Tenant Representation Process

What to Expect During the Tenant Representation Process

If you are considering a tenant representative to guide you in finding the right commercial real estate for leasing, you may wonder what to expect from the process. Experienced tenant representation is a way to find not only the ideal location to lease but also to understand and negotiate the lease to set your business up for success. Let’s take a closer look at what you can expect when you have the right tenant representative on your side.

What Is Tenant Representation?

Tenant representation is a form of commercial real estate brokerage. This means you have an agent who focuses on your needs and interests. The role is similar to that of a buyer’s broker for someone in the market to purchase a property. However, in this case, you are leasing. A tenant representative will guide a tenant through a commercial real estate leasing transaction—from start to finish. They take the stress out of the property finding and leasing process.

What Does a Tenant Representative Do?

Your tenant representative will handle several tasks related to your commercial real estate search and leasing experience, including:

  • Helping you decide whether it’s best to relocate or renew a lease
  • Finding the ideal commercial real estate space to meet your needs
  • Explaining the conditions and details of a lease agreement
  • Successful negotiating of the lease

Because as a tenant, you are not necessarily an expert in commercial real estate, your tenant rep will use their extensive knowledge and expertise to help you avoid mistakes and achieve the best outcomes possible for your business.

How Does the Tenant Representation Process Work?

When you hire a tenant rep, the first thing they should do is conduct a thorough needs assessment to get to know your business goals and commercial real estate needs. Then, they will be there with you every step of the way—from site selection and lease negotiations to lease expirations and renewals.

Having a tenant rep is like having your own personal commercial real estate expert. Your rep will make your business interests their top priority. While a landlord may be too busy to answer your questions, a tenant representative will answer all of your questions and help you get the information you need to make the best leasing decisions for your business. Tenant representation ensures you understand all the terms and conditions of a lease agreement, so you can move forward with confidence.

Secure Trusted Tenant Representation at McBride & Ceballos

At McBride & Ceballos Commercial Real Estate, we provide attentive, professional tenant representation so you can have the most successful commercial leasing experience. We understand that poorly negotiating a lease can be devastating to your business. Let us facilitate a smooth, hassle-free process that sets your business up for profitability.

Contact McBride & Ceballos Commercial Real Estate today to learn more about our tenant representation process or to get started.

Benefits of Tenant Representation

5 Benefits of Tenant Representation

It’s common for landlords to have representation during a commercial real estate negotiation. Therefore,  more tenants are discovering how beneficial tenant representation can be. If you are a tenant looking for office, retail, or warehouse space in the Gwinnett County area, finding a trusted professional tenant representative that can help you achieve a hassle-free and successful real estate negotiation process.

Here are the top 5 benefits of tenant representation before you move forward:

#1: Improved Landlord Communication

The truth is, it’s not always easy to communicate with busy landlords. They may not always return your calls. Sometimes they will leave you wondering how to get the information you need to make a decision on a potential property.

An experienced tenant representative will have established a relationship with landlords in your area. Also, they will leverage those relationships to get the information you need when you need it. No more waiting around for phone calls or leaving messages that may not get a prompt response.

#2: Find the Right Space for Your Unique Needs

Choosing a suitable space for your business is crucial to your profitability and business growth. Your tenant representative will help you identify the features you must have to set your business up for success. Then, they will connect you with the commercial properties to meet your needs. They’ll help you narrow down the must-have features such as location, parking, and amenities and work with you to find the perfect property that checks all the boxes.

#3: More Effective Lease Negotiation

One of the most challenging aspects of pursuing a commercial property is the lease negotiation. In most cases, tenants will not have the knowledge to determine if the landlord is offering reasonable rates and conditions. Because tenant representatives are experts in commercial lease negotiations and real estate, they’ll be able to guide you through the process.  They will also ensure you protect your interests.

The best tenant representation will add value to the process, helping you know the factors impacting the market and explaining all the details to you as you go. Then, they will negotiate the deal terms on your behalf.

#4: Clear Understanding of All Terms and Conditions

Commercial real estate can be complicated. From legal details and industry-specific terminology to real estate market factors, it’s impossible to understand it all unless you have experience in commercial real estate. To give you the best opportunity to find the right commercial space and ideal lease terms, choose a tenant representative to guide you. A tenant rep will take the time to explain all terms and conditions to you, so you have a clear understanding of the lease agreement and can feel confident moving forward.

#5: Save Time So You Can Focus on Your Business

Without tenant representation, you’ll spend countless hours trying to understand and negotiate the lease agreement on your own, which means your core business may suffer. Securing trusted representation will allow you to keep your business productivity high as you navigate the process.

Contact McBride & Ceballos Commercial Real Estate today to discover the benefits of tenant representation for your business.

