What it Takes to Manage a Commercial Property Portfolio
Commercial real estate is one of the most valuable assets and investments you can make, but there’s also a lot to it. When managing a commercial property, there’s tons to consider — and remember — when it comes to ensuring a return on your investment. From preserving your facility to managing tenants to understanding market conditions, managing commercial properties involves I’s to dot and T’s to cross.
Wondering what it takes to manage a commercial property portfolio (or a single one)? Here’s what you need to know.
Stay on top of preventative maintenance: If you’ve bought a commercial property, there’s a huge chance that it was a pretty massive investment. Your job as the commercial property manager? To protect that investment. Depending on the commercial property at hand, there are a ton of things that could be involved in ongoing and preventative maintenance. From yard work to plumbing to safety inspections to cleanliness, there’s a lot to consider — which is where outsourcing often comes in handy.
Provide a great tenant atmosphere: While you manage your commercial property, you’re also going to be dealing with tenants — and often tenants that are running successful businesses of their own. Over time, there’s no way you won’t lose tenants — but you can mitigate risk and cash loss by making sure your tenants feel respected and taken care of. While boundaries (and clear expectations) are key for your tenants to understand, it’s also on you to be an excellent communicator and a proactive property owner.
Pay special attention to the details: When managing a commercial property, there are tons of regulatory details that you need to pay attention to. From writing — and understanding — truly rock-solid leases to ensuring that your tenants are also in compliance, running a commercial property provides a much different set of issues and considerations than simple homes do.
Bring in the right team: Unless property management is something you’re passionate about, bringing on a team to help you manage your commercial property can make a huge difference in how you protect your investment. In addition, a dedicated property manager can also create streamlined systems that make everyone’s lives easier… including you and your tenants. Here are some key skills you need in a property manager:
- Property preservation services
- Ongoing, seasonal, and required maintenance
- Securitization services
- Rental and lease agreement management
- Tenant communication
- Property condition inspections
- Eviction lockouts
- …and so much more
At VRM Mortgage Services, we know how to help you turn profits and manage your commercial properties well. When it comes to commercial property done right, we’re who you want on your side. Give us a call today.