Commercial Strip Mall Leasing and Management agent questions

[Tom Nguyen]

Hello

I am in the process of buying the strip mall center and just received the proposal for managing the retail strip mall from the current agent since they already manage the strip mall. I want to get your opinion on this and wonder if the term looks normal or should I renegotiate with them with something more standard.

1. the term is 1 year and auto-renew if not terminate last 60 days 

2.Does the language below mean 7% of everything collective even NNN?

"Management Services 7 % of all actually collected monies received. The term "cash revenues" shall mean all income resulting from the operation of the property, including but not limited to all rents and other sums deposited including, parking fees, common area charges, percentage rents, operating expense, real estate tax, and insurance premium reimbursements, late charges, security deposit forfeitures, and insurance claims proceeds" 

3 Construction Supervision: Agent shall be paid a fee of (10%) of the total costs of any and all Tenant Improvements, Repairs, or Renovations for coordinating, supervising, and contracting for such work on behalf of the Owner.

4 If  Agent is successful in obtaining a real estate tax assessment reduction for the property or any part thereof, Owner agrees to pay Agent a fee equivalent to fifty percent (50%) of the first year's real estate tax expense savings realized by Owner as a result of such reduction. Said fee shall be payable to Agent on or before the due date of any real estate tax bill affected by the assessment reduction.

5 All lease agreements shall include a Late Payment Charge clause. Owner agrees that Agent may retain all payments of late charges collected from tenants based on this Late Payment Charge clause as additional compensation. Agent reserves the right to revise this clause and demand from tenants reasonable late charge payments. These late charge payments shall be in addition to those required by the Owner in the Lease Agreement.

6 If the Owner elects to terminate this Agreement then Owner shall continue to pay to Agent its monthly fee up to the time of the effective date of termination and shall continue to pay Agent on any renewals or extensions on the leases in effect at the time of such termination.