When it comes to getting new business, says Bryan Martin, director of the commercial division at Kobeissi properties in La Cañada, nothing beats “pounding the pavement.”
“It’s really just dropping into businesses and introducing myself, saying, ‘Hey, I’m a commercial and a residential real estate broker. If you’re ever in need of real estate transaction guidance, please give me a call and consider using me.
“There’s no success like that,” he continued. “Nothing’s going to get you success quite like this, and I know through my experience. I’ve come to many offices, and I don’t care if they have five referrals from friends for different real estate agents, nothing is as effective as having a guy give you his business card when your lease is coming up at the end of the month. The recipient may be thinking, ‘I’ve been putting this off, and I really need to get that now.’
“I’m essentially giving them a friendly reminder that you need to get a new space and I’m the guy that’s going to get it for you. I am out there being proactive, and they can tell I’m not afraid to do the work.”
Having recently closed a deal on office space for a law firm, Martin cited another example of his experience, where everyone can benefit.
One of the attorneys in the office was concerned, said Martin, saying that the commercial real estate market was struggling. He assumed that rental office space should be under $2 a square foot, and thought he could pick the exact terms of his new lease.
As Martin explained, however, “People are under the impression that the office and commercial market, in general, is struggling really heavily. What they don’t quite realize is that as you know, while the residential market has been appreciating, so too has the commercial market and the commercial prices of properties.”
This is making properties surprisingly hard to find, he said.
“We can’t find anything because as soon as something comes available, it immediately gets multiple bids, and gets bids over the asking price. We’re seeing in the commercial market what we’re seeing in the residential market. So there’s a lot of demand for people to put some extra investment into a commercial property.”
And as he stressed, “Those (owners) don’t want to just give away the space at a heavy discount. They’re going to hire a broker and get it filled at a competitive rate and they’re, in all likelihood, going to get it.”
And as the pandemic and its regulations begin to ease somewhat, Martin contends that there are still those who would rather work in an office.
“I’d say people have realized in this two-year period that they don’t want to, or just can’t, work from home,” he said.
“Home doesn’t provide the same structure, same support, same comfort that going to an office does. Going to your office, being around your officemates, provides a different and more productive environment than can be achieved from your living room.”
And his work ethic applies, whether working for a building owner or a tenant,
“When I’m representing a tenant,” he explained, “I say, ‘Here’s the market term, here’s what the asking rate is, and here’s what the market says.’ Now, if I’m successful as a broker, I’m going to chip away at these things and get them a little bit better than what typically would be.
“So if it’s typical that there are 3% annual increases. It’s a win if we get that knocked down to 2 ½%. So we’re going to try and just get better terms than what are presented.”
That kind of knowledge got the tenants a better deal, said Martin. And it worked in the case of his latest client.
“We got the rate down, and got the tenant improvements increased,” said Martin. “We were also able to get some early occupancy.”
Whether tenant or owner, says Martin, you’re going to need an advocate.
“You, as a tenant want to have your own broker – have someone fighting in your corner – because the landlord has a broker working for them. They want the landlord to get the best deal.”
