Category

Property Management

Date

22 June 2022

What is Commercial Property Management and Do You Need It?

Owning a commercial property in Perth is a lot of work, which is why many property owners rely on commercial property management companies to oversee their property.

But what does commercial property management involve, and is it right for you and your property?

What is commercial property management

Commercial property management is the process of maintaining a commercial property such as an office, warehouse, or retail outlet. A commercial property manager will ensure the property is kept in good condition and continues to produce income through operations and lease payments.

Roles and responsibilities

The main responsibilities of a commercial property manager in Perth revolve around financial services and managing operations, which we have summarised below.

Operations management

A lot of time and effort goes into ensuring a property can function efficiently and provide the best return. Some of the key tasks in managing the operations of a commercial property in Perth include:

• Ensuring a property or unit is occupied.
• Advertising any vacancies and reference-checking applicants.
• Managing tenant issues and taking feedback or enquiries.
• Carrying out evictions if needed.
• Periodic inspections of a property to identify maintenance opportunities.
• Ensuring infrastructure is in working order.
• Responding to emergencies at the site.

Financial services

Commercial properties often see a large amount of income and outgoings in various forms.

To keep track of it all, property management companies will provide accounting and financial services to assist the property owner come tax time.

These services include the following:

• Collecting rent payments and deposits, plus creating and updating records.
• Following-up late payments from tenants.
• Financial reporting covering expenses and capital expenditure.
• Bank reconciliations
• Tenant delinquencies.
• Planning a budget for operations.

Do you need a commercial property manager?

Property management is invaluable to a busy property owner who doesn’t have the time or resources to regularly attend to their property. If you’re an investor, property management services will help to maximise the return on your investment.

This is especially useful in large Perth commercial strata sites where the property is shared amongst multiple tenants. Commercial strata management includes gathering rent and attending to a variety of needs from numerous companies sharing the same facilities.

Property management is also useful if you’re an investor and don’t live near your property, or you don’t have the knowledge to improve the property on your own.

In fact, if you aren’t experienced in the aforementioned tasks or despise dealing with the financial side of things, a commercial property management company will be your saving grace.

Property management fees are part of outgoings payable by the Tenant as well as:

• Land tax
• Water rates
• Council rates
• Insurance
• Strata Levies (if applicable)

What to look for in commercial property management companies

To identify the best commercial property management company for your property, there are a few important factors to consider:

• Experience – The more industry knowledge a company has, the better the commercial property management services they provide.
• Certifications – Ensure you find a verified company with all the required certifications.
• References – Look for evidence of positive client testimonials as these showcase the reputation of a company.
• Track record – Find a company with a good track record of success and compliance with WA laws.

Commercial property management in Perth?

At Ross Scarfone Real Estate, we specialise in commercial and industrial real estate throughout the South-eastern corridor of Perth. Not only do we provide exceptional property management services, but we can also help you with property sales and investment opportunities.

We provide our clients with top-quality service in an ethical and professional manner, which brings a lot of repeat business and client referrals.

If you’re looking for a commercial property management company in Perth, contact us today.