In this property market where deals are sometimes harder to put together, the value of the commercial property manager is high in maintaining and directing a sound and good level of commercial property performance.
A well-managed property will always attract better buyer interest at the time of sale, or tenant interest at the time of lease. So many ‘owner-managed’ properties reflect and show the poor asset management skills of the owners.
Over time you see many owner-managed properties become distressed assets. Unfortunately, the property owners without real property management experience only focus on net income and keeping the property occupied; on that basis, the property can and usually does deteriorate.
Those inexperienced property owners typically overlook the real skills that surround a successful property performance. So in comes the professional property manager working for a specialised commercial or retail real estate agency.
Essential Property Manager Skills for Today
The property manager skills needed in this market are quite specific. Here are the main ones:
- Lease management of rent reviews, options, make good provisions, tenant covenants, landlord covenants, and renewals.
- Tenant mix optimisation to build the property on the local demographic of customers and the community
- Maintenance management and cost optimisation that matches the benchmarks of relevant property types
- Outgoings management to a budget and lifecycle plan for the property
- Landlord reports and communications processes that keep them up to date on income, expenditure, vacancies, leases, building codes and compliances.
- Energy efficiencies for the best property performance
- Marketing of vacant tenancies into the local business community.
A skilful manager brings many strategies and controls to the landlord’s property; whilst fees for property management service are always impacting in the net result for the property.