Property managers who concentrate on tenant satisfaction, energy efficiency, cash management and investment analysis will increase the value of the owner’s investment.
Being a skillful manager also requires intelligent handling of the functions of buying and selling properties, rent collections, maintenance, leasing, controlling expenses, refurbishing, management accounting and more. All of this requires long “hands-on” experience in the field.
Here are some of the ways the property manager now must focus on asset management and efficiency that will enhance value:
- Watch where money is going. Begin a mandatory competitive bidding process from all vendors. This will control spending and increase profits.
- Energy prices are rising. Constant lighting is not necessary in many common areas. Review all areas and install more efficient fluorescent lighting and motion detectors in restrooms, freight elevator lobbies, etc.
- Check lease provisions to be sure that tenants are adhering to the lease. For example, a lease may call for the building use from 7 a.m. to 6 p.m., Monday through Friday. Checking may reveal that some tenant’s employees are working until 9 p.m. and on Saturdays. A surcharge for the additional energy consumed might be added to tenant’s rent.
- Some simple rewiring and plumbing can add income. Split the utility systems to install electric and gas meters billed directly to each tenant. Tenants who pay their own electricity and heating bills are always more careful with energy usage.
- Tenant satisfaction must be the highest priority. Set up a tenants’ questionnaire to find out any specific tenant problems. These can then be addressed and problems solved. Showing concern for tenants and any problems helps to avoid lease cancellations and promotes lease renewals.
One role of a top real estate Company is to maximize the value of the investment. The watchwords today are tenant satisfaction and cost efficiency.
We can handle property management for any properties you might own. Let us help in determining the value of your investment, anytime you need to know.