Real Estate and Property Management is one of the eleven competency areas as identified by the International Facility Management Association’s global job task analyses.
What is real estate and property management?
Property that includes:
- Structures.
- Surrounding grounds.
- Undeveloped land.
Can be:
- Owned.
- Co-owned.
- Leased.
- Ground leased.
- Subleased.
- Contract managed.
Why is real estate and property management important?
- Real estate typically represents a large portion of a company’s capital and asset wealth.
- Effective real estate management:
- How real estate value is determined.
- How to make critical real estate decisions leading to company wealth.
- Some facilities have more value as property to be sold or traded than as places to produce goods and services .
How the real estate and property management competency helps the facility manager
This competency will help the facility manager to understand real estate principles and practices in order to:
- Develop, review and implement a real estate master plan.
- Link real estate plan with strategic business plan.
- Compare real estate proposals.
- Interpret real estate documents and investment ideas.
- Initiate new lease or replace existing one.
Examples
- Assist in determination of real estate requirements for:
- Space utilization.
- Management requirements.
- Best use.
- Rental rate.
- Term of the lease.
- Capital funds from the property owner and/or organization.
- Understand the commercial property acquisition process.
- Support management of real estate portfolio of owned and leased properties.
- Assist in preparation and administration of service charge budget and allocate among co-owners or tenants.
- Participate in the development of a qualitative and quantitative space program for a new building.
The Competency Areas
All the 11 competency areas are:
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Kazeem Olugbade, ProFM, is a facility management professional who has extensive knowledge and skills in the subject areas.
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