Looking around for a suitable office space? You have two main options: hunt for a space on your own, or hire a Tenant’s Representative to find one for you. Which option is the better of the two?
If you go about finding an office space yourself, you’d have to look up classified ads, newspaper and relevant websites on the internet where landlords and property agencies advertise their units.
Landlords often work with commercial real estate broker in Singapore when finding tenants, and these commercial leasing agents are an expert in the real estate industry. They work for the landlord, and put their interests over the tenants.
What impact would this have on you?
Most of you would be an amateur in the office rental world, and may not have such a good idea about the average rentals in the area.
In spite of the fact that you may be able to obtain some estimates from the internet, will you be able to negotiate with a professional?
As you good as you may be at it, you can never beat a professional, especially someone who is not working for your best interests.
And let’s not forget that the whole process involves hassles and time. Plus, at the end of it, you may have to compromise on so many things from the rental rate to the terms and conditions of the office lease.
The good thing is that you can take out all the pain from the process by considering a commercial real estate agency in Singapore that offers tenant representation services.
Who is a tenant’s representative?
In essence, Tenant Representatives do what the name suggests; they handle the tenant’s side of a lease transaction in commercial real estate.
A tenant representative is a professional who provides a variety of services to help companies and organizations throughout the entire leasing process, from the initial assessment of their needs and selection of the site to occupancy, lease renewal, and beyond.
There are some tenant representatives who go a step further than that by assisting foreign clients in finding interior designers, gathering insurance quotations, and connecting them with professionals such as lawyers and architects to assist them with the process of renting commercial real estate.
Unlike the commercial leasing agents hired by landlords, Tenant’s Representative works for you, putting your interests first .
A tenant representative offers many benefits, but one of the biggest is that they will take away much of the stress associated with finding the right office space that fits your business goals.
The process of finding the right commercial property for your business is a full-time commitment. Your tenant representative will assist you throughout the whole process, and present the best options for your company, while you concentrate on what matters most to you.
What are the benefits of having a tenant representative?
Commercial real estate in Singapore is a niche market, and as such, only a few agencies have the necessary knowledge and skills to guide their clients. It is imperative to hire an experienced Tenant’s Representative if you plan to rent an office.
There is a significant difference between the terms and processes of residential leases and commercial leases. You will definitely find it easier to locate and rent an office if you work with a property agent who specializes in representing tenants in commercial real estate.
Some residential lease agents may accept your request to represent you, but they are unable to provide the level of service and advice you require due to their lack of expertise.
You can rent an office in less time
The search for a rental office unit can be time-consuming. With a tenant representation service offered by a commercial real estate agency, you can considerably reduce the amount of time involved.
These Tenant’s representatives already have a list of available spaces and rent rates in every district, and once you share your needs, they can show you around.
Working with them increases your chances of finding a suitable office space significantly faster.
This also means that you can spend more time on your business, while your property agent would deal with all lease issues, paperwork and other general technicalities.
Keeps you on top of the market
Property agents who specialize in office rentals are aware of upcoming vacancies and can easily show you more options and negotiate a fair rental rate.
There are times when some of the rental offices are never advertised to the general public. Only those with extensive contacts and deep involvement in the industry will have knowledge of these properties.
A seasoned office rental agent also has relationships with major landlords and property managers, so they normally become aware of a potential unit before it is offered for rent.
The advantage of working with a commercial real estate agency is that you will not miss out on any of these rental properties.
The process of renting an office space differs greatly from that of renting a residential unit or leasing a vehicle. It is not just the rent that has to be negotiated; there are so many other aspects as well. Among these are parking availability, fitting out period, lease terms, permitted activities in the premises, etc.
A Tenant’s Representative with extensive experience will discuss all of these points with you in detail and put them all in writing. In addition, he ensures that the lease proposal contains no loopholes.
Taking preventative measures
As careful as you may be, there is always a possibility that things may not meet your expectations when you take possession of a new office. Consequently, it can be a frustrating experience in such a situation. And this definitely signals a whole lot of ordeal.
In many cases, a seasoned Tenant’s Representative can handle all of these issues and eliminate all risks.
As a precautionary measure, these agents often have a list of reliable landlords and property managers, and only negotiate with them, so that any risks arising from the transaction can be minimized.
No-Fee Professional Services
Tenant’s Representatives typically have established working relationships with landlords and property managers. A Tenant’s Representative is compensated by the landlord or the landlord’s leasing agent.
You may be the one hiring them, but the landlord will pay their fees and commissions. Or the landlord’s agent would sign a co-broking arrangement. Whatever the case may be, the services are usually provided free of charge.
We at Owee Commercial Real Estate are one of the few commercial real estate agencies in Singapore who represent tenants and help them find a commercial property as quickly as possible while meeting all their needs. Check out our Tenant’s Representation page to learn more about our services.
Nic is the Executive Director and Key Executive Officer (KEO) of Owee Commercial Real Estate Pte Ltd. Nic starts his real estate career in 1995. He focuses in providing real estate services specifically to international high net-worth individuals and corporate clients. His expertise includes commercial properties finding, property investment planning & acquisition, managing buy to let property and tenant representation for office space.