Are you considering investing in commercial properties in Bedford, Texas? You've made a wise decision since Bedford is a thriving city with an even brighter future.
The city has projected job growth higher than the national average, no income tax, and a higher average income. Before you start looking for properties, you'll need to understand how lease management works.
This guide will show you how to build a successful commercial property portfolio and earn a lucrative income from it.
Here's what you must know:
What Lease Management Does
Lease management focuses on the daily operations to maintain your property. Beyond this, it also includes tenant communication, property marketing, and other business procedures.
With commercial properties, the responsibilities are a lot more taxing. It's often more strenuous compared to residential properties. You'll have to work on maintenance planning. This means you'll have to schedule maintenance procedures ahead of time.
You may have to go above and beyond for your tenants to ensure lease renewals. Your tenants will be entrepreneurs who will be more demanding than residential tenants.
Best Practices for Lease Management
Now let's look at how you can succeed with your lease management efforts.
Your first step is to work on property marketing. You'll have to find a way to convince tenants that your property is unique amongst the competition.
For example, you can promote the location as a unique selling point. You can also promote the versatility of the property. For example, can your commercial property work as an office and as a shop?
Another important aspect of lease management is finding great tenants. You can use tenant screening for this process. It's best to work with tenants who have experience with renting commercial property.
What happens if you can't find such a tenant? Consider renting your commercial property for a shorter period. This gives them a trial run to prove that they're good tenants.
Texas law allows you to charge either a security deposit or a monthly fee. A security deposit ensures that your tenant has enough money to pay the rent. If they can't pay a security deposit, you can charge the monthly fee in addition to the rent.
The final practice is maintaining your property. You should have at least two rental property inspections during the lease period. You can also request your tenants to hire a professional cleaning service for the property.
Always have a network of contractors as well. If your property requires electrical work, plumbing, or renovation, you should be able to hire a contractor at a moment's notice.
Succeed With Lease Management
Now you know how lease management works for your commercial properties in Bedford.
You'll need to take extra care when looking after commercial properties. They'll require more maintenance, and you'll also have to offer a greater level of tenant communication.
If you follow our best practices, you'll have no problem succeeding with lease management.
If you find the process challenging, you can reach out to PMI Metroplex Properties. We're the top-rated property management service in Bedford, and we're ready to serve you!