1. Choosing the Right Location
Choosing the right location is about more than mapping. It's about knowing the realities on the ground - how people in a community move around, where the informal dividing lines between areas are and where the alternate commute routes can all impact the suitability of a space. Whether it's a retail center that needs evening drive traffic or a distribution center that can't afford to have its trucks stuck in traffic, a tenant's rep's local knowledge can steer you to spaces that will improve business' performance instead of hinder it.
2. Choosing the Right Space
Even if you're an expert in the big picture of real estate asset management, your tenant rep's local expertise can help you pinpoint the perfect space for your business. Instead of depending on "For Lease" signs or Internet searches, using your tenant rep's connections can give you access to spaces that aren't yet on the market or those that are only available as subleases.
Frequently, the increased exposure to space can help you find one that is better suited to your size needs, saving you from paying for unnecessary square footage. He may also be able to get you a better glass line, an end-cap instead of in-line space or a location in a warehouse with better column spacing for your applications.
3. Better Market Lease Data
Whether you're looking for a new space or you want to ensure that your current space is competitive, a tenant rep has detailed market data. In addition to providing useful information, he knows the story behind many deals so that you can have a better sense of what tenants actually pay and what landlords actually accept.
4. Better-Suited Space Through Negotiation
While a tenant rep's negotiating skills can help you get lower rents, you can also use it to get space that is better customized to suit your needs. Getting your space built out the right way can help to make you more productive and increase revenues. An extra $5 or $10 per square foot in TIs could mean the difference between windows in your warehouse's office space or an ensuite cafe in your graphic design firm's creative area.
5. Improved Decision Making
Big real estate asset management decisions like whether to buy, sell, rent or hold real estate is hard to make in a vacuum. Making the wrong choice could leave you with millions of dollars of capital tied up in white elephant properties instead of boosting your company's bottom line.
The same tenant rep that helped you get into your spaces can also help you decide what to do with them when they become ready for refinancing or your use for them shifts. A tenant rep's expertise in finding you a space comes from his understanding of what tenants want. Your rep can help you understand how the market perceives your space so that you can make better real estate asset management decisions.
Learn more about Tenant Representation: