Monetizing Your Client’s Portfolio
What does monetization of your client’s portfolio mean to you? It is a strategy that allows you to become more transparent to your client and differentiate yourself from the competition by taking a macro view of the client’s entire portfolio.
The first step is to make reasonable assumptions regarding the client’s portfolio such as lease term, rental rates, square footages and commission rates for each year of a potential agreement with the client. Then take the totals and conduct a Net Present Value (NPV) analysis to discount for risk over the course of the term.
The resulting figure serves as an excellent starting point to develop a discussion with the client about the value of their portfolio. It will demonstrate to the client that your interests are aligned with theirs and that you can be completely transparent with them
| Print article | This entry was posted by Gus Poulopulous on May 11, 2011 at 6:53 pm, and is filed under Corporate Real Estate. Follow any responses to this post through RSS 2.0. You can leave a response or trackback from your own site. |