Commercial Property Manager

Should I Hire A Commercial Property Manager?

Often a new building owner doesn’t realize all that is required to manage commercial real estate. It won’t take long to learn there is more to it than just depositing rent checks. However, it’s not the kind of thing you want to learn on the job. There is too much on the line to risk managing a good property poorly.

Property management is a full-time job.

If you are an experienced building owner, you already know that property management is a full-time job.  A good property manager must be proactive when considering the volume of detailed tasks that need regular tending. Anticipating needs, rather than waiting for inevitable problems to develop, signifies a good property manager.

That means an organized and systematic approach to market analysis, tenant relations, collections, financial reports, lease management, marketing, hiring vendors, managing repairs, scheduling annual inspections, and the hundreds of other issues a commercial building requires attending to. To be sure, anyone can learn how to do these things and create systems around them, but it takes time.

Commercial property management experience is essential.

At some point, it may become evident that unless you intend to become an experienced property manager yourself, then hiring a professional commercial property manager is the way to go. A good property manager will already have the processes, relationships, checklists, data, and knowledge to get the most out of your investment for you.

Unless you are onsite, an experienced property manager will spend more time at your property than you will. They will know your tenants better than you will. They will understand the physical condition of your building better than you will.

The point of hiring a good commercial property manager is to free you up to spend your time on more profitable activities. Perhaps activities that can help you to own more commercial real estate. If you need a property manager, contact us today.

Investing in Commercial Real Estate

Investing in Commercial Real Estate: It’s as Much a Business as an Investment

Let’s be clear, investing in commercial real estate can make you, and it can break you. To be sure, a lot of folks have made and lost fortunes in residential investing too. This article is about commercial investing, so that’s what we’ll consider here. That’s not to say investing in commercial real estate is really any different than any other business you may invest in. It has the potential to change your financial life, but without a serious business approach, you are almost dooming yourself to fail.

Unlike stocks, bonds, or mutual funds, investing in a commercial building is more of a hands-on affair. If you have a multi-tenant building, it’s even more so. That doesn’t mean you have to be the one to be hands-on, but someone does. There are so many tasks, and circumstances particular to your property, that may not apply to other like properties, that keep commercial real estate from being a passive investment.

Choosing Commercial Real Estate

Once you’ve decided what kind of property you want to buy, whether retail, office or industrial, you need to be sure to get a good price. You do that by performing thorough due diligence, to make sure you’re getting what you pay for. That is only the beginning though. You should maintain the commercial property with a competent contractor.  It should also be competitive, relative to its immediate market. It needs to have happy and successful businesses for tenants. Also, it needs to be watched for opportunities to reduce expenses and increase profits. These and other good landlord skills are needed to ensure your commercial investment continues to be worth your time and money.

Remember, you don’t need to be the one to do all of this work, and unless you are experienced at managing a commercial property, you really shouldn’t. Some of our clients who probably could manage their own property, don’t. There is so much more to consider than what’s here. If you want to learn more, check out our reviews, and ask us to help you.

Why a Small, Local, Commercial Real Estate Firm Might Be Right for You

One Reason Why a Small, Local Commercial Real Estate Company Might Be Right for You

Every commercial property owner and tenant has to decide when to hire a property manager or broker.  Should you choose a small local commercial real estate company or a larger one? Obviously, there is more a lot to consider. So, the following might be helpful if you are trying to decide who to go with.

Large Firm Talk

Recently, I was researching other commercial real estate brokerages in my market. A question was asked on the website of one of the large national firm’s landlord representation page. I thought the answer demonstrated perfectly how large corporate firms could be very different from small local brokerages. The question was: “How can I distinguish my building from other properties?” And the answer went like this:

“Cultivating and highlighting your property’s unique amenities requires a nuanced understanding of the property, local ecology profile, and the market at large. It’s also important to showcase the benefits of adjacent tenants and services, as leasing space to complementary businesses can help foster a sense of community that makes the property more desirable.”

Small Firm Talk

Now I get it; some folks really talk like that. Some companies may need a broker that talks like that because that’s how they talk at their company. However, here is a different way to phrase the above answer. “You need to have a thorough knowledge of your property and market. And, by describing the tenant mix in your building and the surrounding area, you can make your property more attractive to prospective tenants.” I know it doesn’t sound as fancy, but that may be closer to how you talk.

It’s a subtle point I’m making here, but different firms have different cultures, and you might want to consider the culture of the firm you are going to be working with. That’s not to say all small firms are down to earth. Many small brokerages try hard to look and sound stuffy and important, but we don’t talk or act like that, and I think our clients, even our big Fortune 500 clients, tell us they appreciate that. If you want to learn more, check out our reviews, then ask us to help you today.

