Commercial Realtors – Tenant Management Strategies to Improve Landlord Property Portfolios

When it comes to commercial property performance today, the tenant mix and the tenant profile need to be well managed. When this is done correctly, the property is constantly ready for any unusual circumstance, change in business strategy, or property sale.A professional property manager or leasing manager should be able to provide the landlord with up to date tenant management strategies as part of their professional services. Local property market awareness will be critical to forming the appropriate recommendations for the landlord.To manage the tenancy mix some critical issues relating to lease occupancy need to be tracked and optimised. Here are some other main ones to consider:
Always be well aware of the upcoming lease expiries. These are the tenants that will be getting to the end of their lease term inside the next two years. As the date for the lease expiry draws nearer, you will need to either negotiate a new lease with the sitting tenant, or find a new tenant. In most circumstances you are seeking to avoid vacancy downtime.
Each tenant within the building will from time to time have changes in some business strategies, pressures of occupancy, or the business use of the premises. The only way to keep on top of this problem is to meet with your tenants regularly. In a busy property or very active tenancy, these meeting should occur at least monthly.
Factors stemming from the lease document as it applies to each of the tenancies should always be understood and exercised. In a property with multiple tenancies it is essential to understand each and every lease document and the differences between them. This says that the property manager or leasing manager should be very familiar with reading and interpreting lease documentation. If you need any assistance here, consult with a local solicitor for guidance.
Rent reviews for each and every tenant need to be monitored and administered. Given that the rent reviews can be different and time critical, ensure that you fully understand the critical dates by which the rent reviews need to be implemented.
The permitted use of the premises for each tenant will be outlined in each single lease. It is important that the tenant remains within the agreed permitted use provisions of the lease document. Monitoring this process is always important.
Each lease today in the properties that you manage can have special provisions of rental and or outgoings to be applied to the tenant. Lease clauses should be reviewed so that you understand how any outgoings are to be applied and recovered from each tenancy. The current and historic building operating costs will form part of that assessment.
Go through every lease document to ensure that you fully understand any special conditions and relationships between the landlord and the tenant in each case. Look for any issues that require action on the part of the tenant or the landlord. Into these issues and dates into a diary Software System that can alert you to the event well in advance.
When a property is well managed, it is usually because the tenancy mix and the tenancy profile have been correctly understood and optimised by the property manager or leasing manager. When a landlord pays a fair fee for property management services, this task can be done comprehensively and well.