JLL claims seller owes it commission on $36M deal on Canon Drive

UPDATED, Oct. 25. 3:30 p.m.: JLL, a commercial brokerage, is suing the seller of a retail property on Canon Drive for allegedly withholding its commission on a $35.5 million deal, The Real Deal has learned.

In the lawsuit, filed in Superior Court of Los Angeles, the brokerage alleges that Canon Ball LLC, controlled by lawyer Robert Mayman, broke a contract when it sold the 23,000-square-foot property to Kurt Rappaport without including JLL in the process.

Canon Ball and JLL had entered into an exclusive listing agreement around Aug. 20, which stated that the seller would refer any “inquiries and offerings” to JLL and give the firm a commission should the property sell, according to the suit.

The property sold on Sept. 24 to Rappaport, co-founder of Westside Estate Agency, property records show. Jay Luchs of Newmark Knight Frank represented Rappaport.

Neither Rappaport nor Luchs are named in the suit.

At a sale price of $35.5 million, JLL would be entitled to about $1.07 million, or three percent of the final sale price, the firm claims. It is suing for damages in that amount.

Luchs, who had sold the property to the seller and had been leasing the site, said JLL had nothing to do with the deal. Rappaport added that he has no knowledge of JLL’s arrangement with the seller.

JLL and Mayman declined to comment.

The deal, a shift from Rappaport’s traditional, luxury residential deals, ranked as the second most expensive retail sale in September. The broker said he plans on renovating the seven storefronts, which belonged to the late real estate mogul Fred Sands just two years ago.