Property

Management
System
Prepared by:
ELIZAGA / MANALANSAN / MANGUBAT / RACSA
G. TENANT RELATIONS
1. Establishing Sound Landlord – Tenant Relationship

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A. Maintain a Business Mindset

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B. Be Clear

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C. Always be a Professional

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D. Respect your Tenant’s
Right to Privacy

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E. Respond to Repair Requests
on a Timely Manner

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F. Consider Hiring a Property
Manager

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G. Familiarize yourself with
Landlord – Tenant Laws
(Two Laws regulate residential
and commercial leases in the
Philippines - Rent Control Act and
Civil Code)

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Rent Control Act in the Philippines
Republic Act 9653, better known as the Rent Control Act of 2009, is the law
that protects housing tenants (especially in the lower-income class) against
unreasonable rent increases. It also provides the eviction rules that both
landlords and tenants must observe.
This rental law in the Philippines covers housing units with a monthly rent of
up to PHP 10,000 in Metro Manila and other highly urbanized cities
nationwide.

Particularly, the following rental properties are covered by the Rent Control
Act:
Apartments
Boarding houses, bedspaces, dormitories, and rooms for rent
Houses and/or land

Landlords and renters who violate any provision of the rental law face
penalties—a fine of PHP 25,000 to PHP 50,000, imprisonment of one month
and one day to six months, or both.

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Civil Code of the Philippines
The Civil Code has lease provisions that cover rentals above PHP 10,000 and
those not covered by the Rent Control Act of 2009, including commercial
spaces and rent-to-own units.

The lease provisions in the Civil Code are rather lengthy and too technical for
common people to understand. If you’re covered by this rental law in the
Philippines and you think your landlord has violated your tenant rights, it’s
best to consult a lawyer who specializes in this field.

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What are the Rights of a Tenant in the Philippines?

Tenants are entitled to protection as mandated by rental

laws in the Philippines. Based on data from the Philippine
Statistical Research and Training Institute, the majority or
97% of renters in the country are paying monthly rent at
PHP 10,000 and below. Thus, we’ll focus on the tenant
rights provisions under the Rent Control Act.

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Here are the basic rights you should know if you’re renting a home.

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1. Limit on Rent Increases
Landlords cannot increase the rent by more than what
the law allows. The Department of Human Settlement
and Urban Development (DHSUD), government
agency that regulates residential leases in the
Philippines, has set the rental increase limits based on
the Rent Control Act.

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Before you sign a lease agreement, check if it has any provision on rent increase. If it does,
it should be within the legal limit.
Also, the Rent Control Act allows landlords to increase rents only once a year for
bedspaces, boarding houses, dorms, and rooms leased to students. In this case, no rent
increase can be charged twice or more per year even if a new tenant moves into the unit
within the same year.

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2. No Charging of Excessive Deposit and
Advance Rent
Under the Rent Control Act, landlords can only collect not
more than two-month deposit and not more than one-
month advance rent.

The rental law also requires them to keep the deposit

payment in a bank account under the landlord’s name
throughout the duration of the lease agreement. When the
contract expires, the deposit and the interest it earned, plus
any remaining balance from the advance rent, should be
returned to the tenant.
However, landlords can use the deposit and advance rent to
compensate for losses they incur when tenants fail to pay the
rent, settle utility bills, and/or causes damage to any part of
the property.
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3. No Eviction Without Legal Ground
The decision to evict a tenant must be based on grounds specified by the
rental law in the Philippines. The Rent Control Act allows eviction only for
any of the following reasons:

Subleasing – The tenant rents out a portion or all of the unit to another
person without the property owner’s written consent.
Overdue rental payments – The tenant has not paid the rent for three
months or more.
Owner’s legitimate need to use the property – The landlord or his/her
family needs to occupy the unit. In such a case, the tenant can be evicted
only after the lease contract expires. The renter should also be given a
formal notice to vacate three months in advance.
Necessary house repairs – The landlord has to do necessary repairs on the
leased unit to make it safe and suitable to live in. When the repair is
finished, the evicted tenant should be the priority in leasing the unit.
Lease contract expiration – The landlord has the option not to renew the
rental agreement once it expires. This usually happens when the landlord
wants to get rid of unruly or delinquent tenants.

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When is Eviction Illegal?
Renters in the Philippines cannot be asked to leave the leased property for any of the
following reasons:

1. Sale or mortgage of the property

Under the Rent Control Act, if the landlord has sold or mortgaged the leased unit to a
third party, the landlord or the new owner cannot evict the tenant.

