You can expect a proactive Tenant Representative to:
Analyze your space needs.
The Tenant Rep will assist you in calculating your actual need for space and determining your particular layout needs. This will prevent you from wasting time on property negotiations that are not right for your organization. Most importantly, it will prevent you from leasing too much space. The landlord has no incentive to help you economize on space and save money.
Investigate all available properties and determine which are the most appropriate for your needs.
This involves more than scanning the available listing services. A professional tenant rep will identify a property that is not an obvious choice to meet your needs. This could result in lower rental rates and space that is better suited to your needs.
Create a bidding war among several landlords for your business.
A good Tenant Rep will leverage your requirement by launching a successful bidding war and prevent you from being a "captive audience" to one developer. The optimal number of bidders is usually three. Even if there is one property that you and your representative agree is the best, creating a three-way competition will optimize your negotiating position. The result will be concessions and incentives that exceed the norm in the marketplace.
Protect you during lease negotiations so that you come away with terms that meet your present and potential future needs.
The Tenant Representative knows all the ins and outs of real estate transactions and will help you avoid possible pitfalls. For example, a tenant representative would ensure you retain such options as subletting or termination in case you eventually shrink your organization, outgrow the space, or need to close the office. Options for an exit strategy are overlooked at your peril.
Serve as a buffer between you and the landlord.
A Tenant Rep can act as the "bad guy" when necessary during negotiations. At the same time you are securing major economic concessions, relying on a tenant rep to act as the "bad guy" will keep your relationship with the landlord cordial.
Identify lease provisions that could cost you money during the lease term.
These often are hidden in the document and are easily overlooked. The tenant rep will reveal the hidden costs of leasing.
Handle the paperwork and other details of the lease negotiation.
Having a Tenant Rep prepare all proposal requests, financial analysis, and letters of intent will help to resolve issues before the final lease is prepared. A professional tenant rep is familiar with real estate documents and how to compare proposals on an "apples to apples" basis. In addition, the tenant rep will help you avoid disasters caused by signing something by accident or out of ignorance.
Settle disputes that arise even after the lease is signed.
The Tenant Representative will serve as an experienced set of ears and eyes to verify the details of a transaction. The rep's transaction files will provide the documentation necessary to clarify what was said and done during the negotiation.
Only a select few real estate professionals exclusively represent tenants. Such exclusive Tenant Reps never work on behalf of owners and developers. Other real estate professionals divide their practice between both tenant and landlord representation and have a conflict of interest. Make sure you select a Tenant Representative that is 100% on your side.
