When placing a For Sale sign on a property, how do you minimize possible negative effect on the retail tenant?

Concern is that during the property marketing process there will be public impression that tenant is out of business or moving which could cause a drop in customer traffic.
In Selling Property - Asked by Marshall H. - Dec 13, 2011
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Chris F.
Salem, OR

if the tenant is staying, and plans to continue to lease from the new owner (in other words this is an investment sale), I would typically not install a sign on the property.
Most sellers appreciate that you do not want to do anything to impact the tenant and are ok with this, at least that is my experience.
This just places more empahsis on using databases and outside contacts to sell the property

Dec 13, 2011
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Joe H.
Sarasota, FL

1) Create flyers for the tenants to hand out; or a sign to post in the tenants window that announces that the building is for sale, but they are staying in place.

Dec 14, 2011
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Jay Z.
Phoenix, AZ

This is always a tough decision.
If you don't put up a For Sale sign, you lose the chance to get the calls from prospective buyers. And interested buyers will drive right by the property.... they might buy something else without ever knowing this one was up for sale.
If you do put up the sign, you can possibly impact the tenant's business. Or you might make the tenant mad which results in him not being cooperative about showings and inspections.
Generally, the value of the sign is too high to not use one. Put it as far from the entrance to the business as possible. The seller can also give an incentive to the tenant; probably a rent-reduction during the sale.

Dec 15, 2011
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Paul P.
Raleigh, NC

If any of the tenants are staying in the property, I would never put a For Sale sign up. It disrupts the tenants and sends a bad message to the tenants. From a tenants point of view the majority of time taxes and insurance go up when the property sells and that can directly affect their expenses, depending on their expense responsibilities. In my mind it is never a good idea unless you have a completely vacant center to put a For Sale sign on the property. A good seller/broker has a large database of potential buyers and is an expert at marketing the property to find the best-qualified buyer at the highest price the market will allow.

Dec 20, 2011
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Tai N.
City Of Industry, CA

Instead of placing a sign that says "For Sale", you can place a sign that simply says "Available". This will work well for multi-tenant retail centers, especially if there is a vacancy. It is ambiguous and still will drive calls to you. Although you may also fielding lease inquiries in the interim, you will going a long ways to protecting your client's tenants interest. Good luck.

Mar 15, 2012
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