Landlords have their own representation in a lease process, so why don’t you?
If you believe that you can find a step-by-step comprehensive guide on how to represent, negotiate, and finalize a commercial property lease by yourself, all while getting the best deal, then good luck. Winning the lottery may be easier.
Even though we live in the age where everything imaginable is found by scouring the internet, little reliable information is available pertaining to commercial real estate. Plenty of tiny details about a property are closely guarded by a listing broker and cannot be found even by spending hundreds of hours combing through websites.
But…do not fret! Experienced tenant brokers carry knowledge about how to best work with certain listing brokers, landlords, properties, and the overall real estate climate, so you understand all the tiny details. For example, different challenges arise in each leasing process even if two identical office spaces are only separated by a parking lot. Looking for slight discrepancies in a lease, between two buildings, only come with years of practice. Tenant brokers are quite beneficial when beginning the lengthy leasing process.
Once you decide to hire a tenant representative, be sure to sign an exclusive representation agreement in order to get the most attention. An exclusive rep agreement guarantees the tenant broker a commission once a lease is signed and shows that you are serious about leasing. Also, a landlord believes that you are committed to looking at other properties if you have representation and is more likely to give concessions while negotiating a lease. If you do not sign an exclusive rep agreement, then you will not get priority in locating a commercial space from your tenant broker; ultimately the process will take much longer, and the best part for you is that your broker’s fee is part of the transaction and is paid by the landlord.
The fastest and best way to keep your business heading towards the right direction is to use an exclusive tenant representative.