Albert B. Ashforth

Machinery Of Leasing

Information Systems-Danger of Delay - Nature of References - Written Agreements - Commission Versus Salary - General Knowledge Essential - On Starting for One's Self

To be an expert in the leasing of property, whether for residence or business purposes, one must be equipped with that happy faculty of quick perception in appreciating the requirements of the individual and must also know how to exercise more than usual tact in bringing together the two sides in a transaction.

The usual modus operandi employed by brokers at the present time is:

1st

Developing the listing department of their business, so that a complete memorandum of everything to rent in what they consider their district is on their files.

2nd

Placing as far as possible their "To let" or "To lease" signs on the properties.

3rd

Using every facility the records may give and the information that a thorough canvass will develop to make a list of expirations of leases in a special book.

This book should be made up somewhat as follows:

Date Expira'n|Address|Tenant|Line Business|Space Used]Size|Rent|Remarks

Under heading Remarks, as full details as possible should be noted as to possible requirements or any other interesting facts connected with the possible wants of the prospective tenant.

With such a record equipment it should be possible to pick up many a good commission. The tenants on your list should be seen at least six months prior to the expiration of their leases, as most businesses must make arrangements for trade that far or even farther ahead.

Nothing is so exasperating as to call on a tenant three months prior to the expiration of his lease - the time for him to notify his landlord whether or not he wishes to renew - only to learn that he has leased two months ago such and such a place for a long period of years, perhaps the very property you had on your books and thought to offer.

The hardest lesson for the beginner in the leasing department of the real estate business to get through his head is to so far restrain his enthusiasm that every representation he makes to a tenant is a fact that can be verified. Many a young and promising broker has lost a situation and embarrassed his employer by informing the tenant in an offhand way, without wrong intention, and merely through over-zealousness to make a commission, that "The landlord will do anything you want in the way of repairs, alterations, etc."

Every application for rent should be taken down on a sheet supplied for that purpose, made up on the following lines:

Application Sheet

M ...............................................

(Full name of individual or all the names of a firm, not forgetting to spell out first names in full. If incorporated, under the laws of what State organized.)

Of ...........................................................

(Address)

Applies for ..................................................

(Description of premises)

Occupation................................................

(Describe line of business)

For ..........................................................

(Period of lease)

From ....................... To........................

(Beginning of lease) (Expiration of lease)

At.......................... Payable ..................

(Annual rent) (How)

Reference:

Mr.....................................................

(Address) .........................................

Mr.....................................................

(Address) .........................................

Mr.....................................................

(Address) .........................................