In the dynamic world of commercial real estate, off-market sales have become an increasingly popular strategy for buyers and sellers alike. Unlike traditional property listings that are openly advertised to the market, off-market commercial sales occur discreetly, often through private networks and direct negotiations. Like all sales strategies, while this approach offers unique advantages it also comes with certain drawbacks that both investors and property owners should understand before diving in.

Advantages of off-market sales

• Confidentiality and privacy – One of the key benefits of off-market commercial sales is the level of discretion it affords buyers and sellers. Sellers are in the unique position of being able to test the market or explore options without alerting tenants, competitors or the public. This privacy is particularly valuable in the case of high-profile assets or where the owner doesn’t want to publicise their intentions.
• Speed and efficiency – With most off-market deals involving pre-qualified buyers and direct negotiations, the transaction process is typically faster and less complex. There’s no need for extended marketing campaigns or open inspections – both parties can engage and reach an agreement swiftly.
• Access to exclusive opportunities – The unique opportunities afforded by off-market commercial sales are mutually beneficial for the buyer and the seller. For buyers, it means having access to high-value or high-profile properties that may never be publicly listed. For sellers, they can directly target serious buyers within rusted networks, often leading to smoother and more efficient transactions.
• Less competition – Off-market sales often mean fewer potential buyers involved which reduces competitive bidding wars that can drive up prices. While a disadvantage for sellers, for buyers this can result in better negotiating power and potentially more favourable purchase terms.

Disadvantages of off-market sales

• Limited market exposure – While an exclusive sale is a benefit, it can also be a drawback. Sellers may miss out on attracting a wider pool of buyers which can potentially limit competition and the final sale price. Without market-wide exposure it can be harder to ensure that the value of the property is fully tested and realised.
• Potential for reduced deal options – Since off-market sales are typically only shown to a select network, sellers may miss out on buyers with unique needs or creative deal structures who might have paid more or offered better terms. This risk can be mitigated by partnering with well-connected professionals, like property agents, who know how to effectively target the right audience.

Kelly & Co Property: Connecting buyers and sellers for off-market commercial sales

At Kelly & Co Property, off-market commercial sales are more than a niche – they’re a core strategy. Our trusted relationships with vendors and active buyers give us a strong competitive edge in the Queensland property market. Our strength is our intricate knowledge of the Queensland market, from outback regional towns and Far North Queensland to coastal centres and thriving hubs in South East Queensland. Leveraging these strong relationships and local market knowledge, we deliver effective market penetration and favourable outcomes for our clients.

If you’re considering off-market sales, partnering with a commercial real estate agency like Kelly & Co Property can help you navigate the complexities, mitigate risks and unlock the best opportunities. Contact us to learn more about how we can help you.