What Is Tenant Representation? ________________
Tenant representation is a part of commercial real estate where the broker (a tenant rep)
represents only the tenant’s interests. These tenant rep brokers help businesses find,
negotiate, and lease commercial space. Landlords will often have their own landlord
representation, as well. Why Tenant Representation Is Crucial For Business
Owners ________________
Whether you’ve got the next best restaurant, hottest boutique, or an up and coming tech
startup, odds are you’re going to need commercial space.
You’re probably asking yourself, “Where do I begin?”
You could scour the internet for options, use your free time to drive the market hunting
for “available” signs, and call your friends and family in hopes they know someone who
knows of something available. Or, you could save yourself countless hours and likely a
pounding headache and enlist the help of a Commercial Real Estate Broker.
Brokers that specialize in Tenant Representation can be the most advantageous force in your
commercial search . And here’s why: ________________
* Your Best Interests Are Priority Number One
________________
As any business owner or entrepreneur knows, having the right people in your corner is
crucial to your success. What happens if you do find what seems like
a viable option to house your new concept? If you’re unrepresented, you’ll be receiving
information from the owner or owner’s broker. While the broker may be knowledgeable and
a great deal of help, his/her responsibility is to represent the owner’s interests, not
yours. So, why not level the playing field?
By using a qualified tenant rep for your commercial search, you can rest assured that you have
a real estate professional on your side whose sole goal is to provide you with all available
information and every opportunity possible. ________________
2. Variety Of Options ________________
Given your tenant rep’s duty to find you your ideal space, you’ll also be presented
with a number of options. While an owner’s representative only needs
to sell you one space, your tenant rep will be able to review and discuss a much wider
selection of spaces that fit your needs. Having a broker on your side allows you to
compare and tour different sub-markets, product types, and properties so you can be confident
you are making an informed final decision. ________________
Check out our blog on The 13 Questions Every Small Business Owner Must Ask Their Commercial
Real Estate Broker. ________________
3. Network & Off-Market ________________
Worried that the commercial real estate market just seems too tight?
Experienced tenant reps will have a broad network of other brokers, developers, and
even property owners, opening the doors to off-market deals that aren’t yet advertised
to the general public. Many commercial real estate deals are done
off-market. That’s why you never hear about them.
Because so many space are taken before their availability is ever made public, it’s crucial
that you have the ability to network with property owners, brokers, and others that
are involved in these projects. If on-market options just don’t seem to
work, your perfect space may be just a few phone calls away for your broker.
4. Making The Deal Work ________________
Once you’ve found a space that you are ready to move forward with, there’s still work
to be done. Anyone who has had contact with any form of
real estate transaction knows that there will be hurdles to clear before reaching the finish
line - negotiating the letter of intent, nailing down floor plans, finalizing leases, and coordinating
attorneys, contractors, and more. Your broker will know where the market is,
which should help you significantly when you’re negotiating the rent, tenant improvement allowances,
partial or total rent abatement, and more. Luckily, your tenant rep broker will have
the experience and knowledge to guide you through the process and present creative solutions
to make sure the deal works and gets done. What Should Tenant Representation Cost A Business
Owner? ________________
Not only will a good broker help you save time and money during negotiations, tenant
representation costs the business owner seeking space nothing.
Tenant representation fees are already baked into each and every deal available on the
market - just like buying a residential home. Since landlords and property owners are responsible
for brokerage fees the majority of the time, the help you receive throughout your site
search is complimentary to you. To date, The Cauble Group has never charged
a tenant for its Tenant Representation services.