First time store leaser, should I hire a Broker to help negotiate a lease?
I'm helping my Uncle (Jeweler for 30 years) to scout locations for a small jewelry store and found a possible location and am now going back and forth via e-mail with the agent. 

She's using some terms I'm not familiar with like "CAM Breakdown" &amp; 'TI' and a few others.

I'm wondering if I should hire a Broker to help negotiate and ask the Owner to cover half of the Broker's cost?
[{"id": "dcwkc01", "text": "Yes, you should.  The LL will pay the broker commissions.", "replies": [{"id": "dcwkf92", "text": "Thanks! Any tips on finding a good one? go by reviews?", "replies": [{"id": "dcwkls9", "text": "The market is fairly geographically specific, but for your uncle's use, I would recommend using a broker who concentrates in tenant rep retail business.  One of the largest retail brokerage firms in the US is NAI Michael Companies.", "replies": [], "depth": 3}, {"id": "dcwm9b8", "text": "Depending on what market you're in, check one of the big firms like JLL", "replies": [], "depth": 3}, {"id": "dcwtdf1", "text": "Really depends on your local market. Find a broker (even interview a few) who do a lot of retail leases in the size/type you are seeking. A broker who only does Targets and Walmarts could be very successful at that, but terrible at doing small deals, for example.", "replies": [{"id": "dcwue8j", "text": "Thanks on the tips", "replies": [], "depth": 4}], "depth": 3}], "depth": 2}, {"id": "dcxioxp", "text": "Not quite that simple. I'm a landlord. I negotiate all of our retail deals. My first question is \"are you a broker or an end user\". If it's a broker I just quote the space 5% higher. ", "replies": [], "depth": 2}], "depth": 1}, {"id": "dcwkf6q", "text": "Landlord covers all commissions - get a tenant rep broker.", "replies": [{"id": "dcwnl3z", "text": "Is the Broker paid a fee or a % or rent for X amount of time?", "replies": [{"id": "dcwq59i", "text": "Yes a broker is paid a % of the contractual rent amount. Payable by the landlord within a short period after the lease is signed. Why do you ask?", "replies": [{"id": "dcwqcr5", "text": "Just wondering how that works. Considering its a small space, 600 square feet, a broker would put me at the bottom of his totem pole compared to clients looking for bigger spaces which would net him/her a larger percentage.\n\nAlso I'm wondering what that amount would be because perhaps if I DIY the negotiations, I act as my own Broker and get the Broker's usual fee taken off the overall rent?\n\nJust kind of thinking out loud here", "replies": [{"id": "dcwrto4", "text": "Unless you have a real estate license you can't be compensated specifically for the fee. However the owner may except a slightly lower rent, but not really depending on the fee agreement with their landlord rep. If I'm an owner, I'd rather work with your broker because they know customs and I want the highest rent because it impacts my resale of the property. ", "replies": [], "depth": 5}, {"id": "dcws5sb", "text": "I've made a lot of money leasing space to guys who didn't know the business and figured they could represent themselves. A good landlord rep or owner will fleece you.\n\nGet a broker. They can hand the deal off to a young agent in their office or they can handle it themselves as a low priority but either would likely protect you better than attempting to negotiate against an expert by yourself.", "replies": [{"id": "dcwum92", "text": "Any Brokers you recommend in Illinois/Chicago?", "replies": [{"id": "dcwunb0", "text": "Not my market, sorry.", "replies": [], "depth": 7}], "depth": 6}], "depth": 5}, {"id": "dcwwa9u", "text": "Doesn't work that way. If there's no tenant rep then the listing rep will get the full commission. That means that the agent representing the landlord will get the part of the commission that the agent that would be representing you would get. ", "replies": [], "depth": 5}], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "dcwkolp", "text": "Hey Cannibal, \n\nHappy to help. No need to hire a retail broker just to understand basic terms. I would hire one to increase leverage over LL-i.e lease length, base rent, and Landlord contributions. OR in general finding another site. Also, you don't pay the brokers commission, the commission is paid for by the landlord. Subject to each states real estate laws and customary practices.  Quick rundown on key terms found in a retail lease LOI (letter of intent). \n\n1. CAM Breakdown is Common Area Maintenance, real estate taxes, and insurance. The CAM is the maintenance of common area (parking lot, snow removal,  etc.)These charges are paid on a prota share of the space.  This charge is in addition to the base rent. \n\n2. The T.I.-Is Tenant Improvement Allowance- The amount of $$$ contribution Landlord will make to tenant's buildout. Many different ways Landlord can provide T.I-in the form of cash, free rent, etc. \n\n3. Please let me know anything else. Happy to assist. \n\n", "replies": [{"id": "dcwntpy", "text": "Awesome thanks. I'm just wonder how the broker gets paid. Of course, there's also trying to figure out how to find the right one. I just found a page with about 50 people all from different companies.\n\nAlso, is CAM &amp; T.I. negotiable? I'm also thinking that base rent won't be negotiable because they tend to know their market value on the space, but wouldn't hurt to still try\n\n1 last question. We only need about 100-200 Square feet, and the location is 600. Is it possible to negotiate a lower price for monthly rent just for the square feet used?", "replies": [{"id": "dcwsblx", "text": "You have very little negotiation power on CAM as a small local tenant. The landlord spends money to maintain and manage the property so you can have a nice place to operate and they prefer not lose money  on that.