Landlords often enlist the help of a commercial property management firm for tasks such as tenant screening and building improvements. Before investing in these services, some background research will ensure a landlord is getting the best value for his or her money. An experienced and professional property management consultant will forestall many routine problems and ensure a landlord will see the best possible returns on the initial real estate investment. The following criteria will determine the quality of one of these management consultancies.
Proper Tenant Evaluation
A commercial property management company can act as a good liaison between landlords and their business owner tenants. Prior to offering a lease agreement, a management consultant will ensure an applicant meets the minimum financial and legal requirements. These often include credit histories, past rental histories, and any past violations of the law. A good property manager will also collect basic information about a commercial applicant’s business, including products or services for sale, required inventory space, and the number of employees. Many consultants will verify that a potential tenant has a current business insurance policy against theft, fire, and natural disasters. These insurance requirements can vary by local laws, so an experienced management consultant is able to provide lease applicants updated information about this matter.
Knowledge of Legal Documentation
A reputable commercial property management consultancy employs professionals with thorough knowledge of all legal documents required for different types of leases. They are able to assign the proper lease contracts to approved applicants and have them processed in a timely manner. Many firms also employ paralegals who are able to check each document for accuracy prior to filing it. A management consultant is also able to negotiate rental terms effectively with new tenants, saving the landlord the time needed for this task.
Good History of Mitigation
Potential clients of a property management firm can gauge the company’s reputation by examining its recent history of dispute resolution. Consultants often act as intermediaries between landlords and tenants, and the issues can range from unpaid rent to needed building repairs that have not been addressed. The role of a management professional is to hear both parties’ grievances and work with both of them to formulate a beneficial solution. Records of property management firms’ resolved disputes are usually available to the public. Firms who are able to resolve disputes quickly and efficiently are normally those with the better reputations.
Commercial property management consultants provide valuable services to landlords who are renting out space to business owners. These professionals have good backgrounds in both real estate and the legal components that go along with it. They are also able to act as intermediaries in cases of disputes. An experienced consultant is able to save a landlord both time and money otherwise needed for these types of tasks. With any of these components, a good management company has a good system of record-keeping in place as well. This practice will ensure that all landlord clients’ property issues are addressed in reasonable time frames.