On a Industrial NNN Lease, do I pay commission on the gross amount NNN plus rental or just the rental portion?

In Leasing Property - Asked by Albert G. - Jul 25, 2015
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Lee J.
Los Angeles, CA

Great Question!
Typically you would pay rent on the base amount without NNN

Jul 25, 2015
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Chris R.
Denton, TX

Typically rental commissions are based on base rent only - without NNN figures.

Jul 25, 2015
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Mark F.
Concord, CA

Although the Lessor would typically pay commission on the base NNN monthly payment, you should consider what the typical lease basis is in your market. For example, there are many markets that feature both NNN and Industrial Gross (Modified Gross) equally. In these cases, the Lessor should base the commission on the Industrial Gross monthly payment, regardless of whether or not the broker ultimately negotiates the lease as NNN or Industrial Gross. Otherwise, the broker may be inclined to push the Industrial Gross lease basis over the NNN lease basis.

Aug 18, 2015
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