Real Estate: Pennsylvania/Property Management Fees


I am a tenant in a couple industrial buildings in Breinigsville / Allentown, Pennsylvania.  The leases are for industrial space of approximately 300,000 square feet.  I am trying to determine what a commercially reasonable property management fee would be.  The leases are NNN and I maintain the properties (except for structure).  The landlord maintains common area grounds.  I lease the entire buildings and pay 100% of the expenses.  There's not a whole lot of work required by the landlord.  The projects are large and I'm sure the property management firm has plenty of responsibilities with other tenants.  But I am trying to determine a fair rate of a management fee for a single tenant, industrial lease with a solid tenant that pays the rent timely and requires minimal landlord involvement.  Thank you for any insight into the local PA market for management fees!


The average property management fee is between 4-12% of the monthly rent.  The more things the manager is responsible for the more the fee is and vice versa the less duties the less the fee.  In a situation like yours I would think it would be on the lower end.
Hope this helps.

Real Estate: Pennsylvania

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Tim Meagher


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