Colorado-Real-Estate-Journal_408465

Page 18 — Property Management Quarterly — July 2024 www.crej.com Associations: BOMA F irst impressions matter espe- cially in the world of commer- cial real estate. In the com- petitive landscape of commercial property management, owners and managers are constantly seeking ways to differentiate their offerings and maximize returns. Landscaping has emerged as a potent tool con- tributing to the overall functionality and desirability of a property. Beyond merely enhancing curb appeal, strategic landscaping can significantly elevate the perfor- mance of commercial and mul- tifamily properties, leading to increased tenant satisfaction, high- er rental rates, reduced resource consumption, and improved asset value. Increase Tenant Satisfaction A well-designed landscape serves as the welcoming gateway to a property, setting the tone for prospective tenants and visitors. Showcasing a property's landscaped features can be a compelling sell- ing point in attracting both tenants and customers. Imagine the allure of functional outdoor spaces like dog parks and community gardens, mere footsteps from their doorstep. Such amenities aren't just attrac- tive; they're the deciding factor for many renters, offering an imme- diate connection to nature and leisure. Additionally, corporations embracing eco-conscious initiatives can earn LEED credits by convert- ing unused parking lots to green space or installing rooftop gardens. An attractive exterior not only draws attention but also conveys a sense of professionalism and care, instilling confidence in potential occupants. Studies have shown that aesthetically pleasing surroundings have a positive impact on mood and well-being, which can translate into a more enjoyable experience for tenants and customers alike. Yield Higher Rental Rates Investing in landscaping isn't just about aesthetics—it's a strategic move that can significantly impact your bottom line. In today's competi- tive market, ten- ants are looking for more than just a space to lease; they are looking for an inviting outdoor environ- ment. By creat- ing these types of spaces, you not only attract higher-quality ten- ants and ensure their satisfaction, but you can increase rental rates and lower vacancy rates. Studies, like one published in the Journal of Environmental Horticulture, consis- tently demonstrate that well-main- tained landscapes can command rental rates up to 7% higher than properties with minimal landscap- ing, highlighting the tangible finan- cial benefits of investing in your property's outdoor appeal. Reduce Resource Consumption Aside from attracting potential visitors or tenants, strategic land- scaping can play a crucial role in sustainability efforts, aligning with the growing demand for environ- mentally conscious practices in commercial real estate. As newer generations continue to infiltrate the market, these environmentally conscious individuals are seek- ing organizations that focus on eco-friendly options. In Colorado where we continue to see drought conditions - incorporating native plants, installing efficient irriga- tion systems, and implementing green infrastructure solutions such as permeable paving or xeriscaping can contribute to water conserva- tion, reduce energy consumption, and mitigate the urban heat island effect. Research by the USDA Forest Ser- vice reveals that strategically posi- tioning trees around buildings can slash air conditioning requirements by up to 30% and save between 20% to 50% in heating energy usage. When contemplating landscape improvements that focus on energy efficiency, it's imperative to engage a seasoned landscaping contractor who possesses a deep understand- ing of the local market, environ- ment, and eco-friendly methods. This ensures that your property is equipped with solutions tailored to its specific needs. Increase Overall Value In addition to enhancing tenant satisfaction, increasing rental rates, and environmental sustainability, strategic landscaping can have a direct impact on the financial performance of commercial prop- erties. According to the Manage- ment Information Services/ICMA, landscaping, especially with trees, can increase property values by as much as 20%. Strategic landscaping represents a valuable opportunity for commercial property owners and managers to enhance the per- formance and desirability of their asset. As the market continues to be competitive, commercial property owners and managers need to explore opportunities to elevate their property’s performance. It’s evident that landscaping is no lon- ger about enhancing curb appeal – it’s a pivotal investment that can deliver a competitive advantage. From the moment tenants and visitors set foot on a property, the landscape sets the stage, shaping their perception and experience. A well-designed exterior not only attracts attention but also fosters a sense of professionalism and care, ultimately enhancing tenant satis- faction and bolstering occupancy rates. Moreover, the financial implica- tions of strategic landscaping are undeniable. Studies consistently reveal that properties with well- maintained landscapes command higher rental rates, lower vacancy rates, and ultimately yield greater returns on investment. But beyond financial gains, embracing strategic landscaping aligns with the growing demand for sustainability in commercial real estate. In essence, strategic landscaping transcends mere aesthetics—it's a powerful tool for differentiation, sustainability, and value creation in the competitive realm of commer- cial real estate. s Beyond Aesthetics: How Strategic Landscaping Elevates Commercial Property Performance Greg Kamprath Landscaping Senior Account Manager DCPS The BOMA Denver 2024 Speed Networking Event was held in May at The Current in RiNo and was attended by more than 150 exhibitors and commercial real estate professionals.