What is the Role of a Commercial Brokerage?
Commercial brokerages are a specialized type of real estate brokerage firm that find a niche in larger and more economically productive markets. Instead of working on residential housing for home buyers, tenants, and speculators, these brokerages concentrate directly on the commercial marketplace. This makes them extremely useful for commercial real estate investors for two reasons. The first is that they are often well informed about what kind of commercial real estate is available for investment or purchase. The second is that they excel at providing tenants for commercial properties.
Commercial brokerages are adept at bringing commercial transactions to completion. That means they maintain comprehensive databases of all the commercial properties available in their areas, which smooths the process for prospective investors. They have extensive relationships with the inspectors and code enforcement practices in their locality, and they will also be able to help put their clients in touch with any number of professionals in the construction trades with relevant specialties. They will know the requirements for insurance and the firms that will provide it. They may even be able to smooth the financial processes and put the investor in touch with suitable government and banking entities. Commercial brokerages can function as one consolidated “front end” for many important commercial property services.
Once the property is obtained, commercial brokerages often take on a much different, though equally important, aspect. That is because they also serve to put commercial tenants in touch with property owners. Any number of prospective tenants, representing every type of commercial use and length of the lease, will work through their local commercial brokerages to find the space that they need. Commercial property investors that maintain a strong relationship with their commercial brokerage may be rewarded with simpler and more productive tenant relations. This has the potential to make an enormous difference in their investment’s bottom line.