As a commercial real estate investor, you understand that your property won’t be profitable if you don’t have tenants. You also want to avoid high turnover rates or problem tenants who might create costly problems. Commercial tenants have needs that differ from those of residential tenants. The following discusses ways to attract commercial tenants to your property and ensure that they are happy enough to stay.
Location, Location, Location
Everyone is familiar with this mantra! However, it doesn’t just apply to residential real estate. You need to offer your prospective commercial tenants a location that they will find hard to resist.
If you are seeking retail tenants, it’s of prime importance that they can be seen by and make sales to their customers. Your commercial property needs to be in a prime location, and you should show your prospective retail tenants that their space will be in a strategic spot. For example:
- A store specializing in handbags would be ideal in a cluster of clothing shops.
- The owner of a shop selling luggage would love to be next to a travel agency.
- A pet store would be good close to a veterinary clinic.
Enhance the Interior and Exterior of Your Property
Impress prospective tenants by improving the exterior of your commercial property. This may be as simple as applying a fresh coat of paint, adding a water feature, and making sure you have clear signage. If your commercial property lacks landscaping, add some low-maintenance plants to make it look more attractive.
- Your lobby is the first area of your building that a prospective tenant sees, and it should set the tone. Make it a warm welcoming space with natural wood and glass accents, some indoor plants, and artwork.
Attract Commercial Tenants By Offering Secure Premises
Good security is of the utmost importance for many commercial tenants. You should consider investing in security guards, surveillance cameras, a first-class alarm system, card access, visitor registration, etc. Good security shows prospective tenants that they can have peace of mind working there, particularly if they work around the clock.
Provide Building-Wide Wi-Fi
Today’s tech-savvy professionals use apps for planning their commutes, monitoring their health, and even tracking their sleep. In today’s technological world, in order to attract commercial tenants, you need to offer them a modern experience.
If there’s one thing that prospective tenants are unable to live without, it’s Wi-Fi. High-speed Internet service is critical to your tenants’ business operations. Ideally, you should subscribe to a business broadband connection with 24/7 support and customer service. This means if the connection goes down in the wee hours, your tenants won’t have to wait until the next morning to get it fixed.
In addition, consider setting up a separate Wi-Fi for guests to encourage more foot traffic (if appropriate) at your commercial property.
Provide Shared Amenities
Do you have spaces in your commercial property that aren’t suitable for renting? Or it might be advantageous to deliberately not rent out the entirety of your space. Think about offering shared amenities, such as reservable conference rooms, coffee rooms, cafeterias, after-work happy hour spots, etc.
- You could even turn your office building’s basement into a fitness or daycare center.
- Consider providing your tenants with some fresh air without them having to leave the premises—an outdoor green space, a rooftop deck, or an atrium garden.
Provide Parking
Commercial tenants want convenient parking for their employees close to the building where they are renting space. Access to parking can be a real headache, especially in major cities. If you can provide parking, whether it’s in a nearby lot or underneath your property, this can be a huge selling point.
- Consider teaming up with a parking vendor.
- Nearby access to public transportation is another bonus.
If a prospective commercial tenant perceives difficulty in finding a place to park, they are likely to look elsewhere for better accessibility.
Make Your Property “Green” and Sustainable
Today’s millennials don’t just want a tech-friendly environment; they also have serious concerns about their workplace’s impact on the environment. Here are some ways to make your property more sustainable.
- Invest in energy-efficient appliances and smart thermostats to heat and cool your property.
- Consider investing in renewable energy infrastructure, such as wind, solar, or geothermal systems. Surplus power can be purchased by local municipalities—a source of revenue for you.
Make Sure You Are Findable Online
You need more than just erecting a “Commercial Space for Rent” sign outside your property and hoping that the right people happen to walk by and notice it. Potential tenants need to be able to find you online. Your website and social media accounts should provide all the information about your property. A good idea is to provide floor plans, photographs, and video tours.
Offer Rewards for Referrals
One of the most effective marketing strategies is still word-of-mouth. Encourage your existing tenants to refer you to their business acquaintances and reward them for a successful referral, e.g., rent discounts or restaurant perks. This only works if your tenants are satisfied with your services, so before taking this step, it’s a good idea to perform a tenant satisfaction survey.
Survey Your Tenants
To retain commercial tenants, you must first ensure that their voices are heard and that you are open to feedback and complaints. By conducting a tenant survey, you confirm if your commercial property management is successful or find out if it needs improvement.
Hire a Top-Rated Property Management Company
Commercial property management is time-consuming. When you successfully attract tenants, that’s only the start of your business endeavor. You still need to collect rent, resolve disputes, schedule maintenance and repairs, etc. By hiring a first-class property management company, you entrust professionals to handle these tasks for you.
- Work with contractors selected by your property management company. Since these people have likely been working with your managers for several years, they’re more likely to provide services at reduced rates.
Trust your next commercial building project to Koehn Construction, a construction company that always puts your best interests first! Let us take care of the details with our design-build approach. We provide you with a single-point service that will make your life easier. Get in touch with us for more information.
