WHAT IS A COMMERCIAL TENANT REPRESENTATIVE?
Like a real-estate agent or leasing executive that works for a landlord (lessor), a commercial tenant representative works for the tenant (lessee).
A commercial tenant representative is a real estate professional who represents tenants in the leasing of commercial real estate properties. The primary responsibility is to advocate for the tenant's best interests and to ensure that they receive the best possible lease terms and conditions.
The commercial tenant representative acts as a liaison between the tenant and the landlord or landlord's representative, negotiating lease terms such as rental rates, lease length, renewal options, and other lease provisions. They also assist with identifying and evaluating potential properties, conducting site visits, and analysing market data to determine fair market value.
Commercial tenant representatives are legally bound to represent the tenant's best interests, not the landlord's. They work closely with their clients to understand their business needs and objectives, and to find the most suitable properties that meet those needs.
There are several alternative titles or terms used to refer to professionals who provide commercial tenant representation services. Some common alternative titles for commercial tenant representatives include:
Tenant Broker
Tenant Advisor
Tenant Representative Broker
Tenant Advocate
Occupier Representative
Corporate Real Estate Consultant
Commercial Lease Consultant
Tenant Specialist
Tenant Negotiator
Tenant Services Consultant
These titles are often used interchangeably to describe professionals who specialise in assisting tenants with their commercial real estate needs and representing their interests.
FAQ'S
DO I NEED A TENANT REPRESENTATIVE WHEN I AM SEARCHING FOR A NEW SITE?
Having a tenant representative provides numerous benefits. They have extensive market knowledge, negotiation skills, and industry connections that can help you secure the best lease terms, navigate complex agreements, and save time and money.
WHAT SERVICES DOES A TENANT REPRESENTATIVE PROVIDE?
Tenant representatives offer a range of services, including tenant advocacy, property search and evaluation, lease analysis, market insight, negotiation strategies, and more. Their primary goal is to protect your interests and help you make informed decisions.
WHAT IS THE DIFFERENCE BETWEEN A TENANT REPRESENTATIVE AND A REAL ESTATE AGENT?
While both tenant representatives and real estate agents deal with commercial real estate, their roles differ. Tenant representatives exclusively represent the interests of tenants, while real estate agents may represent both tenants and landlords.
WHEN SHOULD I ENGAGE A COMMERCIAL TENANT REPRESENTATIVE?
It is recommended to engage a commercial tenant representative as early as possible in your property search or lease negotiation process. Bringing them on board from the beginning allows them to provide valuable guidance, conduct market research, and ensure you secure the best possible terms for your business.
CAN A TENANT REPRESENTATIVE HELP WITH LEASE RENEWALS?
Yes, tenant representatives can assist with lease renewals. They will review your current lease, negotiate terms, and explore other options to ensure you get the most favourable terms and conditions for your business.
CAN I HIRE A TENANT REPRESENTATIVE FOR ANY TYPE OF COMMERCIAL PROPERTY?
Absolutely! Tenant representatives can assist with various types of commercial properties, including office spaces, retail spaces, industrial facilities, and more. Their expertise extends to different sectors and property types.
DO I NEED A COMMERCIAL TENANT REPRESENTATIVE IF I ALREADY HAVE A REAL ESTATE AGENT?
While real estate agents can be helpful, they primarily represent the interests of the landlord or property owner. Hiring a commercial tenant representative ensures that your interests as a tenant are fully represented and protected throughout the leasing process.
HOW DO I CHOOSE THE RIGHT TENANT REPRESENTATIVE?
When selecting a tenant representative, consider their experience, knowledge of the local market, track record of success, and their ability to understand your unique business requirements. It's also important to have good communication and trust in their abilities.
HOW WOULD A TENANT REPRESENTATIVE GET ME A BETTER DEAL?
Commercial tenant representative can significantly improve your chances of securing a better deal in several ways. They have current market knowledge and insights from many transactions, lease negotiation expertise, access to off-market opportunities, strong industry connections, tools for comparative analysis.
WHAT ARE INCENTIVES AND CAPITAL CONTRIBUTIONS?
These may include rent free periods to allow your business to get established, cash payments or rebates from the lessor towards fitout and other occupancy costs and additional works that the lessor agrees to complete prior to handover (Lessor's Works). A commercial tenant representative will work to ensure these terms are negotiated and incorporated into the lease.
WHAT ARE LESSORS WORKS?
Also known as landlord's works or landlord's improvements, they refer to the construction, alterations, or improvements that a landlord undertakes in a commercial property before or during a lease agreement. These works are typically carried out to meet the specific needs of the tenant or to enhance the overall functionality and attractiveness of the property
DO I NEED A SOLICITOR IN A COMMERCIAL PROPERTY LEASE TRANSACTION?
While it is not a legal requirement to have a solicitor in a commercial property lease transaction, it is highly recommended to seek the assistance of a qualified commercial property solicitor. Most lessors will engage a solicitor to generate and finalise the lease, it is advisable that lessees do the same.
