The devil is in the details — an important rule of thumb in property management.
Qualified property managers should attend to the details that landlords don’t have time to track. Left unattended, those details can add up to a lot of cash out the door. Leaks in your commercial property management program could be affecting your bottom line as well as your ceiling panels.
Here are a few ways your property manager can plug those financial leaks:
- Collect rents from tenants. On time. In full. So basic but so critical to your investment returns.
- Deal with tenant delinquencies in a timely manner. If tenants are behind in their rent, your property manager should work to resolve outstanding issues so you don’t face bankruptcy.
- Build strong relationships with tenants. Communication is key. A good tenant relationship means maintenance matters are flagged sooner and addressed faster before they become major repairs.
- Track maintenance and repair tasks. These can punch holes in your budget without some advance planning. A good property manager asks whether a project is work you want to do or actually need to do.
- If your equipment repairs are running into thousands of dollars, it might be more cost-effective to replace the unit and save in the long run.
- Is your space being repainted when it isn’t needed? Keeping maintenance company employees occupied could be costing you money you don’t need to spend.
- Consult on vacancies. When you have a vacancy, you have two options: charge top dollar for rent, but expect to wait for the right tenant, or offer a lower rent to fill the space quickly. There are pros and cons for each option. Your property manager should help you assess your best course of action.
- Control expenses. Those annual contract details matter. Diligence today can avoid higher costs down the road.
- Assess high turnover. If you’re facing a low lease renewal rate, your bottom line is suffering. Your property manager should have some good ideas on why your tenants aren’t staying.
Property managers with a long track record understand that small details can have a big impact on your commercial real estate investment. The experts at NAI Glickman Kovago & Jacobs know how to sweat the details to optimize your property’s financial returns. Let us know if you’re ready to leave the details to us.