FREE TOOL BY AGENTDESK CRE

Commercial real estate
commission calculator.

Estimate commercial lease or sale commissions, including rent increases, free rent, and co-broker splits. Free, with no signup.

BEHIND THE ESTIMATE

How to calculate commercial real estate commission.

Choose Lease or Sale, enter your deal terms, and select your commission rate. Use “Fine-tune your estimate” for adjustments, then review the gross commission and your share.

Commercial lease commission

Total rent paid × commission rate ÷ 100

For flat rent, multiply square feet by annual rent per SF and the lease term in years. With increases, free rent, or partial years, this calculator totals the adjusted rent for each lease year before applying one commission rate.

Commercial sale commission

Sale price × commission rate ÷ 100

Enter the sale price and the percentage for your deal. If you add a co-broker split, the calculator subtracts that broker’s share from gross commission to show the amount remaining for you.

A WORKED LEASE EXAMPLE

10,000 SF. $30 per SF.
Five years.

At a 5% commission rate, with flat annual rent and no free months:

Annual rent
10,000 × $30 = $300,000
Rent over five years
$300,000 × 5 = $1,500,000
Gross commission
$1,500,000 × 5% = $75,000
Your share with a 50% co-broker split
$75,000 × 50% = $37,500
A WORKED SALE EXAMPLE

$2 million sale.
4% commission.

With a co-broker receiving 25% of gross commission:

Gross commission
$2,000,000 × 4% = $80,000
Co-broker’s share
$80,000 × 25% = $20,000
Your share before other deductions
$80,000 − $20,000 = $60,000

Rent increases

A percentage increase compounds each year, beginning with your selected lease year. A dollar-per-SF increase adds a fixed amount to the rate each year. Monthly quotes are converted to annual rates for the calculation.

Free rent & partial years

Free months reduce the rent paid in that lease year. With two free months in year one of the example, total rent drops to $1,450,000 and gross commission to $72,500. A partial final year uses only its occupied months.

Co-broker splits

The co-broker percentage is deducted from gross commission. “Your share” is the remainder, before any other brokerage splits, taxes, or fees. Use the rates and calculation basis in your own agreement.

From estimate to invoice

Your commission agreement determines when payment is due, whether at execution, commencement, closing, or another milestone. Keep the fee calculation separate from the payment schedule. Use the free commercial real estate commission invoice template to record the billing basis, installments, payments received, and balance due.

Example rates illustrate the math. Your agreement determines your commission. This calculator applies a single commission rate to rent after free-rent adjustments.

COMMON QUESTIONS

A few details worth checking.

Which commission rate should I enter?

Use the percentage specified in your deal’s commission agreement. The preset buttons are shortcuts, not recommended rates. Choose Custom if your percentage is not listed.

Can I enter monthly rent per square foot?

Yes. Select “Per month” under “Rent quoted per square foot.” The calculator converts it to an annual rate: $2.50 per SF per month is $30 per SF per year. Enter the quoted rate per square foot, not the property’s total monthly rent.

How do free rent and annual increases affect the estimate?

In this calculator, free months reduce the rent used to calculate commission in the selected lease year. Annual increases raise the rent from your chosen first increase year. Percentage increases compound; dollar-per-SF increases add the same amount each year. The year-by-year breakdown shows both adjustments.

Can I calculate a lease shorter than a year?

Yes. Enter zero years and the number of months. For longer leases with a partial final year, enter both years and additional months. Rent for a partial year is prorated by its months, with any free months in that year deducted.

Does this support tiered rates or all brokerage fees?

No. The estimate uses one commission percentage for the whole transaction and an optional co-broker split. It does not calculate tiered rates, separate brokerage or team deductions, taxes, or other fees. “Your share” is the amount after the co-broker split only.

Do I need the app, and are my deal terms saved?

No app or account is required. Calculations run in your browser; this page does not save your inputs or send your deal terms to a server. Copy summary creates text you can paste into your own notes or message.

About this calculator

Built by AgentDesk CRE, a workspace for solo commercial real estate brokers on iPhone and iPad. This free browser tool estimates lease and sale commissions and explains the assumptions behind the result. Contact support to report a calculation issue.

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