At Fairman & Associates, we’re proud to provide the best quality Property Management in South Florida. Not sure about the role of Property Managers? Here’s a quick answer to Frequently Asked Questions about what we do and what owners should expect of their Property Management company.
What is Commercial Property Management?
Commercial Property Management is a service that is provided to an owner’s property – most often, it makes sense for a commercial property but it can also be for other types of properties.
Property Management oversees the operation of the commercial property – or a property that is a commercial condominium, owned by multiple owners. Property Management Companies provide expertise and knowledge, so the property complies with local regulations, is well maintained, and the property can increase in value over time.
Property Management represent the interests of the property owners at all times, and must understand the ownership investment strategy for the property and develop the programs that will meet these expectations.
Why hire a property management company?
A Property Management company will bring a professional service to the property, and gives owners the advantages and benefits of experience and industry knowledge that the Property Management company has. In addition, the potential for operational cost savings is much greater, due to the purchasing volume and power that a Property Management company has. This benefits the property owner and well as its occupants.
What can I expect a Property Manager to do?
The Property Manager’s responsibility is multi-faceted.
First and foremost, they must obey and follow the direction of the property owners.
Second, they have to develop a business plan that meets the expectations of the owners. This includes a yearly budget with identification of capital issues and necessary or recommended improvements.
Third, they collect all expected income when due, and take the necessary steps to advise the ownership when rent or dues are not paid after all methods available to the Property Manager have been expended. They seek direction from the ownership and/or Board of Owners as to the method or process to which the funds or dues are to be collected.
The Property Manager also has the duty to protect the property by hiring the proper service vendors that have met the specifications developed by the Property Manager for the given task.
Lastly, Property Management reports to the ownership the activity of the property, including all accounting and banking, on a monthly basis.
Why have a separate property management company from my leasing company?
Property management and leasing are two very separate areas. The Property Management company is the owner’s representative, and must make sure that any new tenants, or new users, meet the qualifications of the ownership and fit the tenant and user mix of the property.
By separating the leasing and property management, owners have the ability to make changes as needed, to meet the marketing goals of the property, without losing the ongoing working relationship that the Property Management side has provided to the property.
Leasing company fees can also be kept separate from Property Management fees, which assures that owners get the best tenants, or users, of their property.
Not sure if you need a Property Management company? Or considering hiring? Or making a switch? Please contact us at 561-362-7224 to talk about best practices. We look forward to hearing from you!