Associate Compensation at Meridian Capital / JLL
Can someone please provide me some insight as to what all-in comp looks like as an associate in the CRE brokerage group at a company like Meridian or JLL? Also, how does this differ from investment sales?
I am exploring a role at one of these firms now and am not really sure what to expect in terms of salary/commission, work-life balance, and upward mobility. Any color on this or a career in CRE brokerage in general would be appreciated. For what it is worth, I have 2 years of CRE originations at a large, well known Wall St bank, and 1.5 years in the Capital Markets Group at a large REIT (think Starwood or Blackstone).
Thanks
If it's a fully commission job, it's eat what you kill. After that, it depends on if your team will bring you into deals and how much they will give you. If you are provided a draw, expect $40,000 to $60,000.
There are definitely shops that hire analysts in this format. That said, most of the top shops have analysts that work purely on execution and are paid a salary + bonus, which can vary widely based on your experience. I've seen salaries as low as 50k for new grads in secondary markets and know analysts that are making 100k base with a few years experience. Bonuses can vary just as widely and obviously depend on how well your team and originators do throughout the year. In a good year, these bonuses can be in the 50-100% range. In a bad year they can be minimal.
While brokerage might get a bad rep around here, there are very lucrative and great analyst spots out there but they are just as rare and difficult to break into as top acquisition roles. There are a lot more shitty brokerage shops than good ones and their corresponding low paying positions are probably the reason it's looked down upon in comparison to acquisitions. In a place like NYC, for someone like you coming in with a few years experience say to a JLL or HFF, I would expect that you get at least a $75k base + bonus, and a good shop should be willing to pay you more (likely by matching your current salary) if they like you and feel you can grow into an originator role after a few years.
All that said, once you plateu as an associate/vp execution guy, you'll have a ceiling on your base/bonus, same as you would in acquisitions until you get carry. If you want to make it rain in brokerage, and you can reaaaally make it rain, you need to bring in biz. Plain and simple.
This is exactly the color I was looking for. Would it be abnormal if they expected me to work purely on commission (i.e. no draw (or a draw lower than 75k), no salary, or no bonus). My biggest concern, which is obviously the risk associate with CRE brokerage, is leaving my job where I am $210k all in, for a less lucrative role with more risk.
What are "the best" possible years you have heard an associate or analyst have in this field (in terms of $'s)?
On a personal note, I'd go with JLL given your pedigree.
Agreed on both fronts with Mr. Shervin. One of the hardest lessons I had to learn (hard not because it's difficult to grasp, but because I learned it the hard way) was to be really specific about comp negotiation once you've got a few years of experience under your belt, at least regarding anything more nebulous like sharing in a bonus/commission pool, carried interest, etc.
I used to intern at a big brokerage firm back in the day (think JLL/CBRE/CW) at a medium sized market. Analysts were paid 55k + bonus and associates were paid 85k + bonus. Everyone worked hard though. definitely 60+ hours a week
Any ideas on % range of the bonuses?
i think it was 10-20. not completely sure though. it's been a while
Sorry to jump in an an old post. Currently considering switching over to brokerage but hear a ton of different things on comp. have a good friend who is a second year associate at JLL in industrial real estate brokerage. Says he pull in well over 200k all in. Do you this is realistic? Seems high compared to some of the numbers on here
It’s not unrealistic especially since industrial has been on fire lately and 2020 accelerated that trend.Also this thread is from 2017 so account for that if you’re worried about comp.
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