Exclusive Listing Agreement – Commercial Real Estate
From a realtor’s perspective, of course we want an exclusive listing agreement — it eliminates the fear of poaching by a competing commercial realtor. Indeed it is good for the realtor – but is it good for the seller?
Below are — reasons why you should consider an exclusive listing agreement with your commercial realtor:
1. Solid Reputation: Like most savvy investors, I bet you have done your homework. In your day to day business dealings, you probably have a good pool of business confidants who pass on referrals. You may have found your realtor this way. Before your initial conversation, you may have done one or more of the following:
If you find this person has a solid reputation online and within the community, you can rest at ease this realtor will probably take good care of you and your property.
2. Mutual Protection: There comes a point in every transaction when it is beneficial for each party to write down on paper the expectations of each participant involved.
Do we wish a handshake was sufficient? Of course, we do, but there is something to be said about writing it all out on paper.
There is no (or should be no) gray area to what each person is bringing to the table and what outcome is expected. It is just as much for agent to have some legal assurance, as it is for the seller to know they set out expectations at onset and what the next steps should be.
3. Motivation: Once both parties put in writing their intentions, then it is up to the commercial real estate agent to deliver. Since most agreements have a start and end date (see next point), if an agent wants to sell the property and eventually get paid, it is worthwhile to H-U-S-T-L-E!
Using the term is ‘hustle’ here is to denote movement in a fast motion — and not synonymous with ‘swindle’.
A great agent will do all he/she can to bring this newly listed property to the purview of those seeking to purchase or lease commercial property. This can include everything from traditional and online advertising; utilizing social media; attending networking meetings to mingle with property-seekers; and cold-calling. An exclusive listing agreement will certainly motivate a commercial agent.
4. Time-Frame: When was the last time you signed an agreement without a deliverable date?
Whether it was goods or services sold, you know when the transaction is meant to either transpire or be completed. Although not all agents/brokers are created equal, it should be known that many will enter into an exclusive listing agreement with no less than six months and up to a year with a client. Unlike residential real estate, the sales process can be more time-intensive as businesses tend to move slower than individuals.
Your Commercial Property Tampa Realtors
If you are in the process of evaluating your current commercial property for sale or lease or seeking a commercial property in the Tampa, Brandon, Riverview areas, contact the commercial real estate team at Century 21 Elite Locations at (813) 960-0999.