May I suggest an entirely different viewpoint in how to deal with this question? A better way of finding a compatible property management company–instead of contacting similar-sized condos and going with one of their companies–might be for the committee to discuss what kind of services are needed and wanted by the corporation, and then to construct a Request for Proposal and a sample management agreement, based on the results of the discussion. What kind of financial services, building and operation maintenance, communication, etc, do you want and require, and what sort of agreement do you need to get the best company for you? Then send the RFP out to a large number of companies and review the responses you receive. If a company responds with a form letter and a boilerplate agreement, they are not really interested. If a company responds to specific points in the RFP and also says that it is willing to negotiate on services, they are interested. Your short list for interviews should be from the interested replies. In short, your search should be based on what you want, not on what the companies offer, even if someone else recommends them–what one condo may be happy with, another similar condo may not be.
Condos over 75 and under 250 units are in a very difficult position … too big for the basic services offered by most management companies to smaller condos. Mid-size condos cannot get by with basic services. We need comprehensive financial services and full-time building maintenance services (or almost full-time), plus really good communication between the Board and the manager. Also, unlike smaller condos where almost all of the owners are residents, we usually have a very high percentage of offsite owners who consider their condo an investment, and are unwilling to become board members or devote time to condo issues. These owners are likely to be landlords. The result is a high percentage of residents who are renters, who come and go far more frequently than owners, and who may create other problems (e.g., extra keys/fobs in circulation, damage to the common property) which are more complicated to deal with than when owners do the same thing. Many property management companies will communicate only with owners and that leaves the resolution of these issues up to the Board.
There are websites on constructing an RFP and creating a sample management agreement.
Donna G on July 25 2018 at 01:08 PM