Browse Tag: broker

CRE Brokers’ Ingredients to Success

Today’s guest post is by Dave Morris, CCIM, Sales Executive with Xceligent and former president of St. Louis CCIM, SIOR, Missouri Commercial Realtors, and St. Louis Commercial Realtors chapters. Connect with David on LinkedIn: DavidMorrisCCIM

 

CRE Brokers’ Ingredients to Success

What do top producers do differently than average brokers? They adhere to a discipline of hard work, market knowledge, and relationships.

Aptitude

A broker must be educated enough to know investment real estate theory and why CRE works for investors. They must also keep pace with many industries and know whether a sector is growing or dying and why.

Attitude

Think and act like a winner. (Fake it until you make it if required). Enthusiastically think “team” and “collaboration” to bring about win-win deals. In general, winners want to work with winners…attract winners to your circle. Execute your services with the highest ethical standards.

Work Ethic

Put in the hours. Stretch your comfort zone. Do the things other brokers don’t or aren’t willing to do.

Infrastructure and Support

Take inventory of every resource available to you (software, CRM systems, lease analysis, Xceligent, staff, senior management, etc…). You need an infrastructure of capable support staff with access to the necessary tools to conduct your business effectively and productively.

Brand Recognition

Build your personal brand within your company brand. A positive reputation is everything! You and your company must be seen as a trusted source.

Market Depth

Work in a market niche (by product type or geography) that has a deep enough commission base and that you are able to control a reasonable and sustainable market share. Every year, re-evaluate it and try to expand on it.

Market and Economic Conditions

While somewhat out of your control, whatever the conditions, you must understand how different cycles affect your marketplace, then plan and react accordingly. Top producers know and understand trends which allow them to stay ahead of the curve.

Relationships

CRE brokers are the fabric of the business marketplace. Combine your personal relationships with your business relationships. Educate everyone you know as to what kinds of opportunities you’re specifically seeking. Do the same for people/customers you know. (You will win a client/friend for life if you refer them a prospect!)

Can A Text Message Can Create a Binding Contract?

Texting on a qwerty keypad phone

Before we get started, let’s bring out the standard disclaimer: Never, ever take anything you read here at The Source as legal advice, and always seek qualified counsel with respect to any issue or problem that arises in your business.

Law blog JDSupra writes this week about a fascinating case in Massachusetts where two commercial brokers, one representing a buyer and the other a seller, were negotiating the sale of a commercial building in a MA industrial park. After a round of negotiations, the buyer’s broker emailed the seller’s broker a letter of intent that was unsigned.

The seller’s broker then texted the buyer’s broker with a request for a signature and for a check, indicating the seller would then countersign upon receipt of these.  The buyer’s broker complied, dropping these off with seller’s broker, but that day, the seller accepted an offer from a third party and declined to countersign the first buyer’s LOI.  The jilted buyer then sued.

From the JDSupra post:

The essential issue the court focused on was whether the emailed LOI and the text message, together, constituted a writing sufficient to satisfy Massachusetts’ Statute of Frauds and therefore create a binding contract enforceable against the seller for the sale of land. The court held that, between the LOI, which set out the terms of the deal in sufficient detail, and the text message “signed” by Tim, the seller’s broker, there could be an enforceable contract.

Take note.  This court was deciding only a motion to dismiss. So it didn’t hold that there was an enforceable contract, only that, viewed in the light most favorable to the non-moving party (i.e., the buyer) there could be an enforceable contract and therefore the motion to dismiss was denied. (It will be interesting to see whether this case settles, goes to trial, or comes to some disposition in between.) Some might also be wondering how signing the LOI created an enforceable contract, since letters of intent usually disclaim any binding effect. In this case, the parties pretty clearly intended to make the LOI binding: the document was titled “Binding Letter of Intent.”  Your Basic Oxymoron.  Also, the LOI did not contain any of the disclaimers you might typically see in a term sheet for a large commercial real estate deal.  Finally, because the buyer and the seller stipulated that their brokers were duly authorized agents acting on their respective behalves, the court found that the broker’s signature was sufficient to bind the seller.

The entire post gets into the reasoning behind the court’s interpretation of broker’s behavior and customs when using texts — including the interesting notion that there can be a difference in legal weight of a text message that is appended with a “signature” — an entry closing a message with the name of the sender — as opposed to one that is not.

Check out the post  Text on the Dotted Line: A Text Message Can Create a Binding Contract | Dechert LLP – JDSupra

(Photo credit: Wikipedia)

And once again, remember: never, ever take anything you read here at The Source as legal advice!