Here’s the overview of how Mark went from a £140,000 commercial property value to £245,000 value in 50 days, if you want the detail you NEED to listen to this week’s podcast:
Networking Power
Mark’s network MING provided invaluable insights and connections, crucial for his investment journey.
Securing the Deal
Using Property Filter, Mark identified undervalued properties. He focused on Oswestry, a market town near Wales, and secured two shops initially listed at £195,000 for £140,000 through strategic negotiation.
Market Insight
Thorough research on Oswestry’s market, including property values, rental rates, and local demographics, enabled Mark to make informed investment decisions.
Overcoming Challenges
Initially, the property had two tenants, but one business failed, and the other vacated, turning a seemingly profitable asset into a vacant property.
Due Diligence
A pre-acquisition survey revealed property issues, including a deteriorating roof. Understanding the property’s condition helped in planning renovations and budgeting. A dilapidations report detailed necessary repairs.
Effective Marketing
Mark created leaflets and videos, and used social media platforms like Facebook and LinkedIn to reach potential tenants. By joining local groups, he maximised visibility and received numerous inquiries.
Securing Leases
Strong negotiation skills helped Mark secure favourable lease agreements, ensuring the properties would generate income shortly after acquisition.
Handling Dilapidations and Tenant Transition
Mark negotiated an exit with the struggling tenant in the smaller shop, allowing a new tenant to lease at a market rate. For the larger shop, he handled dilapidations and prepared the property for new occupancy.
Increased Value
Mark’s thorough research, effective marketing, and negotiation skills resulted in both shops being leased at market rates soon after acquisition, increasing the property’s value from £140,000 to £245,000 in just 50 days.
Mark’s success highlights the potential of well-executed commercial property investments… again go and listen to this weeks podcast for the full details.
