Commercial Real Estate Book - Leasing Book Preview

of space is crucial for using your money in the best way possible.

For example, without good representation, a tenant could sign a lease that allows for $36 per SF of improvements. However, the tenant wouldn’t have a way to find out that the market rate right now is $22 per SF. If it’s a 5,000 SF office space, that’s a $7,000 difference in the improvement budget. Also, it takes time and effort to properly manage the budget and plan out the entire process. Most employees or owners don’t have time to do this in a reasonable window, since it can be a full-time job. The broker will use their experience to guide the tenant into the best square footage for their staff and budget. Most brokers have programs that run the numbers for your prospective office and give you the best fit for your best price.

YOU NEED THEM TO HELP WITH LEASE OCCUPATION AND CONSTRUCTION MANAGEMENT

After a lease is signed, it’s time to build out your office and go through with the terms that were agreed upon. It’s the broker’s job to make sure the terms are met in a timely manner. You don’t want to be the one chasing down your landlord and trying to get construction bids done. The broker will make sure that the buildout is completed properly by the construction company. It is their job to stay on top of that and everything that comes before and after it. If your move-in date is impacted by slow construction or any type of disagreement, they can negotiate some favorable aspects of your early rent with the landlord or just void the lease altogether. Having someone with experience in these situations makes all the difference.

A BROKER WILL FOLLOW THROUGH ON EACH DETAIL THROUGHOUT

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