Consider the factors unique to the commercial real estate business, things like net operating income, internal rate of return, capitalization rate (cap rate), potential rental income, cost recovery recapture, due diligence, AMT, 1031 exchanges, pro forma financials, highest and best use analysis, scenario probabilities, zoning considerations, common area maintenance, full service rent, gross leases, net leases, tenant creditworthiness, non-disclosure agreements, and non-circumvent agreements. The list goes on and on. Consider further that owners of commercial property expect their Realtors to intuitively understand these things, even if they don’t always understand them completely themselves.
Additionally, different tools and resources are helpful, if not necessary, to be competitive in commercial real estate. We utilize services at additional costs, both at the individual and corporate level, such as Costar, Loopnet Premium, Buildout, and more. We make use of various applications for presentations and analysis, including some I’ve personally developed, such as one displayed to the right (click to enlarge) that presents internal rate of return calculations given a set of assumptions and various scenarios. We subscribe to services to obtain details about commercial properties, maintain databases of known commercial real estate investors, and subscribe to services for reaching additional numbers of commercial property buyers, all in the interest of more effectively promoting our customers’ properties.
Keyes Commercial is market dominant.
Most Keyes Realty agents know and appreciate that their company dominates residential realty in Miami-Dade County. Less, however, are aware of the dominant force Keyes Commercial plays in commercial real estate. Notably, in the 12 months ending June 30, 2015, Keyes total transactions (view chart) for commercial improved properties in MLS were number nearly double that of its nearest competitor. That is dominance. More importantly, it is dominance you can put to work.
Similar, and different.
Although, like residential, the commercial real estate business is very much a relationship business, it is largely a business of numbers. Knowing and understanding the effects of changes in assumptions on various return calculations, how changes in the economy, both at the macro and micro level, would likely affect different types of properties, are all things owners expect of commercial real estate agents. The residential agent that can effectively compete to win commercial business, generally against Realtors solely and fully committed to commercial, is the exception. Most are simply too busy being excellent at their trade to allow themselves to be distracted by what is, essentially, another. It is difficult to become sufficiently competent, intuitively familiar, if you will, with all the things involved with commercial real estate when one is otherwise occupied with all that it takes to be so in residential real estate.
We’ll win the business together.
That is where I come in. I’ll win that business – with you. Your reputation with your customer will be enhanced, and we’ll share in the revenue. In doing this, I’ll keep the wolves at the gate, i.e. keep the competition from having any opportunity to wedge their way into your valuable relationship with your customer. Better yet, I’ll make you look good, doing my part in a highly professional and businesslike manner, and using every opportunity to compliment you, your services, your professionalism, and your capabilities. By bringing me into the mix for commercial transactions, your relationship with your customer will strengthen, you will shine in the eyes of your customer, and additional opportunities for you will arise.
We can and will get commercial real estate listings together. I know the competition, know how the features, advantages, and benefits of our services favorably compare to competitors, and know how to effectively communicate this to prospects. Your relationship and Keyes’ impeccable reputation admittedly will provide an excellent foundation for the selling process. On top of this foundation, I’ll prepare and present a 100+ page bound commercial listing presentation that concentrates on our core capabilities, my unique and significantly differentiating multiple front marketing methodology, and my client-centric “how serve better” philosophical approach to the profession.
Further, by having me as your partner, your customer will benefit from my proprietary direct marketing lists, lists of known investors for different commercial real estate sectors. For example, if your customer had a 20-unit multi-family property, we would market the property to about 700 known, qualified investors in multifamily properties of a similar size within Miami-Dade County. This is a great selling point for winning commercial listings and dramatically increases the probability of finding a buyer quickly.
What about buyers?
Much of the above concentrates on teaming up to win listings. We can, however, also team up in a similar fashion to work with buyers.
Our tools and resources allow us to find a significantly larger assortment of properties. Among these resources are two listing services we subscribe to that are used for commercial real estate, and each of which have unique listings that are not otherwise discoverable, and industry contacts with pools of properties that are available, but not publicly represented as such (off market listings). Further, our day to day experience with commercial property helps as buyers navigate the process leading to closing on a purchase, which is, of course, the ultimate objective.
As with the process of dealing with sellers, when dealing with your buyer, I’ll use every opportunity to make you look good. Further, my role, and my participation, will be isolated to commercial real estate. If your customer mentions to me that he or she wants to buy a house or an apartment, I’ll pass along the information to you, but that business is all yours.
How would revenue sharing work?
Each situation is unique, but in general we follow the guidance in the Referral Guidelines section of the Keyes Policy Manual (page 13 – must be logged into MyKeyes to access).
Let’s get started.
Call me at 786-581-7990 or email me now at email@example.com to discuss how we might move forward.
Make sure to check out my Keyes home page at jameshawkins.keyes.com. Within this site you’ll find lots of information related to commercial real estate including availability and pricing charts by property type (industrial, multifamily, office, retail) and area, commercial property listings by zip code or property type, and demographic and economic data and projections by Miami area zip code. Also check out my HawkinsCRE site, which regularly publishes the day’s top news stories in addition to original articles related to Miami area commercial real estate.