Real estate brokers should pay more attention to co-working space and serviced office operators, as the potential commissions can be considerable and deal cycles are often much shorter than conventional real estate. Co-working space in particular can easily add to monthly commissions earned as deals are usually easier to close because of the low entry price point and greater number of inquiries.
With conventional office space, the process of find a suitable premises for a client can be painstaking for a real estate broker. There will often be long drives to multiple locations, problems with access to offices, re-scheduling of appointments, repeat viewings, and often long and cumbersome negotiations. With serviced offices and co-working space, brokers can easily build a good relationship with the operator and allow them to sell directly to the client, taking care of viewings, quotations, and eventually closing the deal. Most operators are willing to pay 10% of the contract value to brokers.
When working with an established operator, brokers can rest assured that their clients receive a professional service, resulting in higher rates of satisfaction. The relationship with the client remains strong, and the brokers can remain in communication, as very often clients will grow out of the co-working or serviced office space and seek larger office premises of their own in due course.
Brokers should also propose co-working space and serviced offices to clients for whom they are unable to find suitable office premises. This is often due to timing, as lease end dates and new availability dates can often have a large gap in between. Packaging a solution that covers the entire period is possible as operators will offer shorter term contracts, often even on a monthly basis. As an added bonus, the broker will benefit from higher total commission earned from the client.
Co-working spaces are often overlooked by real estate brokers because of the lower contract value. Determined brokers will however realize the potential earnings from simply forwarding leads to an operator, which can quickly add up to substantial amounts. As a general rule, every four dedicated desk clients equates to an entry level serviced office. The work involved is minimal.
Sentinel Business Centres offers a number of different options designed to suit all types of businesses, and will pay 10% commission to brokers as soon as payment is received from the client. The team at Sentinel will keep you informed of viewings, negotiations, and final contract terms, making sure you are always up to date when communicating with your client directly. In many cases, as a broker, you never even have to visit our our premises to close the deal.
Contact Sentinel Business Centres for more information.