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#169446 - 09/13/07 08:48 PM Typical lease commission
Mitch Offline
Member

Registered: 09/07/05
Posts: 118
Loc: DFW Texas
What is the typical commission an agent represnting the buyer/leasor would receive on a commercial office space?

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#170011 - 09/17/07 06:45 PM Re: Typical lease commission [Re: Mitch]
tonyw Offline
Member

Registered: 03/25/07
Posts: 31
hmmmm.....must be a tough question!

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#170025 - 09/17/07 08:08 PM Re: Typical lease commission [Re: tonyw]
Gulf Winds Offline
REO Slave
Major Contributor

Registered: 02/04/06
Posts: 1715
Loc: USA
It can be as varied as the types of leases themselves.

Tell us the details of the lease and we can give an informed opinion.

I've taken commissions based upon gross/net lease amount, per sf, monthly payments, partial payment up front and the remainder in scheduled payments, referral fee only, lessee paying commission as part of triple net lease, etc.
_________________________
"There are people who make things happen, there are people who watch things happen, and there are people who wonder what happened. To be successful, you need to be a person who makes things happen.." - James Lovell- Astronaut

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#190907 - 01/04/08 06:51 PM Re: Typical lease commission [Re: Gulf Winds]
StarkRealEstate Offline
Member

Registered: 01/04/08
Posts: 65
Loc: Nevada, USA, Reno
In our state there is not "Set Commission". That would be equated as price fixing among our state real estate division. But typically I find that it is between 4 and 6 percent. This is obviously split amongst the tenant and landlord rep. However if you are the landlord rep and you may discount it if your firm brings the tenant (instead of 6%, it would be 5% for the transaction).

These splits are usually for deals from 1-5 years. When you get to the 10+ year leases, you typically receive less since it is a larger term (maybe half the commission for all years past 5). However keep in mind that if you want other brokers to bring you tenants, you want to keep them happy and a bigger split will often be the necessary motivation.
_________________________
Earl Peterson
Stark & Associates
Commercial Real Estate
Office, Industrial,
Retail & Investment Properties
Reno, Sparks & Northern Nevada
www.starktcn.com

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