The best way to get a broker to work for you is to hire them as your exclusive tenant representative. Most brokers have representation letters for you to sign and once they know that you are committed to them, they will work hard for you. This creates a mutually beneficial arrangement that is set on getting you the best deal possible.
When considering which tenant rep broker to hire, there are many factor to keep in mind. First off, what firm does this broker work for, and is it reputable? Testimonials from contacts and references can give you some insight on whether this firm is right for your situation. Your tenant rep broker should have expertise that is applicable to your field, so they understand all of the variables involved. For example, if you’re looking for an industrial space, your broker should be knowledgeable about industrial floor plans.
Next, consider what the negotiating history of your tenant rep broker is. Have they secured deals in the past for businesses in similar situations as yours? A broker who is knowledgeable about the current market can negotiate skillfully and help you land a better deal. When meeting with a potential tenant rep, you can ask them about the local market to get a gauge for their knowledge in the field.
Hiring a tenant rep broker helps to remove the conflict of interest that can exist when only a single broker is involved in a transaction. By having a tenant broker who is free of bias and doesn’t have any interest in a specific property, a more global view of the market can be utilized to find and negotiate better deals. That’s why it’s important to hire a tenant rep broker who you trust and enjoy working with. They should help make the process easier for you and your business.
You search for a tenant rep broker in the same way that you search for a commercial real estate broker — most will be willing to represent you when you sign an exclusivity agreement with them. Local references and reviews can play a role in finding the right commercial real estate agent to serve as your tenant rep broker. Once you communicate your interest in finding a new space for your business, they can assist you in making a smooth relocation.
It’s generally considered to be good practice to hire a tenant rep broker from a separate firm than the listing agent, but again, every situation is different. This can help to avoid potential conflicts of interests that arise when brokers come from the same office.