In 2011, McLagan launched the Commercial Real Estate Brokerage and Services pay and performance studies for the U.S. market. The analysis of the contributed data was used by the leading global real estate firms as well as niche firms to provide insight regarding market pay levels and broker productivity.
The Commercial Real Estate Brokerage pay and performance program has multiple components constructed to provide data on compensation levels, broker productivity, and methods of pay.
The program covers functional roles such as brokers, valuation and advisory, real estate consulting, project management and property management.
McLagan provides local, regional and global real estate firms with the following three types of consulting assistance. Examples of recent work are included to illustrate our range.
- Performed a custom compensation study for real estate brokerage and property management positions in India.
- Provided executive compensation benchmarking data for the top executive roles within a global real estate brokerage and services firm.
Incentive Plan Design
- Modeled the impacts of having different performance thresholds within a commission grid for the real estate brokerage business.
Pay Advisory Services
- Provided two of the largest global real estate firms with year-end trends information which was used to set annual incentive budgets and re-align pay for key roles within specific regions.
McLagan’s annual performance benchmarking studies help our clients better understand and, in turn, reinforce the linkage between firm and/or individual performance and pay. In the 2011 Real Estate Brokerage Pay and Performance Analysis survey participants provided us with production data for over 5,000 employees including:
- Sales effectiveness, focusing on per-capita and aggregate compensation spend, manager and individual contributor productivity, pay versus performance, span of controls, and geographic analyses.
- Productivity metrics including revenue production, top producer analysis, commission splits, effective payout rates and geographic differential information.