A strong management firm is the backbone of any good commercial real estate (CRE) property. In many cases, the right partner can save building owners and investment firms tons of money in the long term, and even help expand their portfolio to new markets.
In today’s crowded and competitive marketplace, knowing these five key traits to look for will help make the process of hiring a property management company smooth and expedient.
1. Firm Experience
With so many CRE management firms in the market, it’s common to stumble upon “fly-by-night” and “quick-fix” operations that sell themselves well, but lack the experience, ethics, and depth to make a positive impact on your properties.
Selecting an organization that has been around a long time, knows what it takes to succeed in the market, has a diverse portfolio of properties under management and, perhaps most importantly, does what they say they will, helps ensure the success of your commercial property.
2. Open Communication
A commercial real estate management company that prioritizes clear communication—both with owners and tenants—is essential to establish long-term success and ensures all parties are effectively taken care of, but identifying that trait prior to selection can be a tough proposition.
In order to learn about a firm’s communication style, owners and investors should conduct due diligence by interviewing tenant and owner references, asking specific questions surrounding rollout strategy and tenant relations procedures, and generally gauging their responsiveness and transparency throughout the selection process.
3. Breadth of Services
When hiring a commercial property manager, it’s ideal they have the manpower and breadth of solutions to serve as a true, full-service partner. That means providing more than just management, but also services like construction, development, investment sales, receivership, real estate brokerage and financial insights. The ability to perform a variety of functions helps ensure your CRE management firm can consistently exceed expectations of service and professionalism for your properties.
4. Localized Expertise
Working with a firm that’s local to the region is a commercial property owner or investor’s best bet. Having a partner who knows the market, the vendors, and the resources available are more likely to do their job well, and will be able to quickly and confidently fill open tenant vacancies.
5. Technology Capabilities
An effective CRE management company will have sophisticated technology and software in place that can integrate everything from accounting and financial reporting, to tenant portals and maintenance request tracking. A demonstration of this technology in action should be readily available at some point during the selection process.
If you’re interested in receiving a complimentary, no-obligation commercial real estate consultation, contact Farbman Group and get in touch with an expert today.