What you need to know about corporate lettings

“Corporate tenants are talked about in hushed terms as the holy grail of property investment”, claims TV celebrity, landlord and property guru Phil Spencer. While corporate lettings can be more profitable than private rental arrangements, there are a few things to bear in mind before you rush off to sign your first corporate rental agreement.

How it works
In a corporate let, the company, rather than an individual, takes on a residential tenancy agreement, acting as the tenant. An employee chosen by the company then occupies the premises, as a licensee of the tenant. In this way, the company becomes responsible for all the tenant's obligations under the terms of the lease.

Best areas to buy
Good research is essential if you are buying a property to let to a corporate client. Prime London areas such as Westminster, the City, SE1 and Canary Wharf are always popular, especially where tenants can access good transport links. It’s an added bonus if the property has parking and is close to food stores, a gym, green spaces, great cafés, restaurants and – for families - excellent schools. A fantastic example of a centrally located London property ideally suited to corporate tenants is Palace View, a riverside boutique development overlooking the Thames. The one bedroom one bathroom flat for sale (pictured above) in this luxury development makes an ideal corporate let.

Perfect presentation
Most companies expect high quality decoration, fixtures and fittings, so at the very least your property should be freshly decorated in neutral colours, with a modern, well-equipped kitchen and bathroom. Broadband is another essential. If your corporate client wants a fully-furnished let, you’ll need to provide everything required for everyday living.

Marketing to corporate clients
Unless you can market it effectively, your beautifully appointed, well-located corporate let will stand empty. Relocation managers working for big companies invariably use letting agencies who understand their needs, so choose an agent that already has a database of corporate clients. An experienced agent will know which properties make ideal corporate lets, will advise you on equipment and furnishings, and will also be able to negotiate effectively with corporate giants interested in renting your property.

And finally
To keep your corporate client sweet, you’ll need to provide a top quality property management service. Make sure the agency managing your property is signed up to ARLA (the Association of Residential Letting Agents).

If you’re looking for a lettings agent to help you secure the perfect property for a corporate let, why not call us at Daniel Cobb. Our personal ‘holy grail’ is the knowledge that you’ve purchased the ideal property and the tenancy is running smoothly - bringing rewards that even the great Phil Spencer might envy.