Property Management
Long Term benefits that can be derived from Real estate
1. Appreciation 2. Cash Flow 3. Income tax advantages 4. Equity build up
The Property Management Part D. Article IV
1. Management of Building 2. Repairs 3. Service Contracts 4. Reimbursement 5. Employees 6. Expenditures 7. Monthly Statement 8. Collection and Segregation of Funds 9. Bonding of employees 10. Interest and tax payments
Specific qualities that a successful manager should possess include:
1. Mental Stamina 2. Integrity 3. Organizational skills 4. Bravery 5. People skills 6. Ability
Lease has four contractual requirements
1. Mutuality- This refers to a meeting of the minds. The least must be clear and unambiguous as to its terms, compensation and property to be leased
Article III
1. Rental 2. Lease Negotiation 3. Advertising 4. Rental Rates 5. Compensation
Lease has four contractual requirements
2. Capacity- The parties must be of legal ageand have the mental capacity to contract
Lease has four contractual requirements
3. Legal Purpose- To be enforceable, the least must be for a legal purpose. A lease that specifies an illegal use is void.
Lease has four contractual requirements
4. Consideration- While courts seldom are concerned with the adequacy of consideration, there must be consideration flowing from the lessee to the lessor and vice versa. It is usually money but it could be anything of value.
Licensing requirements: Hotel Manager
A manager of a hotel, motel, or auto and trailer park, resident manager of an apartment building, apartment complex, or court of an employee, of any such manager, generally need not hold a broker's license
Property managers Categories: Resident Manager
A manager of an apartment property who "resides on the premises" and does not need a real estate license inmost states
D. Structural Steel
Allowed for Modern Day skyscrapers. This allowed for additional rental space.
Licensing Requirements:Owners
An owner need not be licensed to manage his or her own property.
Additional Designations
BOMA also offers a Systems Maintenance Technician (SMT) and Systems Maintenance Administrator (SMA) designation upon completion of required course.
Facilities Management Administration (FMA)
BOMA offers a Facilities Management Administrator (FMA) designates that requires completion of seven mandatory courses and an ethics course.
The Property Management Parts A. Article I
Clearly states that this is an exclusive agency for managing and leasing the described party
Statute of Frauds
Even though a lease might not be in writing, it certainly "should" be in writing
National Property Management Association (NPMA)
Founded in 1952, consist of primarily of property managers in the Washington D.C. area
A. The Moldboard Plow
Had a curved plate attached to the spike that could lift and turn over a wide furrow of ground
B. Industrial Revolution
In England, with the harnessing of water power and the steam, allowed for factories to mass produce goods that were once produced by hand otherwise available.
Career Opportunities in Property Management
In a slow market, a general brokerage firm that offers property as a side business may produce the necessary income to keep the company economically afloat.
Licensing requirements Transient Occupancy
In many states, any person or entity including an employee of a broker) who solicits or arranges and accepts reservations and or money for transient occupancies is generally exempt from licensing.
Resident Managers
In many states, resident managers of apartment buildings generally need not be licensed as real estate brokers, even though they handle rentals as part of their duties.
Lease
Is a contract that transfers possession from an owner (lessor) to a tenant (lessee)
Building owners and managers Association International (BOMA)
Is a federation of 94 local associations with over 16,000 members representing more than six billion square feet of commercial feet of commercial property in North America.
International Council Shopping Centers
Is a specialty organization that offers a number of excellent educational programs as well as professional designations and marketing awards
International Council Shopping Centers (ICSC)
Is a specialty organization that offers a number of excellent educational programs as well as professional designations and marketing awards.
The Property Management Contract
Is the agency agreement between an owner and a property manager and must clearly set forth the obligations of both properties
The Government: The General Services Administration
Is the real estate management agency for the federal government. It is the largest single employer of property management personnel in the world.
International Real Estate Institute (IREI)
Memberships in the International Real Estate Institute (IREI) includes the professional designation RPM ( Registered Property Manager)
Licensing requirements: Power of Attorney
Persons holding an executed power of attorney from an owner of real property can sell or lease the property under the power of attorney
Real Estate Investment Trust (REITS)
REITS are publicly traded and, by law, must distribute 90 percent of their gross taxable income from operation to their shareholders.
Accredited Resident Manager (ARM)
Specialists in residential property management are designated as Accredited Residential Managers
E. The Great Depression
Stock Market Crash 1929; No matter the economy is, there are always opportunities. Keep your options open for the benefit of your owners.
Licensing Requirements:Without Compensation
The California Attorney General 32 Ops Atty Gen. 210: For a Compensation is critical to require licensing. Unless the buying and selling of a promissory note secured by a deed of trust is done for a compensation" the person buying and selling such notes is not a real estate broker within the real estate law.
C. The Electric Elevator
The Otis Elevator was the first practical elevator and was powered by electricity. This invention allowed for the creation of skyscrapers.
Accredited Management Organization (AMO)
The accredited Management Organization (AMO) designated is given to firms rather than to individuals.
Air Commercial Real Estate Association
The association has available excellent lease and contact forms for both industrial and commercial property
The Property Management Parts B. Article II
The form sets form the term of this management contract.
The Property Management Parts C Article III
The manager agrees to use his or her best efforts to rent all space and keep the space rented for a duration of the management agreement.
Property managers Categories: Independent Property Manager
These managers handle property individually or with the assistance of their employees. They handle property for more than one owner and have agency duties toward each client they represent.
CEOS of REITS
They tend to have backgrounds in Finance rather than property management
Institute of Real Estate Management (IREM)
This is an institute of the National Association of Realtors. IREM offers educational and professional programs in property management. Founded in 1933. In 1938 IREM set qualification standards for its professional designations.
Certified Property Manager (CPM)
This is the most prestigious and widely recognized designation for professional property management.
Property managers Categories: Employee Managers
This manager is an employee of an owner or corporation and has management duties dealing with one more properties
Financial Institutions
Use independent property management firms, there are still thousands of property managers employed by financial institutions.
Urban Land Institute (ULI)
Was founded in 1926 as a nonprofit education and research institute. It's 13000 members cover the entire spectrum of land use and development.
Attributes of a Successful Manager
a. Mental Stamina B. Integrity C. Organizational Skills D. Bravery E. People Skills F. Ability to Prioritize G. Goal Oriented H. Communication Skills I. Team oriented J. Ability to delegate K. Flexibility L. Be Part of the Solution M. Accept responsibility N. Benefit Oriented O. Agency focused P. A money manager
