Introduction to Commercial Real Estate
Why take this course?
GLVREA is happy to welcome Josh Cadillac back to teach, but this time, in person. Join us and enjoy one of the most acclaimed instructors we’ve offered. Josh is high energy, entertaining and extremely knowledgeable.
There are many elements of commercial real estate that differ from residential transactions. It’s critical to know these differences if you are primarily a residential agent and have infrequent commercial transactions.
This course will give you the basic tools to determine if the commercial side of real estate is right for you and to give you the skills to build a strong real estate business with exceptional customer service that is both compelling to the customer and compliant with our ethical standards.
On the commercial side of real estate, the investor tends to be more knowledgeable and sophisticated but there is no guarantee that all your commercial customers will be sophisticated buyers. There is still the chance that this deal is this customer’s first one ever. For that reason, we must be ready willing and able to give them all the support they need. The ability to explain the commercial contract, LOI, and other forms that may come into play during the transaction are important skills for any agent working with commercial customers to have.
Upon completion of this session, participants will be able to:
- Describe some of the primary differences between the commercial customer and the residential customer.
- Explain the difference in the due diligence period with commercial real estate.
- List some common differences between the commercial and residential lease that the customer should be made aware of.
- Explain the importance of attorney involvement in the commercial transaction.
- Describe what a typical Commercial investor/customer expects from a real estate professional based on their experience.
- Explain the terms GPI, Vacancy Factor, GOI to a customer.
- Demonstrate how to use the 5 main keys on the financial calculator (N, I/YR, PV, PMT, FV).
- Calculate the net operating income of a potential commercial property using the above given factors.
- Create a ‘to do’ list of due diligence when working with a commercial buyer.
- Explain what special inspections a lender may want/require.