REA Property Management

REA Property Enhancement Strategy

Professional property management is critical in enhancing the performance of an asset. At REA Management we know each asset is unique, with different challenges and opportunities, and is treated as an individual operating business. Our primary focus is to enhance the assets value for our clients by minimizing the cost of ownership without cutting corners and implementing an effective Tenant retention program. We build long-term relationships to achieve our client’s financial goals.

In order to accomplish this, it is essential to understand every aspect of the operations of the real estate asset. Developing a successful Asset Enhancement Strategy requires identifying any underlying inadequacies and evaluating the solutions in the context of the property’s ultimate potential value, rather than providing temporary “band-aid” solutions to the obvious symptoms. Each operational function is isolated and examined to determine the maxim efficiency mode of operation while maintaining the condition of the property to the highest standard. With this approach, we ultimately, develop viable and practical methods, processes and solutions that work well not only to increase the net operating income return over the holding period of the asset, but also in concert with those strategies already in place.

The single greatest ownership expense is re-tenanting a property. It is for this reason that maintaining the current tenants is most often the top priority in the management of an asset. Upon REA Management assuming the role of property management, we immediately implement an effective tenant retention program. REA provides the experience, creativity, resources, and tenacity to plan, modify, coordinate, and implement a tenant retention program that will maximize the value of the asset. This program is based on our ability to quickly establish a relationship with the current tenants, determine the suitability of their current space relative to their requirements, gather critical market data and properly interpret information in the context of the surrounding market in order to establish the most realistic renewal parameters.

REA manages a diverse portfolio of office, industrial and retail properties of various sizes. We take the management of these properties very seriously and are ready 24-hours a day, seven days a week to facilitate our clients and tenants needs.

Accountable and Accessible to our Owners

We understand that communication with the property owner regarding the condition of the property and any issues that occur can not be underestimated. In addition to having systems in place that assure our clients have accessibility to and regular communication with our Property Management Staff, we hold ourselves accountable to the owners. Every property receives a monthly property reporting package. We currently utilize many of the industry’s property management software/programs and have the capabilities of operating others if needed for financial reporting. The standard monthly reports in the package include:

Cash flow statement
Income statement including detailed expenses
Tenant rent roll
General ledger
Budget comparison and bank reconciliation
Narrative variance report
Tenant Retention Report
Marketing Report (if applicable)
Specialized reports available upon request
Annual budget preparation and presentation

Upon execution of the management agreement, REA Management would then assume the role of property management with an emphasis upon becoming familiar with the existing tenants, ensuring that all systems are functioning properly, and looking after the property’s best interests. This can only be developed with a “hands on” approach to property management. This style of management incorporates routine inspections of the premises, while taking the time to visit and check on the tenant, coupled with an “open door” policy with respect to communication and instant response, which is of utmost importance.

At the initiation of management responsibilities, there will be several items addressed by the property manager to ensure that the property is operating effectively. Notify tenant and service contract vendors of takeover or management transition. Include introduction and notification of the initial inspection.

Thorough inspection of the premises. Develop a site plan that reflects the location of meters, transformers, water and irrigation lines, sewer clean out, etc.
During the inspection, note any items or any errors that are subject to a liability problem.
Record electrical and gas meter information from the physical inspection.
What is the security and key system? Are there master keys on the site? Who has access to the keys? Are all keys accounted for and secure?
Review & test the alarm, change the alarm codes, update authorized personnel, etc. for the building.
Determine existing operating practices and hours.
Inspect and list all operating equipment and who provide services.
Acquire manufacturer’s equipment manuals whenever possible.
Prepare inventory of building supplies.
Account for any auxiliary areas or amenities such as covered parking, storage areas, etc. at the property.
Establish staff schedule and ensure proper coverage in the office and maintenance department, if applicable.
Prepare standard information of building (size, no. of elevators, types of construction, etc.).
Prepare to do lists requiring maintenance, janitorial & administrative labor.
Interview/confirm the services of all vendors & contractors.
Prepare tenant emergency contacts for each office
Implement REA Management systems, policies and procedures and controls.
Audit all files for accuracy, organization, signatures, etc.
Review existing budget, status of repairs (including capital expenditures) and gather data to prepare new budget, if necessary.
Rekey, if necessary, and create key map book.

Additional Services

In addition to our daily supervision of all maintenance issues such as HVAC, landscaping, janitorial, fire/security and all other required services, our 24/7 on call availability and our monthly financial management and reporting, REA Management offers additional management services which include but are not limited to: