Looking for a commercial space to rent or purchase may seem challenging, especially if you do not understand the difference between the listing agent and the tenant broker. If you try and do it yourself, you will interact solely with the listing agent, as they are the ones who will show you the space and negotiate the lease or purchase contract, solely on behalf of the Landlord or Seller. If you engage an experienced tenant or buyer representative broker, you will have someone working solely on your behalf, protecting your interests throughout the process.
A listing agent represents the landlord or seller through the entire listing and leasing/selling process. They have been directly hired by the landlord or seller to represent their interests and work to obtain the highest rate possible. The listing agent counts on your naivety if you go at it alone in hopes of pushing a sale through. At the end of the day, he or she tries to earn the highest income at the lowest cost to the landlord. This practice harms the new lessee since they don’t know what concessions and rates the current market is reflecting, unless the tenant hires tenant representation. Working without an experienced broker protecting your interest as a tenant or buyer is like walking blindfolded.
On the other hand, a tenant/buyer representative broker has your company’s best interests in mind. A broker will work with you to find the best possible space that suits your company’s specifications all while keeping your priorities top of mind. Rich Commercial Realty has over 40 years of experience serving tenants and buyers by negotiating the best terms and conditions for each space. An experienced tenant representative can help you save 20%-30% from the original proposal.
Best of all, tenant brokers are not paid by the tenant; instead, the broker is paid his or her commission by the landlord (99.9% of the time). The commission fee is negotiated with the landlord and the listing agent before they start marketing the property, and that fee is usually paid regardless of whether or not you have a tenant representative (bigger commission for them). The landlord and leasing agent may not recommend hiring a broker for this reason alone, knowing that an experienced tenant rep broker will make them “sharpen their pencils.” If the listing agent insists it is not necessary to hire a tenant broker, you can be certain that move would only be in their best interest. You always want someone representing your best interests during this complicated process, especially if it is no expense to you!
Call us today – we can save you time and money!