Tenant satisfaction and retention: an analysis of the effectiveness of commercial property management strategies Case study of Upmarket, Central Business District

Abstract

This research investigates tenant behavior, preferences, and satisfaction levels in the commercial real estate market in Kampala, Uganda. Data were collected through surveys distributed to tenants, focusing on lease duration, decision-making authority, satisfaction with amenities and property management, communication preferences, and the likelihood of lease renewal. Findings indicate that many tenants have rented their office spaces for extended periods. While overall satisfaction with amenities and property management was positive, there were indications of unmet needs and a desire for additional amenities. Effective communication and responsiveness emerged as critical factors influencing tenant satisfaction and retention. Regression analysis revealed that communication and responsiveness significantly predicted tenant retention and rental pricing, while mediation analysis suggested an indirect effect of communication on retention through building amenities. Recommendations include enhancing communication channels, investing in amenities, strengthening tenant relationships, offering long-term lease renewal incentives, and continuing research and policy support for commercial real estate development. By addressing tenant needs and preferences, stakeholders can foster long-term relationships and contribute to the growth of the commercial real estate sector in Kampala.