Commercial property management is challenging an requires a lot of attention to detail and a keen understanding of the real estate market.
One of the most important goals for any property manager is to increase the number of tenants in a building or complex. This can be achieved through a variety of strategies, including marketing, tenant retention tactics, and building maintenance.
Below is a list of nine things property managers can do to increase occupancy while attracting quality tenants.
Making a commercial property attractive to clients is a crucial aspect of successful property management. For potential clients, two of the most important aspects when looking for a space to rent are the location and the aesthetic appearance of the property.
Location is key for many looking to lease a space. Make sure to conduct market research and become familiar with the location of the property. It is important to have a good understanding of what is important to potential clients in the area and then make sure your building can deliver.
According to TOLJ Commerical Real Estate “You should also highlight any unique features of your property that make it stand out from other commercial spaces. For example, if you have a lot of natural light, high ceilings, or a prime location, be sure to mention those things in your marketing materials.”
The first impression of a property is crucial, and a clean and well-maintained exterior and interior will go a long way in making it inviting to potential tenants. Regular cleaning and maintenance tasks, such as clearing sidewalks, mowing lawns, and painting walls, can keep the property looking its best.
In addition, a clean workspace is one of the leading concerns for many returning to the office. Adding autonomous cleaning solutions, like Cobi 18, an autonomous floor scrubber, to your facility cleaning team can help assure tenants the cleaning is done because it creates a visible sense of cleanliness, but also, you can increase productivity for your cleaning team.
Autonomous floor cleaning solutions can take on the floor cleaning which frees up staff to concentrate on other high-priority cleaning tasks like bathrooms and high-touch areas such as designated eating areas or other shared spaces on the property, a gym or workout area, for instance.
A clean and well-maintained property is key to attracting quality tenants. This includes the property's exterior too.
A well-manicured lawn and landscaped gardens can greatly improve the overall appearance of the property and make it more inviting to tenants. Property managers can consider adding plants, trees, and flowers to enhance the beauty of the property and provide a welcoming atmosphere.
In addition to the aesthetic appeal of the property is creates a safe and secure environment. This can include things like security systems at each entrance, such as a key card entry system. Or, depending on the location of your property, having security staff on-site may be a better solution.
Adequate lighting is also important for creating a safe and inviting environment. Property managers can consider adding additional lights in dark areas or upgrading existing lights to improve visibility and create a more welcoming atmosphere.
The safer your property looks and feels the more comfortable tenants will be on site. This can result in renewed leases and attracting new clients.
One of the most important amenities your building should offer is high-speed wireless connectivity. No matter if you are leasing to a business or residential tenants, high-speed internet is crucial to everyday functionality, and no one likes it when the Wi-Fi is bad.
“Ideally, you should subscribe to a business broadband connection, as this comes with 24/7 support and customer service. In case the connection goes down in the middle of the night, your tenants will not have to wait until the morning to get it fixed,” notes Luxury Property Care.
Additionally, with today’s IoT technology, building connectivity is easier than ever. You can enhance your space by upgrading to smart lighting and HVAC systems that work off interconnected sensors. This technology responds when a person enters a space by adjusting the lighting or temperature of the room.
Not only can this make your tenants more comfortable, but it can also save property managers money and it is a sustainable solution. Tenants will appreciate that too.
A survey conducted by BOMA at the end of 2022 reported that “71% of building owners and managers want to invest in new health and safety improvements and 67% of respondents plan to enhance their on-site amenities”
Providing amenities such as a gym, lounge area, meditation space, open floor plan, or community center can make the property more appealing to tenants. These amenities can create a sense of community and make tenants feel like they are getting more for their money.
One of the most effective ways to increase tenants is to market the property to potential renters. This can include advertising in local newspapers, online classifieds, and social media platforms.
It is important to make sure potential tenants can find you. Open Works suggests using “Visuals that speak to the details of the space combined with all of the necessary information (square footage, price, zoning) all show transparency in a listing. Tenants rely on research and details for their decision making, make your property easy to find and easy to find details out about.”
Another important tip for attracting more tenants is to be sure to host open houses or tours of the property to highlight its features and benefits, and make sure to offer tours using VR (virtual reality).
Virtual reality and AR (augmented reality) have impacted the commercial real estate market dramatically over the past few years. While not new technology, it has become more advanced and easier to use.
According to a recent Forbes article, “homebuyers are 95% more likely to contact an agent after seeing a real estate listing with a 3-D tour, leading to properties with a 3-D tour spending a third less time on the market. In addition, agents can sell properties at a 9% higher price. These numbers are enough to convince an agent of the benefits of adopting VR in their business.”
Offering flexible leasing options, such as short-term leases or month-to-month agreements, can make the property more appealing to potential tenants. This can also make the property more accessible to a wider range of renters.
While a business may not need a short-term lease, residential tenants are a different story. With the influx of hybrid and remote working opportunities, people have become more transient, and moving from location to location is popular. Attracting these types of tenants can be an effective way to keep your property rented and collect some positive reviews.
Continuing to upgrade and renovate your space will show interested parties you care about the property and the comfort of your tenants. Of course, taking care of the space and helping materials last is important, however, upgrades add a level of contemporary or modern luxury that many building occupants are looking for.
Businesses want to lure employees with a fun and comfortable atmosphere and residential tenants want a cool space to live and work. Upgrades and renovations, such as new flooring, updated kitchens, and modern appliances, can make a property more attractive to potential tenants. Property managers can consider making these improvements to keep the property current and appealing to renters.
Providing excellent customer service is an important part of making a property inviting for tenants. Property managers should respond promptly to tenant inquiries and concerns and be friendly and approachable.
Now, this is easier to do than it ever has been through software platforms that connect tenants to property managers such as communication apps or online portals. Tenants can simply log a message and a property manager or building manager can respond quickly.
Not only is this great for tenants if there is an issue in their unit or office space, but it is also great for PMs, especially if it is a maintenance problem that needs to be handled quickly to avoid severe damage to the building.
When tenants feel taken care of and supported, they are sure to spread the word to other potential clients.
Last but not least is proactive building maintenance. A well-maintained property is more likely to attract tenants than one that is in disrepair.
Property managers should regularly inspect the building and address any issues as soon as they arise. This can include fixing leaks, repainting walls, and performing regular cleaning and landscaping.
Fortunately, due to connected buildings and IoT-enhanced equipment, keeping track of equipment and machinery on site that need regular inspections or maintenance, is less time-consuming.
HVAC systems for example can now be tracked through apps or portals, making it easier to track when regular maintenance should occur. Plus, these platforms often send alerts or notifications to the end-user if there is an issue with the machine or equipment.
The same is true for cleaning equipment kept on site. Autonomous solutions, like the Cobi 18 autonomous scrubber noted above, can be tracked through a fleet management software called i-SYNERGY. Because of this, building maintenance professionals can track routine maintenance and receive alerts if a repair is needed.
This helps to eliminate downtime and helps to keep the building maintained, it can even improve ROI.
In conclusion, making a commercial property inviting to tenants requires a combination of attention to detail and a keen understanding of the needs of potential renters. By implementing these strategies, property managers can increase the appeal of their properties and attract more tenants.
ICE Cobotics is a technology and cleaning equipment company specializing in automation. If you would like more information on Cobi 18, please reach out to our automation experts.