Evening star. [volume] (Washington, D.C.) 1854-1972, 1937-11-13
DATAON PROPERTY
VITAL TO BROKER
luchs Tells Real Estate Stu
dents Essentials for CON-
merciaI Sales.

Stressing the requirements of sue
cessful broker of commercial property
sales and leases, Morton j. Luchs,
president of the Washington Real
Estate Board, addressed students en-
rolled in the real estate course jointly
sponsored by the board and South
eastern University. The talk by Mr..
Luchs on Monday was the second in
the series of the Is weeks course.
Basing his remarks from his per-
sonal experiences in the local real
estate field, in which he has been one
of Che leading commercial property
brokers, Mr.. Luchs brought out the
fact that definite knowledge of the
property being offered is the first
requisite
1T is necessary to know the property
you are offering, and I mean really
know it," he said. Before you pre-
sent it. go to see it, 90 through it
and have the whole set-up of figures
worked out. Be ready to answer any
questions that the prospective buyer
might ask you, because if you can
answer questions promptly he will
have confidence in you and feel that
you know what you are talking about"
Purchase Reason Essential.
The broker must know the details
"as to income, expense, net return,
construction of building, the general
nelghborhood rental values, etc. Tell
the buyer all about what you have to
sell. When he asks why he should
buy it, you must be able to tell him.
Either it is a permanent location for
his business or it is a fine piece of
investment property with a good flu
ture.
The sale of business and invest
ment property is very closely identified
with the leasing and appraising bust
ness, and therefore a knowledge of
leasing and appraiSing is almost alb
solutely necessary in order to be sue
cessful in selling business and invest
ment properties" Mr. Luchs continued.
Most business and investment prop
erty sales have leasing problems tied
up with them, and therefore you must
have that leasing knowledge as YOU
go along. You must know rental
values of business and investment
properties in all neighborhoods, as
well as In your central city district,
and you must be able to figure out
with your prospective purchaser or
with the seller when you come to
capitalize the net return and try to
arrive at sales or purchase price. d.
Overhead Figures Essential.
In offering business property for
sale, it may be that the merchant
wishes to use it to occupy for his
business, or he may want it as an
investment. You must be in a posi-
ton to show him the overhead he will
have in the way of interest, taxes, etc.,
which he might term rent"
During his talk, Mr.. Luchs brought
out the fact that the broker must keep
posted as to the trend of the area in
which he is operating, take cognizance
OF pedestrian and motor traffic. trans
portations and other factors which
have bearing upon real estate values.
He also discussed several types of
leases and touched upon the percent
age lease which is becoming more
popular with merchants and property
owners each year.
The session next Monday night will
be devoted to a detailed analysis of
commercial properties in Washing
ton under the direction of Joseph A.
Herbert, jr., class counselor. On No
vember %, G. Edward Altemus of the
H. L. Rust Co. will discuss the man.
agement of rental properties.