Property Management Level 1 Flashcards
What typical issues do you face on a day-to-day basis?
Grounds maintenance, lease expiry, rent reviews, scheduling services
What do Facilities Management team do?
Interact with contractors and maintaining schedules
How do they prioritise issues?
Often putting out fires, tend to operate based on severity and risk/impact
What is RICS professional statement for Service Charges In Commercial Property, 1st Edition?
Sets a marker for the standards of management required in commercial property and provides mandatory obligations RICS members must comply with. Fairness, transparency, dealing with disputes.
What is a Schedule of Dilapidations?
Interim dilapidations - served during the term of a tenancy
Terminal and final dilapidations - served just before or at the end of a tenancy
Repair (can defend against)
Reinstatement (non defendable)
Positive obligations (non defendable)
What RICS guidance is there to do with property management?
RICS Real estate management professional statement
RICS Commercial property management in England and Wales guidance note
RICS Service charges in commercial property professional standard
What is covered in the RICS Real estate management professional statement?
Ethics
Securing Instructions
New lettings and lease renewals
Managing real estate
Portfolio and asset management
Ending the instruction
Safety and security
Business management
What is covered in the RICS Commercial property management in England and Wales guidance note?
Acting as an agent
Managing suppliers
Duty of care
Property managers core duties: liaising between parties, money collection, client accounts, defaulting occupiers, service charges, deposits, managing the building, management policies, property insurance, energy management, health and safety and fire safety, management fees
Other responsibilities of the property manager and the landlord
Employees and employment law
What is covered in the RICS Service charges in commercial property professional standard?
Mandatory requirements:
stay in accordance with lease,
cant recover more than 100% of actual costs,
budgets are issued to tenants annually,
service charge accounts are issued to tenants annually,
service charge apportionment details are issued to tenants annually,
interest earned must be credited to the service charge account,
tenant can only dispute and withhold money that is in dispute
landlord must make any disputed adjustments without delay
Core principles
Best practice
Compliance checklist
Other appendices
What recovery options are there for arrears?
Payment plans
Rent deposit
CRAR
Guarantors
Subtenants
Forfeiture
Court proceedings
What kinds of insurance should parties be covered for?
Building insurance for full value of property
Loss of rent and service charge
Third party liability and PII to cover negligence
