Should You Hire A CRE Property Management Company?
You bought the building—now what? It takes a lot of time and energy to operate a commercial property. If you’re the owner, you may consider outsourcing your property management to a solid commercial real estate (CRE) property management company. Before you hire one, it’s important to be clear on exactly what a CRE property management company is and what it can do for you.
What is a CRE property management company?
As the title suggests, a CRE property management firm is a company built to manage non-residential property. Some of these property types include:
● Corporate offices
● Industrial properties
● Shopping centers
● Retail spaces.
Managing commercial property requires deep real estate knowledge, strong management and financial skills, a good maintenance team, and well-oiled communication systems to ensure that all runs smoothly. They should also have a powerful financial team that can help you reach your financial goals.
When a CRE property management firm is well-equipped to take on your property, they will make your life significantly easier. If they’re not the right fit, they’re likely to cause more problems than they solve.
What does a CRE property management company do?
A CRE property management firm takes on a large number of the day-to-day tasks associated with your property. This allows you to pursue other goals or attend to other areas of your business. A high-quality CRE property management company acts as a partner to maintain the health of your property.
New property owners often have a big learning curve when it comes to understanding all the aspects of property management. A property management company knows exactly what needs to be done, which cuts down on your trial-and-error time and can save you substantial money in the long-term.
Who works for a CRE property management firm?
You’ll usually find a well-rounded team of individuals with different roles within the company. Some of these can include:
● A Property Manager
Property managers handle tasks such as client relations, forecasting, contracts, and leases.
● An Assistant Property Manager
The assistant property manager works under the property manager to keep the finer daily details in order. They may handle work orders, daily general correspondence and accounts payable and receivable, among other duties.
● An Administrative Lead
Administrative leads execute more high-level paperwork. They also streamline events, ensure work orders have been completed, and handle service contracts.
● A Maintenance Team
Engineers and other maintenance specialists ensure your facility stays in good condition—and sometimes improves its overall condition. Everything from pipes and plumbing to roofs to preventative maintenance like HVAC inspections are taken care of by the maintenance team.
Each of these roles work together to ensure that your property is well-managed whether you’re on-site or not.
What services does a CRE property management company offer?
There are many different services a CRE property management company can provide, but they generally fall into either managerial services or financial services. Look for a company with strength in both areas.
Financial Services
Money matters in commercial property management. There are many moving parts to ensure your investment does well. The financial team at a CRE property management firm will handle the accounting, rent collection, and budgeting for your property so that you’re set up to profit.
They will also keep meticulous records and handle any updates, such as for insurance. that may be needed. Perhaps most importantly, they will be able to clearly show you the financial health of your investment in real terms. No guesswork.
Management Services
If your property deteriorates, it loses value. Your CRE property management team is designed to ensure that doesn’t happen. They will develop a detailed maintenance schedule and execute on it. They will perform regular necessary inspections and perform repairs when needed.
They’re a business partner for you as well. They may suggest certain upgrades they feel would significantly increase the value of your building. They’ll work with the financial team to show you how this can be done in a way that serves your bottom line.
Another big service a CRE property management company can provide is on the marketing and sales side. You may need to lease your property—your CRE property management company can help you with that. They can handle everything from marketing to advertising to the leasing process itself.
Rest Easy with Industry-Leading CRE Property Management from Maddox
A CRE property management company can increase the value of your property through careful, dedicated management, both financial and physical. If you want to learn more about CRE property management and what it can do for you, contact Maddox today. We’d love to talk with you and answer any questions you have.