Find the Right Commercial Building

6 Can’t-Miss Tips to Find the Right Commercial Building for Rent

Renting the right commercial building is a very personal decision. You want everything about the property you select to be just right. After all, the needs of your company vary from the requirements of another. Moving into the first building you see may not be the best choice. Instead of settling for second-best, follow these tips to ensure you find the right commercial building for your business.

Create a Wish List

Close your eyes and envision the perfect commercial property. What do you see? Before you start searching for buildings, write down your non-negotiable and nice-to-have requirements. For instance, you may prefer high ceilings but absolutely need natural light. Creating a wish list for your ideal workspace will make it easier to sort through current listings. It will also ensure you don’t rent a space you outgrow before the lease expires.

Consider the Location

The location of the property should be on the top of your priority list. Too many business owners assume they can operate their company from any location, but this isn’t always the case. Those who regularly meet with clients, for example, need a space that’s easily accessible. However, if you run an industrial facility, you may want to look on the outskirts of town to save money.

Business Image Matters

How do you want your clients, customers, or employees to view your company? The right commercial building should reflect your business image. Trendy, high-tech companies may feel at home in a warehouse or loft with exposed beams, for instance. But those who handle more white-collar clients may prefer a traditional office space.

Parking Is Paramount

Before signing a lease, make sure you ask about the parking situation. Is there a free car lot, or will you have to pay an additional fee? And will your clients or customers be able to park easily? Parking may not be an issue if the building is near public transportation. But if you plan on commuting to work each day, you don’t want to spend extra time searching for a parking spot.

Know Your Budget

How much can you really afford to allocate towards rent? You may find the perfect building that has every amenity you could ever possibly want. But if it’s out of your budget, you should look elsewhere. Know the true cost of renting the building before you sign a contract. In addition to the base rent, there may be additional fees, including taxes or zoning costs. Set a firm budget, and stick with it.

Find the Right Commercial Building with the Right Real Estate Firm

Searching for a commercial rental property on your own is like trying to find a needle in a haystack. You need someone who knows how to negotiate a fair commercial lease and who will advocate for you. When the time comes to rent a new space, hiring a commercial real estate firm is perhaps the best decision you can make.

McBride & Ceballos Commercial Real Estate wants to help you sign the lease on your next office, retail space, or warehouse building. No matter your business’s needs, our team will work diligently to ensure you move into the ideal space. We take pride in representing our clients from start to finish. Check out our reviews, and contact us today to find the right commercial building for rent.

Ask Yourself This Before You Look for Commercial Space – Part 2

Ask Yourself This Before You Look for Commercial Space – Part 2

In part 1 of this article, we considered the location and general questions you want to answer before looking at your first commercial property. In this part, we look at the questions to ask about the actual space configuration requirements needed to run your business. You want to strike the right balance. You’ll need enough space so that your employees are happy, your operations function efficiently, you are portraying the appropriate image, and maybe so you even have room for some growth, all without breaking the bank.

Every company has different commercial real estate needs that are specific to their industry. For instance, a medical office might need exam rooms and a lab, a restaurant usually needs walk-in coolers and a grease trap, and a distribution company probably needs docks or drive ramps.

Essential Questions to Ask Before you Look for Commercial Space

These basic questions should give you a good starting place. You will be on the right track when you begin to research what’s available for lease on the commercial real estate market.

  • What kind of commercial property do you need? Industrial, office, retail, specialty?
  • How many square feet will you need?
  • Do you want an open floorplan, private offices, or a combination?
  • Do you anticipate needing room to grow?
  • What kind of improvements will you be asking the landlord for beyond paint and flooring?
  • Do you need any of the following: offices, storage rooms, kitchen or breakroom, conference room, showroom, reception area and or lobby, server room, training room, restrooms, workstations, or a warehouse?
  • Do you have any special electrical, heating, cooling, IT, security, safety, or regulatory requirements?

Of course, there are a lot more questions to ask that are particular to your situation.  In part three, we’ll look at typical qualifying questions a landlord might ask you.  If you need help, in the meantime, check out our reviews, and then ask us to help you today.

Ask Yourself This Before You Look for Commercial Space – Part 1

Ask Yourself This Before You Look for Commercial Space – Part 1

Before you look at your first property or make an appointment to tour or make your first lease proposal, you have to start at the beginning. You have to define your requirements. There are a number of important questions to ask to accurately define your requirements. As brokers, there are a number of questions we ask our clients to move from a rough idea of their needs to a clearly defined objective. We will use this information to screen out unsuitable properties once we start to make calls on available sites.

