Slow Summer Days Are a Great Time to Do Deals

Traditionally, August is the slowest month of the year for closing commercial real estate transactions. For the smart real estate broker and prospective tenant, it could be the best time to make a deal. During the slow days of summer, decision makers on both sides have more time on their hands to complete a real estate transaction. Although landlords and tenants take vacations too, the reality is that no one is on vacation at the same moment. This gives the opportunity for both sides to take the necessary time to go through the process of securing real estate.

The advantages of doing a deal in the summer are numerous for a tenant. To begin with, they go through the tour process more quickly, allowing time to focus on earlier choices that may fade from memory during a long tour process. Tenants will have ample time to evaluate various locations and make sure a location works for their business. They can take the time to calculate the functionality of a space and ensure that it is properly laid out for maximum efficiency. Tenants can also make certain that a location has the transportation options and surrounding services that their employees need.

Tenants also have the advantage of finding better pricing opportunities from the vendors that help them with their move. Furniture vendors, moving companies, telecommunication companies, and building contractors often make better deals during summer down time.

Another advantage particularly applies to a soft real estate market. Landlords realize that the year is half over and become concerned about their office space that has been vacant for too long. However, the extra time on their hands makes them especially competitive during the summer.

This window of opportunity closes swiftly in early September. Historically, this is when the best real estate period begins, as tenants hope to secure office space for a year-end move.