If you are venturing into the process of purchasing a commercial office or retail property, we highly suggest to hire a professional to help you. Having an expert or broker, with industry knowledge will ensure that you get a better negotiation on your lease, and that you are getting the rate your space deserves. In commercial real estate, there are two types of professionals we recommend.
LISTING AGENT VS. TENANT REPRESENTATIVE
A listing agent is a real estate professional whose main duty is to represent the landlord or property owner. Their goal is to obtain the highest value of rent/sale price with the lowest amount of risk. Listing agents will debate prices with the interest of the landlord using their bank of market expertise and knowledge.
A tenant representative is another professional that will help you purchase/lease a commercial property. Tenant representatives will help you pinpoint the best locations by negotiating prices with the landlord to help you get the best deal. You would not need to pay a tenant representative for their services, but instead they will split their share of the commission with the listing agent. It is best practice to hire a tenant representative, especially if you do not fully understand market conditions.
It is highly encouraged to hire a professional with extensive knowledge and negotiation experience. When you do, you will end up with a better price on the property you are buying/selling/renting/leasing. Having a professional, whether a listing agent or a tenant representative, will be a massive benefit in the process of purchasing commercial real estate.
If you would like to speak to a broker at Cushman & Wakefield | Commercial Kentucky we would be happy to answer any commercial real estate questions you had.