Commercial Lease Renewals - retain commercial tenants

By Mel Schultz Commercial Property Management building improvements, COVID-19, pandemic

2021 Renovations and Property Improvements to Consider

As the economy and Twin Cities real estate market continue to be affected by the prolonged effects of the pandemic, many property owners are thinking of creative ways to attract tenants to their buildings. While some have put 2021 building renovations on hold, there are several property improvements property owners can make to help them retain current tenants and attract new ones.

COVID-19 Health and Safety Renovations

The smartest improvements you can make to your commercial properties are those that assure tenants that your building is safe to occupy during the pandemic. A very affordable option is to simply advise tenants on how to configure their spaces to accommodate social distancing. Help them rearrange desk space or use your buying power with your vendors to offer low-cost sanitizing and personal protective equipment to your tenants.

You may also make long-term improvements to your building’s HVAC system and communal areas. Consider updating your air distribution system to improve indoor air quality and remove contaminants. In common areas, consider replacing soft furniture with hard surfaces that can be wiped down and disinfected frequently. You may wish to replace your current countertops with antimicrobial options now on the market. Motion-sensor lighting, automatic doors, and cloud-based controls for the AV in shared conference rooms can also keep your tenants safe. All of these improvements are selling points for potential new tenants.

Sustainability and Property Improvements

While health and safety improvements meet an urgent demand, renovating your commercial buildings to be more sustainable will help you attract tenants and save money in the long run. Improving the energy efficiency of your building lowers your heating and cooling costs, keeps building occupants more comfortable, and is a major selling point for green-minded tenants.

Upgrading your building’s HVAC system not only improves air quality, but it can also save you money in the long run. Efficient systems are more cost-effective to run and reduce your heating and cooling bills. So can energy-efficient windows and doors that help stabilize your building’s temperature, keeping it cooler in summer and warmer in winter. Upgrading your lighting to efficient LED bulbs can save you money in maintenance and electricity bills. Plus, the costs of upgrading lighting can be spread out over several years if you tackle one area of your building at a time.

But what about the initial cost of these upgrades? Many building owners and managers are hesitant to make changes that require a large upfront investment. However, with the right planning and budgeting, these upgrades can actually pay for themselves over time.

One way to start is by conducting an energy audit of your building. This will give you a better understanding of where your energy usage is coming from and where you can make improvements. From there, you can create a plan of action for upgrading your systems in a cost-effective manner.

Another option is to look into financing options specifically tailored for energy efficiency upgrades. Some utility companies offer rebates or incentives for making certain energy-efficient upgrades, which can help offset some of the initial costs. Additionally, there are government programs and tax credits available for businesses that invest in energy-efficient upgrades.

Beyond the financial benefits, investing in energy efficiency is also a way to demonstrate your company’s commitment to sustainability and reduce its environmental impact. This can not only attract environmentally conscious customers, but it can also improve employee morale and attract top talent who value working for environmentally responsible companies.

The benefits of energy-efficient upgrades extend beyond just cost savings and environmental impact. With newer systems and equipment, you can often see improved performance and productivity. For example, installing LED lighting can not only save on electricity costs, but it also provides better-quality lighting compared to traditional fluorescent bulbs.

In addition to conducting an energy audit, it’s important to regularly assess your building’s energy usage and look for areas where improvements can be made. This could include upgrading to ENERGY Star-certified equipment, installing motion sensors for lighting, or implementing a building automation system to optimize energy usage.

Not only will these upgrades save you money in the long run, but they also demonstrate your commitment to sustainability and can even improve your company’s overall image. In today’s increasingly environmentally conscious society, consumers are actively seeking out businesses that align with their values. By being proactive in reducing your carbon footprint and promoting energy efficiency, you can attract new customers who prioritize sustainability.

It’s more important than ever to attract and maintain good tenants. Building renovations and improvements are a solid strategy for keeping your building competitive in the leasing market. For more tips on how to attract tenants, contact the Clarity Commercial team today.

For more information or to request a free estimate, visit their website at https://myclaritycommercial.com/ or give us a call at (952) 370-224-2699.

Affiliations & Credentials: We are proud members of IREM, CCIM and MNCAR along with various professional organizations and hold relevant certifications in the real estate management field. Our affiliations and credentials demonstrate our commitment to excellence and our ongoing efforts to stay up-to-date with industry best practices.

June 1, 2020

By Mel Schultz Leasing commercial, COVID-19, tenants

Ways Property Managers Can Help Their Tenants Open Safely during COVID-19

A Note on COVID-19

The Clarity Commercial team is watching the COVID-19 pandemic closely and is following all guidelines from the CDC and the State of Minnesota. Our team is stepping up hand hygiene and practicing social distancing to help slow down the spread of the virus and ensure we are healthy and able to serve you and your properties through the pandemic.

The COVID-19 pandemic is unlike any public health crisis we have faced in our lifetimes. Over the last three months, many businesses in Minnesota moved to remote work or were forced to shut down to prevent the spread of the virus. Now, Governor Walz is slowly reopening the state, and many businesses are back to work.

But back to work does not mean back to normal. Businesses are required to work at 50 percent occupancy and take precautions to ensure the health and safety of their staff and patrons. This can be an enormous task for small businesses. Property managers are in an excellent position to lend a hand and be an advisor for their tenants. Here is how a property manager can help tenants open safely during the COVID-19 pandemic.

Understand Who Is Allowed to Reopen When Covid-19

On May 18, Governor Walz’s Stay Safe order went into effect, allowing many businesses to reopen under strict circumstances. Businesses that were allowed to reopen included retail stores, malls, and businesses that sell, rent, maintain, or repair goods.

Bars and restaurants could continue to be open for delivery and takeout service only. Hair salons, spas, tattoo parlors, and nail salons are not allowed to reopen until June 1. Additionally, companies whose staffs were working remotely must continue to do so.

Help Tenants Enforce Social Distancing Rules

Enforcing social distancing within a business requires some planning. Offer to help your tenants reconfigure their break rooms, shop floors, office space, and retail floors to ensure staff and patrons can maintain at least six feet of distance. Some businesses will need to limit the number of people in their space at one time, which may include staggering work schedules and asking patrons to wait in their cars until it is safe to enter.

Temporary signage is a helpful tool for enforcing social distancing. Wayfinding signs and floor decals can help keep people six feet apart and inform people of a tenant’s social distancing policies. Offer to help source these items for your tenants using your own professional network.

Support Tenants’ Efforts to Sanitize Their Spaces

Maintaining a healthy and sanitary space will be another top priority for your tenants. They will need to frequently clean high-touch surfaces such as door handles and point-of-sale devices and provide hand sanitizer for staff and patrons. Many will require staff members to wear masks and wash their hands frequently.

Property managers can support their tenants’ efforts to maintain clean and safe spaces. Ensure your team is cleaning and sanitizing common areas frequently, including lobbies, meeting rooms, and bathrooms. Consider how you can make it easier for your tenants to purchase hand sanitizer, cleaning products, and masks.

Keeping our community healthy and safe is everyone’s responsibility. Property managers can play their part by supporting their tenants as they reopen safely. For more information about how Clarity Commercial can support you and your business during this time, contact us today.