A Little Attention Goes a Long Way

Hollywood doesn’t often make movies that include lessons in how to treat tenants. But the 2018 movie Tomb Raider actually did. It’s a funny scene, but it makes an important point when the security guard is rude to a young woman who turns out to own the building.

The relationship isn’t done when hands are shaken, and the lease is signed.  It’s just getting started. Just as the wedding isn’t as important as the marriage itself, the lease is less important than the tenant’s experience, and the relationship it creates. The strength of the landlord/tenant relationship will have a significant influence on the tenant’s decision to stay when their lease is up for renewal.  

Commercial brokers are also extremely important players in the office leasing process.  Brokers hear from other tenants about the landlord’s performance, how tenants are being treated by the building staff and the building’s responsiveness to issues.   Responding to tenant’s calls quickly and staff making the extra effort - like a personal greeting in the lobby - can go a long way to building a long-term positive relationship.  Tenants and brokers have long memories. 

Performance consistency is also important in retaining and attracting tenants.  Ensuring that employees and vendors treat both tenants and brokers respectfully is paramount. Everyone from security guards to maintenance engineers are your ambassadors.  How they greet and treat the tenants should be relentlessly emphasized. Management staff needs to be just as respectful and timely in carrying out their responsibilities.  In addition to leading by example, incentives should be explored to promote a positive work environment by recognizing the employees and vendors for their treatment of tenants and maintenance of the property.    

It is certainly a lot less expensive to retain existing tenants than to deal with the turnover, downtime and associated costs of leasing to new tenants.  

Sam Walton, Walmart's founder, once said, “There is only one boss— the customer. And he can fire everybody in the company from the chairman on down, simply by spending his money somewhere else.” That goes for tenants, too, and service is what makes the difference.