How to negotiate with an agent to lease a commercial property when it is advertised for selling?

Discussion in 'Commercial Property' started by max58, 20th Sep, 2020.

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  1. max58

    max58 Well-Known Member

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    Hi guys,

    I saw a property that I like to rent, I called agent and he said its not for lease and my contract is for sell.
    My nature of my business is in a way that I need/ can operate from that property for 2X6(month) only, maybe a bit more.
    There are other vacant properties in the area and this one has been in the market for the last 3 month as far as I know, so owner might potentially agree to lease for short term too while they are looking for a buyer.

    I am wondering how I can convince real estate agent to discuss my case with owner.

    thank you
     
  2. Fargo

    Fargo Well-Known Member

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    Couldnt you ask for a contract, and get the owners name of the contract and discuss it directly with the owner.
     
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  3. max58

    max58 Well-Known Member

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    Thank you for your reply,
    Just to clarify, when I call agent I say ‘I am planning to buy, Could you email me the contract terms and conditions?’
    In that case I will receive contract which owner’s name is included.
    Or I should say it differently?
    Thanks :)
     
  4. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    You will probably find XYZ Pty Ltd c/- Liare & Deshonk lawyers is listed as the owner if you were to be given a copy. And XYZ Pty Ltd is a trustee with a reg office at CCC Accounting's offices. Agent has been engaged to sell - why would they want to complicate a sale ? And then will want a % fee on the lease too.

    There is an abundance of commercial space available at present and focussing on vacant available property may be more productive. Especially one with a motivated owner ! That listing agent may have other suitable property on the books and when you upset them you wont get any support or recommendations if they think you are a PITA.
     
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  5. max58

    max58 Well-Known Member

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    Thank you for your advice :)
     
  6. Cousinit

    Cousinit Well-Known Member

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    Probably a great time to be hunting around commercial space for a motivated vendor then with everything that's going on in the world?
    More so if you have a leasee organised or you can occupy your own business I imagine?
     
  7. max58

    max58 Well-Known Member

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    thank you :)
     
  8. Jmillar

    Jmillar Well-Known Member

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    Why would the agent put you in touch directly with the owner? It's their job to negotiate on behalf of the owner and that's how they earn a living.

    Just ask them to approach the owner with your proposal to lease short term. Having you as a short term tenant will provide the Vendor with income while they search for a buyer, and may allow them to sell the property as a going concern (ie no GST payable by Purchaser, which makes it more attractive and easier to fund).

    Just put in an offer in writing - the agent is legally required to pass on any written offer to their client.
     
  9. max58

    max58 Well-Known Member

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    Thank you, great suggestion!