Similar to using a Realtor to look for and purchase a home, a commercial real estate broker helps clients look for and either rent or purchase office, retail, medical, or industrial space and land. This process is known as tenant representation and is a very common practice for many businesses looking to move, expand, or add additional locations.
The function of using a broker has many benefits for its clients, most notably that a broker is an experienced professional that knows the current market conditions, has relationships with other real estate professionals including landlords or developers, and will oversee the entire real estate process to ensure their client is on budget and schedule.
In addition to these benefits, the use of a commercial broker is completely FREE to their client. Just like when purchasing a home where the seller of the home pays any commissions to the Realtors, the landlord or developer pays any real estate commissions to the broker. Most times a landlord will have a broker representing their properties as well, therefore a commission is already built into the equation. This professional works on behalf of the landlord and thus has their benefits at mind, meaning a prospect could end up paying more if not using a broker to negotiate on their behalf. Since the commission is already built in, and ends up not costing the prospect additional funds, it is beneficial for them to have representation.