Are you looking for a new tenant? Is it time to sell your property? Are you asking yourself “how do I list a commercial property?” Handling commercial real estate transactions can be tricky. Selling commercial property is more complex than you might expect, and finding the right tenant can be just as difficult.
Office, retail, industrial and restaurant spaces each target prospects with varying needs. In order to sell or lease your property, you’ll need to make necessary repairs, take high-quality photos, review your service contracts and current lease agreements, and get the word out to interested buyers and businesses.
Preparing to List Commercial Real Estate
Listing commercial property is more than posting it online or creating an advertisement. Before you put your property on the market, you need to make sure it doesn’t need a major makeover. Your property should look its best—not scare buyers or lessees away. Put your property’s best foot forward so it helps sell itself.
Curb Appeal
While looks aren’t everything, they definitely play a role in making a good first impression, which is incredibly important in marketing your commercial property. Ensuring that your property is appealing in person and in photos can only help it sell! Any clutter or trash inside and around the property should be removed before you list it or give tours. Review the interior and exterior of the building. You may need to hire landscapers, paint the walls, clean the carpeting or make minor cosmetic improvements to spruce up the space.
Quick tip: If you have any service-term contracts with landscapers or janitorial staff, you need to review and cancel them before the property changes hands. You may consider canceling these services closer to the date the property closes to avoid early termination fees.
Repairs
Servicing your property will help you identify and estimate the cost of significant repairs that need to be communicated to potential buyers. You’ll be able to tell the buyer how much a repair may cost, which could affect the price of the property, as well as reassure them that the other systems have been serviced and are running as they should. If minor repairs are needed, you should make them before listing the property.
Quick tip: Note that the property’s classification may play into whether you should make a repair or not. Will it deter your prospective buyer? Damage to a low-rent Class C property won’t have the same effect as damage to a high-end Class A property.
Documentation
Listing commercial property and carrying out commercial real estate transactions can be a lengthy process. It takes time to find the right buyer, woo them and finally close the sale. Make sure you prepare everything a potential buyer may want to know or have. By preparing numbers, research and documentation ahead of time, you will be ready to accommodate the buyer and answer any questions.
- Potential uses for the space
- Zoning information
- Sales price comparisons
- Financial statements
- Tenant leases
- Tax returns (if the property is an investment property)
Quick tip: As you prepare documentation, take another look at your property title and do a quick title search. If you own the property with a partner or group, make sure that you don’t have secondary loans, mechanics’ liens or unpaid utilities associated with the title. Something may have slipped your mind, or your property may be associated with something you are unaware of. The more information you can provide your listing agent, the better offer they will get you. Having more information up front reduces due diligence time and lessens the chance that the sale will not close.
How to List Commercial Real Estate
Listing commercial real estate gets your property in front of an audience. There are several ways to go about listing commercial property. You can list online, take out newspaper advertisements, run TV advertisements and more. It’s possible to market your commercial real estate property all on your own, but working with an experienced broker will save you time and money.
Hire a broker with experience representing properties like yours—they deal with prospects who may fit your property every day. Why not have a team of knowledgeable brokers working on your behalf to sell or lease your property?
Get Help from Commercial Real Estate Brokers
Preparing your property and your listing takes a lot of effort. As a landlord or property owner, you may not know how to market commercial real estate in your area or be aware of the legalities to consider during a transaction. That’s where the expertise and experience of a commercial real estate broker comes in handy.
Commercial real estate brokers are aware of zoning, tax and other laws that regulate the industry. They also have a depth of market knowledge and access to demographic information that will benefit you as you try to attract buyers or tenants.
Commercial Broker Services
What does a commercial real estate broker do for you? Brokers handle marketing and listing your property, as well as procuring a list of prospects for you. They work with landlords to find new tenants or property owners to find potential buyers. Some brokers also work with tenants to help them find the right spaces. A commercial broker is on your team until the sale closes or a tenant has signed a lease.
They can:
- Conduct research.
- Develop a marketing plan.
- List your property.
- Identify prospects.
- Help price the property.
- Handle negotiations.
- Reach out to their network.
- Serve as the main point of contact for inquiries.
- Connect you to attorneys, appraisers, photographers and more.
When it’s time to list your commercial property, consider hiring a broker to help with the process. Are you interested in selling or leasing commercial real estate in Branson, MO?
Contact Commercial One Brokers to get your property on the market or to find a new space for your business.
