Written by Mohammed Idlibi, CCIM | January/February 2018
In the millions?of strip malls nationwide, owners might deal with one supermarket or big box store – a rated tenant – and dozens of smaller businesses that are nonrated tenants.
Although nonrated tenants such as restaurants, nail salons, boutiques, and office tenants may be creditworthy, no existing methods consistently and accurately rate these tenants. As with banking, real estate leasing does not have foolproof strategies to make credit decisions.
Despite the lack of a credible rating process to judge credit, landlords execute leases with nonrated tenants every day. In fact, these tenants make up the vast majority of commercial leasing tenants.
Jack Herrington joined Saurage Rotenberg Commercial Real Estate in October, 2016. He has extensive experience in the service industry, prior to beginning his career in real estate. Jack is currently pursuing his Certified Commercial Investment Member (CCIM) designation through the Commercial Investment Real Estate Institute.
Saurage Rotenberg Commercial Real Estate is a member of the Baton Rouge Area Chamber of Commerce (BRAC); the West Baton Rouge Chamber of Commerce; the Baton Rouge Better Business Bureau; the Louisiana Commercial Data Base (LACDB); and the International Council of Shopping Centers (ICSC). Several agents, on an individual basis, are members of the Society of Industrial and Office Realtors® (SIOR), the Certified Commercial Investment Member Institute (CCIM); the National Association of REALTORS® (NAR); and the Greater Baton Rouge Association of REALTORS® Commercial Investment Division (CID).