How to Find Commercial Tenants

A commercial property only performs when it is let. Finding the right tenant, on the right terms, is where returns are made or lost.

The routes to market

• Commercial agents: local and regional agents market the property, use their contacts, and advise on rent and terms. For most landlords this is the main route.
• Online portals: commercial property portals widen the audience.
• Direct and network: existing contacts, neighbouring occupiers looking to expand, and local businesses.

Presenting the space

Well-presented, ready-to-occupy space lets faster. Consider whether to offer the property fitted, and how quickly a tenant could move in. First impressions and clear information on rates, service charge and terms all help.

Incentives

To secure a good tenant you may offer incentives such as a rent-free period or a fit-out contribution. These reduce the effective rent, so weigh them against the covenant and length of lease you get in return. See lease incentives.

Get the tenant right

A slightly lower rent from a strong, long-term tenant is often worth more than a higher rent from a weak one, because value follows secure income. Reference prospective tenants properly before committing. See tenant referencing.

How do I find commercial tenants?

Mainly through commercial agents, plus online portals and your own network. Well-presented, ready-to-occupy space lets faster.

Is a lower rent from a strong tenant better?

Often yes, because value follows secure income. A strong, long-term covenant can be worth more than a higher rent from a weak one.