Property Managers - 4 Stages to an Annual Commercial Property Management SystemPosted by Overby Thorpe on June 1st, 2021 click here for more and retail property management are special disciplines of a good real-estate agency. Especially skilled everyone is active in the running with the management property portfolio for landlords. As part of that process it can be profitable to experience a systemised annual method of the management year. You can break 4 seasons into 4 separate phases; each phase leads to another. So annually cycled property management systems help the agent along with the respective property managers keep on top of the portfolio challenges. The greater number of properties inside the portfolio, the bigger this need. There are 4 distinct and main stages to the property management year if you look at any property type (office, industrial, retail). For this discussion we will base the comments over a standard financial year (July to June), although some people might owners and managers purchased other twelve month cycles quite successfully (January to December is very common). Using those 4 main stages you'll be able to successfully do other areas of a controlled strategy to assist the overall property outcomes. The main stages are: Budget Planning (March to May) Financial Results Analysis (June to September) Tenant Mix Planning (October to December) Property Performance Planning (January to March) Each from the 4 stages contributes to sub-issues and events. This simplifies your management year and keeps you on some track to manage and progress to your landlords. Taking them separately and splitting the requirements of each below are a few guidelines to which you can add every other issues specific for your area or property type: Budget Planning- review outgoings for the year thus far, permit expected vacancies, review net and gross rentals within the market, rent review analysis and expectations with a tenant by tenant basis, option term expectations, set budget targets for income and expenditure in the coming year, maintenance contracts costs and repairs expectations, assess increase potential in every outgoings for that coming year, capital expenditure projections, and landlord funding or property holding plans. Financial Results Analysis- actual income and expenditure latest results for the year, reconciliations, arrears recovery reports, budget adjustments for current year, capital expenditure analysis for end of the year, net gain analysis, and property valuation review. Tenant Mix Planning- Anchor tenants stability and satisfaction, specialty tenants location and purchases performance, sales figures in retail groupings, customer demographics, product and service groupings by tenant, lease expiries, vacant tenancy marketing, vacancy controls and remedies, commissions for reletting, leases for renegotiation, tenant retention plans, marketing with the property (tightly related to retail), and lease documentation review. Property Performance Planning- Planned and unplanned maintenance allowances, capital expenditure works planning, contractors taking care of the property, refurbishment and renovation planning, retendering of maintenance works (where appropriate), risk management, energy management, essential services contracts planning and compliance, building code compliance, allowances for almost any heritage components or restrictions, as well as any improvements or changes on the property. When you follow these simple rules and stages of management, the house control process gets less difficult. You can now realise why a property manager could very well be one of the most skilful and specialised person to work in the large commercial agency.Like it? Share it! More by this author |