2. If you’re a COVID-19 patient or frontliner

If you’re renting in a city with an anti-COVID-19 discrimination ordinance (such as
Makati, Manila, Muntinlupa, Pasig, and Quezon City), you shouldn’t be forced to
leave your rented unit or be denied of leasing if you’re suspected or infected with
COVID-19 or any infectious disease. The same goes for healthcare and emergency
workers.

3. Failure to pay rent and other reasons during the quarantine period and grace
period
Property owners cannot evict tenants in ECQ, MECQ, and GCQ areas from the start
of the quarantine until the end of the mandatory 30-day grace period (which starts
from the last due date of rent or from the lifting of the quarantine, whichever is
longer).
This rule, which is based on a Department of Trade and Industry (DTI) memorandum
circular[5] under the Bayanihan to Heal as One Act, applies to residential tenants and
commercial tenants in the MSME (micro, small, and medium enterprise) industry
that were banned from operating during the ECQ.

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Under the DTI memo, no eviction is allowed even for
tenants who fail to settle their rent during the
community quarantine. Landlords who refuse to comply
with the grace period could be fined at least PHP 10,000,
jailed for at least two months, or both.
All unpaid rents during the quarantine period can be
settled in six monthly instalments—without any
penalties, interests, fees, and other charges—after the
end of the grace period. According to the DTI, tenants
who opt to do that should give their landlord a
promissory note or any letter stating their intention to
pay the overdue rents in instalments.

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Rental laws are not clear about what you can do in case
your rights as a renter are violated. You can first try to
negotiate with your landlord for a settlement. If you
don’t reach an agreement, seek the assistance of your
barangay chairman or lupon, which has the authority to
protect landlord and tenant rights.
If your landlord evicts you during the quarantine period,
it’s a clear violation of the DTI guidelines on residential
and commercial rents. You can file a complaint with the
DTI through email or in person. The DTI will then issue a
notice of violation to the landlord and require a written
reply. Once the violation is confirmed, an appropriate
criminal case will be filed with the Department of Justice
against the erring landlord.

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H. MAINTENANCE & CONSTRUCTION

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 Basic Maintenance Procedures
There are three main types of property maintenance workers:
the property manager, maintenance technician, and janitor.
• The property manager is responsible for maintaining a environment
that people want to live in or visit. This means making sure the
property is always clean and that appliances are in good working
order.
• To achieve cleanliness, the property manager assigns regular cleaning
tasks to one or more janitors. To achieve customer satisfaction, the
manager assigns work requests from tenants and guests to the
maintenance technician. The faster the technician can complete the
work, the better.
• The technician is an important part of the effective property because
they also manage outside contractors that service elevators, HVAC
units, and other systems that require specialized training to repair.

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Prepared by: Beverly Racsa
What is Property Manager and Maintenance?

• Property maintenance is the application of cleaning, safety

checks, and repairs throughout residential buildings.
Applying the increases the satisfaction of tenants and guests
and thereby improves a company’s reputation. This finer
reputation leads to higher retention of tenants and repeats
business from visitors.
• Some forms of routine are used to maintain properties but
most of it is reactive. Routine maintenance includes building
walkthroughs, regular cleaning, and HVAC filter
replacements. Reactive maintenance includes repairs for
drain clogs, appliance failures, and flooding.

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Prepared by: Beverly Racsa
 Example of property maintenance
• In an apartment complex, a tenant notices a leak coming from
the ceiling so they submit a maintenance request through a
community portal. The property manager is notified of this
request and assigns it to a technician. After the technician
finds a temporary solution, they contact a plumbing
contractor that permanently fixes the problem.
• This process can take hours or days, but true professionals fix
the leak as soon as possible by leveraging the skills of in-house
technicians and relationships with local plumbers.

Prepared by: Beverly Racsa 25

Buildings that utilize Property Maintenance
• Companies that own apartment complexes,
hotels and community living buildings like
retirement homes benefit the most from this.
These buildings often have a boiler, several
HVAC units, and one or more elevators that
need serviced. They also have large spaces
like hallways, common areas, and parking lots
that need cleaned.
• With the help of reliable janitors technicians
and local contractors, this can be successfully
applied to any of these building types.

