KC, MO Commercial Brokers

[David Lucas]

Hello All -

Looking to connect with commercial brokers in Kansas City, MO. Any recommendations would be greatly appreciated.

Best,
David

[Marc C.]

Personally, I like to look at who the Listing Agents on Loopnet are for properties in my category. I also search Realtor.com for apartment listings and see whose names come up over and over again. Finally, I'd joing the local REIA and ask there.

In each market there are 4-5 agents who do a large percentage of deals. You want to meet with all 5 of them in person, with a one-page write-up of your business plan (on your company letterhead) and what you are looking for, then follow up with them by phone or email weekly, in the hopes they call you with their next pocket listing. When they send you deal, send them feedback about EVERY deal with what you liked and disliked about it, so they get a better feel for your needs. Send them an article or two when new data comes out on the market, by mail if necessary. Find out when their birthdays are and send them physical cards. Also, after you meet with them the first time, send a personal thank you card by mail. 

Just remember: They are hearing from TONS of buyers from all over the country these days. They will quickly assess whether you are worth their time or not. One way they will do that is if you visit them in person, not just by phone. Just don't expect too many deals to flow your way, as there is tons of competition...a Greater Fool from California who thinks a 6% cap rate is a smokin' deal is going to beat you out much of the time, but who cares? Move on to the next one. 

Finally, as I have posted in other discussions, I am getting good results finding off-market deals from direct mail directly to building owners (20-50-units). In this range, you find the Mom and Pops looking to retire. Takes time to prepare all of them mailings and make them look good (hand-written envelopes, real signatures on a one-page letter). Just got started, but response has been good; 6 out of about 120 letters, so 5%. And they are all serious sellers so far. For two of them, I had an LOI to them within 72 hours. Haven't done any deals yet, but working those two. If they don't sell to me, I will send them the same offer in a couple of months.

Don't forget: One of the reasons you meet with these brokers is that you want recommendations on managers, architects, lenders, contractors, appraisers, etc. You'll get the same names from some of the brokers...a good sign. 

By the way, I'd be an investor in a KC apartment building if it's over 20 units and you have experience. I know the market pretty well and visit there a couple times a year; I can take the train from here today today at 1:30pm and arrive in KC ready to work at 7:30am, with a rental car waiting for me. I like walkable neighborhoods and buildings that have some upside.