COMMERCIAL MANAGEMENT
List of Standard Services
STAFFING
Based on the Owner’s objectives,
ARS Management, Inc. will determine the
necessary
size
of the building staff, where applicable
and ARS Management will:
1) Interview,
hire and train key building personnel, including:
a) General Manager
b) Property Manager
c) Engineers (where applicable)
d) Administrative personnel
2) Provide a payroll service.
3) Establish job descriptions, set objectives
and execute performance reviews for all
personnel.
FINANCIAL MANAGEMENT
ARS Management, Inc., will perform
specific accounting functions as described in the management contract and as
required by owner (see accounting reports).
BILLINGS/ACCOUNTS
RECEIVABLE
At the base of the billing/accounts receivable system is a comprehensive lease abstraction capability. Pertinent information on each tenant’s space is abstracted in great detail and becomes part of a computer database. Included in this database is information relating to the lease term, the rental rate, escalation requirements, if any, and narrative information pertaining to options and other deferred conditions.
For each tenant, the Owner will receive and
Occupant Status Report, which provides a ready reference to the information
associated with each tenant. Each time
the lease information changes, the database is updated and a new report is
produced. As a result of the lease
abstraction system, we are able to produce lease expiration report each
month. This report provides the
property management department and/or leasing agent with a reminder of lease
expirations, which require action during the coming six months. This report can also be produced on demand
to show deferred conditions and lease expirations for specific periods of time,
a feature that can be extremely valuable.
At month’s end, computer reports are
produced which show a final accounting for all accounts receivable. As part of your monthly statement, you
receive a Billing and Collection Summary, a Rental Income Statement, a Cash
Receipt Journal, and an Aging Report.
These reports show in detail, by tenant and income category, all billing
and collection activity for the month.
They provide an invaluable tool in analyzing the cash flow generated by
the property. In addition, an analysis
of sundry charges is provided (where applicable). This report contains a listing of all miscellaneous income billed
during the month. Included in this
category are such items as charges to tenants for work done or services
provided by building employees, Common Area Maintenance and Pass-Through items.
Our computer system has the
flexibility to accommodate a variety of requirements of your firm, which may
differ from the standard accounting format.
This includes a change in chart of account number, statement generation
dates, procedures for bill payments and several other features.
VALUE ASSESSMENT
Value assessment of properties that are over 3 to 5 years old should have a value assessment completed on the building to determine the remaining life expectancy of equipment, exterior condition of the building(s) and common area. Once this value assessment has been done, the property manager will have estimated prices given from contractors/vendors that would perform the work for the Owner’s approval. These estimates, once approved by the Owner, will be included in the annual budget, on the anticipated date the repair/replacement would need to be done.
ANNUAL BUDGETS
Annual budgets are completed prior to year-end. This is the time when service contracts are reviewed and re-bid, if necessary, actual expenses are compared to previous year’s budget and adjustments made accordingly. Annual budgets will affect the common area maintenance fees (CAM fees) charged to Tenants. This is covered under accounting reports and procedures. Should the value assessment indicate that capital improvements are required, this will be incorporated in the new budget for the following year.
TENANT SERVICES
Tenant Surveys – Attached on the following
pages are examples of the types of surveys performed on a periodic basis to
ensure that the Tenants needs are being met and that management is completing
those assignments in a timely manner.
Tenant Service Logs – Attached on the
following pages are Tenant Service Logs which will indicate an item or items
that need to be done to a suite either prior to or after a Tenant moves in or
out. The benefit here is to keep the
building systems current and in proper working order. Move-in Gifts – These are not extravagant
gifts. Examples would include plants,
pictures, coffee mugs, etc… Just a
token of appreciation that goes along way to improve Tenant/Owner
relations. The idea is to create an
open but productive relationship with the Tenants.
TENANT RELATIONS
Establish procedures for satisfying tenant
requests and insure that staff implement.
Establish life safety emergency procedures
(where applicable) and insure that staff trains tenant and implement programs.
Recommend and implement building services,
programs and amenities to improve tenant relations.
