Wednesday, October 08, 2008
Has your property been marketed properly or does it sit vacant? As you are probably aware, the market is down and changes daily. Does your agent keep up with the changing trends or do they keep marketing the same way they did 2 years ago. The prices that were achieved 2 years ago are not the same as they are today. Investors are actively seeking properties in the San Gabriel Valley, as are many owner users. Pricing is usually the main focus for the buyer. The price is a large part of a bottom line for a business, and if it is not competitive then the building does not move. The only way in this market for a business owner to survive, is they must be competitive on their pricing. When a property is professionally and properly marketed to the appropriate group of buyers, a quicker sale or lease can be achieved.
What we do is work with the owner to keep him up to date with the changing market and all current sales or leases. What this does is keep you up to date with current market values. True value is what a person is willing to spend on a given day. The market has been falling daily and the longer that your property sits vacant, the more likely the value will decrease. The best thing to do is to be ahead of that curve about 5%-10% lower than the competitors. This will help move your buildings quickly, before prices get even worse.
I have recently taken on a new assignment that had 5 warehouses to be leased out. In one month I was able to lease up three of those units and have clients looking at the rest. I did this by a lot of exposure and competitive pricing, that is only about 5%-10% less than what the market is asking today in 2008 but would have been a great price in 2006. The commercial market lags about 1 1/2 years behind residential sales. We have about a year to go before you catch up to the housing market. This will bring us back to the prices of 2002. There has been a lot of new and old product coming out daily. Get your building sold or leased before you have to many competitors. Be aggressive but be informed properly first.
If you are serious about selling or leasing your property give me a call. I will talk to straight about the facts and not talk about a dream market. As a longtime resident of Monrovia I understand the market and will work closely with you to maximize the value that your property holds. Timing is always an important component of any business transaction and the opportunity for you to improve your financial position exists in today's market.