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Prepared by: Beverly Racsa
 Buildings that use apartment maintenance
Apartments come in many forms, each of which with its own
maintenance needs. Some of these apartment building types
include:
• Studios: Studio apartments are small, one-room units with a
kitchen, bathroom, and combination living room/dining
room.
• Walk-up: A walk-up apartment is any apartment in a building
without an elevator.
• High-rise: Some apartment complexes stretch beyond twelve
stories high, making an elevator an absolute necessity.
• Lofts: Lofts are known for their spaciousness, and they often
have high ceilings and exposed rafters.
• Duplexes: A pair of complete housing units that either share
a wall or are located on separate floors.
• Triplexes: A three-story apartment with a separate unit on
each floor.
• Garden apartments: Ground-floor apartments with access to
a garden or lawn.
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Prepared by: Beverly Racsa
 Preventive Maintenance
• Preventive maintenance is getting in front of the
problem and carrying out regular inspections or
repairs in your rental properties while the
equipment is still functioning. This will help you to
stay away from emergency repairs that come with
costly labor. If you can avoid disruptive services
and stick to a preventive maintenance schedule,
your tenants will be more content with their
experience in your properties.

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Prepared by: Beverly Racsa
Why do you need to maintain your properties?
• One of the critical responsibilities for property managers is
ensuring that your tenants living conditions are habitable.
Property managers need to provide plumbing, electricity, heat,
the extermination of pests, and more. Some types of
maintenance are required by law, while other types affect your
property value or tenants comfort in your property.
• With proper maintenance, you can worry less about
unexpected costs or liabilities. If you don’t keep up with making
your properties livable, you run the risk that your tenants could
sue you, and you could lose even more money than what the
repairs would have cost. You will also set a standard for how you
want your properties to be cared for with routine maintenance.
Your tenants will be more responsible for their space and more
likely to report the damage to the property when it happens.
Your involvement will help them to feel more taken care of.
Happy tenants lead to them staying longer, which means more
money for you.

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Prepared by: Beverly Racsa
Why are maintenance
inspections important?
• Maintenance inspections can identify minor issues before they turn into costly repairs. Inspections ensure
machines are working correctly and helps prevent equipment downtime.
• Just about every plant or facility must conduct regular inspections as part of its overall maintenance program.
Electrical systems, mechanical systems, and instrumentation components must be checked and subsequently
serviced.
Many inspections must be conducted while a production line is running or equipment is operating. Inspections
cannot interrupt manufacturing or production processes, and many pieces of machinery cannot be checked
adequately without seeing them in action.

The best maintenance inspection programs include the following best practices:

•Condition-monitoring routes cover all needed inspections

•Simple inspection tools including a stroboscope, bright flashlight, infrared thermometer, vibration pen, mirrors,
and industrial stethoscope are readily available
•Guards or other protective gear can be removed in order to check belts, couplings, and chains in action
•Oil containers and other clear gauges and base bolts are clean and facilitate accurate inspections
•Maintenance staff is educated and trained in basic inspection processes

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Prepared by: Beverly Racsa
Example of apartment maintenance
Suppose a large apartment complex in a college town has 800 units, many of which house students.
The property’s maintenance staff consists of a maintenance manager, a supervisor, and four
maintenance technicians.
The majority of the work requests submitted to management are fairly quick fixes, such as faucet
leaks, flickering bulbs, lack of warm water, and minor appliance issues. Each of these can be
resolved in an hour or less. Some problems are more time-consuming, but still fall within the realm
of their technicians’ expertise.
For problems that are beyond the maintenance crew’s capabilities, such as major appliance
malfunctions or electrical issues, management hires outside contractors. Occasionally, they’ll get
work requests for issues outside of their housing residences, such as lobbies, elevators, and lounge
areas.
The combination of work requests and routine maintenance is enough to keep the team quite busy,
and many work orders end up waiting a couple days before they’re resolved. Because of this, the
apartment manager decides to hire a fifth full-time technician to make sure every work order is
resolved within 24 hours.
Additionally, the workload spikes dramatically after spring semester when most students head
home for the summer. Since many of their student tenants don’t submit work requests while
attending school, these issues are often left unresolved, and the property manager will hire a few
temporary maintenance workers to get everything fixed up before leasing those units again.
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Prepared by: Beverly Racsa
 SETTING UP A
COST-EFFICIENT
MAINTENANCE
PROGRAM
• A program to reduce maintenance costs is
not easily engineered, implemented or
maintained.

