Four things to consider before becoming a commercial landlord

How to make sure you’re making the right choice before you take a slice of the commercial property pie

Britain's £900bn commercial property market fell victim to the political and economic uncertainty caused by the UK's decision to leave the EU. However, investor appetite has started to return as commercial property funds reopen, developers unpause their projects and property valuers scrap the Brexit uncertainty clauses from their reports. 

Demand for commercial property in the UK is increasing, sparked by new interest from both British and foreign investors who are keen to take advantage of the weak pound. 

So, investing in commercial property and becoming a landlord could still be a smart move for 2017. 

And an improving rental market means that there are an increasing number of new landlords trying to grab a slice of the commercial property pie.

If you're part of this new wave of pie lovers, or you're thinking about getting some of the pie, you may be feeling a bit hungry/lost.

So here are 4 basic considerations to make before becoming a commercial property landlord.

Let v lease

This all boils down, essentially, to what sort of property you are offering, and what kind of client you think you will be able to attract as a result. For example, will you be marketing to brand new small businesses or bigger nationals and multi-nationals?

Lets, for example, are better if you are going to be dealing with a well-established firm. These are for set periods of time, normally spanning a number of years in commercial properties, and will give the landlord peace of mind by letting them be assured they have a set amount of income for a defined period of time.

A licence, on the other hand, is a far less common practice in the UK commercial market, but can be a great way to deal with smaller companies.

These typically offer a shorter rental period of around just six months and give both the landlord and the tenant the right to pull out with just 28 days notice, which is ideal if a small business should find itself in financial peril or facing closing down.


Maintenance is all about attracting tenants and then keeping them happy, so it's important to know that you have selected a company that will do this well, efficiently and on a consistent basis.

Your tenant will want to know that they can have their office cleaned to a high standard at a convenient time every day, as well as having the peace of mind that any issues, repairs and general maintenance issues will be dealt with properly and swiftly.

If you choose a good enough company, you can even use this as part of your marketing to promote the quality of the office you have to offer them.

Choosing an agent

Getting the right letting agent is also a key to getting your commercial rental just right. The correct agent for you will know your area, and this means they can help you pitch your property to the right people at the right price.

On top of this, a good agent will be able to deal with viewings, offers and all the legal ins and outs of letting out an office.

This is especially useful if you are a first-time landlord, as it means you have much more support and you can rest assured that everything is being done above board and legally.


It's impossible to make money if your property isn't being occupied - the basic principle of being a landlord of any type, and it's equally not possible to find the right tenant if you are not marketing your property correctly.

These days, no one shops by going into estate agents, so you need to make sure you are as visible as possible. Being on the biggest online portals is the only way to ensure you get the right price for your commercial property.

When it comes to marketing, you also need to make sure you include all of the relevant details. Post plenty of clear pictures, and mention important things that matter to companies such as proximity to transport links and any other nearby amenities.

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