Under-leased commercial real estate (CRE) properties present significant challenges for property owners and managers. Long vacancies can affect profitability and reduce property value over time. In today’s fast-paced market, property visibility is crucial, and one effective solution is the use of virtual walkthroughs and video tours. These tools not only boost tenant interest but can also speed up lease agreements. With the rise of digital technology in the CRE sector, video-driven strategies are becoming an essential part of the leasing toolkit.
The Impact of Under-Leased CRE Assets
When CRE assets sit unleased for extended periods, it creates a ripple effect on the financial health of the asset. For property managers and landlords, the negative impact is twofold:
- Revenue Loss: Every month that a property remains vacant, owners miss out on rental income.
- Operational Costs: Even without tenants, the property still incurs costs like maintenance, taxes, and utilities.
In a competitive market, it is essential to actively market these assets. This is where virtual walkthroughs come in.
Virtual Walkthroughs: A Game-Changer for Tenant Attraction
Virtual walkthroughs offer potential tenants a digital experience of walking through a property, exploring its layout, and visualizing its potential—all from the comfort of their computer or mobile device. VidTech offers video tours that provide detailed and interactive property views, with benefits like:
- Enhanced Reach: Virtual tours allow you to target out-of-town tenants, expanding your market reach beyond local prospects. In a study by Realtor.com, 92% of home buyers found virtual tours useful, and the trend is gaining traction in CRE too.
- Convenience for Tenants: In today’s digital-first world, convenience is key. Virtual tours allow tenants to explore multiple properties without the need for in-person visits. According to a recent survey by CREtech, 71% of tenants prefer viewing properties online before committing to a visit.
- Faster Decision-Making: Virtual walkthroughs help tenants make faster decisions by providing them with an immersive, detailed view of the space. They can review the footage multiple times, narrowing down options quickly.
- Increased Engagement: Properties with video tours receive 403% more inquiries compared to listings without, according to a study by Inman News. This shows how video walkthroughs can help boost engagement with prospective tenants and fill vacancies quicker.
Reducing Vacancy Rates with Virtual Tours
Vacancies are costly, and properties that remain under-leased for extended periods can suffer from declining interest. However, by using video and virtual walkthroughs, you can increase visibility and engagement, cutting down vacancy rates.
For instance, VidTech’s virtual tours feature high-resolution 360-degree views that offer prospective tenants a clear understanding of a property’s dimensions, lighting, and amenities. Drones are used to capture the surrounding neighborhood and provide tenants with a full context of the property’s location—whether it’s proximity to major roads, public transit, or local businesses.
Accelerating Lease Agreements
Leasing timelines can be shortened with video walkthroughs, as tenants can quickly decide whether a space meets their needs. By providing virtual tours, landlords can pre-qualify prospects, leading to fewer but more productive in-person tours. Data shows that properties marketed with virtual tours spend 31% less time on the market than those without. This can significantly reduce vacancy periods and boost your bottom line.
A Competitive Edge for Property Managers and Landlords
In the CRE market, properties with video tours stand out. Listings with virtual walkthroughs are 49% more likely to receive higher-quality leads than those without video content, according to the National Association of Realtors (NAR). By offering this digital experience, you give your property a competitive edge, making it more attractive to prospective tenants.
Conclusion: Leverage Video to Drive Leasing Success
For under-leased CRE assets, the solution is clear: increase visibility and tenant interest through virtual walkthroughs and video tours. VidTech’s comprehensive video solutions provide the perfect toolset to attract quality tenants, reduce vacancies, and accelerate leasing timelines. Whether you’re marketing office space, industrial units, or multifamily properties, video-driven strategies can help you stay competitive in today’s evolving real estate market.
By embracing digital marketing tools like virtual walkthroughs, you are not only enhancing property visibility but also providing tenants with an experience that meets their growing expectations for convenience and clarity. Now is the time to bring your under-leased assets back to life with the power of video.