The developers of the Rushmore—Extell Development Corp. and The Carlyle Group—are being sued by a broker for unpaid commissions on sales of 28 apartments at the new Upper West Side development. "Brokerage commissions are earned only if a transaction closes,” said Extell in a statement. “We are asking brokers who received payments for units that did not close to return those payments." Typically,... [more]
The developers of the Rushmore—Extell Development Corp. and The Carlyle Group—are being sued by a broker for unpaid commissions on sales of 28 apartments at the new Upper West Side development.
"Brokerage commissions are earned only if a transaction closes,” said Extell in a statement. “We are asking brokers who received payments for units that did not close to return those payments."
Typically, brokers who sell units in new developments receive advances amounting to 50% of their commission at contract signings prior to closing. Unfortunately, if a deal falls through brokers are required to return the money, said industry officials. In Mr. Nelsen's case, he claims all his deals were successful, and that none of them were affected by the court ruling.
http://www.crainsnewyork.com/article/20100824/REAL_ESTATE/100829914/0/REAL_ESTATE[less]
