5 Tips for Managing a Commercial Property
The job title for a commercial property manager may sound similar to that of a residential property manager, but there are vast differences. For one, most commercial property managers may be involved with many contractors from various disciplines to ensure a clean, well-maintained, and safe property.
In addition to the above, commercial property managers are also responsible for maintaining communal areas, such as gardens, parking lots, and lounges. Most residential property managers don’t have to deal with these responsibilities.
The work of a commercial property manager can be a challenging journey - but it can be made easier with the following five tips.
Property Management Software
Commercial property managers often have to deal with multiple properties, leases, and tenants. The human mind is simply not built for multi-tasking, which is why it is feasible to use property management software like TurboTenant and AppFolio. These tools are designed to help consolidate all your tasks for the day on one dashboard.
Advanced software like AppFolio can also provide additional insights to improve your operational efficiency. In addition, property management software can also organize stats and data in one platform. This includes storing records for scheduled maintenance work, inspections, and contact details of contractors. These tools may also be used to send timely reminders to tenants - an essential tool if you have over ten tenants.
An essential commercial property management tip is to keep the premises well maintained. This allows you to protect the value of the investment while also keeping tenants happier. After all, the property’s visual appeal will play a vital role in ROI. Tenants are keener to live in well-maintained properties - even if this comes at a premium.
This is why it is vital to include proactive maintenance somewhere in your schedule to reduce costs, maintain appearances, increase property value, and keep everything safe. Most commercial properties require a lot of maintenance, so you would do well to keep a list of useful contractors just in case you need their help.
Items to focus on during proactive maintenance are:
Smoke and Fire alarms
Having a Backup Plan in Case Tenants Leave
You should not expect tenants to stay the course forever. As their goals and life circumstances change, so will their living arrangement. It is not uncommon for tenants to leave because of financial difficulties or want to move closer to work.
This is why you need a redundancy plan to scout out potential tenants. It is also a good idea to communicate with your tenants a few months before their lease expires and ask if they are interested in renewing or not. If not, ask them why and see if you can convince them to stay. If not, start looking for new tenants.
Try to find out why the tenants are leaving. If they are leaving because of lack of maintenance or other factors in your control, you may be able to change their mind by making a few changes.
Keep Your Tenants Happy
We know this sounds like an obvious strategy, but you would be surprised just how many tenants are unhappy with their living arrangements. The basics may sound boring, but they work every time. Are your tenants happy? If not, it’s only a matter of time before they leave. Remember, it will cost you more to look for new tenants than doing everything reasonable to keep your current tenants happy.
There are a few tweaks you can make to your commercial property management strategy, such as offering free Wi-Fi, parking space, and even a one-month free rent. Try to meet with your tenants to discuss what issues may be important to them. Encourage your tenants to be vocal about their concerns so you can address them right away.
So there you have it - five essential tips that will help you manage your commercial property. These tips are applicable across office spaces, multi-unit properties, shopping centers, etcre. If you need help with commercial property management, call us for more information.