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Principles Of Commercial Real Estate Marketing

University: Sheffield Hallam University

  • Unit No: 4
  • Level: Post Graduate/University
  • Pages: 8 / Words 2046
  • Paper Type: Assignment
  • Course Code: REE6147
  • Downloads: 541

Table of Content

Question :

This assessment will cover the following questions:

  • Generate the marketing and sales strategies of  Freehold hotel, bar and restaurant.
  • What are the methods of selling services of the given company.
  • Freehold hotel, bar and restaurant is an American-based hotel. Generate the plans for sales and recommend methods of selling services and products.
Answer :
Organization Selected : Freehold Hotel, Bar And Restaurant


Commercial real estate marketing and investing in commercial properties need to follow certain principles of long term investment to earn higher returns than most other debt instruments that need to focus on location, quality of buildings, demand and supply, market rent vs. in place rent, interior fitness, lease structure, security deposits and diversification (Tuten, 2009). The Coursework will devise a marketing and sales plan for the commercial property Freehold hotel / bar and restaurant with private cottage in Llanelli, Dyfed, Wales. The marketing and sales plan of Freehold hotel / bar and restaurant will describe sales strategy and recommended method of sale. It will also explain the particulars of sale and market appraisal techniques or methods that can be implemented by Freehold hotel / bar and restaurant.


Marketing and Sales plan for Freehold hotel / bar and restaurant

Marketing of the commercial property Freehold hotel / bar and restaurant includes a sign in front of the property and postcard mailings that are utilized for a mailing lists where sellers need to ask brokers regarding arriving at their mailing lists. Print and social media advertising are the other forms of promoting and marketing Freehold hotel / bar and restaurant commercial property (Abril, Olazábal, and Cava, 2009). The real estate marketing plan of Freehold hotel / bar and restaurant renders a comprehensive structure for all paid media assets that allows to document marketing activities and define objectives to have a clear understanding about the goals and needs. Good commercial marketing plan need to have a well-balanced marketing mix strategy and leverage earned, owned and paid media and is the key component of Freehold hotel / bar and restaurant’s commercial property marketing to help in planning and managing timelines and budget.

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Sales Strategy

Creating successful marketing strategy for commercial property Freehold hotel / bar and restaurant requires involvement and putting together of real estate marketing techniques to create a strategic market winning (Chen and Khumpaisal, 2009). To create an effective marketing plan certain steps are to be followed by Freehold hotel / bar and restaurant which are as follows:

  • Define objectives and answering basic questions that involves planning stage
  • Develop the collateral and game plan that involves tactics for generating visibility; Print collateral, broker events, print media, direct mail, window signage displays and networking nationally and internationally (How to Create a Commercial Real Estate Marketing Plan. 2018)

Create digital assets and online marketing campaigns for Freehold hotel / bar and restaurant that includes website development, updates ongoing, outreach marketing, email campaigns, videos, media placements, social media, online press releases, media placements, digital brochures and performance based advertising (Ponzini, 2011)

  • Measuring and tracking results which includes metrics to measure success and reporting for making inform decisions to improve campaign performance
  • Organize marketing tasks and set timeline

The sales strategy of Freehold hotel / bar and restaurant are focused on high quality marketing materials with effective marketing collateral highlighting commercial property’s unique appeals as the real-estate property is highly attractive built with impressive design. Freehold hotel / bar and restaurant already has a website which it uses to create a listing page on the marked property in the website and CRE portal which serves as a digital hub for the commercial property’s marketing efforts. They also implements the social media platforms like twitter, Facebook, LinkedIn etc., which are the powerful tools for advertising commercial properties that enables to choose target audience for the advertisement, place and time of ad as well.

Video sites like YouTube and Vimeo are the popular marketing tools that are used by Freehold hotel / bar and restaurant which is the fast growing advertising niche for extensive advertisement of its properties (Phillips and Roper, 2009). Low cot tool of email shot are also being applied by the Freehold hotel / bar and restaurant to advertise their commercial property that is created by embedding the listing of property in a group email that are sourced from an in house database. Several networking events of Freehold hotel / bar and restaurant renders opportunities to directly market the property to a sensibly chosen pool of potential buyers and investors. Cold calling is an extremely effective strategy of sale by screening prospects from the in house database to identify contacts that have interest in buying the Freehold hotel / bar and restaurant property by directly calling them.

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Recommended methods of Sale

Freehold hotel / bar and restaurant commercial property selling is a big decision which it need to be decided on the basis of strategies and marketing plan devised. The local industry have an experience and proven track record of turning sales campaigns into genuine sales activities. With the help of an experienced broker or agent who has knowledge and can discuss specific needs and concerns might advise the most appropriate method of sale and create marketing strategy designed to attain maximum result (Rapoport, 2014). Freehold hotel / bar and restaurant can implement the following best ways and methods to sell their commercial property successfully:


This is the best way of attaining a premium price in a competitive market that involves short, sharp and intensive marketing campaigns of Freehold hotel / bar and restaurant commercial property without a price done to test the market to identify the potential purchasers. Marketing with price will limit the keen buyer and once listing price gets established for the Freehold hotel / bar and restaurant property a ceiling can be placed on expectations of buyers paying for it. Sale by auction is the most popular method o selling commercial property Freehold hotel / bar and restaurant that can adopt public auctions that have various advantages:

