Sell and forget… are you sure?

Post-sale service should become a new standard for the real estate developers on Poland’s warehouse market says Tomasz Kostrzewa, Senior Investment Director in 7R Solution. 

Many of the real estate developers today still seem not to appreciate the value provided by the after-sale service. Seen as a key component in creating positive customer experience – both on the buyer and the tenants side – the so-called post-sales are often being omitted in the selling process by the vendors within the commercial development sector. This is despite the fact that in the eyes of the experts, its role in building healthy long-term business relationships remains crucial, while ignoring contractual obligations may have unpleasant consequences, both for the buyer and the seller. 

The sale of the commercial development is a complicated process, which, in contrary to popular belief, does not end once the deal is closed. Since entering the Polish market, 7R Solution offloaded a total of 26 projects, worth more than PLN 2bn. As specialists in our field, we associate with the projects we’re delivering to the market not only during the sale process, but long after finalizing the deal. Whether we continue acting as a property manager, or not.

says Tomasz Kostrzewa

Senior Investment Director Capital Markets at 7R

Dedicated team of experts 

Responsible for all post-sales activities is the special 7R team of experts, appointed to oversee all activities aimed at fulfilling contractual obligations. This means eliminating all technical, legal and administrative problems to improve the property management. 

 

“It is our responsibility, as a real estate developer, to meet all obligations of the notarial deed.” – says Tomasz Kostrzewa. “Our post-sale service is not calculated for profits. It is us keeping our word to our business partners.” – he adds. 

Depending on the investment strategy, the acquisition process of the real estate investment property should make it possible for the buyer to start benefiting from his investment as quickly as possible. This means that once changing hands, the property needs to be kept in good technical condition, but good tenant relationships are just as crucial. 

 

Going through changes 

When, as a result of the sale, the owner and the manager change at the same time, it is important that all the inside knowledge related to the property’s operations is be passed on as quickly as possible. This includes all the formal issues resulting from the new situation.It is extremely important that the tenants wouldn’t be affected by this change, so that the assessment of the property, as an investment, would stay untouched.

says Tomasz Kostrzewa

The tenant base on the Polish warehouse market remains highly diversified. There are companies, who are right to see their warehouses as a part of a common business strategy for them and the landlord. Mostly, they are very well-run logistic companies. Thanks to their scale and highly-specialized services they’re offering, they can easily adapt to changes, including ownership transfers. But there are also those, who might not be familiar with these procedures, thus they need guidance. 

 

“This is why – whenever it is possible – we aim to keep our role as a property manager, as it is making it possible for us to maintain good tenant relations. It is natural that, as the developer, we know best of the needs of our clients who we’ve been building properties for.” – Tomasz Kostrzewa points out. 

 

Tomasz Kostrzewa

Author: Tomasz Kostrzewa

Senior Investment Director at 7R's Capital Markets Team 

Tomasz Kostrzewa works with investors to raise equity, negotiate development contracts, and coordinate the investment process. He participates in sales transactions of completed projects for investment funds and provides Asset Management services.

Contact: Tomasz.Ko[email protected] 

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