Hey, it’s Saul.

In case you missed the previous announcement.

I switched my newsletter platform.

Email delivery rules have changed.

To ensure you receive the next edition, please follow this:

1. If this email has landed in the promotions folder, please move it to the primary

2. Hit reply and send a simple 'yes'.

3. Click one of the links in this email.

Moving forward, you'll get a newsletter in text format every Saturday. It will include a link to my newest video.

I've been asked this question more times than any other.

"How do you do a lease-up so quickly?"

Before we dive in, let me frame this.

I believe you need to develop three main skills to master a value-add deals.

1. Leasing.

2. Sourcing debt and equity.

3. Screening deals quickly.

Some might argue, I'm a bit biased. But, leasing is the main superpower.

Many investors tend to overfocus only on chasing capital, improving construction, or property management margins. These are valuable and bring linear gains.

The only exponential gains you will get from effective leasing.

Every $1 you bring in monthly revenue (AKA rent), converts to approximately $100 in value. It’s 100x.

Let it sink in for a moment.

Every new $10K/month is $1M in value.

In the last 3 years, my team and I have consistently leased 100,000 to 250,000 square feet per year.

I learned that effective leasing begins with effective marketing.

I distilled this into 10 main steps. Here is the list; I’ll be using property in Crete as a case study that I wrote about last week.

1. Aerial Video

   This is an effective tool for you to stand out from the crowd to convert prospects to appointments. You want to have these links on your phone in your notes so you can text that link while you’re talking to a prospect.

   

2. 3D Matterport and Floor Plan

   This tool is effective for filtering out window shoppers. You let them tour the space in 3D over the phone. If they like it, you schedule an in-person visit. Additionally, I always create a floor plan for each unit.

   

3. Digital Flyer

   A one-page PDF flyer is essential for brokers. However, for direct communication with prospects, a digital flyer is more effective. We now use Notion, having previously used Adobe Spark, both excellent tools. Essentially, it's a standalone web page for your property.

   When I communicate with prospects, it's typically through DM and text. You can't text PDFs from an iPhone to an Android, but you can always send a web flyer. This tool is vital for converting leads to appointments.

   

4. Direct Mail

   The most important thing with direct mail is a high-quality list. We build our list from LinkedIn, Costar and Google or buy from Upwork.

   When you send 1,000 postcards or letters, expect 2-5 high-quality calls.

   These leads tend to have a long shelf life. Tenants often delete emails but keep physical mail. This is especially true if they plan to move.

   My best response rate was with personal, non-branded handwritten letters. Postcards are a bit less effective, but they are also half the cost.

5. Cold Email

This one is very effective in getting you into conversations with brokers.

Many of them will try to sell you to list with them. My typical response is, while we’re in the heavy-lift stage, we're leasing in-house. Once we’re 90% full, we’ll award a listing.

In the meantime, if you have a tenant, I'll pay the full fee and you don't have to split with another broker.

For the list, I pull 100 similar comps in the area over the last 2-3 years. Then I look up leasing reps and build an email list. And I send very personal emails through GMass.

6. Craigslist Add

I know Craigslist, right? I can tell you that I sign one lease per month from Craigslist.

And I’m not talking about some slimy businesses. I’ve got regional credit tenants from Craigslist. For instance, one of them is Bell Ambulance, the largest ambulance provider in Wisconsin.

I suggest posting one ad each day for each property, and you can increase to 2-3 a day for more leads. It costs $5 daily, but it's worth it. Your leads will vary based on market density. Still, you can expect five to ten inquiries per month.

7. Crexi

Crexi is becoming as good as Loopnet at a fraction of the cost. You need professional photos, good copy, and a professional flyer.

8. Loopnet

It offers the best leads, but at a high cost, and very few. I opt for the Platinum or Diamond listing for six months. I refresh my listings with new information frequently. Also, I make sure that copy, pictures, floor plans, and flyers are world-class.

9. For Lease Sign

This may seem like an old school, but it work.

I write at least one lease per month from a "For Lease" sign. You need a big banner on your building. It should say "For Lease, under new management" and a phone number. No branding. Make sure you answer the calls live. That’s it. You'll get leads, good leads.

10. Facebook Marketplace

This is my winner. Facebook leads are of low quality, but there are a lot of them.

If you're willing to put in the time to qualify and nurture, you'll be writing leases in no time.

You need to have 6-8 pictures showcasing your small bay space, a short description, and a call to action.

Also, a very quick response is non-negotiable. If you don't respond immediately, Facebook prospects will go on to next add.

Conclusion

I can state with certainty that if you do this with your marketing, you will get your lead generation to a whole new level.

There were way too many times when I was told by brokers that my lease absorption will be 3% to 6% per month, and we were at 15%-30%.

If you put enough market fire, it’s not surprising to fill a 200K sf facility in 12 months. Even if you're told it'll take three years.

So that’s my $0.02 on leasing marketing. Hope you enjoyed it.

If you liked it, please share it with your friends.

Be Well,

Saul!

P.S. Here is my latest video, which I wrote about in my last email. It is a case study of a 20,000 square-foot flex/industrial building that we stabilized and doubled its value in less than 12 months.

P.P.S. The biggest loser of this week's edition goes to Gas Company Tower in LA. It was appraised at $632M in 2020 and now is worth $200M.