• It requires cooperation of all persons

involved in the management of the
property from the resident manager or
superintended to the maintenance crew.

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SETTING UP A COST-EFFICIENT MAINTENANCE PROGRAM

1. DESIGNING THE PROGRAM

• Prepare an inventory of equipment and building.
• Determine necessary maintenance tasks.
• Calculate the cost.
• Scheduled the tasks.
• Keep records.

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SETTING UP A COST-EFFICIENT MAINTENANCE PROGRAM

2. CONTROL PLANS
• SHORT-TERM PLANS – redecorating, landscaping
and supplying stocks offer short-range
opportunities to exercise cost control.
• LONG-TERM PLANS – to identify opportunities to
save an operational expenses.

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KEY TO A SUCCESFUL
MAINTENANCE
MANAGEMENT
Knowing what needs to be done, who is doing it, how
much it costs and was the job done right.

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 KEY TO A SUCCESFUL MAINTENANCE MANAGEMENT

1) Preventative maintenance planning and scheduling

A professional property maintenance company will typically

have an established system for planning and scheduling
every maintenance task that your property requires. At the
minimum, such a system should include:
• Regular maintenance checks, inspections, and visits.
• Documentation of all maintenance performed.
• Recommendations for upgrades and improvements.
• Standard procedures for hiring and managing vendors
and contractors.

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KEY TO A SUCCESFUL MAINTENANCE MANAGEMENT

• Computer Software
To assist the manager when scheduling requested
repairs, tracking time and cost of repairs, and scheduling
regular preventive maintenance.
No matter your maintenance team/service provider’s
competence, it can quickly become challenging to stay on
top of every single maintenance task. Especially in huge
multi-unit properties, tracking everything manually can
quickly breed inefficiency and leave room for wasted time
and resources.
That’s why more and more property managers are
interested in automating maintenance management by
using a computerized maintenance management system. A
mobile CMMS will help you to streamline and optimize
every aspect of maintenance, handle repetitive
administrative tasks, track safety, measure performance,
reduce maintenance costs, and much more.

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 CONTRACTING
FOR NEW
CONSTRUCTION

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CONTRACTING FOR NEW CONSTRUCTION
What Is a Construction Contract Agreement?
A construction contract agreement is a document that sets the scope and terms of work for a construction project.
It is an agreement between the contractor doing the construction and the person or company who hires them to
do the work.
• The agreement should contain several sections of clauses defining the scope, terms, and conditions of the
project, including:
• What work will be done
• When it will start and be completed by
• Which parties will participate in the construction process
• The cost of labor and materials
• How the parties will communicate
• Procedures for changing the scope of work or other parts of the agreement
• How disputes will be resolved

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CONTRACTING FOR NEW CONSTRUCTION
How a Construction Contract Agreements Works
Most construction companies or contractors will have a template they use as the basis of their construction
contract. This template will outline their standard operating procedures, rates, and other conditions.
However, most contract agreements should include certain sections to protect parties on both sides of the
agreement.
• Project description: This details what the project is about, including the most important idea or description of
the problem being addressed. It can be a summary of items or just a paragraph.
• Contract price: The type of contract price that has been awarded and the total amount of money being
contracted are detailed, as well as possible additions or deductions to the contract and how they will be
released.
• Payment basis: This describes the money that will be paid to the contractor, whether on a weekly, monthly, or
milestone basis. This section should also specify what percentage of money should be retained on
every application for payment. It will also define when the payment is due, the penalty for late payments,
whether interest is accrued, and any other payment and invoicing terms.
• Schedule or calendar: The total number of days or how the project schedule will be divided, it should describe
either calendar days or business days and can be presented as a Gantt Chart, bar chart, CPM, or another
method.

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CONTRACTING FOR NEW CONSTRUCTION

• Document list: A list of all contract documents forms this part of the contract agreement. Drawings,
exhibits, specs, and supplemental conditions can be part of this list.
• Construction scope: The scope normally can be measured or quantifiable and is a description of all
construction activities that will form part of the project.
• Construction conditions and responsibilities: Responsibilities for the owner and the contractor, including
who is responsible for providing documents, information, payments, or other deliverables are laid out so
the project can progress on time. It should contain specific terms for liens, penalties, withholding, and
arbitration rules, as well as specific instructions on how to process claims and proceed with disputes.
• Contract laws: Any applicable legal requirements, including governing laws, liens requirements, claims
procedures, arbitration procedures, insurance, substantial completion requirements, final completion,
and liquidated damages are detailed. This may also include procedures for how to terminate or suspend
the work and the agreement with the contractor.

