A good commercial property management company can be an incredible asset to property owners and investment firms that don’t have the manpower or experience to market and manage their commercial real estate.
The right management partner will help maximize investment returns by improving cash flow, retaining good tenants, and increasing the overall value of each property.
They can even help real estate investment firms to widen their portfolios beyond their current markets.
Here, we’ll look at some of the best commercial property management companies operating in the United States today.
Commercial Property Management
Whether you’re a commercial broker recommending property management firms to a client or a real estate investment executive choosing a company to manage your portfolio in a new market, there’s a lot to consider when looking at your options.
Simply typing “commercial property management companies near me” into a search engine or looking at a list of the largest management firms and then picking one at random is probably not the way to get the results you’re looking for.
Here are the main criteria we used to determine the best companies in the industry today:
1. Service Offerings
2. Asset Class Coverage
Commercial property management companies typically offer a wide range of services. The top companies offer most, sometimes all, of the following:
- Management planning
- Reporting (occupancy, rent roll, budget, etc.)
- Budget development and management (maintenance, marketing, personnel, operations)
- Maintenance management
- Market rent analysis
- Marketing strategy and programs
- Rent collection
- Lease negotiation
- Tenant relations
- Purchasing procedures (equipment, supplies, contracted building services, insurance coverage)
- Contract specifications
- Project management (construction, etc.)
- Compliance procedures (for government and administrative rules and regulations and health, fire and safety codes)
Asset Class Coverage
Some commercial property management companies provide services for all asset classes, whereas others only cover specific property types.
If your investment firm only works with one or two particular asset classes, it may be best to choose a company that specializes in the management of these types of properties.
Similarly, if a property has specific challenges, such as ongoing vacancies, maintenance issues, or marketing problems, the ownership would want to hire a management company that has a track record of dealing with such issues.
It’s one thing to be a certified manager, but it’s another thing to be experienced and skilled at handling certain tasks and situations.
The top management companies have a mastery over multiple elements of taking care of a property.
Just like in any other service industry, customer reviews are a key factor in understanding the current reputation of a property management company.
The industry leaders are, of course, those that have solid ratings online, as well as powerful testimonials that back up their marketing efforts.
Commercial Property Management Fees
Commercial property management fees vary widely based on a firm’s offerings, so this can be a heavy ranking factor when comparing prospective managers.
Typically, property management fees are calculated as a percentage of rent collections. This percentage may run anywhere from 4 to 12 percent.
Some property management companies charge a flat fee instead, while still others use some combination of these payment structures.
Property management fees are based on factors like property size, rent level, difficulty of property maintenance, and the amount of time necessary to maintain the property.
In addition to a flat fee or a percentage of the rent collected, management firms may charge extra fees for vacancies, lease renewals, and certain other services.
Because of this complex fee structure, commercial property management companies typically don’t list their fees on their websites. You will need to contact them directly in order to obtain pricing information.
Commercial Property Management Companies
Below, we review several of the top commercial property management companies in business today. We’ve included a range of organizations, from the largest property management firms to smaller, more specialized companies.
Cushman & Wakefield
Cushman & Wakefield began in 1917 as a small family business in New York. The company now has 400 offices in 70 countries and manages 3.6 billion square feet of real estate.
Some of the high points of the firm’s illustrious history include selling the land for the United Nations project and acting as project developer for Chicago’s iconic Sears Tower.
Cushman & Wakefield offers a variety of services for developers, investors, lenders, and tenants. Whether your organization is looking to acquire or dispose of property, have assets appraised, develop a portfolio strategy, enhance sustainability, finance or invest in real estate, lease space, manage property taxes, recover asset value, or reduce real estate costs, they can help.
The firm manages all types of real estate on behalf of corporate, institutional, and private clients. Their property managers work to minimize operating costs, improve efficiencies, and enhance customer service in order to protect the value of each investment.
Many of the company’s employees have worked on behalf of property owners or other local management resources in the past, giving them an understanding of an owner’s perspective and market dynamics.
A leading global real estate services and investment management company, Colliers International manages two billion square feet of property across a wide range of asset classes in 68 countries.
The firm was originally established in Australia, however, it expanded to the United States in 1978, which now represents its largest market share.
Colliers’ real estate management services include building operations and maintenance, repair and maintenance inspections (scheduled and random), facilities management, lease administration, property accounting and financial reporting, and contract management.
The firm’s management teams are comprised of local experts with strong background in the specific asset class they service. Its 24-hour tenant service center is accessible via phone, email or internet, and serves as a single point of contact for tenant issues and inquiries.
Additional service offerings by Colliers include investment strategy, connecting clients with owners and developers, securing financing, property valuation and appraisal, marketing strategies, and project management for both new construction and renovations.
JLL can help your organization buy, build, occupy, and invest in a variety of real estate assets including industrial, office, retail, residential, and hospitality properties. Its current management portfolio consists of 4.6 billion square feet of buildings and facilities.
The firm has locations across the globe and has been named one of the World’s Most Ethical Companies by Ethisphere Institute for twelve years in a row.
JLL uses smart technology and connected systems to track and assess every facet of building management, evaluate productivity, sustainability and safety programs, improve maintenance, procurement and financial planning, and provide real-time data to investors.
