This paper addresses the servo design for a real-time, laser-tracking, three-dimensional (3-D), position measurement system. The 3-D measurement system uses two sets of tracking mirrors to shine laser beams toward the measurement point. By examining the angles of these mirrors, one can calculate the position of this point. The servo loop in the measurement system corrects the mirror orientations by continuously checking and compensating the offset between the out going laser beam and the beam reflected from a retro-reflector attached to the measurement point. To achieve high speed and high accuracy measurement, the tracking servo system has to compensate for the highly nonlinear nature of the system and maintain the laser beams close to the measurement point. This paper derives the relationship between the tracking angle rotations and the measured beam offsets. By including this relationship in the system model, the linear H∞ optimization technique can be applied for controller synthesis. All the design specifications are then directly implemented.