Commercial Lease Renewal Fees
1,869What is the market commercial lease renewal fees charged by agent when working with landlord who needs to renew already existing client? Also what's the charges for sending notices? I am getting few commercial properties for property management and like to charge fees which are not too far out from the market.
2 answer(s)
About 4 years ago
That is a dangerous question as there should not be any set fees. I do commercial landlord representation and charge 4% on an renewal if I am the only Broker involved. However some landlords negotiate on that and it is entirely up to you how you value your time and how much work is involved in putting the renewal together. as far as the notices are concerned, if you are managing the property then sending notices etc should be included in your property management fees. I charge 3-4% depending on the property.
Like (1)
DislikeAbout 4 years ago
I do a large number of Commercial sales and Leases and usually charge the same amount for the renewal as for the entry.... 4-6% of the entire lease term. As for the charges for sending notices... it depends upon the the complexity of the notices and how long it takes to get the tenant's attention... that is a price that you set within the initial lease . Normally a commercial tenant will not require notices as they are either renewing the lease or moving on and leases are rarely pushed to the last minute with commrrcial tenants. Commercial leases usually have a timeline for any type of changes.
Hopefully that helps and if not feel free to contact me direct.
Hopefully that helps and if not feel free to contact me direct.
source:
35 years of commercial leases and sales as well as 18 years TREC licensed. Happy to help you
35 years of commercial leases and sales as well as 18 years TREC licensed. Happy to help you
Disclaimer: Answers provided are just opinions and should not be accepted as advice.
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