The Real Deal New York

Breaking down the barriers between residential, commercial brokers

August 15, 2012 12:00PM

In the years since the market crash in 2008, a growing number of residential brokers have switched sides, and are now handling commercial deals, the New York Times reported. Although the market has improved since the crash, residential brokers are still seeking ways to enhance revenue flow. At the same time, many foreign purchasers, who do not see a difference between residential and commercial brokers, are giving them business.

“If [foreign buyers] want to do a commercial deal,” Robert Knakal, chairman and founding partner of Massey Knakal, told the Times, “they will often choose to go with the same broker who sold them their apartment.”

There are still challenges. As The Real Deal reported last month, the office leasing market remains slow, but rents in Midtown South are surging.

However, there is a bit of a learning curve for brokers on the residential side crossing over into the land of commercial transactions, with engineering and environmental studies, as well as J-51 tax abatement details factoring into the equation. [NYT] — Zachary Kussin

  • Raging Realtor

    I have to hand it to MK for cobrokering his listing with the community. Thats why they do more business than most other commercial firms such as Besen, ERG, etc… Try asking to cobroker one of their listings is like asking them to tongue kiss their grand fathers. greedy SBs.

  • leah

    MK co-brokering that is the biggest joke with experienced brokers.
    The CFA you are asked to sign is how they build their customer base.

  • Raging Realtor

    Ive had no issues showing the property they list on the RLS system. he CFA’s I sign myself with my AKA email. Ive yet to receive an unsolicited email from MK. However from other companies….. And after 19 years in this industry, Im pretty experienced. Also what i was referring to is residential RE bkr moving into commercial.