1 Q: What are the management and leasing fees your company charges? How do you collect the fees?
Our management fees range from 4% to 10% of the collected revenues depending on project size, scope and estimated workload. Our fees are deducted before owner distributions. The leasing fees are calculated based on the lease value and different types of tenant situations. For example, existing tenants signing new leases or extensions would be less costly then a brand new tenant to the property. Commercial agents are spending more time marketing and lease negotiation efforts for new tenants. Those tenants on month to month or soon to be expired leases should be required to sign a new lease with all new and updated terms and conditions. Leasing fees are more if a tenant is represented by an agent aka cooperative agent.
2. Q: Is there a separate bank account set up specifically for our property?
Yes. All the properties we manage have separate bank accounts (PNC Bank). We send out monthly bank statements and financial reports. The financial reports have the rent roll, check register showing debits and credits and a rolling profit and loss for the property. We typically do not include balance sheets. If your designated tax CPA at the end of the year wants it in excel or another format we can often provide at no additional charge.
3 Q: Is Capital Retail insured and bonded?
Yes. We have general liability and a 1M fidelity bond(this protects our clients against fraud). We can give you a copy.
4 Q: Who is the backup associate if the primary property manager is out of town or unavailable?
Either Melissa Streckfus or Danny Henry
5 Q: What is your success rate on leasing and rent collection?
Very high. We have both a leasing and rent collection process. We are assertive in our marketing of the space. We take professional photos, do measurements, and really go after it quickly. Rents are paid faster by tenants because we give them various options to pay such as by credit card, ACH, and of course by check. We have a number of tenants that sign up to be auto debited from their bank account! All of rental income is processed by PNC Bank but under our logo. We impose and collect late fees. We do this to ensure we can cover our costs for all the follow up we do( phone calls, texts, and letters at no charge to the landlord). If our direct follow up with the tenants don’t yield results within 60 days we hire an attorney at landlord’s cost to file suit for possession and monetary default.
6 Q: Has Capital Retail or the property manager ever filed for bankruptcy protection?
Never to both.
7 Q: What is your marketing program for the property?
It’s a multi faceted approach with the goal of getting maximum exposure to the right targeted audience quickly. We do both online and offline marketing. Some of the marketing is old school like making calls to tenants we believe would benefit from the site. We also employ new school marketing such as dynamic online advertising with google. We have our 6,500 contacts and leads in our database of tenants and we send out regularly scheduled emails. We do commercial broker networking events, signage, Internet advertising, property brochure, creation of professional floor plan with sqf, online websites such as Costar, premium Loopnet, and 42 Floors.
8 Q: How long is the listing agreement and what is the termination process if we are unhappy with the service?
The property management and listing are one agreement and they are for 12 months and auto renew unless canceled with 30 days notice prior to end of term. However, In the first 90 days of the agreement you can cancel for any reason with no penalty.