Are you foraying into commercial property ownership for the first time? Does the idea of having multiple real estate assets overwhelm you?
If so, you may need to work on real estate asset management. For successful commercial property management, controlling your assets is key to turning a profit.
Here are some Virginia asset management tips to consider as you expand your real estate portfolio.
Emphasize Tenant Satisfaction
Although it may seem tempting to boost the rent, getting new tenants is a process that can be expensive. From background checks to cleaning fees, the costs can add up quickly.
This is why encouraging tenants to renew their lease is a far better way to go. Satisfied tenants will take care of the property and renew their leases year after year, so you don't have to worry about filling a vacancy.
If your tenant has taken good care of the commercial real estate property, consider offering them a good deal if they renew their lease. You'll make more money in the long run, guaranteed.
Make Updates When Necessary
Staying competitive in the current commercial market means keeping your properties up-to-date. This is especially important for commercial properties. Companies rely on cutting-edge technology for a streamlined experience in their buildings.
Property updates will also increase your return on investment, or ROI. If you ever want to sell in the future, these updates will generate more revenue on the sale.
Evaluate Your Real Estate Portfolio
Regularly look at your long-term property investments and make sure they're working for you. How much would you make if you sold right now? Do you have enough liquid cash for an emergency?
Financial statements are a great way to look at factors such as income, expenses, cash flow, and your overall account balances related to your real estate investment business.
You can use accounting software or a certified public accountant (CPA) to produce financial statements. Some people prefer quarterly statements, while others prefer annual.
Research the Current Market
Use Professional Asset Management Services
Managing many commercial properties can be overwhelming and stressful. Sometimes, a third party is the best solution, so you can focus your attention on other things.
A property management company can help you with many different aspects of owning a commercial property, such as:
- Tenant portal management
- Rent collection
- Lease negotiations
- Property updates
- Maintenance requests
- Buying and selling property
- Real estate accounting
- Portfolio optimization
The investment in property management services can make you more money in the future if it frees up bandwidth for you to be able to invest elsewhere.
Consider These Asset Management Solutions
If you're a real estate property owner, asset management doesn't have to be tricky. Try these asset management ideas to ensure everything in your business runs smoothly.
Are you looking for a property management partner in the Ashburn, VA area? Look no further than PMI Loudon.
With over two decades in the property management space, we're here to help you make your commercial properties shine. Reach out to us today to learn more.
