Tenant retention is paramount for the success of any commercial property, as consistent tenure of real estate is crucial for maximising profitability for owners.
Broadway Property understands that tenants are becoming increasingly selective with their occupational requirements, choosing to occupy properties that align with their business requirements, as well as additional factors such as location, amenities, and sustainability.
To improve tenant retention, it is important for owners to understand the ways that they can increase the likelihood of a lease renewal.
Incentivise lease renewal: The easiest method of increasing tenant interest in renewing a lease is to incentivise the process in any way possible. Offering a discounted rate in exchange for an extended lease term, or contributing towards tenancy or completing building upgrades are some good options that can appeal to tenants.
Maintain good communication: Tenants appreciate landlords who are responsive and keep them informed. Ensure that you are notifying tenants of any changes to the property or the surrounding areas and make an effort to keep in touch at all times. By forming a relationship with your tenants, it increases their comfortability in having business dealings with you.
Organise regular maintenance: Regular upkeep is crucial for any property, and the commercial sector is no different. Maintaining a regular maintenance schedule and solving any technical problems that arise instils confidence in your tenants, increasing the probability of renewal.
Respond to feedback: Asking tenants for feedback is not only a way for you to improve your own performance but is also an opportunity to see what tenants are desiring from a property. Make sure to respond to feedback properly and attempt to enact any necessary requests that may make a tenant’s experience more enjoyable.
Undergo tenant screening processes: Prioritise tenants who have stable businesses, and are likely to avoid sudden needs to their location, demand for their products or services, or finances to avoid the possibility of vacancy.
By showing your commitment and prioritising healthy and responsive engagement, tenants are more likely to want to work with you, and as a result, the probability of your tenant renewing their lease will be much higher. Broadway Property is your partner in commercial property and can guide you through the process.