We Treat Every Lead As a New Client
Are you interested in how a commercial property management company estimates their pricing for a potential new client’s property bid? The process of understanding what a property entails doesn’t fully happen until management takes on a new asset, although a great deal can be gleaned from a few key items that help us estimate our management fee.
When being hired to manage an owner’s property, the first point is to understand the client’s needs of service. Typically, management is hired to provide either full-service management or simply on-site management. Full-service management’s scope entails the handling of all bookkeeping, bill pay, lease administration, tenant relations, on-site maintenance coordination, vendor bidding, owner updates and more. On-site management typically only entails on-site maintenance coordination, vendor bidding, owner updates and other management tasks unrelated to bookkeeping and bill pay for the property.
Once the needs of the client are understood, management will then collect information on the property, such as the year built, geographic location, tenant mixes, property types, lawn care and snow plowing needs, requesting lease information from the owner to understand which parties are responsible for which property items and to see if the leases are gross, modified gross, or Triple-Net. We take that information and then try to figure our potential time commitment to the property. For example, if tenants are on a NNN lease, management will have to reconcile these NNN leases for each tenant annually, which can potentially be a large time commitment.
Nevertheless, during this process we will learn more about the owner and develop a better relationship and understanding of their needs. We always aim to be optimistic on how can help service each new client’s needs.
Latitude Commercial provides commercial real estate services such as purchasing, leasing, landlord representation, tenant representation, and property management throughout Northwest Indiana and the Chicago Suburbs. To find out how we can help you, call us today at (219) 864-0200.