What is a Commercial Property Buyers Agent — and Do You Need One?

The structural problem with commercial property advice

When you buy commercial property in NSW, almost every professional at the table is working for someone else. The selling agent's commission is paid by the vendor — and increases with the sale price. The vendor's solicitor is protecting the seller's interests. Even the information memorandum you receive has been crafted to present the asset in the most favourable possible light.

This is not a conspiracy. It is simply how the market is structured. And for most buyers, it means they make high-stakes acquisition decisions with fundamentally compromised information.

A commercial property buyers agent changes this equation. Their mandate — and their fee — comes from you, the buyer. Their job is to find the right asset, at the right price, on the right terms. And critically, their advice is equally valid whether you proceed with an acquisition, renegotiate the terms, or walk away entirely.

What a buyers agent actually does

The scope of a commercial buyers agent engagement typically covers the full acquisition journey:

Defining the brief

A good buyers agent starts by understanding your investment objectives, not by showing you properties. What is the target yield? What is your acceptable vacancy risk? What is the minimum lease term you require? What is your exit strategy? The answers to these questions determine what constitutes a suitable asset — and what doesn't, regardless of how attractively it is presented.

Market search and deal sourcing

The most compelling commercial properties in NSW rarely reach open market listing. A well-connected buyers agent maintains relationships with selling agents, property managers, landlords, and developers that provide access to off-market opportunities before they become competitive. This is particularly relevant in supply-constrained markets like the Illawarra, where quality industrial and retail assets are limited.

Property assessment and feasibility

Every shortlisted property is assessed against your brief: zoning and permitted use, building condition, lease terms and tenant covenant, return profile, and exit liquidity. Properties that don't meet the standard are filtered out before they consume your due diligence budget or your time.

Negotiation

Commercial negotiation is not simply about price. Settlement period, deposit structure, make-good conditions, rent abatement provisions, and warranty packages all affect the effective risk and cost of an acquisition. An experienced buyers agent negotiates across all these variables — not just the headline number.

Due diligence coordination

A buyers agent coordinates the specialist due diligence required before exchange: lease review, building condition, environmental assessment, NLA verification, and planning confirmation. They know what to look for, which questions to ask, and — critically — what findings are deal-breakers versus negotiable adjustments to price or terms.

Buyers agent vs selling agent: the key differences

Factor	Selling Agent	Buyers Agent
Who appoints them?	The vendor	The buyer
Who pays their fee?	The vendor (% of sale price)	The buyer (fixed fee)
Fee increases with sale price?	Yes — conflict of interest	No — fixed mandate
Incentivised to close the deal?	Yes	No — advice is valid regardless
Off-market access?	Limited to own listings	Broad relationship-led deal flow
Will they advise you to walk away?	Rarely	When warranted, yes
Represents your interests exclusively?	No	Yes

Is a fixed-fee mandate always the right structure?

Buyers agents in Australia operate on different fee structures. The two main models are:

• Percentage of purchase price: The buyers agent earns a percentage — typically 1% to 2% — of the acquisition price. This creates the same conflict as a selling agent: higher price, higher fee.
• Fixed fee: A fixed advisory fee is agreed upfront, regardless of whether a transaction occurs or at what price. This aligns the agent's incentive with the quality of advice, not the volume of transactions.

Keith Garrash operates exclusively on a fixed-fee basis. The fee is disclosed at the outset and does not change if the acquisition price changes. If the right advice is to walk away from a property, that advice is given — because the mandate is built on the integrity of the advisory, not the transaction.

When is a buyers agent most valuable?

A commercial buyers agent delivers the greatest value in specific circumstances:

• When you are acquiring in a market where you lack deep local knowledge and relationships
• When you are time-poor and cannot conduct comprehensive market search and due diligence yourself
• When you are entering a new asset class and need specialist assessment frameworks
• When the acquisition is of sufficient scale that a mistake would be materially costly
• When you want access to off-market deal flow that listed marketing cannot provide

For most commercial property investors acquiring assets above $1M in NSW, the cost of an independent advisory mandate is recovered many times over — through price negotiation alone, through avoided acquisition mistakes, or through access to opportunities that were never publicly listed.

What to ask before engaging a buyers agent

Not all buyers agents are equal. Before engaging one for a commercial acquisition in NSW, ask:

• Do you operate on a fixed fee or percentage of purchase price?
• Do you have relationships with off-market deal flow in my target market?
• Have you transacted in this specific asset class and location before?
• What does your due diligence process actually include?
• Will you advise me to walk away if the asset doesn't meet the brief?
• Do you have any agency agreements with selling agents or developers that could create a conflict?

The answers reveal the structure, independence, and depth of the advisory relationship. A buyers agent who cannot answer these questions clearly is not providing the independent service they are claiming to offer.