Real Estate: The Importance of Construction Project Management and Property Management

Real Estate: The Importance of Construction Project Management and Property Management

The world of real estate evolves at an alarming rate. Therefore, there is a need for property management, real property, and construction firms to enhance intrinsic value. We are a leading property and construction solutions company highly reputed in the provision of project and construction management services. In addition, we incorporate expert development services in our agenda to improve our relation with our clients and to meet the global standards in real estate industry (Edwards & Ellison, 2014). Our award winning team consists of specialized professionals that can be relied upon by our clients to provide the desired outcome.

Ownership of real estate demands possession of physical property and acquisition of particular legal rights for continued redistribution and utilization. Property rights are related to exclusion, control, and disposition because they convert the real estate concept to real property. As a Specialized firm, it is our esteemed duty to ensure that the land and the property are managed effectively for commercial, industrial, or residential use. Our role incorporates oversight of care, use, and disposal of our client’s property in accordance with the rules and regulations. We utilize multiple systems, manpower, and processes to manage the property’s life cycle as per the review. Besides, we are aware that the complex property traits can hinder the owners from managing them effectively, hence resulting in the evolution in the real estate sector.

One of our objectives is to fulfill the needs of property construction and management by maintaining its value. Property value maintenance is attainable through achievement of required return, or by upholding property sustainability for the required use. The necessity of property and construction project management is increasingly apparent, especially to our clients and property owners (Edwards & Ellison, 2014). In light of this, our team is working around the clock in these times of rising costs and economic recession to limit investment deterioration by ensuring that the quality of management meets the required standards.

We are categorical in our mission and vision because we prioritize honoring requirements and demands of both the clients and the tenant with regards to real estate property. It is our obligation to ensure that the property generates substantial profits for our clients at the same time ensuring that the tenants are satisfied. To maintain or to maximize overall return on investment, the corporation addresses several areas of responsibilities such as lease or rental of acquired property, marketing activities, disposal, and maintenance of real estate property. Hence, our organization consists of property managers who (through a combination of unique knowledge, skills and attributes) oversee construction and strategic management of property according to the demands of our client.

Our property constructors and managers fall into three categories, namely individual entrepreneurs, members of property construction and management department in large multi-service real estate corporations, and specialist members of real estate firms. All of them are in pursuit of the firm’s mission and vision to attain the objectives as defined regardless of the categorization.

Often, construction and property managers undergo rigorous periodic training to impart them with skills that allow them to interact effectively with tenants, owners, outside contractors, and employees. As a result, they generate the highest possible net income for the clients or the owners over a useful lifetime of the property. Further, it is our duty to select between numerous kinds of real estate that demand professional management of property such as commercial, industrial, residential, or special-purpose properties (Kyle et al., 2011). During our firm’s operation, we have discovered that residential real estate (multi-family residences or single family homes) demand professional and effective construction and property management practices. Therefore, as property managers, we take distinct housing laws into careful consideration, especially when dealing with the residential real estate. We are keenly aware that the state, as well as our clients, can impose multiple regulations to be adhered to. However, such rules can bear detrimental effects on the overall property construction management. Consequently, we strive to eliminate hurdles and to strengthen our ties between the government, property owners, and our clients.

As a property management business entity, we aim at supervising the functions of income-generating commercial or residential properties to ensure that such real estate investments yield the desired amount of annual revenues. Years of operation in the industry have solidified our comprehensive understanding of the real estate and property market. In fact, we have hands-on experience on how to deal with economic forces in the market. Besides, our workforce constantly assesses the business prospects to ensure that specific properties are evaluated in terms of operating income and their future potential. The organization recognizes multiple trends in the real estate market in preparation for unforeseeable future crises and fluctuations in economy to advise our clients accordingly. It is through our assessment of the market behavior and conditions that we can make adjustments on rentals and other factors within our control, thus minimizing the effect of volatility and disruptions in the sector’s cycle to maintain low rates of vacancy. Eventually, the clients and owners are satisfied.

