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20 Nov 2014
Digest Permalink
retail property management, office property management

What Does Walkable Urbanism and Dogs Have In Common?

November 20, 2014

​What does walkable urbanism and dogs have in common? These trends are predictors of future development and are the current expectations of office, retail and multi-family tenants.

All across America, investors, developers and landlords are positioning their commercial assets to meet the needs of today’s tenants – particularly Millennials and Empty Nesters. These two generations are demanding vastly different amenities than just two decades ago.

Home used to be where the heart is but now dogs are demanding space in today’s multi-family developments. The average urban multi-family dweller now owns a dog and considers them more than just a pet but a crucial member of the family. And this family member comes along with specific needs, including dog parks, dog-only elevators, bathing facilities, and exercise areas.

Developers have picked up on this trend and are quickly incorporating space within their developments to make both fido and owner happy. Urban, pet-friendly developments include the $60-million, 211-unit, mixed-use Grant Park Village in Oregon; the 424-unit Camden Flatirons in Broomfield, Colorado; the $165-million, 585-unit AM-LI-MDR mixed-use development in Marina Del Rey, California, among others.

Dense urban cores, such as Denver, Washington D.C., New York, and Boston, have the amenities that Gen Y and Empty Nesters are looking for, in addition to the neighborhood and community feel commonly found in suburban areas.

Office and retail developers are taking note of these trends and identifying regionally significant walkable urban places (WalkUPs) in metro areas. They’ve found that the categories of ‘city’ or ‘suburb’ are no longer sufficient as a means of classifying metropolitan real estate. Instead metro America will be either ‘walkable urban’ or ‘driveable suburban.’ WalkUPs include traditional downtowns, downtown-adjacent neighborhoods, urban commercial districts, and urban university neighborhoods. As well as suburban town centers – including those developed on greenfield or brownfield sites – and urbanized suburban town centers.

Tim Meissner, a Principal with Meissner Jacquet Commercial Real Estate Services, says that the effects of WalkUPs are being seen in the firm’s headquartered location of San Diego. Meissner states that, “Due to the limited availability of land, developers are turning to redevelopment and taking into account the demand for walkable urban in city centers and driveable suburban in outlying communities. Today’s projects now incorporate mixed-use space with a much higher emphasis placed on the tenants’ needs.”

A report by Christopher Leinberger and Patrick Lynch of the Center for Real Estate and Urban Analysis at the George Washington University School of Business, found that both higher education levels and higher GDP per capita were present in WalkUPs. This information, coupled with the amenities demanded by Millennials and Empty Nesters, can suggest future demand for walkable urban development, which is a potential strategy for regional economic development.

For those investors who aren’t in the market of new development, there are other ways to attract or retain tenants while increasing rental rates and tenant satisfaction. Think of enhancing the community feel. Ways to execute upgrades to multifamily or mixed-use space include renovations to exercise centers, outdated pools, spas or community centers, and unit upgrades.

All of these upgrades require relatively minor capital investment but the potential return on investment makes these renovations a smart choice due to the ability to justify additional rent. For instance, modernizing space with finishes such as vinyl or concrete flooring, higher-end materials, and open floor plans provides a more modern look to prospective tenants.

Larger-scale renovations can have big payoffs too. Resort-style pools, and upscale outdoor entertainment and community centers, can increase occupancy and rental rates. In addition to meeting the demands of the tenants, property owners must keep a pulse on their competition. Understanding the property’s specific market and demographics is paramount to the success that larger improvements will be profitable in the long term.

A few less capital-intensive, relatively easy, upgrades can include installing Wi-Fi, or updating the equipment used in business centers or fitness centers. Although these are small improvements, they may attract tenants who value up-to-date amenities over the higher rent of a brand new development.

Investors and developers alike are keen to understand the importance of implementing not only upgrades and renovations but that in order to grow economically, urbanization of suburban regions is the next step for metro areas to meet the demand of Gen Y and Empty Nesters for walkable urbanism.

