In the commercial property industry, the role of a buyer’s agent is quite specific and professional. That being said, focus on the larger clients and the businesses in your local area as part of the process.
Quality is the key when it comes to working as a buyer’s agent. You should work for those clients that require a professional service and are prepared to pay a reasonable commission for the work involved. Larger businesses and experienced property investors should be your targets as clients in this role.
So the message here is that the agent in this situation will be working for the buyer. The agent will be looking for the required property in the targeted location. They may have specific instructions to satisfy as part of property improvements, price, location, and timing.
Larger corporations and businesses may take many months if not over a year to find the right property for purchase and acquisition. An experienced agent or broker can bring significant value and experience to the property purchase. The buyer to the property will therefore be fully represented by the top agent to get the best results from the purchase.
It directly follows that the agent in this situation is working totally for the buyer to satisfy very specific needs when it comes to a property choice, relocation or purchase. I go back to the point that it is very important to work with high quality clients with this type of transaction.
Here are some tips and ideas to help you work within this very lucrative part of the commercial property industry. Modify the list to suit your territory and property type:
- Choose quality corporate clients to work for in this situation. They usually do not have the time or the knowledge to find the right property for their business change or relocation.
- As you are working for the buyer, it is essential that you accurately understand their property needs and requirements. They will have a very specific list of issues when it comes to location, improvements, timing, price, and negotiation. Seek their instructions in writing so that you have some evidence of these facts. Make sure that the outset that you have the necessary legal appointment to act signed in the correct and appropriate way by the buyer.
- If your client runs a business and is seeking relocation as part of the changing business needs, inspect their current location so that you can understand the critical factors of business function. That will include staffing, customers, property configuration, growth and expansion, improvements, and location.
- Given that the buyer will be paying your commission, you can then interact with many other brokers and agents through the region that may have suitable properties listed. Those other agents and brokers will be acting on behalf of their property owner and therefore not impacting your client relationship or commission.
- Any negotiation will be undertaken on the instructions of your client. Ultimately your focus should be to negotiate the best contract result for the buyer as your client. That may include special instructions and circumstances relating to due diligence, finance, price, timing, access, special conditions, and legal documentation.
- When enacting for your client, is wise to understand the requirements of final documentation, legal advice, and finance. The signing of any contract may be subject to company and board approval.
So there are many things to do here when you are working as an agent or broker for the buyer. Understand the opportunities that the property presents to your client, and then structure the best purchase arrangements for the circumstances and your clients instructions.