4 Things to Do After Purchasing Commercial Property
Real estate is a great long-term investment. After you have completed the purchase process, it is time to put a plan in place to ensure the building not only performs well in terms of bringing in a profit, but that it continues to do so for the long term. Below, we will look at a few things you should do after purchasing commercial property to ensure it becomes a high-performing asset.
Manage Existing Tenants
If you have purchased commercial property that still has tenants in it, it is important to ease their fears. They likely do not know you and they do not know the plans you have about the property. It is important to call a meeting to go through things like your expectations for the tenants, what they can expect from you, how to keep paying rent, who to get in touch with if they need anything, and overall topics about making their tenancy as comfortable as possible.
Do the Necessary Repairs and Make Improvements
If you have purchased an older building, you should have the building inspected to see if it requires any repairs. Some of the areas that might need repairs and improvements include the floors, plumbing, kitchens, and electrical wiring. You can call a general contractor for the walls, floors, kitchens, and other areas that need repairs, but for specialized systems like the electrical wiring, you need to call qualified contractors who specialize in inspecting, repairing, and improving electrical systems in commercial buildings. Companies like Lighting Maintenance, who you can get in touch with at lightingmaintenance.com, can troubleshoot the electrical wiring and systems and either repair or replace the system and associated equipment.
If you have purchased an empty building or one that has a few vacant units, you need to start thinking about how to get new tenants for the empty units. You can hire a realtor to help you find tenants as well as market the available units. You can also get someone to help you go through tenant applications, run background checks and help you with the tenant approval process.
Hire a Property Manager
If the building does not come with a property manager, it would be a good idea to get one as soon as possible. The manager can help you manage the tenants as well as the property, especially if you own more than one commercial property.
For old and new property managers, sit down with them to get to know them better. If they came with the building, ask them about the management process and how things have been running in the past to ensure that you do not introduce jarring changes to processes that were running smoothly before. Also, remember to treat an old property manager as a new hire, going through their credentials and looking at their skills to ensure they can help you make the property successful.
Purchasing a commercial building is an exciting prospect, but the real work starts once the sales process is done. There will be a lot to do to make the property profitable as well as ensure that things keep running smoothly if you purchase a property that comes with tenants and a property manager.