\n\nTI can be negotiated because a nicer store will attract people, help you do business, and pay more rent. As such the landlord will want more rent. They have some incentive for you to buildout the space nicely because it may be cheaper to lease it out if you leave. \n\nThe landlord will expect close to market rent on 600 SF. Not sure what market you're in but I'm in the south and I've rarely seen a retail tenant in a shopping center smaller than 500 SF. They likely won't split up the space for such a small user either.  Also, how do you know if 100-200 SF based on building permits, ADA compliance, bathrooms, etc? ", "replies": [{"id": "dcwulhz", "text": "I'm just outside Chicago. There are plenty of smaller places here that are typically used by places like insurance companies, ice cream parlors, boutique shops, and others that don't need massive SF.\n\nCan you repeat the last question? I dont quite get it. You're asking how do I know if a 100-200 SF retail location would be compliant with local law? ", "replies": [{"id": "dcwv9kf", "text": "If you're in the suburbs I find it unlikely you'd find a space smaller than 500 SF that has decent frontage in a good location. For that reason you may not be able to get a discount. \n\nHave you prepared a floor plan? A broker could probably help you with it. I'm just advising that a welcoming space with product, an office, and a bathroom, and compliant with local law, might be larger than you anticipate. \n\n", "replies": [{"id": "dcwz7sx", "text": "I have a napkin drawn basic floorplan I can transfer into photoshop and make it more presentable. The 500 SF has a bathroom and is ready to go, just needs some clean up, paint, etc", "replies": [{"id": "dcx0m7q", "text": "Good luck! I do advise connecting with a broker. It should only help you. Also remember that your occupancy cost (base rent plus expenses) should be a small component (&lt;20%) of your operating costs. Most retailers spend more money on staff and cost of goods sold then on rent. So for example, if you forecast $100,000 in revenue then your total rent should be less than $20,000. So if expenses are $5 PSF and the space is 500 SF, best rent would be $35 PSF. This varies by retailers of course and specific operations, but if you present your business plan to the Landlord they may be willing to negotiate more if its well thought out. ", "replies": [{"id": "dcx4qak", "text": "Ordinarily I would agree with the \"get a broker\" plan, but I just saw the size requirement. If you are sub 500 SF, a lot of reputable brokers won't even work with you. No offense at all, but it's just not worth their time based on what they would get paid vs. the number of hours worked.\n\nIf you are at the $500 sf and napkin plan stage, maybe a broker will give you 8 minutes of free advice over the phone in the hope you maybe refer some future business. That's probably your best bet to get some advice on this. Actually, just have a real estate attorney review your actual lease for $500 or whatever and see if they can give you a vague idea if your terms are reasonable.", "replies": [{"id": "dcxduzb", "text": "Find a newer agent and let him take the tenant rep. They will appreciate the experience and generally work harder and stay in communication for repeat business. ", "replies": [{"id": "dcxsqui", "text": "100% agree.\n\nConnect with someone reputable, let them know you're okay with using a younger agent since you've got pretty minimal requirements, they'll likely have a runner to hand you off to. They get experience and a little coin, you get your ass covered.", "replies": [], "depth": 10}], "depth": 9}], "depth": 8}], "depth": 7}], "depth": 6}], "depth": 5}], "depth": 4}, {"id": "dcx4jvd", "text": "&gt; You have very little negotiation power on CAM as a small local tenant.\n\nCorrect, basically ZERO.", "replies": [], "depth": 4}], "depth": 3}], "depth": 2}, {"id": "dcx4ixg", "text": "&gt; No need to hire a retail broker just to understand basic terms.\n\nBut how would you know what's customary in the market without talking to a broker? Maybe $5/sf in T.I. is typical or $50/sf or $500/sf.  You would have no way to know if you are getting a good deal or a terrible one.", "replies": [], "depth": 2}], "depth": 1}, {"id": "dcwzqe0", "text": "Landlord probably won't cover your agent's commissions because you found the property and \"your\" agent won't have \"procuring cause\", meaning they didn't bring you to the property, which is what the listing broker and land lord are paying for -- not for them to represent you and negotiate against them.  ", "replies": [{"id": "dcx1skm", "text": "Should I still hire one and negotiate a fee with one in order to negotiate with the building owner?", "replies": [{"id": "dcx1ym4", "text": "Definitely!  Hire them as a consultant.  ", "replies": [{"id": "dcx4rgh", "text": "Reasonable advice.", "replies": [], "depth": 4}], "depth": 3}, {"id": "dcxsmqs", "text": "The above person is wrong. Get a broker, procuring cause isn't relevant in commercial leasing. This isn't new home construction.\n\nLandlords want to fill space. They will pay your broker.", "replies": [{"id": "dcxxsbh", "text": "Ok, thanks", "replies": [], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "dcx75bc", "text": "Agreed, ideally they could connect with a couple brokers who could pass them on directly to additional Landlord's for alternate spaces or to a junior broker. ", "replies": [], "depth": 1}]