Often in the commercial real estate world, the terms property management and asset management are used interchangeably. However, these two types of real estate management are quite different and should not be confused.
Whereas property management refers to the daily maintenance and overall operation of a property’s physical structure, including service areas, amenity spaces and parking lots or garages, asset management is the managing of a single property or property portfolio in regard to leasing or sales and what that means for the bottom line.
Asset management requires a big picture perspective. The asset manager must determine the portfolio’s long-term goals and position it to meet or exceed them. Simultaneously, he or she must consistently focus on marketing, showing space to potential tenants or buyers, and negotiate favorable deal terms. Ultimately, the asset manager is tasked with optimizing the value of a property or entire portfolio and ensuring its continued success.
Asset management is one of CPD’s key services. Our team, which has over 200 years of combined experience in this arena, significantly helps our clients improve the performance of their property investments.