In an effort to fill vacant commercial space, the real estate brokerage firm REalta Group has changed its compensation formula to ensure that real estate brokers get paid more money, and receive the cash more quickly, for signing new tenants.
“Long Island Industrial is offering a gross commission to all brokers who procure new tenants for the portfolio on or before July 1,” the broker said in a news release.
The broker will pay a commission on the gross amount of a fully executed lease, instead of the net amount, and will pay at the time the lease is signed -- instead of partial payments spread out over a period of time.
Long Island Industrial has 36 properties including the 145,161-square-foot office space at 6851 Jericho Tpke. in Syosset, and 575 Underhill Blvd., a 237,746-square-foot building with office, medical and industrial space, also in Syosset. They also own facilities in Deer Park, Farmingdale, Hicksville, Huntington and Yaphank, as well as eight buildings in Ronkonkoma's industrial center Equi-Park.
"We understand that it's important for brokers to know they will be paid on a timely basis, especially in a down economy," Bruce B. Federman, director of real estate for Long Island Industrial, said in a news release.
"By upping the ante and offering to pay upon a fully executed lease, we hope to increase the awareness of the value available throughout our premier portfolio,” Federman said.
"An incentive that sweetens the pot for brokers will definitely make them consider the Long Island Industrial properties all the more," Jay Silver, vice president of leasing for REalta Group, said.
In Nassau County, Long Island Industrial owns and manages more than a dozen properties totaling 1.5 million square feet on more than 88 acres. The buildings, which range from 50,000 to 238,000 square feet, offer a variety of suite sizes, with ceiling heights from 12 to 24 feet.
In Suffolk County, the company owns and manages about two dozen properties totaling 2.1 million square feet on 141 acres. The buildings total 22,000 to 180,000 square feet and feature various size suites and ceiling heights ranging from 10 to 28 feet.
Photo: One of Long Island Industrial's properties, an office and research and development building, at 101-125 Comac St., Ronkonkoma