Property Management Plan: An Essential Tool for Real Estate Management - Essay Sample

Introduction

Property Management Plan (PMP) prepared for providing guidelines to property owners is a useful tool in real estate management. It defines existing physical conditions of the property, environmental assets available, and land capabilities, management objectives, risks, and possible resolution actions. This analysis focuses on the description of an auto part store, what is required to make the property competitive in the real estate market, data used in comparing the property's financial integrity along with a brief elaboration of tenancy strategy.

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Description of Property

The Southern View Racing part is a mid-size Texas-based automobile racing spares store situated on the outskirts of the city center. The store will act as premier to the race sporting activities that dominate the state of Texas. This is by providing a 24-hour store for new and used spare parts of racing bicycles, motorcycles, and rally cars. Racing sports dominate Texas, and this area serves as a suitable customer-friendly physical location for the business. It is devoid of traffic congestion, insecurity, and weather characteristics are favorable. Located outside the busy central business district, the store has a requisite tenant space, social amenities, and enough modern sanitation facilities. The store lies in private land and therefore has no political or government influence providing an enabling social environment for tenants' daily business dealings (Banfield, 2017).

The store building has a brick and mortar external wall building with flexible wooden internal partitioning to enable flexibility in the acquisition of interior space as per the requirements of the tenants. This allows management to take care of customers with both retail store spaces and warehousing facilities for wholesalers. It is also situated off the main highways on an appealing uphill terrain with state-of-the-art parking and shade facilities for tenants and their customers. It has a perimeter wall fence, electrified fence finishing, armed security guards, and external CCTV cameras for tight security services. The land within which the store sits is twice the size of the store; this, therefore, creates space for future expansion if need be. Nevertheless, the extra land within the compound is developed to give additional social amenities facilities and parks for tenants and their customers' use.

What is Required to Make the Store Competitive

The United States provides a new policy to boost the efficiency of energy in buildings by promoting data-driven decision making and creating stronger signals in the market (Mims et al., 2017). For compliance with these regulations, the American government regulates the clean public energy used in the store; therefore, monitoring energy use in the store is data-based. Management adheres to the data protection regulations on tenancy agreements, employment agreements, and any other regulations as required by the state. A data store center is situated within the store compound to cater to every management procedure as a compliance requirement by the government.

The management team is concerned about meeting the mission for the store business, "to be a 24-hour quality service provider in storage services for racing automobiles' spares parts." Coordination and teamwork is the main management strategy; this ensures that service providers meet the requirements of potential tenants. The management team will also ensure that adequate staff is employed as per the state's employment act. The set policies are to be executed and monitored through staff appraisal procedures and promotions granted as per the regulations of the employment act. Notably, the management must comply with the procedures set in this analysis to be able to keep this business competitive with other similar businesses in the market.

Financial Integrity

The economic value of a business is profits; therefore, the management of this store should work to ensure that by the end of a trading period, there is a substantial profit. This makes the real estate business relevant and competitive to similar businesses in the market, and it is achievable through consideration of financial integrity practices. The variables to be used in the computation of the financial performance of the business are sales i.e., occupancy rate, gross margin, and net profits. The gross margin will be determined by comparing revenues versus expenditure in a span of a trading period, and the accountancy data will be used for decision making in the next trading period. The decisions will be informed by what worked, what did not work, what is our position compared to the financial performance of other similar businesses, and how to improve in the next trading period.

Tenancy Integrity

The business is eying on tenants as its main asset of trade; it provides rental and leasing space for a business that deals in racing automobile spares. Therefore, it needs to be in to attract tenants in that line of business. The store, from the structural look to services provided within, should be able to attract tenants to its full capacity in the first or second month of business commencement. The business will be able to provide customer friend services by promoting the utmost etiquette and professionalism, which includes the provision of after-sale services like transport.

Conclusion

In conclusion, this analysis captures a variety of services to be offered to tenants and adherence to trade regulations set by the state. We, therefore, look forward to the management team to work on the outcomes of the plan to make the business competitive enough and to maintain the market value of the business. Further, the management of the business aims at maintaining relevance by conducting customer satisfaction surveys to find gaps for improvement as the analysis dictates.

References

Banfield, E. (2017). Political influence. Routledge.

Mims, N., Schiller, S., Stuart, E., Schwartz, L., Kramer, C., & Faesy, R. (2017). Evaluation of US Building Energy Benchmarking and Transparency Programs: Attributes, Impacts, and Best Practices.