Generally, the commission is based on the aggregate base lease amount excluding tenant improvements/build-out costs, NNN or utilities. If the rate is $1/sf for 1,000 feet for 3 years, the commission is based on $3,000. ($1.00 x 1,000 sf x 3 years = $3k). I have seen deals structured differently because of the broker's level of involvement in the deal.
May 7, 2014