Property managers work for property owners, and are a layer between the owner and a tenant. Certain property owners perform property management inhouse, others outsource property management.
This is another role player in commercial property. Every property has a property manager. Property managers are a layer in between the tenant and the property owner. They collect the rent, and generally deal with the admin of owning a property on behalf of a property owner.
Because of this, tenants can sometimes confuse property managers with property funds/owners.
Certain property owners choose to outsource property management of some or all properties in their portfolio to specialist third parties (for example Fortress, Emira, Delta). Others choose to perform property management inhouse (for example Dipula, Barrow, Growthpoint).
Further complicating this: certain property managers can also act as brokers. Thus, to a tenant it may appear that a broker or property manager owns the properties. In reality, the massive majority of brokers do not own properties, and neither do most property managers.
Workers in property managers can have the following titles
- Leasing consultant
- Property manager
- Asset manager
Property manager fees are charged on one or both of the below
- On a negotiated value of assets under management (with more management intensive properties attracting a higher charge)
- On a transaction basis per lease renewal or new lease concluded