Who and what is Champions DFW Commercial Realty? In this edition of the Champions DFW Radio Show and Podcast, co-hosts Ron Taylor, Jim Kelley and Rudy Janecka explain the commercial real estate roles of Champions DFW. Here’s an excerpt of their conversation. Then, be sure to listen to the complete conversation in the free downloaded podcast:
Jim Kelley: With so much commercial real estate and corporate relocations into the Dallas/Fort Worth area, there’s many aspects of commercial brokerage, real estate brokerage that we perform. And we mentioned a little bit earlier but we do leasing, we do sales, we do investment sales, property management, and then tenant buyer representation across all property types, retail, which Rudy focuses and heads up that group, office, industrial, land, and even special use. So I mean, church buildings, sports complexes, we sell and lease those type properties.
And, you know, over the last few months, I was thinking, you know, sometimes we don’t drill down enough, Ron, and explain to our listeners what that process is and what it looks like. And starting out, I’d like to talk about commercial leasing. We do a lot of what we call project or property leasing where we work on behalf of the owner or the landlord to lease out property, as opposed to a tenant representation agreement where we’re going on behalf of the client to try to find property. So I would say, we do about 70% to 80% of our work on the landlord side. So if you’re an owner and you need help leasing a property, that’s what we do. And so we do it across, again, all the property types. And when you’re on the landlord side, it’s very critical that we market the property for lease and once we get prospects, we vet the client or the tenant on that property: financials, credit reports, etc.
And we are also trying to meet their requirement. They may come in thinking they need X and in essence they need Y. They may be represented, they may not be represented, but it’s critical that we act and we provide if I do share responsibility to our owner, to our landlord, to get the space leased but also get it occupied. It’s one thing to get a lease signed but then you’ve got the real work. The lifting sometimes begins because now you’ve got to secure a certificate of occupancy, you’ve got to maybe get the space finished out to meet the tenant’s requirement. It is just a big process sometimes and we walk our tenants and our clients through that entire process.
And it takes some time. And obviously office versus industrial versus retail has different timelines and different touch-points to be able to get a tenant into the space. But I would say about 70% to 80% of our time we are working on the landlord side. So we are very good at leasing out property. We also do tenant representation. I’m going to throw it over to Rudy because Rudy’s been doing a lot of these projects with National Credit type folks. Rudy, give us kind of a summary and an overview of tenant representation and how you go about that.
Rudy Janecka: All right. Well, on the retail side, I mean, I do probably the opposite of the percentages Jim quoted. I may be doing 70% tenant rep at this point and time and about 30% landlord rep on our listings. But the majority of my experience has been tenant rep but it’s been really interesting to be on the brokerage side now to see all the navigating and all the negotiating that goes on behind the scenes that I was never aware of when I was strictly on the tenant rep or the corporate side. So the brokers and the services we offer, we’re doing a lot on behalf of all parties really. And sometimes negotiating with our landlord on behalf of the tenant that we’re not even representing, if that makes sense, just to help them understand the dynamics, especially if it’s an out-of-state owner that may not be familiar with the comparables and things like that that we have in this market.
So those are some of the things that I do. We’ll work with him on either developing letters of intent or an LOI is a term that you hear, and that normally is…hits the brief deal points of the term, the length of the term, the rent amounts, any sort of contribution from the landlord, whether it’s a tenant improvement allowance, cash contribution, or rent abatement allowance in return for taking a space possibly in as is condition. Or maybe grey shell condition is where we normally get a tenant improvement allowance and things like that.