Sources:

NAIOP, Commercial Real Estate Development, Fall 2014

Western Real Estate Business, October 2014

​Meissner Jacquet Commercial Real Estate Services

 

20 Nov 2014
Case Study Permalink

Case Study – Grant Tucker Properties

November 20, 2014

Case Study - Grant Tucker Properties

Property Name: Grant Tucker Property Portfolio

Case Study: Property Management

Property Locations:
La Costa Plaza: 7668 – 7690 El Camino Real, Carlsbad, CA 92009
La Jolla Colony Plaza: 7728, 7748, 7770 Regents Rd., La Jolla, CA 92122
Rancho Bernardo: 15721 Bernardo Heights Pkwy., San Diego, CA 92064
Alpine Village Center: 2963 Alpine Village Dr., Alpine, CA 91901

Property Description: 4 Retail Centers at 82,000 Total Square Feet

Client Requirements

​Meissner Jacquet Commercial Real Estate Services manages four neighborhood shopping centers – La Costa Plaza, La Jolla Colony Plaza, Rancho Bernardo Center, and Alpine Village Center – for Grant Tucker Properties, a private investment group. The four retail properties are each anchored by a major grocery store, total 82,000 square feet, and are located in cities throughout San Diego County. The objectives for these accounts vary, based on the age of each asset, but the goals remain the same, responsive tenant service, accurate and complete CAM billings and collections, and excellent property operations.

Process

Upon takeover of management from the first property in 2003 to the fourth in 2008, Meissner Jacquet enacted its routine commercial property operations. Including instituting appropriate vendor contract services, preventative maintenance programs, resolving physical plant issues, responding to tenant needs, and ensuring safety is maintained through compliance with federal, state and local mandates.

By establishing appropriate scopes of work, negotiating, and supervising contracts for typical vendor services, such as janitorial, landscaping and trash removal, Meissner Jacquet is able to obtain professional services at competitive pricing. This, coupled with a well-defined operating budget, allows for the control and reduction of operating costs.

Equally important to the ability to monitor and control operating costs, is tenant retention. Meissner Jacquet, with the help of ownership, creates a long-term, stable environment where tenant satisfaction is at the forefront. By performing regular property visits, ensuring superior property and tenant services, and promptly responding to tenant requests, Meissner Jacquet maintains a hands-on management style that enforces tenant retention.

Result

Due to Meissner Jacquet’s effective commercial property management services, the retail centers experience high occupancy rates – three centers are 100% occupied and one is 90% occupied. Ownership is consistently pleased with Meissner Jacquet’s results over the past 11 years of management.

Sources:

Meissner Jacquet Commercial Real Estate Services

 

22 Oct 2014
Spotlight Permalink
commercial property managers

Does your HVAC System Save You Money?

October 22, 2014

Ontario Refrigeration has been providing commercial air conditioning services to California, Arizona, and Nevada customers for over 55 years. With offices in San Diego, Costa Mesa, Ontario, Los Angeles, Ventura, San Jose, Phoenix, and Las Vegas, the company is ideally positioned to serve the South Western United States. Company president, Phil Talleur, is the third-generation to lead the HVAC firm. Talleur states that his “grandfather and father were both excellent HVAC technicians, and would demand that best practices were always adhered to, and insisted that all systems under our care are fine tuned for efficiency.”

Ontario Refrigeration runs its business much like Meissner Jacquet Commercial Real Estate Services says Meissner Jacquet’s Vice President, Kevin Tagle, with a focus on “delivering proven solutions for commercial real estate property needs.” This is just one of the reasons that Meissner Jacquet enlists Ontario as a best-in-class service vendor. Recently, Meissner Jacquet contracted Ontario for a building improvement at Pacific Corporate Center, a 4 star flex light manufacturing building located in the Sorrento Mesa submarket, to replace 6 HVAC units.

