What is the standard rental commission to a realtor on office / retail building space.?

In Leasing Property - Asked by yolanda Mirian E. - Jun 6, 2012
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Answer(s)

Douglas B.
Broker/Agent
Dallas, TX

This is a negotiable fee, however in Dallas/ FW we commonly see 4.5% of total base rent to be collected over the term of the lease. In retail we sometimes see a minimum of $3/sf for a leasing commission

Jun 7, 2012
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Richard S.
Broker/Agent
Newport Beach, CA

Typical commission structure is 6% of the rent for the first 5 years or less, plus 3% of the rent for the next 5 years. NNN charges payable by the Tenant are not included when calculating the commission. Fees are usually payable to the Broker half upon lease execution, and half once the Tenant is open and paying rent.

Jun 7, 2012
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Chris R.
Broker/Agent
Denton, TX

Understand that there is no standard set fee for any commissions in real estate and all such fees are entirely negotiable between the owner and the listing broker who in turn will offer compensation to other agents that might be involved in a deal. Typically - in commercial real estate in the Texas area - the agent that brings the tenant to the table gets 4.5% of the amount of the initial term of the lease. Typically this is paid 50% on lease execution and 50% on move in or rent commencement. Often times it is paid all at once. Negotiations can determine if other amounts or schedule of payment of such fees is appropriate for a specific situation. If a fee is to be paid out - it typically would be an additional amount vs. the 4.5%. If the listing agent lists the property and brokers the deal - typically the 4.5% would apply. If another agent is involved - that brings the tenant to the table - then that agent would typically get the 4.5% and the listing broker would receive 2.25%. Again - all fees and commissions are entirely negotiable between the parties involved and should be set forth in a / the listing agreement or other such agreement and documentation.

Jun 7, 2012
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Kristina H.
Broker/Agent
Austin, TX

It depends on the property and what you can negotiate. Typically I will negotiate 10% on Leases, 5% for each side. In order to sell this rate to a Property owner show him/her the numbers. If you are leasing a 1500sf office space that leases for $13.00 sf per year for a 3 year term do the numbers. You are looking at $5850.00 commission to split between 2 Brokers who are most likely splitting that with their firm. It can take a lot of time to market and negotiate a lease for both Tennant and Landlord Reps.
Of course if you are representing a property that is in a high demand area then the % will be different but it should not be below 7% combined in my opinion. It still takes alot of time to work leases.

Jun 8, 2012
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alex g.
Pilgrim, NY

i need information that house en th bronx NY

Jun 11, 2012
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Chris S.
Broker/Agent
Coeur D'alene, ID

NO STANDARD
STANDARD = VIOLATION OF FEDERAL ANTI-TRUST LAW.

Aug 1, 2012
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