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CONTRACTING FOR NEW CONSTRUCTION

Types of Construction Contract Agreements

• All contracts should:
• Be in writing
• Contain a description of the product or service being
offered
• Be understood and clear between both parties
• Include services being contracted clearly
• Include cancellation or termination policy
• Have financial terms clear
• However, depending on the project and the contract
being executed, they can vary or have several
modifications.

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 CONTRACTING FOR NEW CONSTRUCTION

Do I Need a Construction Contract Agreement?

A contract agreement protects both the parties involved in
construction work. It defines your scope of work, outlines
terms for payment, and provides methods of settling
disputes.

Without a proper contract, any disagreements or

miscommunication over the work involved in the project,
schedule, missed or late payments, or other concerns could
turn into a major legal battle. This can become costly for
both the property owner and the contractor.

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COMPLYING WITH THE AMERICANS WITH DISABILITIES ACT

• The Americans with Disabilities Act (ADA) became law in 1990. The ADA is a civil rights law that prohibits
discrimination against individuals with disabilities in all areas of public life, including jobs, schools, transportation,
and all public and private places that are open to the general public. The purpose of the law is to make sure that
people with disabilities have the same rights and opportunities as everyone else.

• The ADA gives civil rights protections to individuals with disabilities similar to those provided to individuals on the
basis of race, color, sex, national origin, age, and religion. It guarantees equal opportunity for individuals with
disabilities in public accommodations, employment, transportation, state and local government services, and
telecommunications.

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COMPLYING WITH THE AMERICANS WITH DISABILITIES ACT

• So, what does the ADA require? Businesses

that are “public accommodations”

• (e.g., restaurants, shopping centers, office

buildings) must provide accommodations
and access to persons with disabilities that
is equal or similar to that available to the
general public. Owners, operators, lessors,
and lessees of commercial properties are all
responsible for ADA compliance.

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COMPLYING WITH THE AMERICANS WITH DISABILITIES ACT
• New construction and elements of buildings altered after January 26, 1992, must comply with ADA standards to the
maximum extent feasible. But this does not mean that older buildings that haven’t been recently renovated are
“grandfathered in.”

• Indeed, even for existing facilities, landlords and property owners must remove “architectural and communication
barriers” that are structural in nature when it is “readily achievable” to do so. Examples of such modifications include
widening doorways to ensure wheelchair accessibility, retrofitting restrooms, and adding access ramps. A
modification is “readily achievable” when it is easy to accomplish without much difficulty or expense.

• This standard will often depend on the nature of the proposed modification and the resources of the party
responsible for implementing it.

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COMPLYING WITH THE AMERICANS WITH DISABILITIES ACT

• Who is liable for ADA violations? Owners, landlords, and tenants can be jointly and severally liable in the event of
non-compliance. Significantly, a landlord may not shift liability for ADA compliance to its tenants. Certainly, the
parties’ lease may shift the cost of remediation to the tenant, but such a provision does not serve to exculpate the
landlord from liability.

• Landlords, as owners of “public accommodations,” have an independent duty to comply with the ADA and can
therefore be liable for ADA compliance on property leased to and controlled by its tenants.

• Further, tenants are not subject to liability for violations in areas that are not under their exclusive control, such as
common areas. Additionally, some courts have held that landlords cannot shift the financial responsibility for ADA
compliance to architects and builders because to do so defeats the purpose of the ADA.

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COMPLYING WITH THE AMERICANS WITH DISABILITIES ACT

• How does this affect property managers? 
Although property managers may not have direct liability for ADA
compliance, their actions, as agents of the landlord, can have significant consequences.

• For example, in a recent Pennsylvania case involving the Cracker Barrel restaurant chain, the court certified a
national class action lawsuit covering any person who had visited any Cracker Barrel location nationwide and
who had encountered barriers to access.

• Certainly, there had been no finding that every Cracker Barrel location suffered from ADA violations, but the
court nevertheless found that Cracker Barrel’s property managers had evidenced a systemic failure to inspect
accessibility standards overtime. Thus, the acts and omissions of property managers can have far-reaching
ramifications for landlords.

