Commitments and Contingencies

12 Months Ended

Dec. 31, 2011

Legal Proceedings and Commitments and Contingencies [Abstract]

Commitments and Contingencies

19. Commitments and Contingencies

The Company is obligated, pursuant to its tax receivable agreement with HFF Holdings, to pay to HFF Holdings 85% of the amount of cash savings, if any, in U.S. federal, state and local income tax that the Company actually realizes as a result of the increases in tax basis under Section 754 and as a result of certain other tax benefits arising from the Company entering into the tax receivable agreement and making payments under that agreement. During the year ended December 31, 2011, the Company paid HFF Holdings $6.3 million, which represents 85% of the actual cash savings realized by the Company in 2010. During the year ended December 31, 2010, the Company did not make any payments to HFF Holdings under the tax receivable agreement. The Company has recorded $149.8 million and $147.1 million for this obligation to HFF Holdings as a liability on the consolidated balance sheets as of December 31, 2011 and 2010, respectively. The Company anticipates making a payment to HFF Holdings of approximately $17.9 million in 2012.