Whether you are a small or large business owner chances are you have considered leasing or even purchasing a space to run your operation. However, the whole process of locating a space, assessing your business needs, analyzing your budget, navigating through countless legal documents and complicated negotiations is just the tip of the iceberg when it comes to your commercial real estate transaction. There are many other factors to consider, such as local market conditions, trends, deal structuring, and other important elements that can affect your bottom line.
With so much at stake, it is crucial to find a fiduciary advisor with the right tools and experience who can keep you from making potentially costly mistakes or missing out on solid investment opportunities. Partnering with the right seasoned commercial real estate advisor can alleviate the stress that comes with leasing or buying and enable you to minimize your risks and maximize your return.
Here are the Top 5 Reasons You Should Hire a Tenant Representative For Your Leasing or Buying Needs.
1. Tenant Reps can help you determine if leasing is the best solution for your business.
Your tenant representative will assess your situation and help you determine if leasing or buying is better for your business. Sometimes purchasing a building rather than leasing can pay off in the long run. Also, the emergence of co-working space has opened the possibility of having an office without entering a long-term lease agreement.
2. Tenant Reps have numerous resources to locate the most inclusive list of real estate options available on the market and off the market.
By hiring a professional commercial broker you have access to the best and latest information available. Brokers not only have the inside scoop on market conditions, but they have exclusive access to updated information and databases which can help them locate the best properties for you. Also, by capitalizing on industry relationships, your broker can find options for you that aren’t available to the open market.
3. Tenant Reps can assess your needs while factoring your desired budget during site selection.
Your broker knows the essential questions to ask to help you determine what you will need in your new office space and your budget. For example, most landlords expect you to sign a 3-5 year lease or possibly longer. A broker will help you evaluate questions such as “How do you foresee your business growing in the next 3-5 years? What kind of parking needs & visibility does your business require? Does your budget allow for extra expenses such as taxes, insurance, and maintenance?” Thinking through these types of questions can help you make smart business decisions.
4. Tenant Reps can help your business get the best lease terms possible by helping you structure and negotiate your terms.
The tenant representative adds value to the negotiation process by knowing what economic and non-economic factors are common in the market. They act as your fiduciary helping you navigate the negotiation process. Your broker will work in your best interest to help you understand your lease structure and secure the best terms possible.
5. Tenant Reps can simplify the real estate process and help save you time and money.
The Tenant Rep can handle everything from the needs assessment, to financial analysis, to a final lease summary while allowing you to be as hands-on or off as you choose to be. This allows you to maintain your focus on your business while benefiting from the guidance of a specialist who will help you quantify your needs and secure successful outcomes. The best part is that in most cases, often it is the landlord who pays your representative their commissions not you, so there’s nothing to lose.
Thinking of leasing or buying? Phoenix Commercial offers Buyer/Tenant Representation for office, medical, industrial, R&D, retail, and mixed-use properties. Contact us today for your free, no obligation analysis.