Property management: some things change, some stay the same

Property management has changed a lot over the past ten years or so, much like building design and technology. Today, property management has become increasingly important, playing a value-added role in tenant retention. Successful property managers are highly sophisticated, and utilize state-of-the-art technologies and complex strategies. No longer is property management defined as merely collecting rent, changing light bulbs and coordinating service contracts.

But, while a lot has changed, still many things have not.

Things like responsive customer service, understanding how to handle people and crises, as well as knowledge of the workings of a facility, are as crucial today as they were ten years ago.

Since 9/11, concerns over terrorism have changed the way properties are managed. Property managers are now expected to create individualized evacuation and emergency plans for all tenants and train them on security procedures in the event of an emergency. Never before has security been so important in the lives of property managers and how they manage facilities.

Another change in property management today is the use of state-of-the-art technology. Sophisticated computer programs are geared directly to property managers, which has greatly improved the tracking of leases, repairs and other aspects of management.

Many buildings have their own websites to track things like tenant work orders, building satisfaction, and also offer the ability for property managers to communicate directly with tenants. In addition, advanced technology allows property managers to create in-depth, real-time reports for landlords and owners.

New security procedures have also made way for new technology. Property managers can now install digital security cameras to monitor common areas of larger buildings for vandalism and other possible hazardous conditions.

Another new development in property management is building owners' increased awareness of energy conservation. Property owners are constantly looking for new ways to conserve energy at their facilities, which in turn has motivated property managers to search for new programs to reduce energy use and costs through things such as lighting upgrades, alternate energy sources and recycled materials.

At Sheldon Gross Realty, our own unique approach to property management has resulted in a 95 percent tenant retention rate at all of the facilities that we manage.

Our current property management portfolio consists of over 2 million-square-feet in 20, multi- and single-tenant buildings as small as 6,800 square feet to as large as 135,000 square feet.

Our technique to achieving such a high tenant retention is to keep building owners and landlords satisfied, using many of the same tools we did more than 10 years ago. Our property management style, though some may call it "old-fashioned," places a tremendous emphasis on relationships with our tenants.

We take a very hands-on approach to property management and send a team to every property we manage on a monthly basis to ensure tenants are maintaining their spaces to the satisfaction of the building owner. Owners and landlords mostly know the status of the buildings as a whole, but not of each individual tenant's space--that is our job. Our property management teams conduct all monthly inspections, review lease renewal options with tenants, make sure insurance policies are up-to-date, and give tenants the opportunity to perform repairs on their own as a way to save money.

Coupling our tenant relationships with our heightened awareness of new technology and relating that to the needs of owners and landlords affords our Company the high percentage of repeat and new business in the property management sector.

In today's marketplace, property managers are increasingly becoming a more valuable, and essential part of the real estate operation. By utilizing some proven, old-fashioned techniques, as well as embracing innovations and technology, property managers can offer landlords and tenants greater satisfaction, which will in turn enhance leasing success and bottom line performance.

SHELDON A. GROSS, PRESIDENT AND CEO, SHELDON GROSS REALTY

COPYRIGHT 2005 Hagedorn Publication
COPYRIGHT 2005 Gale Group