Together with our clients, we assess the structure of our relationship periodically. We are aware that three types of relationships can exist, such as employer-employee, principal-agent, or formal-fiduciary relationships. Still, the responsibilities and roles of each party in these relationships are strikingly similar based on loyalty, accuracy and the level of expertise. One of our duties is to assemble a management plan that clearly outlines the objectives of the property owners and the responsibilities of property managers. However, we are ready to modify the list to adapt to unforeseeable future changes in the market. Our management plan serves as an operational and financial strategy for the ongoing oversight of the property. We always include a detailed analysis of subject property coupled with market analysis. Most importantly, we integrate the objectives of the owners, investors, and clients in our strategic plan.

Our analysis on the real estate market covers neighborhood and regional analysis. The move allows our strategic team to interpret economic trends and to determine maximum income realizable from a building. As a result, both the property manager and the client attain congruency in pursuit of the investors’ objectives. In essence, it is our responsibility to assess tenant’s occupancy, to inspect the premises, and to collect rental payments within the stipulated timeframe to honor the client’s demands (Edwards & Ellison, 2014).  We also ensure that the insurance premiums, taxes, and maintenance bills are duly submitted to respective authorities to avoid conflicts. As a reputed firm, we are committed strengthening the tenant-manager relationship by understanding and providing their needs. Failure to do so can lead to low occupancy, thus jeopardizing the rate of return on investment as the marketing costs increase. Laying emphasis on securing tenant’s satisfaction is one of the most critical objectives enshrined in our policies. Tenants must receive value for their rent payments, thus, it is important to provide services promised during lease negotiations.

Rental increases detrimentally affect both the tenant and the property manager because tenants may be inclined to pay more while the property manager intends to retain the current tenant. However, our expertise in the field enables us to conduct a thorough and careful assessment of the situation because if we eliminate maintenance activities to lower the rental payments, property desirability can be affected in the long-run, hence prompting a replacement of high-quality tenants with economy class tenants. Upon the occurrence of vacancies, we either advertise the property immediately or hire world-class leasing agents to source for tenants. Additionally, we follow the set procedures prior to taking of legal action if a tenant does not pay rent in time. Termination of the lease agreement by either party implies that our firm, together with our client or property owners, ought to inspect the premises before the tenant can move on.

The management of construction projects or property calls for an integrated approach to coordinate infrastructure, workplaces, and buildings (Sears et al., 2010). Consequently, we operate safely to secure the assets while supporting the core objectives of the property. The entire process entails the management of facilities and cost-effective construction of the structures to ensure long-term preservation of the property’s value.

We apply the latest technology to track movements within the premises and to coordinate activities such as cleaning, tenant security, and property maintenance. Our well-trained IT experts monitor all activities conducted in the construction sites to eliminate cases of theft or insecurity, and to enhance efficiency in service delivery. In this way, it is possible for our tactical and strategic management team to counteract the issues of rising costs and complexity often associated with properties.

Moreover, it is our workforce’s responsibility to preserve the surrounding environment of the constructed property for the contractors to meet the standards for proper working conditions. We view properties as worthwhile investment provided they can accommodate and support a wide range of activities while considering the competing forces. Therefore, we place a significant emphasis on the responsibilities and roles of supporting services. Our firm has enacted principles that strive for environmental functionality through the formulation of a beneficial interaction between processes, people, place, and technology. Where necessary, we advise our clients to outsource services that cannot be provided internally to reduce the load of other concerned internal professionals.

Risks arise during construction and property management processes but we analyze and assess them accordingly, ensuring that the remedy can be provided in time to limit or eliminate potential damage. Given that we are aware of the risks, opportunities cab arise to neutralize them, thus adding value to property intentions. Our activities form an integral part of the operational phase of the life cycle of the property because we are fully functional and effective in our management strategies. Besides, our employees utilize their capabilities to enhance productivity while supporting the objectives of our clients. The organization has developed a strategy incorporates analysis of resources available, objectives and relevant facts regarding the property (Sears et al., 2010). Implementation of this plan entails critical aspects of review, mobilization training, procurement, and provision of feedback.

Construction Project Management

As a specialized firm, we arrange services related to construction programs and projects through careful planning, construction, design, and post-construction phases to attain the objectives of the project while managing its cost, time, and quality. We hasten the procurement process to enable the work to commence on the early construction stages as the documentation and design of later packages of trade are being finalized. The firm adheres to client’s directives, which include letting, supervising, and organizing trade packages. In unstable industrial and economic climates, our services in the property construction industry are useful because we minimize the cost and time of project delivery. In turn, our firm allows the client to alter the specifications and intricate details of later trade packages as per the shifting project demands.