TENANT RETENTION
Tenant
retention plays an important role for the Owner and the property manager. It is costly to re-lease space, and
therefore, every effort is made in seeing that the Tenants are serviced
promptly, efficiently and courteously.
Compassion is the key word used when dealing with Tenant needs,
challenges and requests. ARS holds a
strong opinion that by giving to the Tenant, that is within reason, that
contribution, as small as it may be, will hold a tremendous value in the
Tenant’s mind when it comes time to renew their lease agreement. It will also generate recommendations to
other potential tenants. Many service
oriented businesses, especially restaurants, will start out with impeccable
service, incredible product (food) and once established with a strong
following, start cutting back on the things that made them successful, and
subsequently, lose clientele, recommendations and loyalty.
RENEWALS
Four to six months prior to the lease
expiration, the Tenant will be contacted in regards to renewing their lease
agreement. Their current lease
agreement will be reviewed prior to contacting the tenant to identify any
renewal options that may have been negotiated with the original lease
agreement. Renewal options will be
reviewed with the Owner prior to contacting the Tenant. The property manager will also inspect the
Tenant’s unit prior to negotiating their renewal and will provide the Owner
with an inspection report, detailing the condition of the leased space. If required, updated financial information
will be requested from the Tenant prior to negotiating a lease renewal.
OPERATIONS
MANAGEMENT
BUILDING SERVICE
Review all existing contracts and, if
practicable, will negotiate new contracts to affect savings to the owner. These contracts would include:
1. Elevator maintenance
2. Janitorial service
3. Landscaping service
4. Security service
5. Trash removal service
6. Office equipment maintenance (where applicable)
7. Air conditioning equipment
8. Pest exterminating service
9. Fire protection
10. Parking facility (where applicable)
BUILDING
OPENING CHECKLIST
1. Meet
with Maintenance Contractors to review contract specifications and
develop contact list for routine and
emergency calls.
2. Review/Develop
a list of all the general contractor’s sub-contractors who
worked on the building. Include after hours-emergency numbers.
3. Review/Develop
a security system for the building
4. Develop a punch list of items needing
correction or not completed (base
building) and review with construction
supervisor on a regular basis.
5. Develop a tenant lease file and become
familiar with each tenant lease.
6. Develop
a tenant information record, including a notification list of after hour
emergency numbers, office managers’,
etc.
7. Develop
a list of all public services that affect the building including their
emergency numbers, i.e., water, sewer,
gas and electricity, street repair, health
department, fire and police.
8. Prepare
standard building operations manual for individual project if one is not
already in place.
9. Set up building material inventory control
system. (Where Applicable)
10. Review/Set
up communication logbook for the building manager, night
cleaning supervisor, elevators service
personnel and any other contract
personnel.
11. Set
up tenant complaint logbook for tenant problems and requests.
12. Develop
insurance coverage file that includes name of insurers and who to
notify in case of loss (public
liability, major equipment, building insurance,
workers comp).
13. Develop
insurance coverage file for all contractors, showing certificates of
insurance coverage.
14. Develop
a file system to handle purchase orders, requisitions, monthly
inspection reports, quarterly
inspection, budget variance reports, security
reports, accident reports, monthly
statements, general correspondence, and
tenant correspondence.
15. Apply
for FCC licenses for portable radios or arrange to lease pagers for
necessary personnel. (Where Applicable)
16. Review/Develop
a building keying system.
17. Acquire
and develop files for all building and tenant plans including
architectural, engineering, sprinkler
systems, HVAC and electrical, for the
building engineering and management
office.
18. Maintain
a list of building owners and attorneys.
19. Obtain
all existing warranties for building and equipment.
20. Develop
moving policies, including usage of elevators, protection of building,
padding of elevators, floor coverage,
hours or moves, and cleanup. Inspect
areas before and after moving activity.
21. Develop
move-in checklist that includes inspection of space, restroom setup and
cleanup, elevator operation, operation
of HVAC equipment, electrical outlets,
door locks, keys for tenants directory
listings and basic information.
22. Become
familiar with general contractor contract and specifications obligations.
23. Acquire
keys and operating instructions for elevators.
24. Tour
building to become familiar with all common areas, building exits, location
of mechanical areas, shutoff valves,
utility services, electrical panels, circuit
breakers, elevator operation, and main
lobby desk operation.
