Commercial Property: Important to Get Property Ready for Sale
Byline: Tim Ingle-Finch
FOLLOWING the Investment Property Forum Code of Practice, Streamlining Commercial Property Transactions, the phrase ``ready for sale'' has become increasingly more important in investment negotiations.
In order to ensure the property asset is both liquid and flexible it is considered that a fast and efficient transaction depends on having a comprehensive and up-to-date knowledge of the property in question.
One such classic example where this principle applies is the shopping centre sector of the market. Shopping centres are among the most elaborate properties sold as investment because they are, to all intents and purposes, businesses in their own right.
Traditionally due to their lot size they have been attractive to institutional investors and the job of correlating and evaluating information specific to the property is extensive.
It is, therefore, imperative that precise details are available. With this in mind it must be stated that there is a significant difference between the information collection, evaluation and dissemination routinely carried out by the property manager and that which is required for having a property truly ``ready for sale''.
The basis of preparing a property for sale is the conventional property management documentation including lease schedules, tenancy records including rental payment performance, service charge administration, maintenance contracts, detailed plans, pedestrian flow analysis reports and other relevant information to establish an overview of the centre. …