What the broker said is true, however everything in real estate and contracts is by agreement and negotiation. A management contract should contain a clause addressing this issue. The management company can negotiate a commission schedule for commercial in their contract. For example, if they lease a space they get a full commission, but if leased by an outside broker, they get a half commission and the broker gets a full commission. (In the alternative you can include a flat fee in your contract. It is all by agreement).
Sep 30, 2011