In commercial real estate brokerage, things can easily go ‘backwards’ if you do not keep up the momentum and focus personally. Problems occur in real estate and are so common when others are asked as ‘third parties’ to handle a lease or sale and bring it to finality. So your transaction can slow or stop as a result of the interests and actions of other people. Don’t let that happen; stay involved.
If it is your deal, be it a sale or lease, stay with it to the very end, and don’t expect others to complete important issues. Your priorities are not their priorities, and only you know the people involved and the elements of the deal intimately. When clients bring in solicitors or property attorneys to complete paperwork, then you should stay involved; at a minimum, you should be asking questions about progress and checking with the clients advisors regularly.
Transaction Control is the Focus
Here are some other rules that can help you with a lease or sale and its momentum and control:
- SMALL STEPS: One sale or lease is the product of many small closes as discussions and negotiation decisions. That is where you should understand the parties involved, their priorities, and the desired outcomes; particularly so for your client. Move the people involved through small decisions and key facts. Break down the bigger problems into small decisions.
- FACTS: Get all the facts resolved before the property goes to the market. Remove the ‘hurdles’ from the listing so that all negotiations can move ahead in a positive way.
- LEGALITIES: Ensure that the property is ‘legal’ in all respects. Compliance and correctness should be checked prior to any negotiation. Know that your client has the legal ability to transact the property in the required way.
- THE KEY PERSON: Know that you are working with the real decision maker and not someone who doesn’t have the final ability to endorse the transaction.
- DOCUMENTATION: Look at all the agreement and documentary alternatives to finalizing a transaction. How can you cover all the key points in an accurate and timely way?
- NOTE TAKING Take plenty of notes as you talk to people and get documents ready. It is remarkable just how easy it is to get into a dispute or disagreement about a property transaction.
- CLIENT IS PARAMOUNT: Keep your client fully briefed.
The central message to understand here is that in commercial real estate brokerage, control is paramount in all respects. Don’t let the transaction or the people get away from you. Keep your lease or sale transaction under control to the very end.