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COMPLYING WITH THE AMERICANS WITH DISABILITIES ACT

• What about landlords who acquire existing properties? Landlords in the business of acquiring existing properties
should take ADA compliance seriously. Due diligence should focus not only on the financial aspects of the
transaction but on ADA compliance, as well. Failure to do so risks buying not only the property, but a lawsuit, as
well.

• To minimize the risk of purchasing a non-compliant property, purchasers could (a) require that sellers correct any
ADA violations as a condition of closing, (b) demand that a portion of the purchase price be placed in escrow
until ADA compliance can be confirmed, or (c) negotiate a reduction in the purchase price so that the purchaser
can implement remediation efforts itself.

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COMPLYING WITH THE AMERICANS WITH DISABILITIES ACT

• ADA compliance is of critical importance. By recognizing the risks associated with non-compliance, and by
implementing policies and procedures designed to ensure equal access to all, owners, landlords, tenants, and
property managers can minimize the risk and expense associated with preventable violations.

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 ENERGY MANAGEMENT
• What is energy management, and why does it matter? Energy management typically refers to strategies that help
reduce the amount of energy used. For property managers, energy management does more than just help the
planet. It also reduces costs and attracts tenants.

• Of course, the global impact of using less energy is also important. Properties that are more energy-efficient are
viewed more favorably.

• This can likely help you attract potential renters and even increase the amount that you can rent units for. Proper
energy management involves tracking, planning, and implementing energy-saving strategies, then tracking again,
but Energy Star offers even more guidance on how to create your energy management program.

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 ENERGY MANAGEMENT
• Create an Energy Program Depending on the size of the property you manage, you may need to create a team
dedicated to energy management, or you may just need to include some time in your schedule to follow the
plan.
• Once you have identified and created a plan that works best for you, it is necessary to identify the holes in your
plan.

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 ENERGY MANAGEMENT
• Identify Gaps in Your Current Program The EPA has conveniently created assessments for different types of
buildings, such as small companies. You can use them to find areas in which your property needs to make changes
to improve energy use.

• Fill the Gaps Once you have identified the gaps, you can fill them. Energy Star has guidelines to help you do just
that. The guidelines include specific strategies to fill in the various gaps.

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 ENERGY MANAGEMENT
• Motivate Residents via Awareness For the best results, you should consider motivating your tenants to
participate in your energy management program.

• Get them involved in the savings via signs or by suggesting that they make certain energy-efficient changes.

• Examples of Actions in an Energy Program You do not need to create your energy program from scratch, as
Energy Star has plenty of suggestions of how to reduce your property’s energy consumption, including the
following free or low-cost measures.

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 ENERGY MANAGEMENT
Including the following free or low-cost measures,
• Use the EPA Energy Star Portfolio Manager to track energy consumption (and water consumption).
• Turn off the lights when there is enough daylight.
• Regularly clean the HVAC filters.
• Maintain the HVAC system.
• Educate your residents on energy use, including other points on this list.
• Create an energy team (which could be from residents in your building)
• Reward behaviors that are energy-efficient. You can also supplement these with other actions that may require an
initial cost but will pay you back in terms of energy savings quickly, such as installing LED lights, opting for Energy
Star certified equipment for your administrative duties, and using occupancy sensors in infrequently used areas,
such as storage spaces.

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 ENERGY MANAGEMENT
• Major trends influencing energy management for property managers The most obvious way in which energy
management systems help with property management is by reducing energy consumption. We already touched on
some ways in which this benefits you as a property manager, but let’s go into greater detail.

• Cost Savings Any reduction in energy will lead to savings since you will spend less on electricity. Even if you manage
a property where tenants are responsible for their own electric bills, you will still notice a reduction in costs in
common areas that you are responsible for.

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 ENERGY MANAGEMENT
• Risk Reduction for Future Costs The reduction in energy used can also lead to a long-term reduction in risk,
specifically the risk associated with fluctuations in energy costs. If you use less energy, your costs become more
predictable, and they will be affected by a lesser degree by fluctuations in energy prices or even supply shortages.
This risk reduction is particularly important given the predicted increased demand for energy.

• Create More Accurate Budgets The tracking aspect of energy management also helps property managers with
budgeting. After all, tracking allows you to properly estimate how much you will likely spend on electricity. You can
then allocate the appropriate amount of your budget with less concern about going over budget and having to take
funds from another important aspect of your responsibilities.

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 ENERGY MANAGEMENT
• Attract Tenants There is an increasing interest in living in an energy-efficient way, so you will likely find
yourself with more people interested in renting your property if you promote the measures that you
take to help make it efficient.

