Page 62 - Forterra

60 FORTERRA
ANNUAL REPORT 2012
NOTES TO THE
FINANCIAL STATEMENTS
1 DOMICILE AND ACTIVITY (CONTINUED)
Manager’s fee (Continued)
Other fees (Continued)
Development management fee:
5.0% of the total costs of development (excluding cost of land, interest on capital cost or
development loans during the development period and the cost of money required to carry out
the development) for any development, re-development, refurbishment, retrofitting, addition and
alteration or renovation works to the relevant property and to be paid quarterly.
Lease management fee:
1.0% of the monthly gross revenue of the relevant property and to be paid monthly.
General management services fee:
20.0% of the apportioned remuneration cost which is incurred and reimbursable to the Property
Manager in respect of the centralised team of personnel of the Property Manager providing general
management services in respect of the relevant property and to be paid monthly.
Marketing services commission:
– 1 month’s base rent and amenities income for every lease with a duration of less than one
year;
– 1.5 months’ base rent and amenities income for every lease with a duration of between one
and two and one-half years;
– 2 months’ base rent and amenities income for every lease with a duration of more than two
and one-half years but less than 10 years;
– 2.0% of the total base rent and amenities income for the entire lease period for every lease
with a duration exceeding 10 years; and
– 2.0% of the sale price in the case of a strata-sale of any part or parcel of any property.
The lease period described under “marketing services commission” above refers to the initial lease
period and excludes any renewal periods. Renewal of an existing lease will be calculated at half of
the above marketing services commission otherwise payable for a new tenancy, and for the net
renewal period. The marketing services commission will be subject to a mark-up of 20.0% if the
services of a third-party agent are utilised.