Remember Where You Stand
It’s not uncommon for landlords to have property manager group manage housekeeping items – collecting rent, recapturing NNN costs, paying bills and generally managing the property. In this scenario, a property manager is often tenant’s main point of contact for things relating to occupancy of the property. In the natural course of things, tenants become friendly with their property manager contacts. And yet, this can be the root of problems down the line. If you’re in the habit of speaking openly about business plans, including casual references to things like how work is going, whether you’ve lost or gained any contracts, whether you’re hiring or laying off staff, even whether you’re adding or removing new products and service, be clear that this is valuable information – to your landlord.
And the chances are good that it’s information his property manager will pass along.
The more your landlord knows about you and your business, the better – for him. Just as the attorney warns his client not to say anything in court, so should you warn your staff. We’re not suggesting no conversation ever, but it’s important for you and your staff to understand that the property manager is in the business of managing real estate for sophisticated ownership groups. What they know about your business helps them negotiate the best transaction for the owner, and that unfortunately will come at your expense.
Tips for Navigating these Relationships
Tip 1: Put that project manager relationship to work for you.
If you’re chummy with the project manager, see what you can learn more about your landlord – but avoid oversharing about your own business. If you can casually inquire about any upcoming vacancies in the building or whether any deals are being offered to new or renewing tenants, do so. But it’s always wise to stay silent or vague about your company.
Tip 2: Stay in touch with your agent for important guidance about your lease that puts your interests first
Keep in mind, the best time to renew your lease isn’t always the most obvious, nor is when you’ve done so in years past. Stay in contact with your real estate professional – he or she should be closely looped in to the local market and can offer guidance with insightful market data directly related to your lease and your business.
Tip 3: Don’t stay with an agent who isn’t doing his very best for you before, during and after a transaction.
If you feel like your agent does the bare minimum, you’re being under-served. Don’t settle for that. Instead, find a local agent with the experience and track record to serve you properly. At Miller Industrial Properties, we welcome the opportunity to represent you and your business. And there will be no doubt in your mind that you’re getting the very best.