You also appreciate the need to have a commercial real estate investment memorandum (IM) as an investment broker in order to detail the possible investment in a commercial property. But it is a good idea to develop an IM that is as detailed as possible – this can be a challenging task if you do not know how to use graphic design tools and branding. That is where partnering with an outsourced marketing agency that specializes in commercial real estate, such as FocusedCRE, can be helpful.

We have the skills and experience to provide you with the best IM that will capture the full potential of the property as well as note all the risks and opportunities that arise from the investment. In addition, we will customize the investment memorandum to your company’s branding and promotion strategy.

Apart from preparing the investment memorandum, FocusedCRE can also help in its marketing of it to investors and tenants. We can send a custom-coded email through your own email marketing tool, or use PropertyBlast to reach a greater number of people. This can be time and cost-saving and also serve to enhance the probability of successful investment. Besides, it means that you will have more time to work on other critical stages, including due diligence and negotiations, while the agency takes care of marketing and communication.

Therefore, what should be incorporated in a commercial real estate investment memorandum? Here are some key components:

Executive summary: This section gives a summary of the property; its location, size, type of property, and any other special feature that may be of interest.

Property Description: In this part of the document, the condition and age of the property are explained in more detail as well as any alterations or improvements that have been carried out.

Financial projections: This section contains the projected expenses and income for the property together with the assumption made concerning the occupancy rate, rent levels, and operating expenses.

Marketing and leasing plan: This section provides the plan for advertising the property and finding tenants to occupy the property.

Management and maintenance: This section outlines how the property will be managed and maintained, and whether there are any plans for repair or improvement.

Legal and regulatory issues: This section includes any legal or regulatory risks that may affect the property such as zoning laws or environmental laws.

Company, team, sponsors, and case studies: This section contains details about the company and its members together with the sponsors and any cases that may support the company’s efficiency in the market.

Risks and challenges: This section reveals any threats that may hamper the performance of the property such as competition from other properties and other market forces.

Conclusion:

This section gives a brief of the IM and recommends any prospective investor.

Some of the data that may be useful for creating the IM are information about the company, its members, sponsors, and cases. Such details give the reader a general idea of the company’s specialization and years of experience in the field and prove that the company is ready to offer only the best investments. This means that issues of merit, achievements recorded by the team and the company, and other case studies of the company should be highlighted.

In summary, a commercial real estate investment memorandum is a very important document that needs to be understood in terms of the property, the market, and the projections. An outsourced marketing agency that focuses on commercial real estate can assist you with the creation of an IM and branding of the document to your company as well as aid in the dissemination of the IM to prospective investors and tenants. It is a great tool for any investment broker that is interested in getting funding and closing good deals. It is a no-brainer – it saves time and money and raises the probability of a successful investment.