The short answer is yes. But the more important question is: should they?

Here’s something most business owners don’t find out until it’s too late: the broker who showed you that warehouse space, office suite, or flex building may be working for the landlord. Not you. And in commercial real estate, that distinction can cost you years of overpaying on rent, locked into lease terms that don’t fit how your business actually runs.

This isn’t a knock on landlord brokers. They’re doing their job, which is getting the best deal for their client. The landlord. The problem is when one broker tries to serve both sides of the same transaction. In Tucson’s commercial real estate market, we’ve seen what that arrangement produces for tenants and buyers, and it’s rarely pretty.

So let’s walk through how this actually works, what the law says, and why having a broker who works only for you makes a real difference whether you’re leasing office space in midtown Tucson, searching for a warehouse near the airport, or buying an owner-user building for your business.

What Is Dual Representation in Commercial Real Estate?

Dual representation, sometimes called dual agency, happens when a single broker or brokerage firm represents both the landlord (or seller) and the tenant (or buyer) in the same deal. In Arizona, this is legal, but it requires informed written consent from both parties.

On paper, that sounds reasonable. In practice, it creates a conflict that’s nearly impossible to resolve. Think about it this way: how does one broker push hard for lower rent on your behalf while also protecting the landlord’s asking rate? How do they advocate for tenant improvement allowances when the landlord they also represent is trying to minimize that cost? They can’t. Not fully.

The broker is now a messenger, not an advocate. They move information between the two parties, and everybody calls it a negotiation.

How Arizona Handles the Dual Agency Disclosure Requirement

Arizona Revised Statutes require that any broker acting as a dual agent must disclose that relationship in writing before an agreement is signed. The disclosure must explain that the broker’s duties to each party are limited because of the conflict, and both parties must agree to it.

What the law doesn’t require is that anyone explain to you what you’re giving up by agreeing to it.

Most tenants and buyers in Tucson sign those disclosures without reading them carefully, or without understanding that a tenant representative working exclusively for them would owe them an undivided fiduciary duty. That means full loyalty, full disclosure of information, and negotiating without any competing obligation to the other side.

Who Pays the Broker, and Why That Matters

One of the most common misconceptions we hear from tenants in Tucson is that they can’t afford a tenant rep broker, or that hiring one will cost them more. Neither is accurate.

In nearly every commercial lease transaction, the landlord pays the brokerage commission, regardless of whether the tenant has their own representation. That commission is built into the deal. If you walk in unrepresented, or with a dual agent, the landlord’s broker often keeps the full commission. You get no advocate and save nothing.

When you bring a tenant rep broker to the table, that commission is typically split. Your broker earns their fee from the landlord’s commission pool. You pay nothing out of pocket and gain a professional whose only job is getting you a better deal.

The same holds true on the purchase side. Owner-user transactions and commercial acquisitions in Southern Arizona typically structure compensation so the buyer’s broker is paid by the seller or through the transaction, not directly by the buyer.

What a Tenant Rep Broker Actually Does for You

Tenant representation isn’t just about having someone in your corner at the negotiating table, though that matters too. A good tenant rep broker brings something the landlord’s broker never will: information organized around your interests.

Here’s what that looks like in practice:

Market Knowledge That Works for You

Market knowledge that works for you. Your broker knows what comparable spaces in Tucson are renting for right now, not just list price. That’s leverage. Whether you need office space in midtown, industrial space near the Tucson airport, or medical office in the Foothills, current comps tell you whether the landlord’s opening number has any room to move.

Lease Negotiation Beyond the Rent Line

Lease negotiation beyond the rent line. The base rent is one number in a lease that can run 20 to 50 pages. Tenant improvement allowances, free rent periods, renewal options, early termination rights, operating expense caps, and assignment clauses all affect the real cost of occupancy over your lease term. A tenant rep negotiates all of it.

Site Selection That Fits Your Operations

Site selection that fits your operations. Finding the right space is not just about square footage and price. Zoning, power capacity, dock-high doors, clear heights, parking ratios, proximity to your customers or workforce, these factors matter just as much. For industrial and manufacturing users, getting site selection right in Tucson often determines whether a location can actually work for the business.

Financial and Cost Comparison Analysis

Financial and cost comparison analysis. When you’re weighing two spaces, or deciding whether to buy instead of lease, a side-by-side financial comparison shows the real numbers. Total occupancy cost over time, build-out costs, opportunity cost, SBA financing considerations, these are decisions that benefit from more than a gut feeling.

Timing and Process Management

Timing and process management. Commercial lease transactions in Southern Arizona take longer than most business owners expect. Counteroffers, due diligence, permit timelines, and build-out schedules all add up. A tenant rep keeps the process moving and makes sure deadlines don’t slip in ways that cost you.

