LETTINGS & MANAGEMENT | Commercial Property Management - Prime Open Air Land - Unsuccessfully let by other well known agents
Client Challenge:
Three business partners approached Reality Properties after experiencing significant time and financial losses due to unsuccessful marketing by other well-known commercial real estate agents. We turned this loss making site into an investment which generated a 6-figure annual rental income for the landlords.
The site in question was a 1.75-acre plot of land on River Road, Barking, Essex IG11, featuring light industrial units. Despite the location's desirability—situated on a highly sought-after industrial estate serviced by major roads (A12, A13, A406) and motorways (M11, M25)—the property remained vacant for almost two years.
Initial Issues:
- Loss of Rent: The landlords faced ongoing rental income loss.
- Fixed Overheads: They endured crippling fixed overheads, including mortgage, business rates, water, and electricity standing charges, exacerbating financial strain.
Reality Properties’ Intervention:
Our commercial team devised a robust marketing plan, incorporating our proven guerrilla marketing techniques to generate interest and maximise exposure.
Marketing and Viewings:
- Rapid Engagement:
Within weeks, Reality Properties arranged over 50 viewings, organised into block viewings over a handful of weeks to efficiently manage the process.
- Applicant Vetting:
Each prospective tenant was carefully vetted, creating a shortlist of candidates for the landlords' approval.
Negotiation and Value Creation:
- Maximising Returns:
Rental offers were robustly negotiated to maximise returns for the landlords while ensuring value for the incoming tenants.
- Free Management:
The property management service was provided entirely free of charge to the landlord (contact us to learn how we can offer this service at no cost).
On-going Support/Property Management:
Once the tenants moved in, Reality Properties managed the site comprehensively, addressing all maintenance issues and ensuring the timely collection of rental payments.
Outcome:
- Successful Tenancies:
Each tenant went on to run successful businesses from the location for several years.
- Financial Stability:
The landlords not only regained financial stability through regular rental income but also eliminated the burden of fixed overheads.
- Satisfaction for All Parties:
The diligent process ensured that both landlords and tenants were satisfied, contributing to long-term successful business operations.
This case study illustrates Reality Properties' expertise in transforming underperforming properties into high-yield investments through strategic marketing, meticulous management, and value-driven negotiation. Their ability to swiftly address and resolve complex property challenges ensures positive outcomes for both landlords and tenants.