  • It removes the ceiling price created by private sale and avoids the risk of underselling
  • It encourages and develops competition between prospective buyers both prior to and at auction process (How to choose your method of sale, 2017)
  • The public competition generated by auction raises the price received for the Freehold hotel / bar and restaurant property compared to that of private sale

Expressions of interest

Tender works in a similar system of auction process but there is no public auction date or venue and offers close at a specific tome on a specific date that presents opportunity for sellers to create a competitive situation without starting a listing price by setting terms, conditions and deadlines and the prospective buyers have the opportunity to put forward the competitive offer (Ratchatakulpat, Miller and Marchant, 2009). It requires formal documentation to be completed by a due date with right group of buyers bidding, higher price options in exchange for changes to terms of sale or a longer settlement period or smaller deposits can render Freehold hotel / bar and restaurant an excellent result.

Price by negotiation

This is a method which can be used by Freehold hotel / bar and restaurant that can be applied in three ways:

  • Without advertising price where buyers will make offers through the sales consultants
  • Minimum price of Freehold hotel / bar and restaurant’s commercial property may be advertised and offers above the set lowest price are considered

Advertising price range and offers within this price band can be considered by Freehold hotel / bar and restaurant (Coiacetto, 2009)

Sales Particulars

After the listing of Freehold hotel / bar and restaurant commercial property delivering the promise of selling the possessions at highest price possible in the least amount of time by making client happy with stress free processes for parties involved are part of the marketing plan and strategy to sell commercial; property successfully. To avoid the mistakes of believing that Freehold hotel / bar and restaurant are perfect for any opportunity and to specialize in commercial real estate investing they need to prepare their sale particulars by answering the uniqueness that they offers and possess to attract potential buyers. Freehold hotel / bar prepares their sale particulars by specifying the restaurant or hotel building, targeting big hotel or food chain groups with their demographic and psychographic make up for creating a single piece of marketing (.Gibler and Lindholm, 2012). Their uniquely built structure, excellent exteriors and interiors and location are the major exceptional elements that they can mention in their advertisements to attract potential buyers. Branding with professional photos and logos, website and powerful slogans or sayings that tell people exactly about the property and its benefit will assist in attracting more purchasers towards Freehold hotel / bar and restaurant commercial property. They also need to develop an online and offline marketing strategy that aims at getting noticed by potential purchasers with advertising, social media, print media, direct mails, networking events etc.

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Market Appraisal

Real estate or commercial property market appraisal are the beneficiary for various reasons as the professional appraiser carries out this process by assembling different facts, statistics and information regarding the Freehold hotel / bar and restaurant commercial property (Colomb, 2012). The data is then analysed and used to develop opinions of value which will help in determining acceptable selling prices, assists underwriters in establishing value of security for mortgage, supports lease negotiations etc. Freehold hotel / bar and restaurant commercial property use the following types of approaches for appraising their commercial real estate:

The cost approach

This technique associates the value of Freehold hotel / bar and restaurant commercial property to the cost of construction that considers depreciation by assuming a fair market value for the real estate property (Anatomy of a Commercial Real Estate Appraisal: A Top 10 Q&A Guide, 2017). It comes with the share of debate and is used to appraise new and unique properties with few comparable sales.

Sales comparison or Marketing approach

This method risks that an investor will pay for the similar products only sold for and the sales comparison or market approach is embedded in which Freehold hotel / bar and restaurant commercial property’s characteristics are similar and costs associated with those traits. Location, size, condition, floor plan etc., are the major features (Urbanavičiene, Kaklauskas and Zavadskas, 2009).

Income capitalization approach

This method or tactic involves a rationalization of the income that Freehold hotel / bar and restaurant commercial property may generate over time and appraisers use this technique which have strong earning ability. Lenders will closely examine the findings and determines whether they feel confident about their repaying of investments.

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Commercial real estate marketing is necessary to advertise, promote and market the commercial property in the highly competitive digital age is essential for Freehold hotel / bar and restaurant commercial property to sell their possession successfully at a higher price. The coursework on Freehold hotel / bar and restaurant commercial property devised a marketing and sales plan for effective marketing efforts for a specified timeline. It developed various sales strategies that Freehold hotel / bar and restaurant commercial property can implement to effectively advertise and promote the possession through print, social media and various other forms of advertising. Freehold hotel / bar and restaurant commercial property were also recommended with various methods of sale which it can implement fort successful selling of real estate possession that elucidated auctions, tenders and price by negotiation methods.

You can also read:- Benefits of Customer Lifetime Value in Organization


Books and Journals:

Tuten, T., 2009. Real world experience, virtual world environment: The design and execution of marketing plans in Second Life. Marketing Education Review, 19(1), pp.1-5.

Abril, P.S., Olazábal, A.M. and Cava, A., 2009. Marketing and the law. Journal of the Academy of Marketing Science. 37(3). pp.375-380.

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