A commercial real estate broker is a licensed professional who helps clients buy, sell, or lease properties that will be used for business purposes. Often you will find that they represent and act as mediators between buyers and sellers. Due to the fact that real estate is a very competitive field, you will find most brokers work long hours in order to achieve success.
Denver commercial real estate is its own unique beast – with many saying that Denver was built by true pioneers who were looking for something more. Whether that be more land or opportunity, that push has led to Denver being one of the fastest-growing cities in the country with a thriving real estate market promising potential value wherever you look.
Because of the lure of success, Denver’s RE market is fiercely competitive, growing at a rate that continues to outpace the national average. Many local firms will offer a full spectrum of commercial rental property services paired with energetic teams made up of forward-thinking agents with real, local expertise that’s unmatched outside of Denver and the surrounding areas.
If there is one major constant in CRE, it is that it’s a constantly shifting landscape. This makes staying ahead of the curve something that all Denver brokers need to be diligent at, something that requires a masterful blend of market insite, advanced analytics and good, old instinct. Being able to understand the Denver commercial real estate trends in real time, knowing what’s on and off market, knowing what’s about to come on market…what’s selling, or not…and where to find the most qualified buyers is a daily requirement for local brokers.
On top of having a keen sense of market trends and clever strategies to stay on top of this ever growing commercial real estate industry, brokers also have to have a set of skills to offer a variety of services for their clients. Typically, these are the services you can expect when working with a CRE agent & property manager:
A commercial real estate broker is known as an expert in their local area and field of real estate and its transactions. The main duties of real estate commercial agents is to assist clients with the purchase, sale or lease of industrial properties that will be used for business purposes. They will also represent either a buyer, seller or tenant and in doing so will serve as a mediator between all parties. They will help to ensure that their client receives the best conditions, value and terms on their investment transaction. Here are some of the specifics that Denver real estate brokers do:
Commercial real estate brokers are responsible for assisting clients in finding and purchasing commercial real estate properties. This will include them performing an exhaustive search on listing platforms to find any and all appropriate properties. Finally they will assist in negotiating optimal purchase price and terms for their client.
A commercial real estate broker is responsible for assisting clients in selling estate assets. This will include performing extensive market analysis in order to set an optimal listing price, as well as being able to execute advanced marketing tactics to find qualified buyers and negotiate sale terms for the highest return.
A commercial broker assists tenants and landlords with the lease of commercial real estate space. This will include establishing lease rates, searching for qualified tenants, finding quality space, and negotiating lease terms for either party.
When a commercial broker handles acquisitions, dispositions and/or leasing transactions, they will serve in one of three capacities. These are: Listing Agent, a Tenant Representative or sometimes both. Commercial Real Estate for Breweries is an example where they would serve as both. Below we outline the specifics of each of these relationship types.
When in the role of a listing agent, a broker works for a landlord/owner and looks out for their best interests in the sale or lease of their commercial real estate assets. Since this relationship has the broker specifically acting as the landlord/owner’s agent, they are held responsible for negotiating all terms, performing all responsibilities and ensuring that all outcomes are the most favorable to the landlord/owner.
In this scenario, the broker is also responsible for finding appropriate and qualified tenants or buyers. When they are able to execute a sale or lease, they are paid a commission by the landlord/owner. Typically, that commision is around 3% to 6% of the final sale price or the total rent for the term of the lease. Should the situation arise where another broker brings in a buyer or tenant, the two brokers will split the commission 50/50.
When a broker is representing a tenant, it is because the tenant who is looking for space will seek out a Broker who will only work for them. In this scenario, rather than looking out for the best interests of the landlord, a commercial broker who is serving as a tenant representative is duty-bound to their client, helping to ensure their tenant client gets the best deal on the best space. Because they have a talent for negotiation, establishing favorable lease terms and rental rates, and looking out for hidden clauses, charges or financial responsibility, they provide a great advantage for the tenant.
What you typically find with a commercial real estate broker is that they are working on transactions that serve both landlord/owners and tenants interests. When in this role, the broker will primarily serve as an intermediary helping both owners and tenants find and buy/sell/lease space. In this case, the broker does not represent either in a fiduciary capacity or as a single agent.
You will find that commercial real estate brokers in Denver are constantly facing the challenges of the ever changing growth in the market. They are equipped with a unique set of skills that they have to apply daily in order to get the best outcome for their clients. Ultimately, there is a major benefit of using a broker in your transaction. Keep in mind the risks of tackling commercial real estate without the guidance of an experienced broker. You always run the risk of losing your monetary investment, not to mention the frustration that is associated if you end up over your head. In the end, working with a tenant advocate through the lease negotiation process can help remove the burden of doing it yourself.
In Denver Commercial Real Estate, an Industrial company will typically work with listings for sale that commercial estate agents help enter into contracts. The range of compensation can very from deal to deal. The average $72,000/yr according to Glass Door: https://www.glassdoor.co.nz/Salaries/denver-real-estate-broker-salary-SRCH_IL.0,6_IM234_KO7,25.htm?countryRedirect=true
The process to become a industrial real estate brokerage in Colorado has specific requirements.:
1. Must be at Least 18 Years of Age
2. Register for 168 Hours of Required Education
3. Fingerprinting and Background Check
5. Register For and Take the Broker Licensing Exam
6. Find a Sponsoring Broker
Are you looking into a career in real estate & property management, but unsure as to if commercial or residential is the right path for you? There is a lot that goes into becoming an agent, and a lot to consider before deciding on which path to take let along an industrial firm. While there are similarities, there are also many differences. Taking a closer look can help you see which is the right fit for you. Property management for a listing firm is also a popular trade.
Looking for that expert guidance in order to find the best broker for you and your needs? Head over to our Survey page, submit a form and connect with an expert who can help you find the best broker for you. If you have additional questions we can answer, we are happy to help! Just contact us via website or phone in order to have a representative reach out to you directly!