August 2009
Leveraging Process to Your Advantage
Presented by Mark J. Mayfield, CCIM & Randy Graham
Managing Directors, Sperry Van Ness – Rock Hill, South Carolina
Process…even the word itself has come to hold a negative connotation for many. With the plethora of conflicting information that has been written about process management and process engineering, combined with the nightmares we have all experienced as a result of bad process, many executives fear the pain associated with flawed process more than they value the benefits created by good process. So, what does process have to do with commercial real estate? Just about everything if you’re a real professional interested in creating a sustainable business and virtually nothing if you’re just another real estate cowboy or deal-junkie.
In a sector as sophisticated as the commercial real estate industry it never ceases to amaze me at how many businesses have either a blatant disregard and/or a total lack of process. I’ve witnessed builders and developers suffer millions of dollars of margin erosion due to a lack of process. I’ve observed lenders and investors who close bad deals due to a poor underwriting process. I watched institutions make poor acquisitions based upon a lack of due diligence process. I’ve seen brokers take two or three times as long as necessary to get a deal to market due to poor transaction marketing process and the list could go on and on…The interesting thing to me is if you look at the market leaders in any niche of the commercial real estate industry they are the ones with the strongest processes in place. So why is the balance of the industry so lacking in process engineering given the success of market leaders? Laziness, a lack of knowledge or discipline, ignorance…the reasons are almost too numerous to mention, but the results are always the same; a lack of process results in poor execution and increased risk.
If you think about the lifecycle of any commercial real estate project it is really nothing more than a very complex and sophisticated matrix of processes overlapping one another over a period of years. If you look at anything for site selection, to acquisition, capital formation, development, construction, lease-up, operations, and disposition, everything is a process...if you miss a critical step, or get your order of operation out of sequence you can find yourself between the proverbial rock and a hard place.
Just Listed For Sale or Lease!
Retail Showroom
+/- 12,500 SF
Sales Price: $1,200,000
Lease Rate: $10.00 SF
Just Reduced!
79,500 SF Industrial Bldg.
Sales Price: $1,590,000 ($20.00 SF)
Lease Rate : $2.50 SF, NNN
In 1996, Mark Mayfield and Randy Graham started in business together and in 1999 started their own company Southern Commercial Real Estate, LLC (“SCRE”) in Rock Hill, South Carolina located 15 miles south of Charlotte, NC. With a successful track record and established entity, SCRE expanded its services and national reach on January 1, 2007, by joining forces with a nationally recognized leader in commercial real estate brokerage, Sperry Van Ness, to form Sperry Van Ness/Southern Commercial Real Estate, LLC.
- Sperry Van Ness was founded in 1987, when Rand Sperry and Mark Van Ness created a commercial investment real estate firm with one key mission: To create unprecedented value for commercial real estate investors. Today Sperry Van Ness is one of the largest, most respected and fastest growing commercial real estate brokerage firms in the industry.
- Sperry Van Ness currently has more than 1004 advisors internationally.
- Sperry Van Ness is located in more than 150 cities across the US, as well as in Costa Rica and Panama.
- Sperry Van Ness completed over $11.6 billion in sales and leasing transactions in 2007.
Due to iContact's strict adherence to anti-spam laws, we cannot add you back to this email list once you remove yourself. This newsletter is intended to be a valuable and high-quality source of information and resources, so please let us know if we are not meeting that standard. You can also use the 'Forward To A Friend' button at the bottom of this email.
Mark J. Mayfield, CCIM
Managing Director|BIC
Randy Graham
Managing Director
1926 India Hook Road | Rock Hill, SC 29732
803.325.1000 | 803.325.1214 | www.svn-scre.com | info@svn-scre.com