W&M Properties paying 100% commissions upfront

Real Estate Weekly, May 26, 1993

W&M Properties, Inc. now pays brokers 100 percent of commissions immediately on all leases signed in any of its office buildings, reports Anthony E. Malkin, president of the management and leasing firm.

According to Malkin, they want tenants to recognize their properties as the most attract and easiest to bring tenants and make leases.

Brokers who have worked with W&M Properties are outspoken in their support of their new policy.

"W&M actually pressured us to generate a bill so they could pay us a check within 24 hours," said Michael Cohen, president of Williams Real Estate, who arranged a lease for American Express at 1185 Avenue of the Americas, W&M's flagship New York tower. "What W&M is saying is, basically, that it wants to be cooperative with the brokerage community," added Adam H. Foster, senior director of Sylvan Lawrence Company, who negotiated for Regent Corporation on the 30th floor at 1185 Avenue of the Americas.

Traditionally, Malkin notes, building owners pay nothing at all until the first month of rent is collected, and then only part of the commission.

W&M's up-front commission policy applies to all of its commercial properties, which are located in New York, Connecticut, and Tennessee.

It has resulted in commissions totaling $189,570 paid-on five leases in 1993, the most recent being American Express and Regent Corporation.

W&M Properties' buildings include 1185 Avenue of the Americas in New York City; Metro Center, Soundview Plaza and Century Plaza in Stamford, Connecticut, and The Nashville Corporate Center properties in Nashville, Tennessee.

W&M Properties is the real estate management, marketing and acquisition arm of the Malkin family, which has commercial and residential operations in six states.