Institutional Level Commercial Brokerage Fees

[Jason Mak]

Regarding larger multifamily investments $20M and higher.  

I recently spoke to some commercial brokers who were receiving flat commissions ($100-$200k) from institutional players to sell large commercial property deals instead of the 3-5% commission that I see for $5-$10m dollar deal size that I typically look at.

Can any institutional investors on BP speak to that?  I'm sure many agents will be inflamed but I'm just curious if this is true.

[Joel Owens]

Yeah I stay away from the cheapo's. Some funds are like that. I like working with smaller sellers and developers who will pay more to close a transaction.

I am not into the work more for less strategy. I would rather be on the beach watching the waves. I stay more on the buyers side and write my fee in regardless of whatever the listing broker agreed to. I could care less what they agreed to. I ask for my fee and most of the time get it from the seller.

Time is money.