Let’s begin with the obvious: only tenant reps can truly represent tenants without even a hint of a conflict of interest.
In contrast, full-service commercial real estate brokerages earn the vast majority of their fees through service bundles targeted at building owners, including REITs, state pension funds, and other institutional and private investors. Such service bundles typically include acquisition, disposition, development, leasing, asset management, portfolio planning, property management and much more.
As a result, even individual tenant reps working in full-service firms are under pressure to “fill the buildings” of their employer’s large clients—even at the expense of single-mindedly advocating for the interests of their tenant clients.
At Schnitzler, we are free of the underlying conflict inherent in dual agency within a landlord-centric marketplace, by exclusively representing corporate tenants and buyers.
Why choose Schnitzler Commercial Real Estate?
By focusing on a narrow niche of the commercial real estate market, (corporate usage of office and industrial space) we have developed a deep understanding of our clients’ needs and growth drivers. Consequently, we have become experts in developing and executing real estate strategies that support our clients’ core business objectives.
Since we look at real estate as a means to support our clients’ business objectives, our discussions, initially, tend not to be about buildings and rental rates. While amenities and rates certainly matter, the relevant time to focus on them is during financial modeling and final negotiations. Instead, we ensure that our clients keep sight of variables that have a much larger long-term impact on operations, cost and sales growth.
Those factors include access to and suitable labor demographics, employee well-being and retention, transportation networks, visibility, accessibility, branding through real estate and naming rights, as well as future expansion and disposition opportunities, and, possibly, government incentives.
Our client appreciate that we continue to serve their interest, long after the lease is executed and typically throughout their time of possession. In brokerage market that tends to be transactional, we have heard a client describe our approach as “refreshingly relational”.