For landlords and property management companies, the value of a building is largely dependent on its occupancy rate. A building with no tenants or tenants who don’t pay their rent is not a viable business.
There is undoubtedly good money to be made in the sector but there’s no denying that it can also be a competitive marketplace. Some building owners may want to consider growth that comes from acquiring new properties, but they should also think about how to increase the profitability of their current property portfolio.
The main key to maximizing revenue for commercial or residential properties is understanding how to attract high-value tenants who will pay a premium for the right space, or finding a way to get more rent from a property. There are a number of adjustments that you can put in motion to make this idea a reality.
1. Refresh Your Space
When was the last time you gave your property a nice revamp? We become used to seeing things and often don’t really notice when they’re getting a little shabby – but a lackluster space is something that eagled-eyed tenants definitely pick up on.
People are looking for creative, vibrant spaces that are flexible, and if you can’t provide this, they may go to your competition. It’s important to provide larger, open areas that can be used for gatherings, alongside smaller, more intimate features, such as quiet rooms, for a more reflective experience.
Learn more about new tenant finishes with ProCircuit, Inc.
2. Give It Curb Appeal
How many times has someone walked past a property of yours without feeling drawn inside? The exterior of a building is sometimes a little low on the list of considerations when thinking about building upgrades, but research shows that most potential tenants make up their minds before ever setting foot inside. So working on that curb appeal is a great strategy to get more foot traffic in the door.
Think about ways that you can maximize the external appearance of your property with things like refreshing the paint, replacing doors and windows, adding outdoor lighting and landscaping. There is a lot you can do to give the building a facelift and make it immediately more appealing to onlookers.
3. Keep It Sustainable
Sustainability is the big buzzword that is on the lips of a lot of potential tenants, so upgrading your building to be more eco-friendly makes a lot of sense.
Not only does it align with the values of a lot of tenants, but it can also reduce energy costs. As we all become more aware of our impact on the planet and our responsibility to cause less damage, it will only become more important.
Adding solar panels, energy-efficient lighting schemes on motion sensors, looking at heating and ventilation can all work. It connects into wellbeing as well, so things like providing shower facilities so that tenant company employees can cycle to work are also a nice touch.
We highly suggest looking into installing a building automation system for the lighting and HVAC systems in the common areas of your building. Not only will a building automation system help curb unnecessary energy use, it will also save you money.
4. Upgrade Security Systems
Any tenant moving into a new space wants to be assured that it’s safe and secure, but many property management firms just change the locks and forget about things like having a security team, access control systems, additional lighting, and CCTV. All of these things can all help tenants to feel more confident about taking the step to lease from you. If any concerns come up, be proactive about addressing them to show that you these issues seriously.
5. Create A Community
Now more than ever, people want to be a part of something that is larger than themselves. They want a sense of community. Scheduling get-togethers in the building, creating a forum for networking and feedback or even creating physical areas like a shared coffee bar or outdoor space where different tenants can come together are all valuable. When people feel part of something, you’re likely to get less turnover and many more referrals – all valuable business development and tenant retention methods that won’t cost you a penny.