DALLAS--NAI Robert Lynn's brokers specialize in specific submarkets in DFW. GlobeSt.com's Anna Caplan recently spoke with Mark Miller, president of NAI Robert Lynn, about his firm's "old-school tactics" when it comes to cold calling, and how NAI Robert Lynn consistently adapts to the market.

GlobeSt.com: Why has your firm been successful with its old-school approach?

Miller: NAI Robert Lynn prides itself on sticking with what some would call "old school" tactics. Having boots on the ground and making face-to-face cold calls is what our company was founded on. This core philosophy allows our team to do two things--it enables our team to build long-term relationships with tenants and landlords which gives us a full understanding of the marketplace, and it gives us in depth market knowledge that can only be gained from physically being in the buildings and talking to the tenants. NAI Robert Lynn is fully committed to its core philosophy of having the most informed team of brokers in the industry today.

GlobeSt.com: Is it more important to adapt or stay the course in terms of cycles and change in the industry?

Miller: Both are of equal importance. Staying the course and continuing with our core philosophy of the "boots on the ground" strategy and building relationships has proven to be very beneficial to our clients. However, you have to adapt to the market, change and get better. NAI Robert Lynn is currently having its best year ever; however, there is always room to improve and develop our process.

For example, NAI Robert Lynn has changed its CRM software three times, most recently in 2014, to take advantage of improved technology. In addition, NAI Robert Lynn recently implemented a new cloud-based software to handle all aspects of back office operations, which takes us from an agent giving work to a support team through the close of a transaction. It streamlines the reporting and record keeping process allowing brokers to be more efficient and easily access documents assuring full focus on client needs.

GlobeSt.com: How does your strategy differ from other competitors in terms of cold-calling and doing legwork as they lead up to deals?

Miller: Each of our brokers has a strategic plan they develop with respective division leaders and CEO George Dutter. The plan involves systematic face-to-face cold calling and the process is tracked on a weekly basis. We do a tremendous job of keeping our brokers accountable and focused on being experts in each submarket and building long-term relationships.

Additionally, we frequently collaborate on deals with our NAI partners who have similar philosophies of cold calling and gaining market knowledge throughout the country and the globe. In 2012 and 2013 NAI Global awarded NAI Robert Lynn the NAI Global Member of the Year award for outstanding performance and we are the only two-time winner in the past 10 years. Using our NAI Global resources has been a superior advantage, giving our clients an expansive network that helps them meet their needs around the globe.

GlobeSt.com: What does the market hold, in your estimation, for the first couple of quarters in 2016?

Miller: As a result of a healthy and active DFW market, combined with the maturity of our office and retail divisions alongside our firmly established industrial division, NAI Robert Lynn is proud to say 2015 has been our best year yet. We had consecutive record breaking months in company history in June, July and August; July was the highest revenue producing month followed by August then June. We are fortunate to be working in such a great market like DFW. I believe it will remain strong for the first half of next year and beyond. There is currently less new speculative construction, but that has not affected the strength of the market. We are starting to see some stabilization of lease rates. Generally speaking, absorption is not as significant as it has been in previous quarters and years.

Moving into 2016, there are a lot of reasons for optimism in all sectors of commercial real estate with slight variations among the different areas.

Our office division was fortunate to close 220 leases so far in 2015 including transactions such as the 232,000-square-foot GEICO office lease and the current marketing for sale of its former HQ building at Spring Valley in Farmers Branch. The trends we see in office include lease activity at an all-time high with all-size companies experiencing growth, and this sector is booming with significant new developments in the Frisco marketplace. As our office clients grow and increase their footprint, mid-term lease extensions seem to be the norm.

Our retail division has had a 30 percent revenue growth from 2014-2015 and currently has more than 300 listings in DFW. Some general trends we expect to continue in 2016 include medical users absorbing retail space and paying top dollar for it; restaurants moving away from larger sizes and mostly finalizing transactions between 1,500-2,500 square feet; and, banks remaining relatively inactive due to the ease and convenience of deposits via smartphone and the proliferation of ATM machines.

In Fort Worth, retail trends reflect a surge of lease activity in the fourth quarter, driving the continuously falling vacancy rates. As a result, we are consistently seeing a spur of new developments coming out of the ground and a tremendous amount of new, proposed developments. As vacancy in the market declines, lease rates are steadily climbing. On the investment sales side of the retail market, we are seeing a similar story with limited supply and increasing prices, making it a very competitive market to acquire income-producing properties. Both of these trends should stay on pace through 2016.

Our industrial division has maintained its dominant position in DFW. The biggest thing to watch is the spec construction market. It will be interesting to see if it can continue its hot start with the large number of pre-leases that have occurred, which will spur more development due to the lack of supply. Lease rates should continue to stay at appreciated levels, and the sales market should continue to bring record high sales prices stemming from lack of supply and extremely high replacement costs.

I have confidence in the DFW market and remain optimistic about 2016.