How Strategic Underpricing Can Increase Your Retail Property Sale Price
By Marc Perlof | MarcRetailGuy
CA #01489206
May 25, 2026
If you own retail real estate, here’s what just changed for you.
Some pricing strategies are rarely explained but can significantly impact your final sale price. The way your property is positioned can create competition, increase buyer activity, and change the outcome.
Most owners never see how these strategies are actually used.
More advanced pricing strategies are being used to control how buyers engage with a deal. In today’s market, demand is not assumed. It is created.
What is causing it?
Buyers are more selective and underwriting more carefully. Strong assets still attract interest, but only when they are positioned correctly. The difference is no longer just the property. It is how the deal is structured.
How do advanced strategies impact your property value?
They influence how many buyers engage and how those buyers behave. More activity creates competition. Competition leads to stronger offers and better pricing.
What separates strong results from average ones?
The ability to create that competition early in the process. Deals that rely on one buyer tend to settle. Deals that create multiple buyers competing tend to outperform.
When should you use off-market strategies?
Use them when discretion is important or when targeting specific buyers.
When should you use controlled pricing approaches?
Use them when you want to manage how buyers engage with your property and control how pricing is perceived in the market.
Deals that generate early buyer competition are achieving stronger pricing than those relying on a single negotiated offer.
Pricing strategy is not about exposure alone. It is about controlling the process and how buyers respond.
Bonus: Strategic Underpricing
Strategic underpricing involves positioning the property slightly below expected market value to increase early buyer activity.
The goal is not to sell low. It is to create competition.
When more buyers engage at the same time, the dynamic shifts. Buyers move faster, adjust their assumptions, and compete more aggressively on both price and terms.
Some buyers may initially assume the pricing reflects distress or a motivated seller. That is why positioning and process matter. When the deal is presented correctly and buyer activity is visible, that perception shifts from “opportunity” to “competition.”
This strategy only works under specific conditions. The pricing range, timing, and how buyer activity is managed during the process all need to be aligned.
When used incorrectly, it can lead to weaker offers instead of stronger ones. That is why it is applied selectively and structured carefully.
Most owners never see how this is actually executed.
If you want to see how this strategy is structured in a real transaction, including pricing ranges, timing, and how multiple offers are managed, I put together a short guide you can request. Send me a message and I will share it with you.
Are you creating competition or negotiating with one buyer?
Call or DM me for more information.
Based in Los Angeles. Serving Southern California. Active across California. Advising clients nationwide.
#RetailRealEstate #InvestmentSales #NNN #CRE #ShoppingCenters #StripCenters #LosAngelesRealEstate #CommercialBroker #PropertyValue
Disclaimer
This post is for information only. It is not legal, tax, or financial advice. Always check with a licensed professional before making decisions.
© 2026 Marc Perlof Group. All rights reserved.