Its IntelliCommand tool can help identify undetected building problems, catch potential failures, monitor, analyze, and optimize energy usage, and maintain peak performance.
The company offers a scalable menu of services, so you can choose only the services your team needs:
● Work with experts in real estate financial planning and reporting, accounting, and accounts payable to drive profitable growth.
● Source products and services to manage your property while leveraging economies of scale for purchasing power and cost savings.
● Evaluate lease obligations and space requirements to create a flexible and productive portfolio strategy.
● Manage your transactions and secure or dispose of space at the right time, on the right terms.
● Implement strategies to reduce energy consumption and operating costs.
● Design new developments and renovation spaces that earn sustainability certifications.
CBRE Group Inc.
CBRE Group, Inc. is the world’s largest commercial real estate services provider with $21.3 billion of revenue in 2018 and more than 90,000 employees around the world.
The firm has been featured on the Fortune 500 list since 2008, ranking #146 in 2019. It has also been voted the industry’s top brand by the Lipsey Company for 18 consecutive years and has been named one of Fortune’s “Most Admired Companies” for seven years in a row.
CBRE offers a broad range of integrated occupier and investor services for real estate properties across all asset types. Services include facilities, transaction and project management, investment management, appraisal and valuation, property leasing and sales, strategic consulting, mortgage services, and development.
CBRE’s list of commercial property management services include the following:
● Accounting: Customized real estate accounting and financial reporting solutions
● Asset View: Global Operating Platform enabling intelligent insight and optimized decision-making
● Axis Portal: Proprietary web-based management and leasing platform
● Business Continuity: Emergency contingency planning and implementation
● Client Care: Leveraging of resources across a portfolio, based on client needs
● Consulting: Due diligence, property audits, standard operating procedures, design development and construction advisory services
● Digital Solutions: End-to-end digital platforms that cover the entire spectrum of property management
● Experience Services (Host): Enhanced employee experiences in the workplace
● Energy and Sustainability: Optimization of assets that drive operational efficiencies and cost savings
● Global Standards: Standardization of global procedures across CBRE’s managed portfolio
● Human Resources: Talent attraction, onboarding, training and development
● Learning and Development: Training via online and in-person courses
● Lease Administration: Full lease and lifecycle management
● Procurement: Vendor relations, pricing and purchase management
● Project Management: Holistic management of capital projects and new construction
● REIT Services: Property management and advisory services for Real Estate Investment Trusts
● Risk Management: Management of insurance and asset protection
● Security: Customized security planning, tools and services
● Technical Services: Maintenance, technology and engineering services
● Tenant Services: Tenant relations and retention management
● Transition: Execute seamless transition of property operations
Newmark Knight Frank
With roots dating back to 1929, Newmark Knight Frank is a fully integrated platform of services providing clients with a single-source solution for every phase of owning or occupying a property.
The firm serves prominent multinational corporations and institutional investors across the globe as well as independent owners, developers, and tenants.
Newmark Knight Frank’s 16,000 professionals operate from approximately 430 offices in established and emerging real estate markets on six continents. The company offers a wide range of commercial property management services.
The firm’s Emergency Preparedness Plan, developed exclusively for Newmark Knight Frank’s property management services, is the most comprehensive emergency planning tool available for commercial and corporate facilities. Emergency plans can be customized for an individual property or standardized across a portfolio to reduce plan development time.
Newmark Knight Frank is also one of a limited number of real estate management companies providing full-time engineering services in-house.
SVN was founded in 1987 and currently has 200 independently owned and operated offices around the world with combined 40 million square feet of properties under management.
The firm specializes in corporate services, sales, leasing, property management, and tenant representation.
SVN works with a range of asset classes, including retail, office, industrial, multi-family, self-storage, medical office, student housing, and single tenant.
Within the company, product councils give SVN advisors the opportunity to network and share expertise with colleagues who work in similar property sectors. Each council is led by a senior-level advisor with a proven record of success, hands-on experience, and superior knowledge within his or her asset class.
Founded in 2006 during one of the toughest real estate climates, Franklin Street has evolved into one of the fastest-growing full-service commercial real estate firms in the southeastern United States.
Although smaller than the international property management giants, this regional company provides comprehensive services including capital advisory, investment sales, insurance services, landlord representation, tenant representation, property and facilities management, and project management.
Franklin Street services all real estate asset types, including retail, office, multi-family, industrial, mixed-use, and more.
Franklin Street’s property management services team offers:
● Acquisition identification and due diligence support
● Marketing plan development, including pricing strategy and advertising campaign execution
● Development of capital and operational improvement plan
● Full-service accounting support
● Education training and career path progression for onsite staff
● Senior support for onsite teams from VP level professionals (paid for by Franklin Street)
● Tailored performance metrics
● Development of a strategic leasing analysis for commercial properties
● Disposition and transitional support during the exit
● Facilities management services
● Space planning and construction oversight
● Budget development and management
● Utilities monitoring
● Vendor procurement
● Landlord interaction and process management
● Preventative and corrective maintenance
Whether you choose to work with one of the top companies profiled here or to find a local or specialized management firm for your organization’s commercial property portfolio, we encourage you to carefully consider each prospective provider’s service offering, experience, reputation, and fee structure in order to find the right management partner.