Do your Property Managers have the technology they need to succeed?
Economic Pressures Are Changing the Market
With the increase in the cost of living, inflation and the general worry of a looming recession, spending patterns are changing. And business owners of all sizes are feeling the effects. We are seeing companies making moves to prepare for the worst in the most effective way possible.
Subletting: A New Challenge for Property Managers
For a lot of these businesses, consolidating and reducing costs means subletting to keep overheads low. For instance, a large technology firm that shifted to a hybrid work environment now has a lot of unoccupied space. Subletting allows the business to keep its location close to loyal clients while sharing the burden of rent and other costs. It’s a clever and necessary business move. However, it adds a new layer of complexity for property management companies.
Managing Multiple Tenants Increases Risk
Understandably, landlords would prefer to rent to a single company or individual who is ultimately responsible and accountable for all rent, damages or issues relating to that property. But with the market consolidating in the face of external pressures, it is a luxury to find that sweet spot. Property managers now must manage multiple tenants through a single key leaseholder. Often, that leaseholder does not effectively oversee their subtenants.
Alternatively, properties that restrict subletting may sit empty. Few companies are willing to take on the full responsibility of the entire rent.
Why Basic Tools Are No Longer Enough
The changing retail property landscape is forcing management companies to spend much more time and money on their property portfolios. This puts even more pressure on already tight profit margins and an overstretched workforce.
This is where the right property management tool can return both control and value to the company. But it can’t be just any tool. It must be designed to handle today’s challenges — and adapt to those coming in the future.
A Smarter Solution: Sage Intacct Real Estate
For instance, Sage Intacct Real Estate places the property itself at the center of the system. It defines the property as a fluid asset, allowing managers to make changes quickly with just a few clicks. A property manager renting out a 250-square-foot reception area today can easily update it to 350 square feet if needs change, such as a tenant renovation.
By keeping the property definition flexible, managers can quickly adjust the property’s purpose to suit new tenants. They can also allocate rent based on the actual square footage while retaining all historical records.
Managing Subletting with Precision
But a property involves more than just its four walls. As we discussed, businesses are consolidating and placing multiple companies into one space. With the right management tool, managers can clearly define the exact percentage each tenant occupies. They hold each tenant accountable for paying rent on their portion of the space. One property manager can efficiently oversee the entire property. They control who rents the space, assign rent responsibilities, and track which company is responsible for specific areas. They can handle all of this without adding extra staff or chasing down information. The right property management technology organizes everything — lease agreements, backup documents, credit checks, rental history, and payments — in one system.
Simplify Resource and Time Management
The property can be managed in much more detail with the added benefit of simplifying the resource and time management needs on the side of the property manager. Instead of having overworked property managers trying to manually manage the complications of some rental agreement or tracking down sub tenants that you were unaware of, it is time to find a system that does it for you.
Eliminate Data Entry Errors and Knowledge Gaps
Gone are the days of needing several people to double check data entry, use a system that does it for you and puts all the associated billings, supporting documents and communication history in one place. The added benefit of the right technology means that at any point another manager can step in when they need to get the information, without a handover or loss of knowledge. No in-depth reviews are necessary when additional coverage is required. With Sage Intacct Real Estate for instance, all the information is right there in the system and all the information is focused on the property itself.
Protect Your Profitability with the Right Tools
Sage Intacct Real Estate is one of those property management tools that allows you to manage in complete detail every property in your portfolio with a minimal amount of management individuals. With everything documented, less falls through the cracks and the property management company protects its profit base, even in today’s ever-changing market.
Want a quick view on just what Sage Intacct Real Estate is all about? Follow this link >>
Request a demonstration of Sage Intacct Real Estate today! Contact Us >>
