If you decide to work with a tenant rep broker, you will usually be asked to sign a short document called a tenant representation agreement. It is not the lease, and it is not a commitment to any particular space. It is simply the agreement between you and your broker that sets up the relationship. Here is what one typically covers and what to look for before you sign.
What is a tenant representation agreement?
A tenant representation agreement (sometimes called a tenant advisory and representation agreement) is a contract between you, the tenant, and your broker. It is the foundation of commercial tenant representation: the broker works for you, not the landlord, to find, negotiate, and secure your space, whether that is a new lease, a renewal of your current one, or a flexible or coworking arrangement. It is separate from the commercial lease you will eventually sign with a landlord. Think of it as hiring your advocate before the search begins.
What does a tenant representation agreement cover?
It is short, but it defines a few key things: the scope of representation (what the broker is helping you with, a new office lease, a renewal, or flexible space, and sometimes the type of property or geographic area), who pays the commission, how either party can end it (the termination rights), and the broker's obligations to you. In other words, it sets the ground rules before the search starts.
What makes a tenant representation agreement exclusive?
Most of these agreements are exclusive, meaning you appoint one broker as your sole representative for the search. That might sound like a big commitment, but it works in your favor. When you sign an exclusive agreement, your broker takes on a fiduciary duty to you, a legal obligation to act in your best interest, with loyalty and full disclosure. That is the opposite of the building's broker, whose duty runs to the landlord. Exclusivity is also what lets a broker fully commit to your search, preparing a full market survey, spending real time on tours and analysis, and negotiating hard on your behalf, knowing they are your dedicated advocate rather than one of several brokers racing each other.
Can a tenant rep broker represent the landlord too?
Some firms represent both landlords and tenants, which can put the same brokerage on both sides of a deal and create a conflict of interest. I represent only tenants, so there is never a question of divided loyalty. When I am at the table, I am there for you and no one else.
Can you see spaces without an exclusive agreement?
Yes, you can. You can call landlords' brokers directly and tour spaces without signing anything. But it is worth understanding what that experience is actually like. Without your own representation, every broker you talk to represents a specific building and wants to lease their space. They will show you their listings, not the whole market, and they are motivated to sell you on what they have, not to tell you whether it is the right fit for you. You end up with several brokers throwing spaces at you and steering you toward their own, with no one in your corner weighing them objectively.
An exclusive agreement flips that. You get one advisor who works only for you, sees the entire market, and gives you a straight answer on which space is genuinely best, including talking you out of one that is not. That is the difference between being sold to and being advised.
Who pays a tenant rep's fee?
In almost all cases, the landlord does. The agreement has your broker look to the landlord for their commission, at the standard market commission rate, and it calls for the final lease or renewal to include a clause requiring the landlord to pay that fee. So the broker is paid out of the deal, at no cost to you.
There is one exception worth understanding: if the landlord does not pay the commission because you went around your broker, dealt with the landlord directly, or did not disclose that you had representation, then you would owe the fee. This is standard broker compensation protection, and it simply safeguards the broker's work. As long as you run your deals through your broker, which is the whole point of hiring one, it stays free to you.
Do you owe a fee if you never do a deal?
No. The commission is only ever tied to a deal actually getting done, a new lease or a renewal. If the process does not lead to one, you owe nothing. And for most companies, who already have an office, the realistic outcome is either a new lease or renewing where you are, both of which your exclusive agreement covers.
Does the agreement cover a lease renewal?
Yes, and that matters more than most people realize. Most companies looking for space already have an office, and often the smartest move turns out to be renewing where they are. Your exclusive agreement covers that, and it is one of the most valuable things a tenant rep does. Landlords count on tenants renewing on their own and accepting whatever increase is proposed, because most do. With a broker who knows the current market and can quietly line up real alternatives, you negotiate from a position of strength. I have turned proposed increases into actual reductions on renewals, often without the client moving an inch. Even if you fully intend to stay, having representation on your renewal usually pays for itself.
How long does a tenant representation agreement last, and how do you cancel it?
A good agreement should be easy to exit. In my case there is no fixed lock-in term: either side can end it at any time with two weeks' written notice. That keeps the relationship built on results, not paperwork.
One thing that does continue after you cancel is protection on the specific spaces your broker already introduced you to. For a period afterward, if you lease a space your broker found and showed you, their commission still applies. That is fair, it stops someone from touring spaces with a broker and then cutting them out of the deal they did the work to find.
Is a tenant representation agreement legally binding?
It is a real, binding contract, so it is worth reading, but it is a short one, and signing it does not commit you to lease any space. A well-written agreement is clear that the broker cannot sign you up for a lease or any contract without your prior written consent. They advise, guide the lease negotiation, and recommend. The decisions stay entirely yours.
Is a registration or tour form the same as a representation agreement?
No. Do not confuse your representation agreement, which is between you and your broker, with a registration or tour form, which the landlord's side sometimes asks a prospective tenant to sign before viewing a building. Those are the landlord's documents and can carry their own terms. If you are asked to sign one, your broker should review it with you first.
What to look for before you sign
Before signing any representation agreement, make sure you understand whether it is exclusive, how and by whom the broker is paid, how you can cancel it and with how much notice, and how long the protection on introduced spaces lasts after it ends. A good broker will walk you through all of it in plain language, and for anything significant, it never hurts to have your own counsel take a look.
How to choose a tenant rep broker
A representation agreement is only as good as the broker behind it, so choose carefully. A few things to look for: someone who represents tenants only, so their loyalty is never split; real knowledge of your market and the specific neighborhoods you are considering; responsiveness and genuine attention, which matters most for smaller companies that larger firms tend to overlook; and honesty, a broker who will tell you the truth, including talking you out of a space that is not right. Most of all, pick someone you trust and communicate well with, because you will be working closely together through one of the biggest commitments your company makes.
More resources: Office leasing glossary · Office leasing FAQ · Office space calculator
Have questions about working together?
I focus only on office tenant representation, and I am always happy to walk through my agreement before you sign anything. Tell me what you are looking for and we will take it from there. No cost, no obligation.