5 Keys to Consider When Searching for the Best Commercial Property Management Firm

Two of the focuses of my blog are Financial Literacy/Money and Business/Entrepreneurship. Once your business gets big enough, it becomes important to find a commercial property. At that point a good commercial property firm also becomes necessary. The following contributed post is entitled, 5 Key to Consider When Searching for the Best Commercial Property Management Firm.

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In 2018, the United States commercial property market value hit an estimate of $16 trillion. The industry continues to expand each year. If you own commercial property, whether it’s a retail outlet, an apartment block, a storage facility, or perhaps some offices, you will be familiar with the burden that comes with its management. You will definitely need the services of a professional commercial building management firm to coordinate the full management of your building.

By working with the most experienced property management companies, you will get good deals to maximize your financial returns. Moreover, they will ensure that your property stays in perfect condition without depreciating in value. With this in mind, here are some factors to consider when searching for the best commercial property management firm.

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1. Lists of Services Offered

More than 90% of real estate property managers are into rent collection, leasing out units, and doing some repair works. However, property management companies differ greatly in terms of the services they offer. The idea is to work with a reputable company offering a vast range of services such as commercial building pressure washing, which keeps the outside of your building sparkling clean. After all, the more services offered means that they are masters in their business, and can meet your requirements. Use the following criteria to decide on which services are good for you.

• Contract specifications
• Maintenance management
• Rent analysis
• Rent collections
• Lease negotiations
• Budget development
• Tenant relations
• Purchasing procedure
• Marketing strategies and programs
• Project management
• Compliance procedures

2. Coverage on Assets Classes

While a versatile company may manage assets across different classes, other companies just cover only a limited number of assets in one class. Assuming you are an investor who diversifies your investments, you may want to choose a company that specializes in several asset classes. Similarly, for investors who limit themselves to one asset class, your best option is to partner with a property-specific firm.

3. Level of Experience

As the saying goes, ‘experience is the best teacher.’ The greater the level of experience of a company, the better their services. An experienced firm will assist you in overcoming property challenges such as maintenance projects and marketing constraints. Inexperienced property managers may act as if they have the Midas touch, but in reality, they may end up causing you more harm than good. So, how do you know that a specific company is skillful in commercial property management? Well for one thing, you can start by considering the number of years they have been in existence. More years can suggest that the company is top-rated. Then you can ask for their clientele list and see if they service buildings similar to your own.

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4. Reputation

Two firms can offer the same services, but their reputation will vary. You will have to consider the reviews on their websites in order to arrive at a conclusion. A high number of positive feedbacks means that the brand is a reputable one, and will not take you for a ride.

5. Management Fees

In the UK, property prices rise by about 0.7% with respect to the previous month, and by about 0.9% with respect to the previous year. This is the most important deciding factor that will tell whether you can afford to pay for the services of a property management company or not. Usually, the fees are expressed as a percentage of the rental charges. For example, it can vary between 4–11%, with some management companies charging a flat fee.

In summary, the decision is always yours. Use the above factors to guide your decision-making. Whichever property management company you choose, just be sure you are budgeting for your money.

Author: anwaryusef

Anwar Y. Dunbar is a Regulatory Scientist. Being a naturally curious person, he is also a student of all things. He earned his Ph.D. in Pharmacology from the University of Michigan and his Bachelor’s Degree in General Biology from Johnson C. Smith University (JCSU). Prior to starting the Big Words Blog Site, Anwar published and contributed to numerous research articles in competitive scientific journals reporting on his research from graduate school and postdoctoral years. After falling in love with writing, he contributed to the now defunct Examiner.com, and the Edvocate where he regularly wrote about: Education-related stories/topics, Science, Technology, Engineering and Mathematics (STEM), Financial Literacy; as well as conducted interviews with notable individuals such as actor and author Hill Harper. Having many influences, one of his most notable heroes is author, intellectual and speaker, Malcolm Gladwell, author of books including Outliers and David and Goliath. Anwar has his hands in many, many activities. In addition to writing, Anwar actively mentors youth, works to spread awareness of STEM careers, serves on the Board of Directors of the Friends of the David M. Brown Arlington Planetarium, serves as Treasurer for the JCSU Washington, DC Alumni Chapter, and is active in the Dave Ramsey Financial Peace Ministry at the Alfred Street Baptist Church. He also tutors in the subjects of biology, chemistry and physics. Along with his multi-talented older brother Amahl Dunbar (designer of the Big Words logos, inventor and a plethora of other things), Anwar is a “Fanboy” and really enjoys Science-Fiction and Superhero movies including but not restricted to Captain America Civil War, Batman vs. Superman: Dawn of Justice, and Prometheus. He is a proud native of Buffalo, NY.