The Difference Between Leasing and Buying, and When Each Makes Sense

One of the most valuable conversations we have with clients at Commercial Real Estate Group of Tucson is the buy-versus-lease analysis. It’s not a simple answer, and any broker who tells you it is should raise a flag.

Leasing makes sense when your space needs are likely to change, when capital is better deployed in the business, or when flexibility matters more than building equity. Owner-user purchasing makes sense when you have stable, long-term space requirements, strong enough credit for SBA financing, and a property type that matches your operations.

In Tucson’s current market, owner-user industrial properties, particularly warehouse buildings with yard space and buildings near Davis-Monthan Air Force Base suited to aerospace or defense-related manufacturing, have attracted serious buyer interest. Office buildings for medical users, professional service firms, and owner-occupants have also seen activity, particularly in established Tucson corridors.

What doesn’t change regardless of whether you lease or buy is the value of having a broker who knows Southern Arizona and is working exclusively for you.

Tucson’s Commercial Market: What Tenants and Buyers Are Navigating Right Now

Tucson’s commercial real estate market has its own rhythms, and they don’t always follow Phoenix or national trends. Industrial vacancy in Southern Arizona has tightened considerably over the past several years, driven by demand from distribution users, aerospace and defense contractors, and businesses relocating to Arizona from higher-cost markets.

That tightening is real, and it matters if you’re searching for warehouse space for lease in Tucson, flex space, or manufacturing facilities. Fewer options means landlords have more leverage, and that makes having an experienced tenant rep even more valuable, not less.

The office market is more nuanced. There is available space across Tucson’s submarkets, midtown, north, foothills, and downtown, but quality varies considerably by building and submarket. Medical office space for lease in Tucson has remained active as healthcare users continue to expand and consolidate their footprints. Professional office users, including law firms, financial services, and tech companies, have found opportunity in buildings where landlords are more motivated to do deals.

Companies relocating to Tucson from California, Phoenix, or out of state often underestimate how local the market is. What the data says at a macro level and what’s actually available, priced fairly, and right for a specific use case are different conversations. That’s where 25-plus years of on-the-ground Tucson experience changes the outcome.

Red Flags That Should Make You Ask Who the Broker Works For

Not every commercial real estate transaction starts with a clear disclosure of whose side a broker is on. Here are situations worth paying attention to:

A Broker Calls You Directly About a Specific Property They Also List

A broker calls you directly about a specific property they also list. This is a listing broker, not your rep.

A Broker Keeps Steering You Back to One Property

A broker says they can show you multiple properties but seems to keep steering the conversation back to one building or landlord. Ask directly whether they have a listing agreement on any of the spaces they’re showing you.

You’re Asked to Sign a Dual Agency Disclosure

You’re asked to sign a dual agency disclosure before you’ve even seen a lease. Read it carefully and ask what your options are.

A Broker Emphasizes Their Relationship With the Landlord

A broker tells you they can get you a better deal because they know the landlord personally. That relationship benefits someone, just make sure it’s you.

You Can’t Get Clear Comparable Lease Data

You can’t get a straight answer about what comparable spaces are leasing for. A tenant rep pulls market data for you without being asked.

Why CREG Tucson Works Only on the Tenant and Buyer Side

Commercial Real Estate Group of Tucson takes tenant and buyer representation exclusively. We don’t list properties on behalf of landlords or sellers. That’s not an accident, it’s a choice, and it matters.

When you work with us, there is no other client on the other side of the table. We’re not managing a relationship with a landlord we’ll need again next month. Our only job is getting you the right space, at the right price, with terms that make sense for how your business operates.

We’ve been doing this in Tucson and Southern Arizona for more than 25 years. We know the submarkets, the landlords, the buildings that look good on paper but have real problems, and the ones that deliver for tenants long-term. That knowledge doesn’t come from sitting behind a desk running searches on a database. It comes from being in the market, transaction after transaction, year after year.

Whether you need help with an office lease negotiation in Tucson, finding and qualifying industrial space near the Tucson International Airport, evaluating whether to buy an owner-user building for your company, or analyzing whether relocating your business to Tucson makes financial sense, we bring the same approach every time: your interests first, always.

Ready to Have a Broker in Your Corner?

Commercial Real Estate Group of Tucson represents tenants and buyers exclusively, no landlord listings, no divided loyalties. If you’re leasing office space, searching for industrial or warehouse property, evaluating an owner-user purchase, or considering a business relocation to Southern Arizona, let’s talk.

We offer a no-obligation consultation to review your space needs, walk through your options, and show you what the Tucson market actually looks like, not just what’s listed, but what’s available, what’s priced right, and what fits your business.

Call us: (520) 299-3400 | Visit: www.cretucson.com | Email: michael@cretucson.com

Commercial Real Estate Group of Tucson, Tenant and Buyer Representation | Tucson and Southern Arizona