According to the California Energy Commission, 44% of a commercial building’s energy consumption is attributed to its HVAC systems. A building’s energy consumption is typically its largest operating expense, and HVAC systems are one of the highest – if not the highest – contributors to that expense. Ontario Refrigeration specializes in assisting commercial building owners and property managers in controlling energy expenses, with building automation solutions and comprehensive preventive maintenance programs.

Recently, utility companies have implemented incentive programs to encourage commercial building owners and real estate managers to improve the ongoing maintenance of their HVAC systems. Ontario Refrigeration has partnered with the utility companies to enact those programs. “In my forty years in the HVAC business, this is the first time that the utilities have incentivized HVAC ‘maintenance’ in such a meaningful way,” Talleur states.

To learn more about Ontario Refrigeration’s services, visit their website at  www.ontariorefrigeration.com.

Sources:

Ontario Refrigeration

Meissner Jacquet Commercial Real Estate Services

22 Oct 2014
Updates Permalink
construction management companies, construction management services

Why New Development Might be Coming Your Way

October 22, 2014

Twice a year, Integra Realty Resources (IRR) produces ViewPoint, a market report that provides a snapshot of current market conditions, notes any trends, and forecasts where the market is going across its 63 offices in the U.S. and Caribbean. Below is an excerpt from IRR’s report touching on three property types in San Diego: Class A suburban office, Class A industrial warehouse, and neighborhood shopping centers.

construction management companies, construction management services

Across the three property types, only office rents have increased over the past 6 months. The other property types have either remained steady or have dipped slightly.

The vacancy rate for both office and retail space has dropped since our last report, with the retail vacancy rate dropping by over 100 basis points. While there have been no changes to the Class A industrial vacancy rate, it is still relatively low at 3.2% (which is near the vacancy rate for multifamily, a property type very much in demand in San Diego).

Upon review of sale data, only industrial properties have shown a decrease in overall cap rates; rates for both office and retail have remained steady at 7.0% and 6.5%, respectively.

Summary

The Class A office market in suburban San Diego continues to modestly improve, as evidenced by increasing rents and decreasing vacancy. While industrial asking rents and vacancy rates have remained relatively stable over the past six months, Class A warehouse is the only property type shown that is indicating a decrease in overall capitalization rates. The vacancy rate for neighborhood shopping centers has decreased considerably since six months ago, but at the same time the average asking rent has also decreased. That said, the decrease is insignificant (less than 0.5%), so this sector of the retail market should remain stable.

Based on the above, the commercial real estate market in San Diego has steadily improved over the past six months. Aside from increasing rents and decreasing vacancy rates, improving market conditions in San Diego is also leading to new development, as evidenced by speculative office development in north central San Diego as well as new industrial developments breaking ground in Otay Mesa. For now, the San Diego market is strengthening, which will have a positive impact on rents, vacancies, and cap rates going into 2015.

22 Oct 2014
Digest Permalink
commercial real estate property management

Technology and Commercial Real Estate: Competing or Complementary?

October 22, 2014

mj newsletter 52014 has brought positive changes to both technology and the commercial real estate industries. Key changes in the economy have made commercial real estate markets more valuable and the outlook in the coming years is positive. With all of the technological advances continued to be seen in key industries such as aerospace & defense, banking & capital markets, and healthcare, it’s now commercial real estate’s time to benefit.

Property values, among many other factors, directly affect the commercial real estate industry’s performance, much how technology impacts business efficacy. In order for symbiotic relationships such as these to thrive, key steps must be taken. Meissner Jacquet Commercial Real Estate Services is committed to advancing healthy growth – including increasing the value of our clients’ asset or portfolio, controlling costs, and growing their business. This is why Meissner Jacquet is dedicated to instituting the most advanced technology available to the commercial real estate management sector. This year, Meissner Jacquet engaged two industry-leading vendors, Yardi Voyager and CertFocus, who will enable the firm to provide their clients with access to powerful data through new proprietary portals and expandable client platforms.

