By now you probably have learned there are two basic ways to increase a properties value: Increase the properties income or decrease the properties expenses. And whether you’re an investor, developer, broker, or tenant – a few of you may be curious to know a handful of tricks to increase the value of your commercial property. They are in no particular order.

Increase rent
Extend lease term(s) early
Increase occupancy
Ground lease excess land – perhaps a fenced storage yard in the back of the property or even add a few portable storage unites
Add a pad location – if and where possible
Re-zone for a higher and better use; therefore, increased value
Lease airspace to a billboard company or tele-com company
Accept credit cards and charge a fee (2.5 % is usually charged by the merchant company – add a 1-2% spread that becomes yours!)
Lower property taxes by contesting them regularly
Re-negotiate utilities
Install separate utility meters
Re-finance and put the equity to work for you
Be prepared with ALL information that impacts your property – is there a plan to improve or expand the streets where you are?
Have you collected all reimbursable expenses?
Add a management fee

Tagged with:

Filed under: October 2009

Like this post? Subscribe to my RSS feed and get loads more!