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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David Fletcher has been a Florida real estate condominium and new homes broker for 30 years with more than $3 billion in new construction sales. In 2008, Keller Williams Realty International named him a "Lifetime Achiever." Along the way he has chaired the Florida Homebuilders Associaiton Sales and Marketing Council, trained thousands of general agents and on-site agents to work together, and was a featured speaker at the National Association of Realtors. Recently he founded New Homes Niche, a builder-certified co-broker training system "to meet the growing trend we see in short sale buyers moving to new homes for a lot of reasons." Call David at 407 234 2349, , and visit his website.