"Rent Upon Request" Commercial Real Estate Listings
Hello,

I am in the early stages of looking at retail commercial properties as locations for a possible business, and was curious about listings on Loopnet and other sites that list the rental rate as "upon request". Is this done because management companies don't want to reveal high rates and/or expect you to negotiate? 

If cost is my biggest concern, is it worth looking into these properties? Or I am better off sticking with properties that list the rental rate as it is likely the lower end of those will be the cheapest available. Thank you in advance for any assistance.
[{"id": "fz3xhoo", "text": "Get a retail tenant rep broker to do all that for you. Their fee will be paid by the landlord after they find you space and will be able to negotiate a better rate and concessions on your behalf. I struggle to find a reason why you would not want to use a tenant rep broker\u2014even if you only need a small space. There will be hungry brokers out right now that will do the work for you at no cost to you.", "replies": [{"id": "fz40wmo", "text": "And there is plenty of space that isn\u2019t going to be listed on loopnet that the broker can help you find.", "replies": [], "depth": 2}, {"id": "fz412gn", "text": "This. Further, I list rent \u201cupon request\u201d on EVERYTHING for a host of reasons. \n1) data miners using it for asking comps. They don\u2019t have to engage me to get pertinent info, and Rent is one of them. I don\u2019t like doing someone\u2019s job for them. \n2) Rent doesn\u2019t tell the whole story but it can very quickly make up a prospective tenant\u2019s mind.\n3) Engagement- when speaking to a prospective tenant (and broker), it gives me an opportunity to ask questions and get answers. Sometimes I get info that I find relevant to this or another deal. People talk and give up info for free that they may not realize has value \n4) adding info to a leasing status report, if required by a LL\n5) don\u2019t have to update the flyer if we\u2019ve internally reduced our asking rent\n6) asking rent may vary depending on the intended use. Medical user? Higher asking rent. Credit, dry use tenant? Asking rent should reflect there\u2019s a deal to be made. Knowing your market, competition, and that particular tenant\u2019s business model can allow you to offer a more reasonable asking rent so the tenant knows there\u2019s a deal to be made while also performing well for the LL", "replies": [], "depth": 2}], "depth": 1}, {"id": "fz3xtrr", "text": "I\u2019d still look into them. \n\nA lot of times rates aren\u2019t advertised because there is wiggle room in the rate, owners couldn\u2019t agree on a rate, or they want to track engagement on their location. If you have to ask for prices then they have proof people are looking and interested. They may not be listing prices because they\u2019re on the high end, but I wouldn\u2019t blanket assume that.", "replies": [], "depth": 1}, {"id": "fz45c00", "text": "As described above there are lots of reasons to not list rent. Don't be afraid to call and ask. There may be a range based on the length of contract and tenant credit.  It may also be because the admin entering the listing wasn't provided the info! \ud83d\ude01\n\nBit also remember that there are many listings that aren't advertised on Loopnet. If you don't have a broker, it would be wise to find a CRE professional in your area. They have resources outside of LN to use.\n\nHappy hunting!", "replies": [], "depth": 1}, {"id": "fz4ddvp", "text": "If you call me, the first thing I will ask is, What is your budget? \n\nAnd then you will say, I don't have a budget. \n\nAnd then I will say, what type of business is this? \n\nAnd then you will tell me its a restaurant or whatever, \n\nAnd then I will ask, do you have an existing location, \n\nand you will say no, and we will both have wasted about 10 min.", "replies": [], "depth": 1}, {"id": "fz4knp2", "text": "This has become the norm in recent years. At least in my market, asking rent was always listed, but the \u201cprice on request\u201d has become a newish tactic to make phones ring to quantify \u201cactivity\u201d to the LL/owner. I can understand it on the LL rep side, but it\u2019s frustrating for a variety of reasons on the tenant rep end. \n\nBut agreed with the above - get a tenant rep broker and let them deal with the bullshit.", "replies": [], "depth": 1}, {"id": "fz4u0tm", "text": "Thank you all for your responses, they are helpful in how I will view these type of listings going forward.\n\nAbout finding a buyer's agent, what are good resources for finding a tenant broker? I know Loopnet has a directory, but I wasn't sure if there were any other sites that did as well.", "replies": [{"id": "fz545j3", "text": "Depends on where you are but generally speaking all the Publicly Traded Commercial Real Estate Brokerage Firms will have quality retail reps", "replies": [{"id": "fz6fhhw", "text": "I would generally agree that the larger brokerage firms are a good start, however there are many boutique, local firms that are much better than the big companies (CBRE, C&amp;W, NGKF, JLL, etc). I\u2019ve worked for both and prefer the boutique firms. That being said, many of the best private firms have been gobbled up by the likes of CBRE, C&amp;W, NGKF over the years that there aren\u2019t as many left. If you want a good tenant rep broker, ask landlords (especially) and tenants you know who they\u2019ve liked working with.", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "fz4wici", "text": "Just ask for YTD (year to date) operating statements and a lease abstract.  The lease abstract outlines the key terms of the lease.   Also historical operating (2019).  They should all give that to you. If not, walk away.\n\nThere are investment sales guys and tenant rep. Without getting into details, Commercial is wide spectrum and retail to a lesser degree.  If you're buying something, then use an investment sales expert in that class of asset...if you're leasing something, you would typically look for a tenant rep or landlord rep person.\n\nlook at cap rates of similar assets in a similar location. the higher it is, the more expensive.  Then look at lease rates in $'s per square feet of similar assets.  If it's not in line with the other comparable assets, then make a judgement.", "replies": [{"id": "fz55g0c", "text": "&gt;look at cap rates of similar assets in a similar location. the higher it is, the more expensive.\n\nHigher cap rates mean lower values.  At a 10% cap rate investors have paid $10 per NOI dollar,  In a 5% cap rate market they have paid $20.", "replies": [], "depth": 2}], "depth": 1}]