This post originally appeared on tBL Member, Sperry Van Ness Graham Langlois Legendre's SVN GLL News Blog and is republished with permission. Find out how to syndicate your content with theBrokerList.//?#
If you are a tenant seeking to lease commercial space then you should always use Tenant Representation. Commercial real estate Brokers serve their clients in various capacities, and that includes representing the landlord/owner and the tenant as a Tenant Rep.
Oftentimes individuals who are seeking space to lease do not know when a Broker is representing a landlord’s interest and end up coming out on the losing end of a leasing transaction. In order to find the best possible space at the best possible price a tenant should always hire a Tenant Rep. To understand why, read below.
First things first, tenant representation doesn’t cost the tenant a dime. As owners of commercial property a landlord will always be responsible for paying commission on both sides of a leasing transaction. In common practice a commission fee is typically (i) calculated under the assumption it will be split between two brokers and (ii) built into the cost of the commercial space being leased.
In other words, a tenant is essentially already paying for the Tenant Rep fee whether they use one or not. So, a tenant may as well benefit from the service and always hire one.
As a tenant seeking commercial space to lease it may seem like you have access to most listings on market. From LoopNet to CoStar, there are various free online commercial real estate listings sites housing thousands of available assets to lease…but they have their limits. Not only are most listings snatched up before they make it to these publicly accessible platforms, with free accounts the information is limited and often inaccurate. Free online listing platforms are an easy way for a tenant to spin their wheels and waste valuable time when searching for a space to lease.
In order to truly gain access to every listing available in your market you need to use tenant representation. A dedicated Tenant Rep is a licensed commercial real estate Broker and, as such, has access to several paid listing platforms including LoopNet, CoStar and the commercial MLS (multiple listing service). Access to up-to-date commercial listings has a price, and you don’t have to be the one paying for it.
In addition to access to paid listing subscriptions, a Tenant Rep has knowledge of listings that may not be on market yet, or even ever make it there. Through numerous colleagues and industry relationships, Tenant Rep’s know of impending availabilities before anyone else.
We would never suggest embarking upon a legally binding relationship without proper representation. This is especially true when leasing commercial space. As a tenant, when you work with a Broker at a particular property know that individual is acting as the landlord’s representative. He or she works directly for the property owner and is legally and morally bound to protect the landlord’s interest over yours. They are not in the business of showing you the best property deal in the area, they are in the business of getting you to lease space in their client’s building at the highest possible price.
By using tenant representation a tenant hires a licensed commercial real estate Broker that is legally and morally bound to put their, and only their, interests first. A Tenant Rep’s only job is to find their tenant client the best commercial space at the best possible price and terms. They will not only find, but also negotiate the best deal that meets a tenant’s current and future needs.
If you are seeking to lease commercial space in Baton Rouge or surrounding areas then give us call! The team at SVN | Graham, Langlois & Legendre has vast experience helping countless tenants find and secure their ideal commercial space. Our dedicated tenant representatives fight hard and negotiate the most optimal lease agreements for their tenant clients. If you would like to learn more about how we can help you, please contact us at 225-367-1515.