering a property on conjunction with 100% fees and a personal incentive of $1000/$2000/$5000/$10000 to an agent that sucessfully introduces a client can make a big difference. The personal incentives are usually in the form of gift vouchers like coles/myers/flight centre...

The cost of having a property vacant can sometimes far outweigh the cost of any personal incentives.

 

[Apollo]

For Sale or Lease?

My office is still empty after 14 months and I am beginning to wonder how long I should wait. http://www.realcommercial.com.au/cgi...&tm=129775420

There have been a few people come through recently but no takers. My place is too big for someone starting out (164metres) so it only appeals to an existing business wishing to expand or open a branch office. I think tenants are being very cautious and reluctant to commit. Speaking to a neighbour yesterday he says that in the past it has been empty for up to 12 months but the current market is particularly poor. I am now thinking I should put it on the market to sell or lease to increase my chances of finding a buyer or a tenant.

I can afford to cover it for now, but I am interested to know long other people would be prepared to wait, ie what's reasonable in the current market?

 

[willister]

My office is still empty after 14 months and I am beginning to wonder how long I should wait. http://www.realcommercial.com.au/cgi...&tm=129775420

There have been a few people come through recently but no takers. My place is too big for someone starting out (164metres) so it only appeals to an existing business wishing to expand or open a branch office. I think tenants are being very cautious and reluctant to commit. Speaking to a neighbour yesterday he says that in the past it has been empty for up to 12 months but the current market is particularly poor. I am now thinking I should put it on the market to sell or lease to increase my chances of finding a buyer or a tenant.

I can afford to cover it for now, but I am interested to know long other people would be prepared to wait, ie what's reasonable in the current market?

Whilst I'm no expert in the commercial office market, FWIW, it took us nearly 7 months before we could lease out our warehouse (approx 1,100m2).

I can understand how financially painful and wrenching it can be waiting for a tenant!

As you can understand, a lot of it depends on supply vs demand with an obvious tipping of the scales in the supply segment atm. We had to lower our asking rent price by $5K ($2.5K each time...) before we could find a taker.

We had arranged for monthly updates from our PM on the status of potential tenants etc.....a lot of it is a waiting game, hang in there, the tenant will come, eventually...how long is anyone's guess.

Chin up and Good Luck!

 

[Apollo]

thanks Willister, I suppose I need reassurance that it will work out eventually

I now recall the important advice an experienced investor told me. He said commercial PI is easy if you have a good tenant but ask yourself two things. Can I afford to pay the loan if the property is vacant? and Can I sleep at night waiting for the next tenant?

 

[Bird Dog]

move on....

Apollo,
14 months is a little too long if you ask me.

I would look at changing agents. It will still be on the same property websites and will still be represented by an agent however you may just get a fresh face through the door that likes what they see and is prepared to make an offer.

Dazz had a property on the market with one agent for nearly 18 months without success and changed agents and got a tenant within a month or so..

You just never know how your current agent is representing your property after 14 months and it won't cost you any more to go with another agent..

As they say, "a new broom sweeps cleaner" so at least give a few more agents a call just to get a feel for the rest of the market.
cheers

B.D

 

[Macca]

Generally a new agent will be far more positive than an agent who has had it for so long.

Pick one with a different coloured sign to put in the window, people driving past may notice the difference in their peripheral vision. (sounds dumb but it has worked for a mate)

 

[willister]

thanks Willister, I suppose I need reassurance that it will work out eventually

I now recall the important advice an experienced investor told me. He said commercial PI is easy if you have a good tenant but ask yourself two things. Can I afford to pay the loan if the property is vacant? and Can I sleep at night waiting for the next tenant?

No probs, I can emphathise how emotionally and financially how stressful it can be under this situation!...

Quality of tenants is if anything, one of the most under-discussed and underestimated aspects of CP!

Also, about the changing agents aspect, it might be worth a shot, in our situation, we had tossed up thoughts about looking elsewhere for a new agent...we had discussed it with our agent this possibility. I wasn't sure if this a catalyst, but within 1 month of our "discussion about the possibility of switching agents" we found a tenant.

With our agent, we got a lot of lies about how there were many prospective tenants looking but didn't call back or pulled out at the last minute. What we did was install a security camera at the entrance...worked out there were only about 5 potential tenants he showed the property to within a 4 month span...

 

[Apollo]

anybody know a good agent?...