standard commission for commerical property leases

Asked by Eva Alderton, West Sacramento, CA Sun Mar 6, 2011

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Dorene Slavi…, Agent, Torrance, CA
Sun Mar 6, 2011
Dear Eva,
Commission rates vary with brokerage and required duties. Normally the rate will start at a certain percentage, which will decrease by 1% each year of the lease. Commission is paid on the term of the lease, the minimum term is 5 years, but it can be longer and commission can be paid for the full term.
My advice is to speak with a few Comercial Brokerages, Coldwell Banker Commercial, CBRE and Lee & Assc are a few you could try.
1 vote
Laura Feghali, Agent, Stamford, CT
Sun Mar 6, 2011
Hello Eva,
There are no "standard" commissions as they are negotiable between the parties involved. And, as Anna points out, it's against the law to have a fixed standard. Commission fee should be based on the quality and type of services provided as some real estate firms have a flat fee for their services but they don't give you the same amount of service as a full service firm would.
Hope this helps.
Good luck!

Laura Feghali
Prudential Connecticut Realty
1 vote
Anna M Brocco, Agent, Williston Park, NY
Sun Mar 6, 2011
Commissions are always negotiable, there are no set standards as it would go against Federal Laws...
0 votes
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