The commission to Leasing Agent is paid on the rent or rent plus CAM?

In Leasing Property - Asked by Peter R. - Jan 24, 2011
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Answer(s)

Barry K.
Broker/Agent
Oakland, CA

Most likely, one finds that the commission is paid on the Base Rent and not the NNNs.

Jan 24, 2011
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Damon D.
Broker/Agent
Bala Cynwyd, PA

The answer may vary from region to region (or market to market) and/or the sector you are talking about. In my market (PA-NJ-DE) and in my sector (retail), retail brokers are paid on the base rent only. Office brokers in my market, on the other hand, are typically paid on the gross number.

Jan 24, 2011
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Harold W. J.
Broker/Agent
Greenbelt, MD

On the Rent only.

Jan 25, 2011
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Matthew R.
Appraiser
Lawrenceville, GA

This matter is probably a function of the contract.

Jan 25, 2011
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Sandy I.
Property/Asset Manager
Pittston, PA

We pay commissions on base rent only. The commissions EXCLUDE any tenant improvement allowances. We also pay commissions on the anniversary date of the lease not up front.

Jan 26, 2011
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Mari R.
Listing Administrator
Naperville, IL

In the Chicago market you will find that you get paid $1.00 PSF per year as a typical commission so it doesnt matter if its a NNN or gross lease. Hope this helps.

Jan 27, 2011
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Marianne C.
Broker/Agent
Kirkland, WA

Commission is almost always paid only on base rent. The reason is that CAM is supposed to be only a pass-through/reimburesment of actual maintenance, tax and insurance costs.

Jan 28, 2011
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Mark and Paul B.
Broker/Agent
Pocatello, ID

unless specified differently in the listing contract, it's on the rent. The CAM fluctuates from year to year so there is no accurate way of determining the commission amount otherwise.

Jan 28, 2011
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