Commercial leases via agent

[kir]

Hi,
If I lease a commercial building , ex. with a monthly rent of 20K, what would the agent involved be collecting in terms of commissions?
How is it usually done?

Thanks,

Kir.

 

[Luong98]

QUOTE (kir @ Aug 9 2010, 02:50 PM) Hi,
If I lease a commercial building , ex. with a monthly rent of 20K, what would the agent involved be collecting in terms of commissions?
How is it usually done?

Thanks,

Kir.

The total commission could either be a percentage of the gross lease of the length of the lease, a fixed rate or a consulting fee (hourly).

example of a percentage of gross lease at 5% of $20k/month ($240,000/yr) for 5 years = $60,000.

The commission could be paid upfront or staggered throughout the term of the lease. It`s really up to the agent and yourself to negotiate this and determine what`s fair for both parties.

 

[Thomas Beyer]

QUOTE (kir @ Aug 9 2010, 02:50 PM) .. How is it usually done?
3 months would be typical .. so about 60K in your case !