Commercial real estate has long carried a certain mystique.
For many residential agents, it feels more technical, complex, and harder to break into.
The language is different, the deals are structured differently, and the clients often think differently.
As a result, many capable agents never seriously explore it.
But according to Tom Donnelly, Head of Commercial at NAI Harcourts Australia, the barrier isn’t intelligence or talent – it’s mindset.
“The truth is, commercial real estate is different,” Tom says.
“But it isn’t out of reach. Like any specialised field, success comes down to mindset, training, and a willingness to learn.”
Born and raised in Scotland, Tom arrived in Australia more than two decades ago with a finance background and no formal pathway into property.
Within two years, he had stepped into commercial real estate and never looked back.
Over the past 20 years, he has seen countless agents attempt the transition from residential to commercial.
The ones who succeed, he says, share several common traits.
A long-term mindset
Tom believes commercial careers are not built overnight.
Early progress can feel slow while agents learn new markets, understand deal structures, and adjust to a more analytical style of client engagement.
“The agents who succeed are those who accept that the early stages are about learning, positioning, and building credibility,” Tom explains.
Invest in training early
Unlike residential property, commercial real estate is deeply technical.
Lease structures, incentives, yields, net versus gross income, risk profiles and tenant covenants all play a role in client decision-making.
“Confidence comes from understanding how deals actually work,” Tom says.
Early in a commercial career, he believes education matters more than income.
Time spent reviewing real transactions, asking questions, and understanding how value is created pays dividends later.
Strong training builds competence, which in turn builds confidence.
And confidence earns trust.
Find a mentor
For many successful commercial agents, mentorship is the turning point.
Tom’s own pathway into the sector was influenced by meeting experienced operators early in his career.
Working alongside senior professionals provides exposure to negotiation strategy, transaction structuring, and client management that cannot be learned from theory alone.
“Very few strong commercial careers are built alone,” he says.
The right mentor helps emerging agents avoid common early mistakes and shortens the learning curve significantly.
Choose a specialisation and commit
While early exposure across asset classes can be valuable, long-term credibility in commercial real estate is built through focus.
That focus might mean specialising in industrial assets within a defined precinct, concentrating on retail leasing, or building expertise in office investment sales.
“Commercial real estate rewards focus,” Tom says.
Specialisation allows agents to develop deeper market insight and become known for something specific. Clients value advisers who understand their niche in detail rather than generalists who skim the surface.
Once that focus is established, consistency becomes the differentiator.
Build relationships through consistent prospecting
Commercial transactions often take time.
Many deals are the result of conversations that began months, or even years, earlier.
Relationships are formed gradually through regular, professional contact with property owners, investors and business operators.
“Listings and deals often come from conversations held well before a transaction is ready,” Tom explains.
The most successful commercial agents aren’t necessarily the most visible. They are the most consistent.
Protect your reputation
In commercial, reputation travels quickly.
Deals can be complex, and negotiations can become sensitive.Â
Markets are interconnected, and stakeholders remember how transactions are handled, especially when challenges arise.
“Reputation is a long-term asset in commercial real estate,” Tom says.
Building depth, not just volume
Now leading the commercial division at NAI Harcourts Australia, Tom sees growing interest from residential agents curious about expanding their careers into the commercial space.
“You don’t need to have all the answers at the start, most people don’t.
“What matters is being open to learning, finding the right support, and staying consistent.”