25. Develop
a file and tickler system for all necessary operating permits, i.e.,
elevator permits.
26. Develop
tenant move-in procedures and incorporate into building introduction
booklet for new tenant.
TRANSITION CHECKLIST
Upon
execution of the management agreement, the following items are needed from the
Owner to facilitate the process of setting up the management of the Property.
1. Owner name, address, telephone number.
2. Building name
and address.
3. Tenant Lease –
including amendments and pertinent correspondence, estoppels.
4. Tenant deposit
summary.
5. Tenant Listing –
including suite number, telephone number, billing address and
contact name.
6. Tenant rent roll
– detail all current monthly charges and special billing
arrangements.
7. Tenant receivable
listing.
8. Operating
Statements – Current year – monthly.
Prior years – year-end.
9. Operating
Budget – current year only.
10. Rent Escalations –
all previous adjustments including worksheets and tenant
letters.
11. Property Tax
Statements – current year and all prior years.
12. Service Contracts –
Copies of current contracts, including:
a. Janitorial/Windows
b. HVAC
c. Security
d. Fire Alarms
e. Landscaping
f. Elevator
g. Parking/Garage
h. Other
13. Building Plans – Obtain
copies of “as-builts” for tenant’s files.
14. Area Calculations –
Calculate usable and rent able area.
15. Maintenance Ledgers.
16. Building Keys and
Bidding List
17. Building inventory –
including equipment, tools & furniture.
18. Meter readings,
meter and account numbers.
19. Utility usage
information.
20. Property Manager’s
inspection reports.
21. Owner I.D. numbers.
22. Insurance
Policy/Certificates.
BUILDING INSPECTION
We conduct or caused to have conducted a
detailed survey and inspection of a facility to evaluate the type, size age and
state of repair of all mechanical and electrical equipment and systems.
The inspection includes an evaluation of:
1. HVAC systems, components, configuration and control
2. Electrical lighting and power distribution system
3. Plumbing and domestic hot water systems
4. Elevators and escalators
5. Roof and building envelope (construction materials)
6. Fire/life safety systems
7. Security systems
8. Parking facilities
9. Utility costs (at lease one full year billing data)
10. Engineering personnel
11. Maintenance procedures and quality control
12. Code compliance
The following reports will be developed
for the Property:
1. Initial Property Inspection Report
2. Quarterly Inspection Reports
3. Annual Summary Report
Specifications for all service contracts
will be developed. Wherever possible,
specifications will be submitted to at least 3 qualified contractors for
bidding. After reviewing the bids, ARS
will make its recommendation and negotiate the most beneficial contract for the
Owner. Each contractor will be
required to provide evidence of proper insurance coverage naming the Owner and
ARS as an additional insured prior to conducting any work on the project.
PREVENTATIVE MAINTENANCE
PROGRAM
ARS will interview preventative maintenance contractors and sub-contractors to provide service on the following items as well as receive 2 to 3 bid proposals for the Owner’s approval:
1. Elevator Maintenance
2. Janitorial Service
3. Landscaping Service
4. Pest control
5. Window Cleaning
6. Parking Lot Sweeping and Striping Contract
7. HVAC Preventative Maintenance & Service Contract
8. Trash Removal Service
9. Emergency Alarm & Fire Protection Service
10. Clean-up Service
CONSTRUCTION MANAGEMENT
Design
and construction consultation services are most effective when performed at the
initial stage of the project’s development.
A coordinated engineering effort through the design development phase,
bid process, construction phase and tenant improvement phase significantly
reduces the risk of costly retrofit so often experienced in the early life of
the building. Listed are the areas of
involvement, if required:
1. Preliminary Drawing Approvals (Owner and Tenant)
2. Building Standard Work Letter
3. Construction Budget
4. Working Drawings
5. Permit Process
6. Pricing and Approval
7. Scheduling
8. Construction Process
9. Change Orders (Signed and Priced)
10. Substantial Completion (Owner’s work)
11. Tenant Sign-off
12. Tenant Move-in
13.
Temporary Certificate of Occupancy