Some of the improvements that Yardi Voyager and CertFocus provide to commercial real estate professionals are listed below, including overall improvements in functionality, reporting, and data accessibility.

Yardi Voyager Benefits:

  1.  Improved Data Security
    • All documents electronically stored
    • Enriched backup
    • Redundancy of data centers
    • Improved efficiency
  2. Operational
    • Utilization of functional, proven best practices technology
    • Expandable platforms to assist in business / property decisions
      1. Remote access
      2. On the go access via mobile devices
      3. Ease of use/intuitive
      4. Enhanced customer/IT support
      5. Customizable
      6. Direct access to real-time data through Portals
        • Financial Management
        • Tenant Relations
        • Lease Administration
        • Property Management
        • Asset Management
        • Document Storage

CertFocus Benefits:

  1. Operational
    • All documents searchable, retrievable, and downloadable for min. of 10 years
    • Centralized collaborative platform
    • Reduced inaccuracies
  2. Improved Certificate Compliance
    • Ensure insurance requirements and coverages are maintained
    • Improved tracking of expiration dates and deficiencies
    • Automatic check of insurance carrier for A.M. Best rating
    • Daily reporting showing non-compliant vendors
  3. Improved Efficiency
    • Automatic certificate request notification to insured and agent
    • Automatic reminder notifications until certificates are received
    • Automatic notifications for certificate renewals for expiring certificates

While technological advances – including the rapid expansion of e-commerce – may be regarded by some as disruptive trends, their consequences undoubtedly alter the commercial real estate marketplace. Full knowledge of how new technological advances impact commercial property markets is yet to be fully realized, but what is visible is that these exceptional technologies are integral to the broader goal of helping commercial real estate owners and professionals succeed.

The two Principals of Meissner Jacquet Commercial Real Estate Services have over 35 years of experience in the commercial real estate industry, and both Tim Meissner and Jerry Jacquet have made it their “personal mission as well as that of the company’s,” says Jacquet, to not only provide their clients with a dedicated commercial property management team, but also to “utilize advanced technology that will meet and exceed the business demands of today’s highly-sophisticated commercial real estate owners and industry professionals,” adds Meissner.

Sources:

Yardi Voyager

CertFocus

Meissner Jacquet Commercial Real Estate Services

22 Oct 2014
Perspectives Permalink
retail property management

Convenience to Public Transportation May Affect Workforce

October 22, 2014

mj newsletterWhether you call them Millennials, Echo Boomers, Gen Y, or Gen Next, they are the almost 80 million young adults who were born (according to the U.S. Bureau of Labor Statistics) between 1976 and 2001. Many of them have already joined the workforce and many more will do so in the very near future. Right now, 36% of the U.S. workforce is comprised of this generation, and in six years they will make up nearly half of the U.S. workforce. While the generation preceding them, Generation X (or Gen Xers), make up only around 15 percent of today’s workforce.

These facts, coupled with the indisputable fact that most Baby Boomers will be retiring soon, means that Millennials will be making up not just the rank and file of a typical company’s employee roster, but will also be filling leadership roles.

It follows that employers are apt in preparing to meet the Millennials preferences in the workplace, and not just in relation to design, layout, rewarding system and amenities, but also their requirements regarding workplace location and availability to public transportation.

Millennials are very vocal is stressing how important it is for opportunities to live and work without relying on a car (86% agree in mature cities, 82% in growing cities, and 77% in aspiring cities). According to a recent report from The American Public Transportation Association , “…most Millennials rely on public transportation because of its convenience and environmental factor, the ability to digitally socialize, and the cost.”

Other reasons Millennials look for short commutes include their relatively high level of debt due to student loans and low income levels due to lack of experience and entry level positions.

