Tip of the Month - March, 2021

Physical Condition of the Premises

Source: Property Management & Managing Risk
By: Robert C. Kyle & Floyd M. Baird, RPA/SMA

A thorough inspection of the building’s exterior, common interior areas and equipment will provide the property manager with the additional data necessary to calculate maintenance and operating cost for the upcoming year.

An exterior inspection should alert the property manager to any major repairs that have been deferred by the previous owner or manager.  The masonry, windows, eaves and trim, roof, porches, grounds, parking area, fire escapes and any other common areas must be scrutinized for defects that require immediate attention and capital outlay.

Entrance-ways, halls, basement, laundry rooms, boiler rooms and other common interior areas should be checked.  Redecorating or replacement expenses should be estimated, along with expenses for personnel required to satisfy the routine housekeeping and maintenance.

The manager’s tour of the building’s machinery, equipment and amenities will disclose their condition and age, need for major repairs and amount of personnel and supplies required to keep them operating efficiently.  The physical inventory will also reveal areas of deferred maintenance and curable obsolescence.  It should show compliance with building codes.

Watch for Health and safety hazards.  The manager should always find out if any lead paint, asbestos, underground storage tanks, radon or other safety or environmental dangers are present, particularly in buildings constructed prior to 1978.

This web page was updated on 03/01/2021.