Commentary

For a Start, Here Are Six Ways to Close a Commercial Real Estate Deal Faster
By Saghir A. Aslam
Rawalpindi, Pakistan

(The following information is provided solely to educate the Muslim community about investing and financial planning. It is hoped that the Ummah will benefit from this effort by way of greater financial empowerment, enabling the community to live in security and dignity and fulfill their religious and moral obligations towards charitable activities)

Search : Before you search, give some real thought to all the solutions to your space needs, whether it’s staying put and reworking your layout, outsourcing a portion of your operation or taking an additional building from your current owner. Also, engage someone who can assist in zeroing in on precisely how much square footage you need.
Negotiations : in a word, realistic! If you attempt to scalp an owner these days, you’ll be disappointed. Figure out why you are moving. Will your top line revenue increase by a large percentage? Will you be able to give a key employee a private office and thus increase her efficiency? Will a move translate into cost savings? Are you more proximate to labor or suppliers? When considered through this lens, a few cents per square foot or dollars on the purchase price pales.
Due diligence : As a commercial real estate owner, do yourself a huge favor and prepare your building for sale. Please use your precious marketing time wisely! Order an inspection so you know what repairs are needed. How’s the roof? Does the property have a rich environmental history? Make the necessary repairs. Disclose the others and price accordingly. Gather all of the pertinent documents a buyer will need to review such as utility bills, leases, operating statements, insurance, plans and permits. Stage your building as though it were appearing on an episode of “Property Brothers.” You’ll be grateful!
Financing: Buyers, get yourself prequalified. I also would suggest choosing a lender, having him do a thorough underwriting of your package and know where you source of funds in today’s competitive market, without a prequalification your offer simply will be overlooked for one that is complete.
City approvals : Two suggestions here. First, visit the municipality where you are considering relocating. Ask officials where they would suggest you locate. The second suggestion would be to hire a person who can help you navigate the various city issues you will encounter.
Transition planning: Moving is expensive, disruptive and inefficient. While considering relocation areas, also have a moving and storage company give you a bid on the timing and cost of your move. Armed with the specifics, you’re now equipped to venture into the available space market.

(Saghir A. Aslam only explains strategies and formulas that he has been using. He is merely providing information, and NO ADVICE is given. Mr Aslam does not endorse or recommend any broker, brokerage firm, or any investment at all, nor does he suggest that anyone will earn a profit when or if they purchase stocks, bonds or any other investments. All stocks or investment vehicles mentioned are for illustrative purposes only. Mr Aslam is not an attorney, accountant, real estate broker, stockbroker, investment advisor, or certified financial planner. Mr Aslam does not have anything for sale.)