Owning a commercial property can be a great and profitable business. Whether you are the proud owner of a retail space, office space, or anything else in between, you are probably well aware of the importance of keeping your tenants happy.
The truth is, finding commercial property tenants can be an overwhelming experience, but going through this process is critical to the success of your business. Having unoccupied properties will make you lose money.
Bringing the right tenants for your property is just the beginning- once you find them, the real challenge becomes establishing a good relationship that encourages them to stay.
So, how does one do that? Read on to find out.
How To Retain Commercial Property Tenants
The term “tenant retention” refers to the number of tenants leasing your property for several periods. This number is often used as a metric to determine the success of your business. Here are a few things you can do to keep your tenants happy and increase your tenant retention:
1. Respond Promptly
Keeping your tenants waiting for email responses or callbacks will make them lose their patience. Even if you cannot answer their questions or address their concerns right away, you must maintain a steady line of communication to establish trust.
2. Respect Their Privacy
Even though you own the property, it is always best to give your tenants a heads up if you ever plan to stop by to talk business. If you are planning an inspection, make sure to let them know in advance to plan accordingly.
3. Have a Mantainence Plan
You must be proactive and tackle minor issues before they become big. Create a maintenance plan with routine checkups and tasks to ensure that your rental property is always at its best.
This will give you peace of mind knowing that your tenants will encounter fewer (if any) issues, and your tenants will be happy knowing that the property they are renting is always up to code.
4. Establish Reasonable Prices
The commercial real estate market can get very competitive, so establishing reasonable rent fees is essential to attracting and retaining tenants. Make sure to do your research and consider working with professionals to ensure that your prices are reasonable.
If you need to raise prices, make sure to give your tenants a well-timed heads up, and consider offering some incentives or rewards to encourage them to stay with you despite the rent increase.
Looking for Commercial Real Estate Services?
Investing in commercial real estate can bring many opportunities, especially if you attract the right tenants and use these tips to retain them. Remember to respect your commercial property tenants’ privacy and establish a line of communication, reasonable rent prices, a maintenance plan.
Are you looking to invest in commercial real estate? With many years of experience, the Caldwell Commercial team can help you bring your commercial real estate portfolio to the next level. Contact us today to learn more!