Exclusive Leasing Brokerage Agreement
1. Parties. This Agreement is made between [name] of [address] (Owner), and [name], having principal place of business at [address] (Broker).
2. Representations. Broker is a real estate broker duly licensed in [state]. Owner is the owner in fee simple of the premises located at [address], including the building and other improvements located on it (Property).
3. Exclusive Agency. Owner grants Broker the sole and exclusive agency to lease any space made available to tenants at the Property. The parties agree that no leasing commission is payable with regard to any tenant procured by Owner without the service of any broker.
4. Period. This Agreement shall become effective on [date] and shall terminate [date].
4. Period. This Agreement shall become effective on [date] and continue in force until terminated by either party on [number] days' prior written notice to the other. If Owner terminates this Agreement, then Broker's rights to leasing commissions shall continue with respect to any prospective tenant with whom Broker had been negotiating prior to the receipt of the notice of termination but only if a lease is executed between such tenant and Owner on or before [number] days after the effective date of termination.
5. Obligation of Broker. Broker agrees to use its best efforts to lease any space available for rental at the Property. Broker agrees to advertise the availability of the space and perform all other activities reasonably required to promote the leasing of any available space.
Broker's actions in promoting the leasing of any available space must not interfere with the use of the Property by existing tenants.
Broker is not required to make any investigation or representation of the financial condition of any prospective tenant.
6. Rights of Broker. Subject to Paragraph 5, Broker is authorized to advertise the availability of any space at the Property available for rental in any manner Broker chooses. Broker may place signs on the Property to advertise the availability of any space for rental and remove all such signs placed on the Property by others (including Owner).
7. Entitlement to Commission. Broker shall not be entitled to any leasing commission or any other sum from Owner unless a lease is actually executed between Owner and a prospective tenant. Owner may terminate negotiations with any prospective tenant at any time, for any reason, without liability to Broker. All terms and conditions of any lease executed by Owner must be acceptable to Owner, in Owner's absolute discretion.
8. Amount of Commission. Broker shall receive a commission equal to ---------- percent (----------%) of the base rent payable by any tenant as to which Broker has become entitled to a commission under the terms of this Agreement. Such base rent is the base rent stipulated in the lease executed by Owner and the tenant. No commission is payable with respect to any pass through of operating expenses including charges for electricity or real estate taxes included in any tenant's lease.
9. Payment of Commission. The leasing commissions payable to Broker under this Agreement shall be payable in installments, as follows: The first installment is payable on the lease commencement date of any lease and shall encompass all base rent payable during the first year the lease is in effect. The second and subsequent installments are payable on each anniversary of the lease commencement date and encompass all base rent payable during the subsequent year, or any portion thereof, in which the lease is in effect.
If the lease is terminated at any time due to tenant's default, then any subsequent installment of commission that would otherwise have been payable to Broker is discharged.
10. Broker's Obligations. Broker agrees to treat all information received from Owner regarding the Property, including any lease executed with Tenant, as confidential. Such information shall not be disclosed to other prospective tenants or to other brokers.
All plans, specifications, leases, and other documents regarding the Property delivered by Owner to Broker shall remain the property of Owner and be returned to Owner on demand.
Broker shall make no publicity releases regarding the lease between Owner and Tenant without Owner's prior written consent.
11. Successor and Assigns. This Agreement is binding on the parties to it and their heirs, executors, administrators, successors, and assigns.