A strong suggestion for every employer considering an office relocation or new construction is to put together a “New Office” advisory team that pulls member input from every level of the organization. The team should start work by conducting a company-wide poll to gather feedback regarding the planned move, allowing for engaged discussion at all levels of decision making. Meissner Jacquet Commercial Real Estate Services recently enacted an Employee Advisory Committee to gather feedback regarding company initiatives. “Ensuring that commuting options, and opinions in general, are included in the poll is paramount,” states Jerry Jacquet, a Principal with Meissner Jacquet Commercial Real Estate Services.

On the other side of the same coin, not less than 50 years ago, urban, commercial real estate markets became less populated due to the American dream of homeownership in suburban areas. With the popularity of car ownership and relatively cheap fuel costs, the workforce was willing to drive further to where they live, work and shop. As a result, commercial real estate – especially retailers – bought into sprawling suburban malls where the rents were cheaper because they were outside of city centers.

But now, things are shifting – due in part to the Millennials. The workforce is now veering away from suburbia in general and instead are drawn to the hub of a vibrant city, not only as a place to work and live, but also to buy. And when there, they tend to buy from local, independent retailers whose shops they can reach via public transportation or on foot. Temporary urban stores – from modern pop-up shops (think seasonal retailers, such as Halloween stores) to more traditional farmer’s markets – have also gained in popularity with Millennials. Because of these customers’ preferences, a larger number of smaller-scale retailers are locating their stores in city hubs with areas of dense foot traffic.

Another Millennials buying habit worth mentioning is purchasing online. In fact, online buying crosses all generations at a higher and higher level each year. As a result, warehouse and industrial space is in demand – and especially popular are buildings located in transport hubs such as the docks of a thriving city.

Given the positive outlook for commercial real estate due to the increasing demand in urban markets, both commercial real estate professionals and space occupiers alike would be smart to respond to their stakeholders’ requests and preferences – especially, it seems, those of Millennials. As stated in the APTA report, “By offering public transport incentives, companies can do their part for the environment, while retaining and attracting this younger generation!”

Sources:

Transportation for America

American Public Transportation Association

The Rockefeller Foundation

Meissner Jacquet Commercial Real Estate Services

17 Sep 2014
Trends Permalink
commercial property managers

What the High Tech Industry Can Teach Commercial Real Estate Professionals

September 17, 2014

Commercial Real Estate professionals do many things very well, and can very well be masters at their trade. But they could still learn a thing or two from the high tech industry. Technology – especially cyber technology – is clearly driving the scale and speed of change in today’s business world.

Many commercial property owners, investors, developers, and property managers are already working to equip  facilities with smart technology that “communicates” – sharing data to optimize energy efficiency and performance and thereby  reduce operating costs. As an industry, commercial real estate should be where a property’s operating systems or “big-data” meets “the internet of things” and where everything from HVAC systems to infrastructure will be seamlessly interconnected.

But there are other technology-driven opportunities that commercial real estate professionals would be smart to embrace in order to stay competitive. There are many technology-driven ways  to interact since the word “online” became as common as the word “business.”

A short list includes:

  • websites
  • social media platforms
  • specialized applications and plug-ins
  • workplace management systems
  • sales automation platforms
  • camera-equipped drones
  • and the list goes on

It is a fact that the world, including the commercial real estate industry, is now connected in ways not even dreamt of a decade ago.

We don’t really need to go through the need for a website. We all have websites. The goal  is to take it to the next level, so that our technological interactions are more comprehensive, intuitive, interactive, and informative.

Let’s walk through a few other technological advances available today.

Workplace Management Systems

Unlike outmoded individualized systems housed in only one facility, web-based workplace management systems allows information to be shared and manages the processes across the entire organization. With these systems, there is immediate access to fundamental facilities and property data such as employee information, floor plans, systems reports, and other critical documents. These interactive systems allows property managers and business owners alike to oversee facilities in multiple locations, run reports in real-time, obtain property information with a simple map-based interface, streamline key operations, and  automate processes such as moves and multi-faceted work orders. Tablet and iPad applications are available for many of these systems and also allow property owners, operators and commercial property managers with the ability to have virtual control at any time and place.

