Don’t Call the Guy on the Sign: Why Tenant Representation Brokers Remain Crucial
Never call the “guy” on the sign. That guy (or gal) is the landlord’s broker whose fiduciary responsibility is solely to the landlord. No matter how nice the landlord’s broker is, they are not your friend, and they do not have your best interests in mind. Tenants will have reduced rights, pay more occupancy dollars, have less concessions and limited flexibility with this arrangement. Imagine facing a lawsuit. You wouldn’t rely on the other side’s lawyer, would you? The same logic applies to commercial leases. Yet, many tenants still negotiate with their landlord’s broker themselves, missing out on crucial expertise, and getting a bad deal.
While California allows “dual agency” (where one broker represents both landlord and tenant), its ethics are increasingly questioned. The 2016 Horiike v. Coldwell Banker case highlighted the inherent conflict of interest, acknowledging that conflicts of interest are possible, even probable where a dual agent’s associate licensee purports to represent just one party to a transaction. However, such conflicts are inherent in dual agency situations, which the legislature has chosen to approve.
Here’s why a Tenant Representative Broker is Vital in Southern California:
- Undivided Loyalty: A Tenant Rep prioritizes your interests, not the landlord’s. They have a fiduciary duty to secure the best deal for you.
- Market Expertise: Commercial real estate is complex and constantly evolving. Tenant Reps have the latest data and knowledge to navigate negotiations in your favor.
- Cost Control: Beyond rent, there are hidden costs like common area maintenance (CAM) general day-to-day operating expenses (OPEX), and parking. A Tenant Rep ensures transparency and negotiates favorable terms for these expenses.
- Future-Proofing: Your lease should consider your business growth or contraction. A Tenant Rep can advise on flexible space options or future expansion possibilities.
- Beyond the Lease: Tenant Reps handle the entire process, from location analysis to lease negotiations. They consider market trends and ensure the location remains suitable for your needs.
- A Trusted Team: Top Tenant Reps have a network of professionals: designers, architects, lawyers, and contractors. This team streamlines the process and protects your interests at every step.
Tenant Brokers Work for You, Not the Landlord
In today’s dynamic Southern California commercial real estate market, a Tenant Representative Broker like Mazirow Commercial is an invaluable asset. Our expertise saves you time, money, and ensures a lease that aligns with your business goals. Don’t go it alone – secure your competitive advantage with Mazirow Commercial on your side. Call us at (805) 449-1945 for a consultation!
Mazirow Commercial Represents Commercial Tenants and Buyers Throughout Southern California:
Agoura, Beverly Hills, Brentwood, Burbank, Calabasas, Camarillo, Encino, Glendale, Oxnard, Pasadena, Santa Barbara, Santa Monica, Sherman Oaks, Studio City, Tarzana, Thousand Oaks, Ventura, West Los Angeles, Westlake Village, Westwood, Woodland Hills
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Ready to start saving time, money, and headaches on your commercial lease? Schedule a free consultation today with one of our skilled tenant representation specialists.