The analysis to determine your asking sales or lease price is very important. A property must be realistically priced. If priced too low, it costs the owner lost revenue or profits. If priced too high, buyers will ignore it.
Saint Arnold Commercial is a;
Commercial Builder (w/ over 35 years of commercial renovation project experience)
We bring all of this experience to bear on your selling or leasing your space.
Owners and investors that desire to sell real estate know that commercial real estate has a value to a user that is based on market pricing rates. They also know that income producing properties have a value that is based on what investors will expect as a CAP rate. These values are often different. Before an asking price is determined, both values must be considered.
At Saint Arnold Commercial, this process begins with identifying who your competition is in your market? What are the CAP rates in that market? Then we review the competition with you to determine how you feel about your building, your land and your location compared to the others if you were a buyer or looking for property to lease? Where do you fit into the mix of available space and the asking sales prices or lease rates?
After we gather information on your competition, we begin to gather information on your market to identify;
What is the differential is between asking prices and actual lease rates or sales prices?
How are lease rates, vacancy rates trending in your market?
What is the sales time vs probability of selling curve in your market?
This upfront work takes time, but it is critical to your success.