Apps and Plug-ins

There are many exciting applications and plug-ins specifically created for the commercial real estate industry.

CoStar (iPad) and LoopNet (iPad, iPhone, Android) allow users to search for property information or listings in a specific location. According to the CCIM Institute, the results appear on a Google map and “…can be further defined by corridors, polygons, and radii. Selecting a property displays information about its agents, landlords, and principals. Market data — area occupancy, absorption, comps — and a financial calculator are also included.”

There are also financial apps that supply detailed calculations, such as the 10bii Financial Calculator and powerOne Financial Calculator — Pro Edition.  And three apps specifically designed for demographic reporting include: TAS Mobile, Business Analyst Online, and Sitewise.  Both of which are helpful to brokers and leasing agents.

Plug-ins are the perfect way to imbed property data and listings into WordPress websites, as they can be pulled directly from MLS. This gives websites a stylish, receptive interface, super SEO, and validated leads.

Sales Automation Platforms

Now let’s talk customized sales automation platforms or databases – commonly referred to as CRMs (Customer Relationship Management). Subscription software programs for commercial real estate professionals, hosted in the cloud, are readily available. The beauty of CRMs is that the information contained in the database is available web-based so access is easy. Have internet? You’re connected. Every activity can be recorded, from appraisal through listing, from promotion to point-of-sale and close. Real time business reporting – including cash flow, profit and loss, performance reports across all team members, and instantaneous buyer-property matching are also a few of the bells and whistles that come with these systems.

Meissner Jacquét Commercial Real Estate Services, a San Diego-based commercial property management firm, instituted a cloud-hosted CRM for use specifically by their Sales and Marketing Departments.  Jerry Jacquet, a Principal at the firm, attests to the ease of use, “it’s wonderful to have information readily available and shareable among our Sales Team. It allows us to track our leads and improve the effectiveness of our sales approach, while aiming to shorten our sales cycle.”

Using the right technology empowers commercial real estate professionals to work smarter and hone that performance edge that takes them further. Today’s high tech tools are designed to optimize workflow. They make it easier to deliver the best service and to build those professional relationships that are critical to long-term business success.

Sources:

Commercial Investment Real Estate

The Apple Online Store

17 Sep 2014
Perspectives Permalink
commercial property management

The ABCs of Owning Commercial Property

September 17, 2014

With today’s rebounding economy and real estate market, the return of investment (ROI) from a commercial property can be substantial, especially for buyers who are entrepreneurs at heart and willing to take some risks. But keep in mind that owning commercial space, such as retail centers, industrial parks or office buildings comes with many advantages, as well as some challenges. To avoid potential pitfalls, investors must be prepared to do a lot of studying and be informed before purchasing.

There are many differences between owning commercial property versus residential property. But both property types encompass necessary ownership responsibilities, such as responding to maintenance emergencies and repairs, responding to tenant requests, maintaining service contracts, preparing operating budgets, collecting rents, performing lease oversight, in addition to other special or extraordinary services inherent to property ownership.

Some of the overarching advantages of commercial property ownership are longer leases, higher rents, faster property appreciation, and the potential for higher ROI. Depending on how risk tolerant of an investor you are, disadvantages can include higher capital investment (daunting for novice investors), on-going maintenance costs, insurance-related risks, vacancy rates, and strict compliance, zoning and planning laws. Specific types of commercial property also have distinct pros and cons.

Before you make the important decision to invest in commercial real estate, here is a quick study guide:

A. Make sure you have an experienced commercial real estate attorney or broker, licensed in your state, to look out for your interests. Commercial real estate agreements can be complicated as they adhere to strict, by-the-book legal proceedings. Do not try to maneuver this on your own or with an uninformed representative who is not well versed in every nuance.

