Desperate for warehouse space in NJ. Is using a broker with costar all I can do?
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[{"id": "eb476bg", "text": "Where exactly are you looking?  ", "replies": [], "depth": 1}, {"id": "eb483u4", "text": "Hard to say if most companies outgrow or not. If you lease instead of buy you aren\u2019t trapped, you can also buy property with another land to expand. \n\n3-5 years is a typical for commercial leases. \n\nAlmost every broker will use costar. Different brokers might know of different properties that aren\u2019t listed.\n\nI would say focus on somewhere that will be a central location for your business, but I am not an expert on industrial nor do I know your market. To qualify your broker, just make sure he has sent you options to at least prove he is trying to look.\n\nGood luck!", "replies": [], "depth": 1}, {"id": "eb4ny27", "text": "Leasing is very luck based, determined by tenants, renewing, moving out, business going bankrupt. It's hard to time it correctly, unless you gave your broker a 4 month notice, then they don't know what they are doing. You may need to begin loosening your expectations on size, price or location if you are desperate. What you can do, if you are truly desperate, is open up Loopnet and call on the brokers you see have listings in the area and see if they have any off-markets you are willing to work with them on. Good luck. \n\nEdit: normal leases are 3-5 years, but everything is negotiable, including a higher early month-to-month with a lower rate once signed a normal 3-5 year lease. Although you should be careful, in hot markets, if you ask the landlord for too much things he will rather wait for a tenant with less headaches. Don't know about NJ but I'm CA and the Inland Empire industrial rents are rising fast and if you don't pay what the landlord is asking, they will find someone that will. ", "replies": [], "depth": 1}, {"id": "eb54dga", "text": "A broker will be your best option to find something. One of the things you might consider is what kind of broker you are dealing with. Most brokers specialize in asset classes, especially in a large market like NJ. So if the broker you're using specializes in investment sales and you have them looking for a small warehouse space to lease, he/she might not have the best contacts for that. Also this lease will be a small paycheck for your broker, like maybe less than $1,000 after he splits with his brokerage. That's not a lot of incentive for him/her to work very hard for you. I would suggest finding a broker that specializes in industrial/warehouse/flex leasing, and maybe someone that has a lot of warehouse listings.", "replies": [{"id": "eb5dxs1", "text": "Make an excellent point. If the deal is too small, your tenant broker more likely than not isn't spending hours on this deal where they'll net $1000~ while other deals around him will get them, $5000~. This is why OP may need to do some of the leg work themselves. ", "replies": [], "depth": 2}], "depth": 1}, {"id": "eb5nxpw", "text": "I build and own warehouses in NJ and eastern PA. Space is very tight across the entire state. Small spaces like this, however, do typically have some frictional vacancy, and I'm surprised you're having such a hard time finding space. We own quite a lot of buildings that could accommodate your size, and have some vacancies right now in that size range, albeit they are in Middlesex County. What broker are you using? I think you may want to consider switching.\n\n1. Yes, smaller tenants typically sign shorter leases and tend to move around a lot. Waiting, if you can afford to do it, will definitely get you a space somewhere, eventually, but you have to remain actively looking and be ready to move quickly when they become available. \n2. 3 years is the \"old standard,\" 5 years is more typical in NJ today (with 3% annual rent increases). Smaller tenants often can't commit for that long, so you may be able to negotiate a shorter term if you have a decent credit history or don't require any work from the LL, or if the space has struggled to lease recently. \n3. Costar is not the best you can do. Costars info, espeically on small spaces, is almsot always out of date. Hire a broker with good local connections to reputable landlords. Hire a broker from a brokerage with a good reputation and a sizable team of agents. I would not recommend going with a national or multinational brokerage, because you the commision they will make off this size deal is quite small and so they won't give you the attention you need. \n\nPM me if you need more advice. This is what i do. ", "replies": [], "depth": 1}, {"id": "eb7umvi", "text": "Your quite small so a lot of brokers won\u2019t want to spend time.  Reaching out to actual parks makes more sense.  PM me because I may have some space for you in freehold, nj is that works.  ", "replies": [], "depth": 1}]