We are often engaged to lease or sell property by clients who wish to keep the information confidential from the general public. There can be many reasons why discretion is required. The client gets to choose what level of confidentiality is necessary.
Why confidential?
A business may be struggling but not want it “on the street” that they are closing. If clients found out they may be reluctant to purchase goods and/or services. Many times it must be kept silent from the employees. There can be concerns about the competition finding out and spreading the information.
There are times that a Tenant is planning to relocate but does not wish his Landlord to know for a period of time. If he is in a month to month lease the Landlord could give notice to vacate before the Tenant is in a position to move.
I have seen examples where a spouse may be winding up a divorce settlement and not wish to inform his or her partner of a pending sale of commercial real estate.
Marketing strategies
In consultation with the client, we decide the best way to approach the assignment. In many cases we may use neither sign nor advertising. Often it requires first prequalifying the prospective purchaser and getting a confidentiality agreement signed before disclosing any details about the offering.
We at all times have a list of motivated buyers interested in different sectors. Alternatively, we may advertise in general terms, drawing interest but require a confidentiality agreement be executed prior to release of details.
Does it work?
It does…we most often successfully complete the task while maintaining a high level of discretion. Obviously most business clients seek high exposure marketing methods in order to realize the best possible price. There is however a place for specifically tailored commercial real estate services that satisfies our unique client requirements.
Posted by Barry Stuart