B. Carefully choose the right type of commercial property. Among your options are:

    • Retail space – such as, stores, restaurants or any place where people purchase goods or commodities.  Pluses: Potential for high yields, low maintenance, and long leases. Potential Minuses: Shifting customer tastes, higher initial investment and changing economic conditions.
    • Office space – buildings with office users or tenants segmented into Classes A, B or C.  The spaces can include building amenities such as physical fitness centers, food facilities or child care centers.  Pluses: Longer leases, clearly identified operating hours, and tenants with an interest in the property’s appearance and operational performance. Potential Minuses: changing economic conditions, and large tenant base.
    • Industrial space – such as manufacturing facilities, warehouses or storage spaces. Pluses: Potential for high yields and long leases. Potential Minuses: Changing economic conditions, lower rents and vacancy rates.

C. Strongly consider hiring an excellent commercial property management firm. Why? Because a commercial real estate investment is on a business-to-business plane, which means the stakes are higher. Your response to your tenants’ issues must be swift, thorough and professional. And you need an experienced company who can handle it all in an expert manner. And when we say ‘all’ we mean:

    • Negotiating contracts for physical plant issues and vendor services, such as janitorial, landscaping, lighting, parking lot appearance, and maintenance systems
    • Vendor contract services, including contract bidding and review to ensure cost-effective maintenance
    • Construction Management that provides value through knowledge, negotiating expertise and organizational skills
    • Rent Collection  and enforcement of leases
    • Keeping up, through continuing education, all property laws, trends, and shifts
    • Performing site inspections and reports
    • Carrying out all necessary tenant, maintenance and contractor credit checks
    • Tenant Response, including  complaint resolution
    • Compliance to regulations and laws surrounding commercial property
    • Energy Management & Sustainability Practices to reduce operating expenses by promoting energy conservation and efficiency
    • Crisis, Safety and Risk Management, including prevention and management of disasters, adherence to safety policies, and verification of appropriate insurance levels
    • Hiring and managing any necessary on-site maintenance personnel
    • Accounting Reporting and Procedures, including annual budget preparation, accounts payable / receivable, general ledger recording, year-end audits, tax responsibilities, CAM reconciliations, and financial reports
    • Adherence to business plan and goals
    • Giving you peace of mind

Meissner Jacquet Commercial Real Estate Services, a San Diego-based commercial property management firm, provides three important things to property owners and operators, confidence, stability and relevant solutions.  Tim Meissner, a Principal at Meissner Jacquét, says that what sets their firm apart is that “we allow our clients to excel.  We’re in business to enhance the ownership experience by aligning our clients’ financial and business ambitions.”   Hiring the right commercial property management firm can add value, by saving you time, money (yes, money) and untold stress.

Sources:

National Association of Real Estate Investment Managers

National Association of Realtors

17 Sep 2014
Spotlight Permalink
construction management companies

Parking Lots: The Next Big Thing?

September 17, 2014

Eduardo Moehlecke, a Senior Real Estate Manager with Meissner Jacquet Commercial Real Estate Services, is all about going the extra mile both professionally and personally. His move from hometown Sao Paulo, Brazil brought him over 6,000 miles to San Diego, California, where he has been with Meissner Jacquet since 2002.  A trek like that takes endurance, not unlike the endurance he portrays in construction management projects.

More recently, Eduardo worked with one of Meissner Jacquet’s private family trust clients in converting two office buildings into a fee-based parking lot in Downtown San Diego. On the surface the project sounded easy enough but included the expert management, and 2.5 years’ worth of endurance, of navigating city permitting and approvals.  Eduardo’s twelve years of experience in commercial property management, with skills particularly strong in the areas of owner relations, problem solving and financial analysis, proved fruitful to the client and the construction management process as he was able to successfully deliver the project while exceeding the client’s expectations.

Client Testimonial

I cannot really express my feeling in seeing the picture of the parking lot completed with its first occupants. Eduardo and Meissner Jacquet worked tirelessly to jump over the hurdles and you were confident in the knowledge that we could get it done.

