CRE Buyer's Broker

[Joe Strickley]

Is there such a thing? Any mentors out there? I want to make some investments, tried to put together a team of specialist CPA, attorney, and broker, but it fell at the first hurdle. It seems brokers just want to sell what they want to sell you, attorneys won't talk to you unless you have $10m in the bank, and CPAs want upfront retainers. I've done my homework, have an investment strategy, but nobody wants my money. Where am I going wrong?

[Don Konipol]

You have brought up some good points. the world of commercial real estate is in many ways not an extension of residential real estate; it is a completely different investment animal.

The are commercial brokers that will represent you on the buy side, but they want alot more confidence that you have the ability to close a transaction than residential brokers do. Residential brokers were educated to believe that almost everyone can buy a house - even those with marginal credit and little capital (maybe changing now!). Before a good commercial broker spends time, effort and reputation on you he will want to see proof of how much capital you have to invest and your ability to obtain financing for a commercial project. Since a larger part of your ability to obtain financing is dependent on your experience, a resume or at least summary of relevant experience is essential. Puts the new player at a distinct disadvantage.

If you actually want advice as to what to purchase, what's a good deal, etc. this is available for a fee. You can contact the CRE association, (counselors of real estate), obtain a list of their members with the CRE designation, and engage their services to whatever extent you wish. Please note that CREs are not commission based, most will charge an hourly consulting fee.

If this is not what you're looking for please explain and I will give you an answer to the best of my knowledge.