You've just started a business and need commercial space. Or, you'd like to change your current space and need to find a better location or a lower rent. Where do you start?

Very few commercial landlords list their properties in newspapers or on community websites such as Craigslist. Landlords often use brokers to handle the advertising and leasing of their properties. In turn, tenants also use professionals to find space and negotiate the terms of their lease.

The best place to start when searching for commercial space is by talking to a Tenant Agent. An agent will show you available properties and ultimately negotiate better terms for your lease. Many elements of commercial leases (such as the load factor and the base year) have a significant impact on the cost of the rent, but are overlooked because they're unfamiliar.

There is no cost to using a Tenant Agent. Find out why below in our frequently asked questions.

How much should I expect to pay for a Tenant Agent?
Nothing. Tenant Agent fees are factored into the rent your landlord charges. Even if you decide not to use the expertise of a Tenant Agent, you'll still pay this built-in fee.

How is a Landlord Broker different from a Tenant Agent?
Landlord Brokers, also called Listing Brokers, specialize in marketing vacant spaces for landlords. Working on the landlord's behalf, they try to get the highest possible rent for the property. Their expertise actually works against the best interests of the tenant. Tenant Agents specialize in helping tenants find the perfect space for their needs. Tenant Agents also negotiate lower rents and better lease terms.

If I find a space on my own, why shouldn't I work directly with the Landlord’s Broker?
There is an inherent conflict of interest when a broker represents both the landlord and the tenant in a contract. The first obligation of a landlord's broker's is to the landlord: to get the highest possible rent for the property. In addition, the broker's commission is automatically factored into the rent. If you don’t use your own Tenant Agent, the landlord broker will collect this commission — even if he fails to negotiate better terms on your behalf. A Tenant Agent only represents your interests, negotiating with the landlord to get you the best deal possible. 

Is it really so hard to negotiate a good deal on rent without using a Tenant Agent?
There's a saying in commercial real estate that "rent isn't just rent." Apart from the Base Rent, there are additional factors which will have a significant impact on the total cost of the property. For example, is there a Load Factor? Will the landlord will include Tenant Improvements? A Tenant Agent will use his or her experience to ensure that all these "extras" are negotiated as well.

Why not represent myself, and therefore save the money that a Tenant Agent would have earned for representing me?
Laws vary by state, but in many cases, a tenant without an agent is automatically assigned to the landlord broker in a circumstance known as "Dual Agency". The landlord's broker will certainly not be actively helping the tenant in this case!

In addition, your Tenant Agent knows the market value of this and comparable properties, and can use this knowledge to negotiate better terms for you. Tenants who represent themselves often make the mistake of paying the asking price and accepting the property “as is”. 

Once I’ve signed a Lease Agreement, what recourse do I have to change it? For example, if I don’t like the landlord or decide I need a different location? 
A lease is a legally-binding contract and very difficult to break. An experienced Tenant Agent will help you find a property that fits your needs, at the right price, for the amount of time you're comfortable with.

How does the Propagent process work? Who will contact me?
Once you’ve submitted a short questionnaire, we will match your requirements with one of our Certified Tenant Agents who specializes in the type of building (Office, Industrial, Retail) you require. An agent will contact you within one business day. We will also check in with you to ensure that your requirements are being met. 

How does Propagent get paid if this is a free service?
Propagent earns a finder's fee from its Certified Tenant Agent if a successful transaction is completed. There are absolutely no fees paid by our users.

What are some of the unexpected costs I may encounter when I negotiate my lease?
-Cost Increases: If your building sells, property taxes can skyrocket, and those higher costs are always passed on to tenants. You can limit this exposure by negotiating limits to how much your costs can increase per year.
-Cancellation Clause: Your location may be harmed by unexpected drops in foot traffic due to construction or the loss of an anchor tenant. You may want to include a cancellation clause in your lease to mitigate against such events.
-Vanilla Shell: Your landlord may require you to return the property to its original condition when your lease ends. If you've spent thousands of dollars to build it out, it could be costly tearing out all your improvements.
-Personal Guarantee: Some landlords want small businesses to personally guarantee that they won't default. If the lease includes this stipulation, the landlord can come after your personal assets even if you are incorporated.