Florida's commercial real estate market is expected to improve, but you won't be able to take advantage of this stabilization if you keep losing your long-term tenants. Replacing tenants takes up time, money, and far too much energy.
It's in your best interest to develop lease renewal strategies that give you the results you want.
The good news is that there are some tried-and-true strategies that you can implement right away. Keep reading to learn all about it!
Upgrade Property Conditions
A simple way to entice tenants to stay is by offering them a property that stays up-to-date with trends and tech. It also needs frequent maintenance and safety audits so the tenants feel comfortable.
If tenants notice that other properties receive more care from their owners, your tenants will start to flock to your competitors instead.
Keep a regular schedule of building inspections, maintenance, upgrades, and preventative measures. These actions will go a long way in satisfying your tenants.
Incentivize Renewals
Sometimes the lure of staying on a commercial property isn't as good as the deals your tenant could get from moving somewhere else. It's a stressful truth for landlords of all types.
This is why you'll want to give your tenants an extra reason to stay with you. Incentives can be as easy as lowered rent for part of the year, or as involved as gifting that tenant with new services.
Regardless of how you do it, the bottom line is that your tenants want to feel special. Even a small gesture can change their minds about that lease renewal.
Large Window of Time
If you're struggling with the property vacancy rate, it might be that all you need to do is lengthen the time of the renewal. Sometimes life gets away from tenants, especially as a commercial tenant.
They could intend to stay for the long haul but were too slow to get the lease updated.
Giving your tenants a large window of time to complete a renewal is beneficial for both you and your tenants.
Solid Communication
No one wants to stay with a landlord that ignores them. They want to feel like they're receiving the right kind of attention from the property owner. They need to feel trust that you have their best interests at heart.
Quick responses and approachable communication are key in getting tenants to renew their leases.
If you have a good relationship with your tenants, they won't want to leave. They'd rather stay as long as possible to keep benefiting from such a unique bond.
Improve Your Lease Renewal Strategies
When you maintain a beautiful property, keep in good contact, and incentivize renewals, you're already improving your lease renewal strategies. If you want your business to have an extra edge, seek out more strategies and advice from a trusted professional management company.
At PMI Expert PB, we've spent over 20 years helping real estate owners solve the mystery of commercial lease renewals. We can help you too. Contact us today with the issues you're having and we can work together to make your business better!