• Helping the Planet In addition to the benefits for your business, energy management will help the
planet in some important ways. You will reduce your consumption of energy, which reduces the carbon
emissions that your properties are responsible for.

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 ENERGY MANAGEMENT
• You Can Choose Better Tenants Attracting more tenants via your energy management program lets you
choose them more carefully. You can prioritize tenants that are less likely to cause future problems,
saving you time in the future and helping reduce the risk of missed rent.

• You Can Increase Rent If the demand for your building increases, this will also allow you to increase your
prices. That can generate immediate profits. You will also be able to increase your prices slightly simply
by promoting the efficiency measures you have in place. After all, if tenants will be spending less on
their electric bill, they can allocate more for rent

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 ENERGY MANAGEMENT

• You Will Retain More Tenants There is also the fact that when your property is viewed as more attractive and in-
demand, you are more likely to retain tenants. This reduces the time spent without rent, the costs associated
with cleaning units, and the time spent trying to find new tenants.

• Individual pieces of energy management as mentioned, energy management is a set of strategies that you use to
reduce the amount of energy used. It typically refers to businesses, homes, and government-sector organizations,
including the homes and buildings run by property managers.

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 ENERGY MANAGEMENT

• Tracking Energy Usage A key energy management strategy is to track consumption. This provides a baseline point
that will allow you to see if future energy-saving measures have a positive impact. It also helps you get a strong
overall view of the data.

• Saving EnergyThis strategy involves both planning and execution. During the planning stages, property managers
come up with various methods of reducing energy consumption. They also estimate how much energy they
would save by using a given method. After that planning, property managers can prioritize the measures to save
energy based on their estimated effect. This lets you get the largest benefit quickly.

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 ENERGY MANAGEMENT

• Tracking the Savings After implementing the measures, energy managers continue to track energy usage.
This helps you determine whether your efforts worked and to what extent.

• Energy management vs. not managing energy The alternative to energy management would be to simply
continue as normal and not necessarily contemplate tracking or saving energy. This would essentially be
maintaining the status quo and would not provide property managers with any of the various benefits of
energy management, nor would it provide any benefit for the planet.

• In summary why property managers should care about energy management. Effective energy use results in
direct cost savings, a long-term reduction in risk, the ability to attract more tenants, and benefits for the
planet.

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 LIFE CYCLE COSTING
• Life cycle cost analysis (LCCA or LCC for short) is an
objective method for measuring and managing the
lifetime costs of any project or asset. In construction, it
enables design options to be compared from a lifetime
perspective to reduce overall costs.

• LCC provides a method of assessing the costs that occur

throughout a building’s lifespan, from construction,
through use and maintenance, to end-of-life. In so
doing, it provides a more robust insight into long-term
costs and savings, compared to ROI-based calculations.

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 LIFE CYCLE COSTING
LCC in construction consists of several key elements:

• Conduct a structured cost analysis that clearly identifies which cost sources most influence your overall costs.
• With major expenditure sources clear, it is possible to identify priority areas for improvement in the baseline design.
• Comparison of the benefits and impacts of the design alternatives to find the best solution for the project.

Primary benefits of life cycle cost analysis Long-term value. An LCC ensures that your project has the highest possible
value, even if upfront costs are not significantly reduced. It provides a mechanism for identifying and addressing issues
with the original design.
An LCC’s lifetime perspective results in better durability, less maintenance, fewer risks, and lower operational spending
and can even lead to an increased building lifespan.
Reliable planning and reduced risk. LCC is an excellent planning tool that covers long spans of time. With a properly
conducted LCC, you can effectively avoid surprises, and reduce financial risks.

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 LIFE CYCLE COSTING
Here are the main benefits which come with using a LCA tool:

• Calculating the right budget for maintainance and repairs. The LCA will help you calculate the right
budget and avoid any additional and unexpected project expenses.
• Learning in detail about all the costs of a certain property. LCA tools can be very helpful when it comes
to getting a know-how of property expenses. You can be surprised of how many different expenses can
occur from the purchase to the investment itself, all the way to energy costs and more.
• Maintenance. With the power of a LCA tool your team can for example schedule the exact maintenance
expenses, without getting surprised with hidden ones. Also you can see whether you have all the
demanded resources in stock.
• Public safety. Using a great LCA tool can help you determine whether a certain property is safe for
residents.

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END OF OUR REPORT.

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