PICOR Connect | Trends in Commercial Real Estate

Office Space Search: 12 Reasons to Have a Broker Represent You

Posted on Thu, Oct 20, 2011

Why should a business owner use a broker to represent them in their search and negotiations for office space? While we are focused here on office requirements and handle Tucson commercial real estate, the same principles apply for businesses looking to lease industrial or business park space, medical office, and even retail or shop space in Tucson or beyond.

  1. Time is money Reuters PlazaA Tenant Broker will save you time. They will review your space requirements and determine which available buildings and locations best meet your needs so you do not waste time considering potential spaces that don't meet your needs.
  2. At the same time, the Tenant Broker will show you every property available that meets your leasing requirements. By doing so, competition is created among landlords, allowing you to get the best rate and terms. 
  3. The Tenant Broker advocates for you. They know the issues that arise in lease negotiations and navigate the pitfalls on your behalf. 
  4. The Tenant Broker has a working knowledge of the proper forms and documents used in real estate transactions and will guide you through the entire procedure, advising you what and when to sign, and equally importantly, what not to sign.
  5. The Tenant Broker serves as an impartial third party in the negotiating process. Keeping emotion out of the discussions and representing your interests without "showing your cards" brings value in achieving the most favorable outcome with the prospective landlord.
  6. The Tenant Broker works to ensure you lease just the amount of space you really need by bringing a critical eye to the space planning and layout process. The landlord or developer has no incentive to economize on your space requirement, so representation on your behalf matters. 
  7. The Tenant Broker examines the preliminary pricing of the build out of improvements to ensure you maximize the value of your improvement allowance.
  8. The Tenant Broker will be able to identify lease provisions that potentially save you money or cost you money over the lease term. Many seemingly innocuous lease provisions can have a costly impact and are often overlooked. 
  9. The Tenant Broker is paid by the landlord, and compensation is built into the market rates quoted in the real estate community. You will likely not save money by going without representation; however, you can save money when your interests are protected and represented by an experienced and knowledgeable negotiator. 
  10. The Tenant Broker will be available to inform and may be able to help settle disputes arising after the lease is in effect. They will maintain documentation which often proves valuable during the term of the lease. 
  11. The Tenant Broker can be the “bad guy” during negotiations, protecting your direct relationship with the landlord, even though you may have achieved many beneficial economic concessions.
  12. With the Tenant Broker taking the lead on space search and negotiations, you have more time to focus on your business. Real estate transactions are very time consuming and require constant attention.

Surely there are more. What benefits have you found in being represented by an industry expert that we may have overlooked?

 

Tom Nieman Tucson office spaceTom Nieman, specializing in commercial real estate since 1977, possesses a diverse background in brokerage, development, and management. He joined PICOR in 1995, focusing on the office, medical and investment markets, becoming a Principal in 2001. He excels in providing the best solutions to the real estate requirements of developers, landlords, tenants and investors. 

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Photo credits: Lloyd HobdenGary Rumack Photography 

Topics: Tucson, Industrial, Commercial real estate, Leasing, Office, Retail, Medical office