A commercial real estate agent is a licensed professional who specializes in assisting individuals or businesses in purchasing, selling, or leasing commercial real estate. Offices, retail spaces, industrial properties, apartment complexes, and agricultural properties are all examples of commercial real estate. Many commercial real estate agents specialize in one segment because commercial real estate encompasses so many different types of properties that require different types of knowledge. Some commercial real estate agents, for example, specialize in office leasing, while others specialize in apartment complex acquisitions.
To be licensed in the United States, a real estate agent must be at least 18 years old, a high school graduate, and pass a written exam, according to the United States Department of Labor. A real estate agent must also have 30 to 90 hours of classroom training and be sponsored by a real estate broker in most cases.
Most commercial real estate agents work under the supervision of a licensed real estate broker. Brokers must have a certain number of years of experience, which varies by state, as well as 60 to 90 hours of formal training and the ability to pass a more comprehensive written exam. A broker’s license also allows him to sponsor agents and manage his own real estate office, according to the Department of Labor. Brokers and agents must also keep up to date with new information by enrolling in continuing education courses in order to renew their licenses.
A commission is paid to a commercial real estate agent once a transaction is completed, such as the signing of a lease. Higher commissions are charged by agents who provide more services, which are usually split with the sponsoring broker. Commercial real estate agents who represent the property owner are known as listing agents or leasing agents, whereas tenant representatives are known as commercial real estate agents who represent the tenant. Some agents work with both buyers and sellers in a transaction. In many cases, the property owner pays the entire commission.
Commercial real estate agents can save the tenant a lot of time and money by guiding them through the complexities of the process. The best agents will conduct a market survey for the tenant, which will include questions about the nature of the business, the required size, and the desired location. The agents can help find the most suitable site and negotiate the lease based on this information and their knowledge of the market.