As the real estate broker of record for a rental conversion your approach to the tenants should reflect keen sensitivity to the tenant's mindset and needs.

There is no time that emotions run higher than at the time it is announced to the tenants that the property is being converted to condominiums. The seller, the converter, and you as the broker of record should be involved in the announcement that the property is being converted to condominiums.

The announcement will create anxiety among the tenants for many reasons, depending on their ages, length of time in the community, and financial situation.

Your marketing firm will come up with the marketing strategy to position the condominium for sale to the general public.

There are certain basic items, however, that must be included in the tenant sale's package to help make sure they understand what is taking place.

Their first reaction might be that they are "getting kicked out."

A professional, sensitive approach to the tenants must accomplish two things: prevent a mass exodus of renters and generate sales.

Here is a checklist of what to include in the tenant package:

1. A letter from the apartment seller announcing the sale and touting the merits of the converter.

2. A letter from the converter that provides both assurances and sales opportunities.

3. A letter from the broker of record, outlining sales procedures

4. An attorney letter giving legal notice to residents (if required by law in your state).

5. A price list

6. The Association's budget

7. A fact sheet about condominium ownership in general and the lifestyle of that particular property.

8. The renovation schedule, showing what will be done and when.

9. Reprints of ads that will be breaking to the public announcing the grand opening.

10. An owning vs buyer comparison chart.

11. Monthly payment schedule including interest rate, initial investment, and so forth.

12. A brochure

Obviously this list will be modified. The responsibility for these materials is negotiable between the broker and converter.

If the converter is experienced, he may want to be responsible for any and everything to do with the tenants. If so, so much the better for the broker. As the broker, your focus must be on proper on site staffing and sales production.

This is usually not a game for general agents who have "site sitting" experience. This is for new homes agents who understand the difference between "sitting a model" and marketing a community.

Published: March 30, 2004

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Orlando Realtor David Fletcher has been a Florida Broker for more than 25 years. Through the years he has been involved with the sale and marketing of more than $3 billion in Florida real estate. He has been a featured speaker at the National Association of Realtors, chaired the Sales and Marketing Council of the Florida Homebuilder's Association, served as broker of record for 16 custom home communities, a mixed use community, and 29 lender workouts. Agents Boot Camp, publisher of his famous basic sales training series, is his hobby. You can buy his products at www.agentsbootcamp.com Or read his blog at his commercial referral website at www.creintro.com.