Did you know that there’s no cost to work with a commercial real estate broker who specifically focuses on the life science industry?
Commercial real estate brokers are paid by the landlord, so there is no cost to the life science company for the broker’s assistance.
As with any industry, it’s best to work with someone who specializes in the area you need help with. An experienced life science broker is just that, i.e. they are not learning the process while assisting you. When looking for GMP pharma manufacturing space in New Jersey, a life science real estate broker has already acquired much knowledge by helping others and you can benefit from that experience.
Below is a list of the top 3 benefits of working with a Life Science Real Estate Broker.
1. Market knowledge
Brokers better understand the real estate market and are up to date on availabilities, as well as future potential availability, specific to life science companies looking for chemistry labs, biology labs, and GMP pharmaceutical manufacturing space.
2. Negotiation
Being familiar with pricing of rental rates and work letters (landlord contribution to build outs) means brokers can assist in negotiating competitive terms based on current market data.
3. Business Lease Term Review
Brokers understand business terms in the laboratory lease related to additional rent and utility costs, which include current and future common area maintenance costs and increases over the length of the lease term. Furthermore, brokers can assist with lease expansion and lease renewal option language in proposals.
When it comes to selecting a broker, it’s best to interview several and pick one to work with exclusively. An exclusive relationship allows a broker to commit more time and attention to your transaction, thereby facilitating a smoother process from beginning to end. A professionally managed experience helps a tenant or buyer evaluate the best location and terms for their requirement
Once you determine your top choices for possible occupancy, the broker communicates on your behalf with several landlords/sellers. This process assists with comparing and negotiating various proposals relative to different incentives to entice a tenant or buyer. These incentives may include rent abatement (free rent) and an improvement allowance. The improvement allowance is a landlords’ financial contribution for the work to be done within the potential tenanted space. This allowance can be stated as either a dollar amount per square foot or be defined as part of the design of the delivered space. It can also be a combination of the two. A schedule of amortization for this improvement allowance can vary.
A tenant not exclusively represented will be fielding calls and opportunities from several brokers trying to push the properties that they have submitted for consideration. This eliminates an exclusive broker’s ability to give valuable feedback on current and future features and benefits for each proposal, as well as provide other valuable assistance as detailed above.
Please call for more information about current available laboratory space in New Jersey.
—
Jeanne Sabo-Rothenberg, CCIM
Commercial Advisor
eXp Commercial
Cell: (908) 377-9004
https://www.commercialrebroker.com/
jeanne.sabo@expcommercial.com