In the South African office and industrial sectors, a property broker represents two sides of a deal: he has his client, the tenant, but he also manages the expectations of the landlord. After all, it’s in his interest for the landlord to be happy in order for the deal to go through.
But if you’re a prospective tenant looking for specialised help, a tenant representation broker may be what you’re looking for. In this article, we look at what they are, how they can help you as a tenant, and what you should bear in mind.
What is a tenant representative?
A tenant representative focuses exclusively on representing your interests as a tenant. Whether you’re a small business or a multinational looking for a new head office, a tenant representative broker will help you through all aspects of securing office premises: from helping you through the leasing process, finding suitable space, to fitting out the premises for occupancy.
Why do you need one?
Negotiating an office lease can be a complicated and expensive process. If you don’t know the ins and outs of negotiating leases or how to ask for what you want from landlords, you may end up paying well over market rates for your premises – or you may end up in a multi-year lease in a property that is completely unsuited to your needs. This is where a tenant representative can help, as they’re there to advise you on every step of the process so that you get the best deal possible.
What specific tasks do they help with?
Depending on the nature of the deal at hand, a tenant representative could assist you in the following ways:
What should you look out for?
- Helping you to decide whether to stay in in your current premises and change them to suit your needs by renegotiating a deal with your current landlord, or move to new premises altogether
Choosing the best location depending on what you specifically need as a business – e.g. proximity to major highways or public transport hubs, a certain size of premises, or needing to be near your bigger clients
- Negotiating the best deal possible with the landlord for new premises
- Helping you to temporarily sublet space if you buy premises with the view to expanding in future
- Advising you on all aspects related to leasing commercial premises
- Helping you with a new office space fit out by connecting you with specialist partners in this area
If you’re looking for a party that looks out specifically for your interests, a tenant representative is crucial to have during your commercial property negotiation. If you’re trying to find one, what should you look out for? First and foremost, your tenant representative should have a good grasp of the market, strong ethics and proven track record.