As required by construction management, we aim to gain our client’s trust by promoting successful execution of capital projects. Despite the fact that construction projects can quickly take a complicated turn for the worse, we work hard to attain a smooth interface between the contractors, subcontractors, and the project owners (McCarthy, 2010). The undertaking is important and necessary, given that a successful completion of a particular trade package relies on the flawless implementation of earlier related packages to the satisfaction of government authorities, investors and owners. The organization works ahead of time to plan the works for continuity and to avert possible claims of delay against the principal.

We pride ourselves on being the procurement route for the designers to design and for trade contractors to deliver and detail their package so that we can manage the entire process. In essence, we give our client a chance to lead and observe risks in an undertaking which they are fully responsible. However, risks, responsibilities, and situations vary as per the stipulated demands (Walker, 2015). By implementing the construction management activities, we streamline the planning and design process to generate value and minimize control. Eventually, it will be possible to predict the project outcome with utmost certainty from planning stage to the last phase of completion.

We are professional service provider worthy of selection by merit due to our reputation and qualification. As a responsible firm, our workforce is carefully selected based on their expertise to ensure that our clients receive the best services. Once selected, our first duty is to study the working environment and to establish a bonding relationship with the contractors to minimize instances of conflicts, thus ensuring the construction project is completed in time. Communication is fundamental in any project. Therefore, we have a functional communication channels with the suppliers, contractors, investors, and our clients to address challenges as they arise. Unlike other firms in the country, our clients can trust us to establish a schedule and budget usable in protection of all finances, and in securing competitive and suitable design proposals.

Contractors driven by self-interests are common in the modern times. The majority of them are less motivated to work hand-in-hand with the owner to minimize cost and improve quality. Their intention to maximize profit can fall below the investor’s requirements, thus limiting chances of teamwork. We are aware of this possibility. That is why we have the necessary mechanisms in place to safeguard the interests of the owner. As the client’s representative, our track record allows us to promote the project teamwork besides schedule, quality control, and schedule. Being a flexible firm, we shift our attention towards the current needs while speculating on the project outcome.

Our loyalty is unwavering, which explains our cordial relationships with former clients and project contractors. By implementing our obligations, we improve cost control and creativity. Our company can be relied upon by the client to provide cost estimates earlier in the process of budgeting. During design phase, we engineer the value of the property, eliminating the need for extra cost incurrence and wastage of time (Dykstra, 2001). Cost reduction and value engineering are identified early in the process when they can still be incorporated into the design framework. Instances such as these provide vital lessons for the team members on how to cooperate as the projects continues.

In summary, generic attributes of our workforce play an important role in the management of our client’s property or the construction projects. In spite of the surfacing similarities of contrasts, each of our concepts contributes towards ensuring that our clients maintain the property value over time.  Maximization of income on investment is one of our objectives, which we achieve by enhancing property sustainability and the relationship between the tenants, clients, owners, investors, and other stakeholders. Notably, the objectives of the investors cannot be met unless the property and construction managers are trustworthy. Considering this, we strive to maintain our loyalty with our clients by honoring our promises and ensuring transparency in our operations. In this way, the organization creates a cooperative environment for the property occupiers to operate their businesses.

Bibliography

Dykstra, A., 2011. Construction Project Management: A Complete Introduction. Philadelphia: Kirshner Publishing Company.

Edwards, V., & Ellison, L. (2014). Corporate Property Management Aligning Real Estate with Business Strategy. Oxford, UK, Blackwell Science. http://www.books24x7.com/marc.asp?bookid=40543.

Kyle, R. C., Baird, F. M., & Spodek, M. S. (2011). Property Management. Chicago, Real Estate Education Co.

Mccarthy, J. F. (2010). Construction Project Management: A Managerial Approach. Westchester, Ill, Pareto -- Building Improvement.

Sears, S. K., Sears, G. A., & Clough, R. H. (2010). Construction Project Management a Practical Guide to Field Construction Management. New York, John Wiley & Sons, Inc. http://rbdigital.oneclickdigital.com.

Walker, A. (2015). Project Management in Construction. West Sussex: Chichester Publishing Company.