A New Era in Corporate Property Management

Shearer, Kenneth A., Journal of Property Management

A new era in corporate property management After years of relative indifference, many corporations are recognizing the value of operating their properties more professionally. Many factors have contributed to this growing awareness. Fear of takeover attempts had prompted some corporations to streamline their real estate holdings. Recent SEC requirements that the rental costs be carried on corporate balance sheets have forced companies to recognize the true cost of occupancy. In some cases, the presence of a new, more cost-conscious chief executive or board member marks an increased emphasis on more efficient operation of the premises.

Regardless of the reasons, this trend represents both a recognition of the value of professional management and an opportunity for the management firm to serve as a consultant for applying property management techniques in the corporate environment.

In the past, corporations have too often buried the cost of building operations in everhead and ignored actual costs. There may have been a building budget, but it was rarely monitored closely.

Many corporations further increased their occupancy costs by adding inappropriate charges, such …

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Publication information: Article title: A New Era in Corporate Property Management. Contributors: Shearer, Kenneth A. - Author. Magazine title: Journal of Property Management. Volume: 54. Issue: 6 Publication date: November-December 1989. Page number: 8+. © 1999 National Association of Realtors. COPYRIGHT 1989 Gale Group.

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