Commercial Real Estate Leasing Broker

A commercial real estate broker handles various transactions like sales and leases. A leasing broker specializes only in lease transactions. Both help clients find suitable properties, but their focus differs.

A leasing broker helps clients find and negotiate leases for commercial properties. A property manager oversees the day-to-day operations and maintenance of properties, handling tenant issues and ensuring the property runs smoothly. Their roles complement each other but focus on different aspects of property management.

To lease a commercial property, start by determining your needs and budget. Then, search for suitable properties and schedule viewings. Once you find the right space, negotiate lease terms with the landlord. Complete any required paperwork and inspections before finalizing the lease agreement.

The main lease types in commercial real estate are:

• Gross Lease: Tenant pays a fixed rent, and the landlord covers property expenses.
• Net Lease: Tenant pays base rent plus some or all property expenses.
• Triple Net Lease (NNN): Tenant pays base rent plus all property expenses.
• Percentage Lease: Tenant pays base rent plus a percentage of sales revenue.

A 1031 exchange property sale offers sellers several key benefits:

1. Tax Deferral: Sellers can defer capital gains taxes, preserving liquidity for reinvestment.
2. Wealth Preservation: Wealth remains intact, potentially enhancing purchasing power.
3. Diverse Investments: Diversification is possible by exchanging into different properties.
4. Increased Cash Flow: Potential for higher income properties and increased cash flow.
5. Portfolio Growth: Continuous portfolio expansion without immediate tax payments.
6. Estate Planning: Deferred taxes benefit heirs on a stepped-up basis.
7. Property Upgrades: Opportunity to acquire newer, higher-value properties.
8. Market Adaptation: Adjust to changing market conditions or property types.
9. Risk Mitigation: Spread risk across various properties or markets.
10. Long-Term Benefits: Offers enduring tax savings and wealth accumulation potential.

Consult with tax and real estate professionals for effective 1031 exchange planning.

Commercial real estate brokers typically get paid through commissions based on lease transactions. The commission is usually calculated as a percentage of the total lease value. The exact percentage can vary and is negotiated between the broker and the client or landlord before the lease agreement is finalized.

To rent out a commercial property, start by preparing the space for showing. Then, advertise the property through various channels. Once you receive inquiries, schedule viewings and negotiate lease terms with interested parties. Complete any necessary paperwork and inspections before finalizing the lease agreement. An experienced CRE broker can efficiently handle the whole process for you.

To find a tenant for a commercial property, partnering with a CRE broker is key. They leverage their networks and expertise to connect you with suitable tenants efficiently. They handle marketing, screening, negotiations, and finalizing agreements, ensuring a smooth process and securing the best outcomes for your property.

Typical commercial lease terms include:

• Contracts lasting 3 to 5 years, depending on your goals.
• Year-to-year contracts if you’re looking to sell your property.
• 3 to 5% yearly rental escalations, often tied to the Consumer Price Index (CPI).
• Lease types vary by property type — single tenant industrial properties are typically under gross leases while a multi-tenant shopping center is normally under a triple net lease, for example.

We focus on representing property owners (lessors), and strive to find qualified lessees — i.e., tenants willing to pay top dollar for a property that’s perfect for their business. To achieve this, we’re diligent with our marketing efforts and property disclosures. Additionally, we ensure compliance throughout the whole process, keeping our clients out of the courtroom and avoiding fines.