You are a qualified business person so why would you need a tenant representative? After all, you have leased a office space in the past. The consideration of bringing in an outsider that can assist you with tenant representative services may appear unproductive.
Anybody can find office space. That doesn’t take much effort. However finding the most suitable choice on your businesses terms that meets your requirements is a different matter.
You may be facing a lease renewal and you can easily make the decision to stay in your present location. The space originally was working well for your business three years ago but it isn’t functional today . Your employees like the location and everybody is used to the commute to the office. The simplest decision is usually to renew your lease.
Don’t make the easy decision and miss out on an opportunity to improve your workplace environment. As the manager of your business look beyond the easy decision and make the better one. You should look at your space and lease and see how it impacts your bottom line and compare it to potential options to see if you can improve your office space?
To be able to make this comparison you need to step away from your daily tasks and go directly into your office marketplace to discover what your options are and what type is the best recommendation for your business partners.
Avoid Rookie Tenant Mistakes
You can do what dilettantes do and look on the internet for space and even make the old fashioned search by driving around in your vehicle writing phone numbers and names to call. Then you can call these brokers and let them use their knowledge of the office market against you since they are negotiating office leases daily and you may be negotiation one lease every five years..
After the broker determines that the location you called about doesn’t match your requirements you give them the opportunity to pitch you on their services. Congratulations your voice mail now possesses numerous messages from salesmen calling you about various offers that takes valuable time away from your core business activities..
There’s a better way. Did you know, that whenever you call the broker from a sign they are currently getting a commission to lease the property for your owner. You will find professional brokers which are within your office market that don’t represent the owners they represent tenants. They’re paid partially the commission of the commission the fact that the broker situated on the sign would get. To get a better understanding of this process you need to know how tenant representative brokers are paid.
Why wouldn’t you employ knowledgeable office tenant representative? A better question is why wouldn’t you employ the services of a space professional that has just one role. To help you get what you want and look out for only your well being?
Some good reasons why you need a tenant representative include:
- Helping you forecast your overall office needs and searching the longer term to position your corporation allowing you so much space you will need with growth
- Analysis of your floorspace requirements. So frequently unsophisticated office users concentrate on the price per square foot and forget the component that drives the whole rental expenses is the square footage. Therefor it is essential that the tenant has the proper square footage.
- A tenant representative speaks with landlord’s brokers a couple of times each day. They have inside info on market rental rates, landlord concessions along with other important characteristics that are only known by being active in the office market on every day basis.
- Data is key. In addition to traditional databases a high quality tenant representative receives numerous daily emails from brokerage community with the most recent offers and important information about sublease opportunities.
- Subleases are the easiest way to reduce rental expense and earn perks like office furniture as well as other assets that could be section of the lease negotiation. Most likely you won’t learn about a sublease by contacting a landlord’s broker because it wouldn’t be in their client’s best interest.
- Lease analysis is crucial to allow a tenant to compare offers. A qualified tenant representative broker would have the resources to easily summarize the lease options so that their client could make good decisions and simply the financial impact of each lease on their business.
- You can enjoy one point of contact throughout the whole process. You won’t be getting sales pitches from different brokers. Everyone will connect with your hired professional tenant representative and he or saw will deliver the information to you. You now not have complete voice mailbox.
- The devil is within the details. A seasoned office tenant representation broker can work with your attorney to take into consideration lease and be sure that current market language is in the lease. A Landlord will offer you their standard lease. It was drafted by their attorney to protect them. A sophisticated office tenant will have their attorney review the lease and an experienced office broker will collaborating with the attorney do ensure the lease meets market terms and conditions.
Remember that you don’t need to be the only person in the process of finding and negotiating your next office space lease. This is an exciting time to your business. You may actually improve your office location and reduce your expenses.