A commercial real estate broker is a representative of either the property owner or someone looking to buy or lease a property, their job is to facilitate a successful transaction for the party that they are representing. One of the most important roles of a real estate associate is to fulfill their fiduciary duties, which include: undivided loyalty to their client, acting in their clients best interests at all times, avoiding conflicts of interest, and disclosing any conflicts of interest should they arise. In some instances the real estate broker/associate may represent both sides of the transaction in which case both parties must be treated fairly, even handed, and impartial. In this situation, both parties would need to consent to this type of representation.
While acting in your client’s best interest and fulfilling their fiduciary duties as a real estate broker/associate is critical, there are some other traits that are also important to look for when searching for a commercial real estate representative:
1. Knowledge of commercial real estate
A good broker should have knowledge of commercial real estate. Calgary commercial real estate for sale and lease is big business, and in order to get their clients the best deals, a good broker will know what type of deals are being done in their market, any concessions or incentives that Landlord’s are offering or what recent sales have been completed.
Commercial property is typically defined by buildings designed for multiple tenant use, or commercial condominiums. These markets include, but are not limited to retail, office, multi-family apartments, and industrial. Each of these market segments have their own unique qualities and can often have different challenges, it is important to find a representative that specializes in the market that you are in.
A solid understanding of the fundamentals of each market segment will help a broker build a relationship with their client based on trust and value – two traits essential for a successful transaction.
2. Timely communication
As in any industry, communication skills are essential. An experienced broker will know that timeliness is key.
Open communication between you and your real estate broker is required for a smooth transaction. It is critical that your real estate representative outlines the process for the transaction from the beginning and can answer any questions that you might have.
Throughout the transaction there will likely be questions and issues that arise, the best way to handle this will be through timely and open communication with your real estate broker/associate. There is nothing worse than a tenant panicking and not being able to get in touch or obtain answers from their representative.
3. Flexibility
Timing in this industry can certainly be a challenge, the best way to avoid delays or timing constraints is to get in touch with a real estate broker early. It is a good idea to start looking at options 6-7 months out from the time you are wanting to take possession. Having said that, a good broker will be flexible enough to accommodate their client’s needs – within reason. Providing flexibility shows that you understand that each transaction has its own timeline and eases the stress involved in closing deals quickly and efficiently.
4. Organization skills
For a deal to run smoothly and efficiently, a lot must happen in a short period of time. A good broker will know how to keep things organized and on schedule.
And especially when it comes to commercial real estate in Calgary, a well-organized broker is essential.
5. Negotiation skills
Because commercial real estate transactions tend to be more complex than those involving single-family homes, negotiating is an important skill for any broker.
A great negotiator understands the needs and wants of both parties involved in the transaction and knows how to compromise if necessary.
But most importantly, their client’s interests come first – making them loyal advocates who are there throughout every step of the deal.
6. A strong network
A great broker will have a vast and diverse network of contacts in the real estate industry. These relationships will prove invaluable when they’re trying to expedite and/or close a deal as quickly as possible.
Having a solid network of knowledgeable professionals on their team is just another sign that you can trust your broker – they’ve invested their time, relationships, and reputation into making sure each transaction goes smoothly from beginning to end.
7. Physical space knowledge
Most commercial property deals involve multiple meetings with many people over several days or weeks – often at different locations within one building or within multiple buildings altogether! A broker with a wealth of knowledge about all areas and office spaces within the property is critical to working through any issues and meeting the client’s needs.
A commercial real estate broker should also be:
- Calm under pressure
- Well organized
- Polite and respectful at all times, even when dealing with difficult people or unexpected challenges.
Conclusion
There are many qualities that make a good commercial real estate broker. From honesty to timeliness to organization skills, etc. And each trait builds trust between you and your clients, which is essential for success.