what is typical commision for leasing retail space in small building 1500sf in downtown area?

In Leasing Property - Asked by mike f. - Jan 29, 2009
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Answer(s)

Janice R.
Broker/Agent
Cumming, GA

Always go for 1st and 4% (retail will typically go up to 4%, office always gives 1st and 4%)...but never negotiate against yourself, its not necesary. With rents being higher in town, you should be able to come to a percentage CA with the LL....if not, go for a minimum of $4/PSF.

Jan 29, 2009
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Jay M.
Broker/Agent
Studio City, CA

It all depends on the local custom, the broker's experience and value they bring. For example, in Los Angeles the typical fee for retail lease is typically 6%, then it tapers down year to year from there with the procuring agent receiving the bulk of the compensation, let's say 4% of the 6% and sliding down from there.

Jan 30, 2009
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Juan G.
Broker/Agent
Ontario, CA

No set formula, but the key right now is to motivate agents to get you someone fast. You can usually negotiate lower rates if you agree to pay the entire amount at lease signatures.
Also depends on length of term, some landlords get stingy and decide to cut the length so that they can pay a lower commission, we do not put up with that, and will not bring you more tenants if you do that even once. If you decide on a short term lease pay at least $5/SF.
Offer incentives to the agents directly (gift cards, etc)

Feb 3, 2009
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