Selling or Leasing: Determining the Right Price

Setting the right price is key to maximizing your return from the sale or lease of your commercial property while minimizing the time it spends on the market.

It is important to know that:

• Pricing strategy is shaped by local market conditions, such as inventory and demand.

• Timing can be everything.

• Optimum exposure occurs during the property's first several weeks on the market.
• The longer the market time, the less likely the property is to bring the best price.

• The right price will attract the greatest number of qualified prospects in the shortest amount of time.

• If you set too low a price, you risk losing substantial money on your investment.

• If you set too high a price, qualified prospects won't consider your property because it's not cost-effective for them, and brokers might not show it—or they might show it simply to make a comparable property appear to be a better value.

Catalyst Commercial Partners will use its knowledge of the local market and its expertise in research and analysis to help you determine the right price for your commercial property.

Your broker will provide an estimate of your property's market value and help you set a price based on a review of:

• your property's competitive advantage.
• comparable local properties currently for sale or lease.
• comparable local properties that have recently been sold or leased.
• cash flow vs. current rates of return for your property.