Akbar Zareh, as a real estate agent, is responsible for daily operations of Kingsway Real Estate Brokerage located in Mississauga, Richmond Hill, Brampton and 3 other locations in Ontario.
1. No matter what particular type of real estate your business has
evolved ? residential, commercial or industrial ? a successful
business model primarily focuses on real estate performance
metrics, which help to streamline financial and operations
processes. Monitoring the factors that affect the business
particularly enhances the ability to improve the whole portfolio
performance.
Appropriate performance measures can include calculation of rates
of return, space quality and comparison to market, unresolved
transactions, monthly feedback by staff, accuracy and
completeness of property records, quality assessment of
properties, client surveys on staff performance and occupancy
patterns.
2. Occupancy rates can be increased on
condition of the availability of the right
amount of space at the right time ? that's
what prospective customers usually await.
Meeting their expectations is key to
customer retention and consequently to
higher performance level.
In addition to other information, the
occupancy rates can be viewed by property,
lease changes, rent roll, operating
statements and accounts receivable
information. If the company gets the actual
data, from accounts payable and receivable
to lease origination and occupancy patterns
it manages the entire portfolio cost
effectively.
3. Building up value oriented real estate management,
property companies look forward to the optimization
of the portfolio and the relevant services seeking to
measure strategic orientation, structures, processes,
qualifications, performances together with the costs
and resources by certain benchmarks.
Benchmarking is a continuous learning process
targeted at creating advantages by means of
identifying the problem, whether it is realization in
profit or cost reduction potential, and finding the
right solution. The latter can be the result of a
profound analysis of the company's own experience
as compared with others'. The points of the
comparison may be standardization of properties
information, a uniform performance measurement,
identification of performance gaps and others.
4. The benchmarks provided by the system enhance detailed
controlling necessary for the further promotion of
corporate processes and enable the company to evaluate
the future ability of the property. The Balanced Scorecard
goals may include several strategies. For instance,
customer orientation means achieving client satisfaction.
Financial perspective concerns providing financial
management of real estate assets as well as managing and
minimizing risk. Internal processes involve standardizing
and organizing the tools to estimate usage efficiency.
Growth projection is connected with management
efficiency.
In other words the company can employ the effective
instrument to measure the performance of the portfolio
with regard to real estate controlling. Relevant evaluation
gives information of present risks of investment and use
as well as corporate rating resulting thereof. Identifying
risk areas is a prerequisite for building up an effective real
estate and services controlling.