Friend or foe?
Let's face it, times are tough as we enter 2009, and conditions are set to worsen. Right now, your tenants might be having financial problems. Given that property is a major business cost, they may be thinking about moving out. If they regard you as an approachable landlord, they may have already come to you to discuss their options. But if relations between you are less than favourable, chances are you're in the dark about their future plans.

In this climate, you really don't want any surprises, so it will be in your interest to get as close as you can to your tenants to understand their business to demonstrate how you can add value. Certainty is the key: your tenant wants to be certain they have your support and you want to be sure of a reliable income stream. It's about recognising that you can be more than just their landlord – you could be their business partner too, working together to achieve mutual benefits. But how do you become their partner?

Communication: the golden rules
"It’s good to talk", but you have to be sure you talk to the people who can answer the questions you need to know.

So where do you start? At NB Real Estate, we've identified 'Seven Golden Rules' for building customer loyalty. For example, always make meetings personal – better yet, meet your tenants face to face. Also, remember the property decision won't be made by just one person. Be sure to talk to all the key decision-makers: the Chairman or Managing Director, the Financial Director, HR, IT, and Sales & Marketing.  Each key player will bring different aspects of their focus to the overall business decision.  Finally, show an interest in a tenant’s business. The more you know about their plans, the better you can prepare your own.

Communication should be ongoing rather than a one off – tenant's financial situation and property requirements are in flux in such an uncertain economic environment.

Exploring your options
How can you use this improved relationship to benefit both you and your tenants? NB Real Estate combines a wealth of experience in helping landlords connect with their tenants, with professional expertise and strategic thinking to identify effective initiatives that maximise value.

We help by assessing your present situation and building a strategy to help grow income – without raising your risk profile. For example, you may be able to assist your tenant by providing short-term liquidity, a lease re-gear or even a relocation in order to suit both parties. Above all, you'll have the chance to plan to get the most out of your investment and avoid a vacant property – critical with the abolition of business rate relief on empty commercial properties with a rateable value exceeding £15,000.

You can read more about how to retain tenants, by earning their loyalty through good service and communication, in the full story.

Or to learn more about how you can capitalise on opportunities by staying close to your tenants, call me, Ben Ridgwell, Director – Asset Management, on 020 7544 2176 or email bridgwell@nbrealestate.co.uk. I look forward to hearing from you.