Introduction to the DMG Blog
Our Property Management industry is not effective in explaining what we do.
As an industry, the property management business is not effective in explaining what we do. Does the new owner or owner manager of a 75-unit apartment complex or 30,000 square foot office building know what a property manager does? Many prospective clients think we do maintenance or just collect the rent. They do not know why they need a property manager other than dealing with an angry tenant or allowing them to take a vacation while we watch the property.
We as property managers know we add value to the property but how do we explain that without seeming so self-serving. Testimonials from other owners help but that is just another type of reference that we give out with our proposals or when asked. I have struggled to get information out to prospective clients.
An informational blog affords us such an opportunity. Our business primarily grows with referrals from existing owners, brokers, attorneys, and accountants and a blog gives us the means to expand that base. Our goal is to attract future business. With the blog, we will start a discussion and answer questions.
Property managers work with other professions in managing the property and we plan to have special topics discussed, such as; Space Planners and Designers talking about the future office, Accountants explaining useful life for a CAM reconciliation and depreciation for tax purposes, Attorneys discussing the eviction process. I will be discussing subjects such as, what services do property management companies provide, how to pick a management company, what to do when rent is not paid, what are CAM fees, what is the difference between a net lease, modified gross lease and full-service lease, and what does a “base year” mean.
What we do and what we do not do.
Before we start with our first question I need to explain what type of properties we manage. We manage mid-sized commercial properties. We do not manage properties owned by REITs, downtown high rises, single family homes or apartments. We focus on suburban office buildings, industrial properties and retail centers owned by individuals and partnerships. We are looking for long term relationships built on trust.
- DMG does not do original leasing, we recommend contracting with a broker and recommend brokers to the owner.
- We review the leasing agreement and with owner’s permission sign the agreement as the owner’s agent.
- DMG does lease renewals since we know the existing tenant and what the owner is looking for.
- Most Owners want full management however, we can provide separate services.
- Accounting services, including CAM reconciliations, payment of invoices, and budgeting.
- Facility Management, including supervision of contractors, obtaining proposals for needed property services and project management for larger projects such as; tenant improvements, new roof, asphalt repairs/sealing, new HVAC unit replacement.
- Management Plan: A Management Plan provides a strategy for the direction of the property operations by looking at the existing property conditions, operating procedure and financial standing. DMG makes recommendations to improve the property in pursuit of the highest net income. If a property is well maintained and tenant treated fairly the property will have a lower vacancy and be a desired commodity.
- If DMG does not manage the property we cannot provide Tenant Relations, Project Management, Leasing Renewals or advise on Purchase/Selling properties. (We are looking for long term relationships).