Any Real Estate Agent or Broker who wishes to have a successful career in commercial and industrial real estate must regularly obtain marketable listings. Listings are the agents “stock on the shelf” and your income now and in the future depends on the quality as well as the quantity of the listings that you obtain. The more listings that you have the more buyers and tenants you will attract. This makes the deals all that more easy for you. More listings mean that you dominate your market and lessen the impact of your competition.
In the commercial and industrial property, listings commonly may include:
- Land that is suitable for commercial, industrial or retail development
- Commercial, industrial and retail buildings that are for lease
- Businesses that occupy premises from which they serve and supply their markets
- Commercial, industrial and retail buildings that are for sale to owner occupiers or investors both large and small
Developing a Client Base
The secret of success in commercial and industrial real estate is to have your own client base. Those clients who work comfortably with you and who respond positively to your advice in relation to their real estate requirements are the clients you need to develop. As it is the clients who pay your fees, and not the tenants or buyers, they are very important people in your business life and it is essential that you represent yourself strongly to them at all times. As these people and organisations readjust their property portfolios to meet their emerging real estate requirements, they will continue to provide you with listings. In addition, if they are satisfied clients they will refer you to other business leaders, friends and family, and so provide you with more business.
Knowing the Real Estate Market
To provide effective advice to prospective clients it is essential that you know the market – commercial, industrial or retail – that you are involved in and that you have detailed knowledge of the geographical area in which you operate. To do this effectively you will need to:
- Canvass your territory constantly according to a plan and become well known to businesses and people in the area
- Know every property that is for sale or lease in your territory
- Maintain a list of property transactions that occur and have occurred in the last 3 years
- Keep an eye out for private transactions by property owners
- Involve the management of your office and other team members with what you are doing
- In addition, you should understand the factors that motivate companies in your area to move to other space, and you should be aware of the forces that encourage investors to buy and sell in your area or precinct.
WHAT MAKES A SUCCESSFUL AGENT OR BROKER?
So what makes a successful agent or broker from the client’s perspective, and someone that the client wants to do business with and through? It is an interesting question to ask from a clients perspective, but history shows that the factors which stand out as being of prime importance to clients are the agent’s knowledge of the market and the quality of the advice given. The negotiating skills of the agent and the ability to act quickly are also important and rank highly. Adherence to client instruction, property marketing skills and confidentiality were seen to be of slightly lesser importance.
It is clear from this analysis that the factors which are going to have a vital influence on the successful listing of a client’s property are knowledge of the market and the quality of advice. Owners are looking for agents and brokers who know the marketplace and have readily available records information about companies and investors that are looking to make immediate decisions on properties they require, own, or occupy. Your clients want an agent who will immediately bring a listed property to the attention of such people.
So, at the point of listing, being able to communicate effectively with the owner about the commercial and industrial market place and the prospects that are available on your database could certainly lead to a successful relationship and hopefully an ongoing one.