What to look for in an Arizona commercial real estate broker (part 1)
In today’s fluctuating economy, owners of Arizona commercial real estate are under extreme amounts of pressure to watch the bottom line. A company’s real estate costs are often the second largest line-item expense and typically equate to 30%-40% of a company’s overall budget. With Arizona commercial real estate being such a large factor in both the success and the expense of a business, a business owner or key executive must regularly answer the following:
• Do I know current market conditions? What are the average lease rates in the area I am looking to lease/buy? What are the common concessions given by Landlords and how can I get Tenant Improvements? Do I know the past, current, and future activity for the office, warehouse, or retail market? Do I know current Landlord incentives and/or concessions being offered by my current Landlord or neighboring Landlords if my lease is up for renewal?
• Do I have the time and proficiency to communicate with several different Brokers, Landlords, Lenders, Property Managers, Contractors, Architects, and analyze different space options all while simultaneously handling your other day-to-day responsibilities?
• Do I have the expertise to research the real estate market, including opportunities that are currently available and those that will become available in the future?
If an executive or business owner answers any of these questions with “No,” then we suggest hiring a commercial broker to assist with the transaction. Though the seemingly overwhelming list above is reason enough to engage a broker, we also offer the following to help executives and business owners see the value of engaging an Arizona commercial real estate expert.
Those who understand business know nothing can replace years of hands-on experience. One may have access to readily available real estate data in the Phoenix Metropolitan area, whether through free websites or printed materials, but the benefit of working with an Arizona commercial real estate broker who has years of real-life experience is priceless. We believe there is a difference between having market knowledge and market intelligence. A seasoned Arizona commercial real estate broker who has continued to complete hundreds of transactions through the ups and downs of the market will undoubtedly add value to your negotiations.
Market conditions are constantly changing within the Arizona commercial real estate sector; opportunities are lost and found on a daily basis. The Arizona commercial real estate industry holds its data close and does not share it willingly; even those with access to it are not always sure how to use it to their benefit. A broker from Menlo Group not only has access to this information, but they also know how to interpret it and use it to their client’s advantage. During a year, a Menlo Group broker processes hundreds of opportunities through various sources while seeking out the best options to accommodate their client. This combination of market knowledge and experience can give a broker a well-rounded intelligence that is invaluable.