Why You Shouldn’t Self-Manage a Commercial Property

Consider this – you’re being sued, and it’s going to trial. Who would you choose if you had the option of representing yourself or hiring a seasoned lawyer? It seems like a silly question with an obvious answer. However, when self-managing a commercial property is being considered, some don’t think there is such a clear-cut answer. Many don’t immediately realise that self-management can be challenging and time-consuming, and ‘DIY’ing it could even jeopardise your investment.

Time commitment

As a commercial property owner, you will be responsible for a range of duties, including handling tenant inquiries, managing repairs and maintenance, and dealing with lease agreements. These tasks can be overwhelming, especially if you have other responsibilities to manage. As a landlord, maintaining a healthy relationships with your tenants is vital for achieving a long-term tenancy, something which can certainly eat into your day. Moreover, handling tenant inquiries alone can take up a significant amount of time. From responding to questions about lease agreements to addressing maintenance issues, it's essential to be responsive to tenant needs.

Limited contractor network

If you’re self-managing your property, you may not have access to the same robust network of contractors that a seasoned property manager would have. Any good commercial property manager will have developed long-standing relationships with trusted contractors that they can rely on for quality work at a negotiated price. These relationships often take years to build, and if you’re serious about taking over the management of your property, you better start building now. If you don’t have a network of trusted tradies you can rely on, you may end up paying more than what you need to, ultimately squashing the reason why you decided to DIY this job in the first place.

Breach of contract

As a landlord, it's essential to be fully aware of the responsibilities outlined in your lease agreement. Often, these clauses can vary depending on the specific terms and conditions set out in the agreement. One often-forgotten obligation is to provide tenants with the right to quiet enjoyment. This means that tenants can enjoy the property without any unnecessary disruptions. Landlords must also have the proper insurance coverage to protect themselves and their tenants, which can help cover damages or losses caused by unforeseen events such as natural disasters or accidents. These aren’t just recommendations – these are legal requirements of any commercial property landlord, and failure to fulfil these obligations can lead to serious consequences, including breach notices issued by tenants. Managing a commercial property is a complex and demanding task requiring much time and expertise. Just like representing yourself in a lawsuit, self-managing your property can be risky, costing you more than you bargained for. The consequences of breaching legal obligations or failing to maintain healthy tenant relationships can put your investment at risk. Therefore, it's essential to consider hiring a professional property manager to help you navigate the complexities of commercial property management. At Azure Property, we offer comprehensive commercial property management services tailored to your needs. Our team has the expertise and resources to manage your property and help you maximise your investment.