Unique to this project was the dealings with multiple city groups, including the City’s Historical Resources Board Staff, who deemed the buildings as historical.  Due to alterations to the buildings’ physical integrity which disproved the historical basis, Eduardo worked with the client to determine the best use of the land based on future goals and current market conditions.  After much communication and many rounds of negotiation, the land was converted to a surface parking lot due to the high demand for parking by the patrons of Downtown San Diego.   The conversion benefited not only the city but the client, as the space went from vacant to profit generating.

Sources:

Meissner Jacquet Commercial Real Estate Services

17 Sep 2014
Digest Permalink
business property management

Ten Tips for Successful Tenancy

September 17, 2014

Navigating the waters of tenant vacancies can be daunting, even for seasoned commercial real estate professionals. From choosing the right leasing agent to the right tenant, it can at times feel similar to gambling. Not sure whether you’re betting on a winner or a loser.

Below are ten helpful strategies to ensure a successful tenant mix.

Learn from previous tenant failures

Just as you were taught in childhood to learn from your mistakes, this advice is applicable in the commercial real estate industry.  Take the time to discover why certain tenants did not flourish, was it their location, their business plan or their ability to attract customers. Paying close attention to the details in the beginning will mitigate larger headaches later on.

Reposition the center

When your tenant mix is not fulfilling the needs of the surrounding community, consider repositioning the center.  If your tenants offer higher-end commodities and the demographic does not warrant the price points, retain tenants who tout discount products and services. Understanding your center’s consumer profile will aid in your tenants’ long-term success.

Reinvent tenant locations

Today’s tenants are looking for smaller spaces with frontage and high visibility.  Consider reconfiguring existing spaces to meet tenant demands. Many retailers are now fulfilling online orders directly from brick and mortar stores to keep up with online retailers such as Amazon and eBay – offer them the ability to have window frontage and the backhouse processing center they seek.

Focus on tenant synergy

Putting the right tenants together takes skill – be mindful of exclusive rights.  Mixed business models may attract consumers via convenience but a café may object to a gym with a juice bar being located just a few doors down.  Protecting the tenant’s business plan should be of concern to ensure occupancy stability. 

Open lines of communication

Instilling solid lines of communication so tenants understand and are aware of the language in their lease, along with their ability to contact property management, is key.  Ensuring good communication between landlord and management, and management and tenant, is just as important as instituting good rapport among fellow tenants.     

Close eye on tenant performance

Paramount to a successful tenant is their ability to deliver on their business plan. The commercial property manager should evaluate the tenant’s performance in terms of their sales volume, resulting in their ability to pay their rent in full and on time.  An underperforming tenant can reduce the value of the center and negatively affect other tenants.

Be proactive

By staying informed of the performance of the center, the tenants, and the commercial management company, an owner is able to proactively respond to situations before they warrant a retroactive reaction. 

Stay informed of the market

Staying apprised of current market conditions such as lease rates, comps, occupancies, vacancy rates, and new construction allows for the ability to make better educated decisions and properly position the center for success.

Utilize revenue management software

To forecast trends to determine which months will experience higher or lower sales volumes, turnover, move-out / move-in dates, and manage lease expirations.  The most important job of management and ownership is to create a long-term, stable environment in which the tenants can conduct their business while maximizing asset operating income.

Efficiently handle the move-in process

The objective is to have vacant space occupied as soon as possible, and this is possible by being actively involved in assisting the new tenant’s move into the premises. Management should assist in coordinating the construction of landlord required (if any) interior improvements and complete this work in the shortest time period possible, with set rent commencement dates.

Meissner Jacquét Commercial Real Estate Services understands that tenant satisfaction is directly related to tenant retention.  And that is why it’s imperative to attend to every detail and service issue, from cleanliness of the restrooms and maintaining property curb appeal, to employing energy efficient operating strategies and maintaining the edge on the competition through accurately assessing and implementing capital improvements and the property specific business plan.

Sources:

Meissner Jacquet Commercial Real Estate Services

REBusinessOnline