After the deal is done and the acquisition team hands off a newly acquired portfolio of leases to the operations team, there can be confusion over what happens next. If your operations team is already working at capacity on the day-to-day tasks of running the business, finding time for someone to comb through each lease to set reminders for important dates, make notes of unusual terms, and reach out to every landlord can feel impossible. For many business owners, it's unclear who on their team these tasks should even fall to. This lack of clarity leads to a catch-up situation of just trying to not let too many items drop. Sound stressful? That's why Property Works has developed a proven Acquisitions to Operations Transition Process Support service to help you start strong.
The Importance of a Strong Start
A successful transition from acquisition to operations requires a plan for how you will handle all your lease management needs. From deciding who is responsible for knowing all the due dates and deadlines to finding out your point of contact with the landlord and what their communication expectations are, failing to plan sets you up for a cloudy understanding of lease terms and future scrambling.
Questions to consider for getting a strong start:
- What system will you use to track important lease dates?
- Who has visibility into that system and will ensure you meet lease requirements?
- What reporting is required of each location and who will maintain, generate, and submit those reports?
- Are you set up for accurate lease accounting per ASC 842?
- Beyond leases, do you have a handle on each location’s licenses and permits, vendor contracts, and franchise agreements and whether any entity change paperwork is required?
All these and more are extremely important considerations in order to start strong with your lease administration process.
How Property Works Helps You Plan
Property Works has a proven process and the most powerful software in the industry for helping multi-unit business owners manage leases and related documentation, whether or not you utilize our lease management software. Even before a lease portfolio deal closes, Property Works can begin work on analyzing leases and other contracts and agreements associated with the target leased locations, setting up your lease management system within our software if applicable, and providing you with a bird's-eye-view summary of the most important terms, so you don't have to re-read every lease each time you have a question. Property Works also helps with the human side of lease administration, making introductions with the right contact for each landlord so that you already have a relationship with your landlords when you need their attention or something's gone amiss. After transition to operations, Property Works guides you through planning how your operations team will take over the lease administration strategy, so that everyone understands who's responsible for what, and nothing falls through the cracks.
Make a Smooth Transition with Property Works
When Property Works partners with you through your lease portfolio acquisition transition, we help with every facet of the process, utilizing our robust proprietary software tools alongside our years as experienced real estate professionals to help clients like you strategize the lease management process and set your operations team up for success. Reach out now for a free software demo.
Property Works has been an industry leader in real estate and lease portfolio management for over 20 years, providing support to companies with multi-unit locations across a range of sectors including restaurant and retail. Since 1996, we’ve handled the portfolios of numerous Fortune 500 companies, as well as small businesses.
Contact Property Works’ Transaction Support Services Team today for more information on the benefits of partnering with us.