Brookfield Asset Management Ltd. fired Cushman & Wakefield Plc from handling its office and logistics listings in the U.S., a big hit for the brokerage firm that worked on many of the property owner’s buildings.

Brookfield is one of the world’s biggest owners of commercial real estate, making it a key client for any brokerage. Cushman had been responsible for leasing office space at major Brookfield properties including New York’s Manhattan West development and 660 Fifth Ave.

The move comes after Cushman backed away from a deal to shift some of its offices to Brookfield’s redeveloped 660 Fifth Ave. from a spot at 1290 Avenue of the Americas, according to people familiar with the matter who asked not to be identified citing private information.

Cushman has been on a cost-cutting spree amid declines in commercial-property dealmaking over the past year. High borrowing costs and uncertainty around remote-work trends have resulted in fewer transactions in the industry. Cushman’s revenue fell 9 per cent in the third quarter from a year ago.

“We’re proud of the work and long-standing value our brokerage advisory professionals helped to build into” Brookfield’s portfolio, Mike Boonshoft, a Cushman spokesman, said in an emailed statement. “While completely surprised by this reaction, we consider disciplined management in the best interest of our firm, employees and shareholders.”

A spokesperson for Brookfield declined to comment.

Cushman & Wakefield had been seeking to cut costs and improve its free cash flow. Shares of the company were down 40 per cent this year through Wednesday’s close. The stock dropped 1.8 per cent to US$7.50 at 12:35 p.m. New York time Thursday. Brookfield Asset Management shares climbed 2.7 per cent to $29.43.