To define your requirements, you first have to answer a lot of questions. In part one of this article, we’ll consider location and general questions.

Take look at what you’ll need to ask yourself before you look for commercial space.

  • What geographic areas are of most interest to you?
  • Is visibility important?
  • How many square feet will you need?
  • How many employees will be at this location?
  • What is your annual budget for rent, CAM, taxes, and insurance?
  • What length of the lease is preferable?
  • Is future expansion important?
  • When does your company intend to move in?
  • When does your current lease expire?
  • What are your parking and transportation needs?
  • Will your employees need access to public transportation?
  • Do clients visit you often?
  • What kind of image would you like to establish?

Asking these questions and others in advance will save you time and avoid starting in the wrong direction. Committing your requirements to paper will also help you as you visit properties to make sure nothing is overlooked. In part two of this article, we’ll look at questions to ask regarding space configurations and in part three we’ll look at typical qualifying questions a landlord might ask you. Of course, there are many more questions we ask our clients before we look at commercial space.

If you’re in the Atlanta area we certainly can assist your business find your next location. So, check out our reviews and then ask us to help you today.

Is Your Listing Broker Doing His Job

Is Your Commercial Listing Broker Doing His Job? – Part 1

Sellers often wonder if their commercial listing broker is actually doing anything to sell their property. Usually, this question begins to gnaw at them once the initial flurry of listing activity is over, and some time has passed where they have yet to see any sign of progress. If you find yourself in this situation, it doesn’t necessarily mean your broker is a dud; it could just be that he isn’t communicating as often as you’d prefer. It’s possible your broker could be working like a champ, marketing to his investor and broker lists regularly, following up on leads, and even showing your property. But if you don’t hear about any of this activity, you’re right to wonder if he’s doing his job.

Communication

Every seller wants a different level of communication. Some only want to hear from their broker when there’s activity. Others want to get an update regularly, whether there is activity or not. So, there is no harm in letting your broker know you’d like to hear from him more frequently.

That being said, commercial real estate brokers do not have a good reputation, on the whole, for returning phone calls or emails to a prospective buyer. Don’t ask me why. It takes so much work to generate interest in a property; why anyone would fail to follow up boggles the mind. But unfortunately, it happens with some regularity.

If you suspect that is happening to you, you can have a friend make inquiries from time to time, posing as an interested buyer, to see how well your listing agent is following up—kind of like how retail establishments hire secret-shoppers to rate their employees’ customer service.

Be Proactive

Being proactive will save you time and secure a buyer faster, so it is important to be sure your broker is doing everything he could, and if he doesn’t, then know that sooner is better than later.

There is more to this subject. In part 2 of this article, we’ll talk about other ways you can determine if your listing broker is doing his job. In the meantime, if you want to learn more, check out our reviews, and then ask us to help you today.

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What is Buyer’s Due Diligence and Why Should You Care?

I’ve heard there are more millionaires made selling cardboard than Cadillacs. Writing about due diligence made me think of that because it’s pretty boring, but it’s where all of the profits are. Done well, due diligence will make a good deal, great. On the other hand, if done poorly, it’ll cost you a fortune and put you out of the commercial real estate investment business for good.

So, What is Buyer’s Due diligence?

Well, when you put a commercial property under contract, you usually have a period where you can back out of the deal with minimal penalties. That is your due diligence period. This is when you ask the seller everything about the property, but more importantly, you get them to verify the claims they are making. Due diligence is simply making sure you get what you pay for.

When you do it right, you have a checklist. A big checklist, with lots of sub checklists, on every aspect of the purchase. You’re verifying things like leases, rent history, bank statements, utility bills, permit drawings, warranties, certificates of occupancy, tax appeals, operating expenses, and hundreds of other details about the property.

Never Assume Anything

You can’t assume anything you’re being told is true. Your seller is always going to paint a rosy picture, leaving out the ugly details. Your job is to uncover those details because every one of them will eat into your deal, making the property more expensive than you actually think it is. Whatever you catch in the due diligence process, you can try to get a discount on your contracted price. But if you don’t catch it, well, then it becomes your problem after closing. Caveat emptor or buyer beware.

Sure, it’s time-consuming. Sometimes a seller doesn’t want to provide the necessary documentation. Sometimes, after all of your hard work, you come to realize you should walk away. But seriously, wouldn’t you rather know that before the close, and not after?

Commercial real estate is an expensive investment. You need to make sure the buyer’s due diligence is complete to prevent a good deal from turning into a disaster. Unfortunately, very few brokers or buyers do it well, if at all.

Get What You Pay For

To make sure our clients are getting what they pay for, we have an extensive checklist that we run our buyer clients through. If you want to learn more, check out our reviews, then ask us to help you today.