BROKERAGE GUIDE

How commercial real estate brokers get paid.

Commercial brokerage compensation varies by assignment and transaction. The amount, calculation, who pays and when it is earned should be documented clearly in the applicable representation or listing agreement.

Discuss your objective
01Leasing commissions
02Sale commissions
03Advisory or project fees
04Co-operating brokerage arrangements
01

There is no single universal fee

Compensation may be a percentage, a rate tied to lease value, a fixed fee or another agreed structure. Property type, complexity, market practice and scope can all affect the arrangement.

02

Tenant representation is not automatically free

A landlord may offer compensation to a tenant's brokerage, but clients should not assume this covers every circumstance. The representation agreement should explain obligations if offered compensation is absent or insufficient.

03

Ask before the work begins

A useful compensation discussion covers services, calculation, taxes, payment timing, outside-broker participation, early termination and what happens if the client transacts with a party introduced during the assignment.

FAQ

Common questions

Who pays the commercial real estate commission?+

It depends on the transaction and agreements. A seller or landlord often pays compensation from transaction proceeds, but buyer or tenant obligations can exist and should be reviewed directly.

Are commercial brokerage fees negotiable?+

Compensation and scope are set by agreement between the brokerage and client, subject to applicable rules and the circumstances of the assignment.

Bring us the commercial real estate decision—not just the address.

Tell us what you are leasing, buying, selling or evaluating. We will help define the next useful step and the right commercial expertise.

Discuss your requirement 587 326 8772