Payment of brokerage fee to the broker
Question
Hello,
A person bought a large apartment that is slated for an urban renewal ("pinui-binui") project. The price of the apartment is 3 million, and in order for the price to be worthwhile, as part of the sale agreements they arranged with the contractor of the "pinui-binui" that they will pay him another 800,000 NIS and he will split the apartment into two. The broker wants brokerage fees on all the 800,000 NIS as the cost of two apartments. Is he entitled to it?
Answer
Shalom and blessings,
The payment to the contractor is not defined as part of the apartment purchase agreement, but rather as a separate work contract that derives from the apartment purchase transaction, and it is not stipulated that the broker served as intermediary for this as well.
