Browsing articles from "January, 2016"
Jan 11, 2016
Synergy Blog Admin

Importance of Tenant Representation

It doesn’t matter if you’re looking for your first office space or you’re experienced in finding the perfect spot for your company, using a tenant representative broker is a must when searching for your next office space. A tenant rep will work on your behalf to find the perfect spot for your clients, finding spots in great locations and at prices you can afford.

There are several reasons it makes sense to use a tenant representative, the first being that they will be fully versed in city codes and regulations. There are many examples of business owners thinking they were ready to move into their space, only to find that the building was out of compliance with city code. For example, specific city codes reference things such as wheelchair ramps or accessible bathrooms (among other things), and those things can be tricky to navigate if you are not familiar with them. A tenant rep will be able to advise you on issues like this.

You don’t want to end up in a scenario where you are paying rent costs on a new place, while then needing to rent out a temporary location while your new building is updated in order to meet city code. The tenant rep will be able to watch out for your financial interests in any deal that you might do.

Another benefit is that tenant reps will know the worth of commercial real estate in the area. If you are not familiar with the local market, especially if you are just moving in, you may waste valuable time and energy looking for spaces that are unrealistic for your budget. A tenant rep will help narrow your search down and find great spaces so that you can spend your time growing your business. Tenant reps also generally have the most updated listings of what is on the market (or even of things that haven’t hit the market yet), allowing them to more efficiently find properties that will match your criteria.

Last, a tenant rep will know the ins and outs of leases, including the things that are negotiable. In a typical lease agreement, there are often many clauses and intricacies that can be a bit overwhelming if you are not familiar with the contract language. A tenant rep will have navigated that contract to make sure you aren’t hit with any surprises down the road.

There are many examples where a smart tenant rep broker can help you negotiate favorable lease terms. For example, a termination option will give you the ability to ask for a grace period on terminating a lease to help cause minimal impact your financials. A right of first refusal could give you the first look at any available space in your building before it gets put on the market, which can be especially valuable if you are a growing company. Another example is in a renewal option, which may allow you to renew your lease at a cheaper rate.

If you are looking or are going to be looking for a new office space, consider a tenant rep broker and the benefits they can provide for your business. They will help save you time and money, all while helping you find the perfect office space for you while helping you get the best contract language and benefits possible.