With multifamily buildings, who is in charge of the property and how well those people are trained are critically important factors in the successful operation of the community. Board members are a part of this management class, which is often shepherded by a competent property manager. But all property managers are not equal in their abilities and knowledge; the smarter ones try to bridge the gap.
The best property managers stay current in their industry by keeping abreast of new developments in building technology, administration and communication. While networking with other professionals is a way to stay up to date and reading industry publications like The Chicagoland Cooperator also helps, few things are better for a manager’s professional development than taking continuing education courses.
Where to Learn?
Opportunities abound, since there are many classes and enrichment programs available to Chicagoland’s property management professionals. These programs are not only an industry requirement for some, they also help improve one’s professional skills and can help advance careers. Maintaining certain professional accreditations with industry associations also necessitates taking such classes. And to professionals like Randy Rosen, president of Rosen Management Services in Chicago, continuing education is essential to competency. “I am a big believer in people being licensed, getting professional designations and continuing to learn their trade,” Rosen says. “I also believe that formal classes—whether in a classroom setting or online—are essential to property managers keeping abreast new innovations, ethics and so forth.”
According to Alan Toban, founder of the Real Estate Institute in Niles, the state of Illinois requires property managers have a brokers license if they provide any service that aids in the selling or leasing of property, as of 2012. Community Association Managers (CAMs) are also required to hold licenses, according to the Community Association Institute’s Illinois chapter (CAI-IL). There is a 12-credit-hour continuing education requirement for each two-year renewal cycle that property managers must fulfill in order keep their licenses valid. Out of the 12 required CEU hours, six have to be out of a category considered to mandatory and cover topics such as fair housing, federal anti-trust issues, Illinois property law updates, instruction on working with the public and handling agency relationships, Toban explains. Elective courses include topics such as risk management and ethical practice. Property managers looking to gain CEU credits to renew their licenses can earn 12-credit hours through REI’s self-study program for $85. If only interested in taking a single enrichment course, REI has options starting at $35.
Multiply & Diversify
Property managers must wear many hats in their jobs, and this means having a strong understanding of all the different facets their position entails and more. “The marketplace needs are always changing, so in order for property managers to really stay on top of changes, they really need to keep up educationally,” says Sharon Peters, public relations manager of the Institute of Real Estate Management (IREM) based in Chicago. “The requirements and duties that they had 20 years ago have evolved. A lot of them are getting into asset management in addition to being responsible for bricks and mortar. If they really want to up their mobility in a career, then we encourage all of our members to take classes. Because things are changing, and if you want to succeed you really need to pursue lifelong education,” Peters says.
IREM provides education to those in property management with two designations—Accredited Residential Manager (ARM) and Certified Property Manager (CPM). The CPM designation requires more time and is more focused on property and asset management. Asset management looks at the operational management and the income side of the property, determining how to get the highest return. IREM offers a wide array of courses to help property managers get up to speed with these ever-growing responsibilities, including classes in marketing and leasing, finances, asset management, human resources, real estate management law, maintenance, operation and risk management, according to Lynne Magnavite, senior director of education at IREM. The classes are each eight hours in length and either run over a two or four day period, and are available all throughout the year. The average IREM member rate per class is $599, while the average non-member rate is $745.
Those who are interested in seminars but with little free time in their schedule can sign up for various webinars. Community Associations Institute (CAI) offers multiple live and on-demand webinars with presentations such as Watch Out! Crime Prevention Done Right, Beat the Clock: Marathon Meetings No More, Best Practices for Worst Cases: Emergency Planning and Recovery, and Culture Club: Diversity in Association Management, among others. Webinars are $69 for CAI members and $99 for non-members. They provide one credit hour towards Certified Manager of Community Associations re-certification, Association Management Specialist re-designation and CAM re-designation.
Experts often say the single most important characteristic of a good manager is people skills—a trait that is considered by many to be an innate characteristic, but which can be learned. “Buildings and brick and mortar are easy to manage,” Rosen says. “Learning to how work with the people who live in them are the skills that property managers need: customer service skills, communication skills —both verbal and written— being able to communicate with owners and address their problems and issues.”
CAI addresses the need for property managers to learn how to keep the lines of communication open with their associations and how to keep cool in heated situations by providing multiple courses offering lessons on improving customer service skills such as M-202: Association Communications, which provides managers with the tools to identify and respond to owner needs, address complaints and diffuse anger and manage public relations.
Continuing Ed
Larger management companies also offer their own in-house instruction or greatly encourage their property managers take continuing education courses. Some companies, such as Rosen’s, will even pay for the certification or continuing education of an employee. “We certainly believe in continuing education,” Rosen says. “We have everybody in our office who manages associations licensed. I bring speakers into my office once a month to help educate my associates. We have attorneys who speak about the Illinois Condominium Act and the implications of that act, how to conduct meetings, collection issues, foreclosure issues, association insurance, different company ratings and so forth.”
More Than Just a Credential
Regardless of whether a property manager needs certification to satisfy a requirement of employment, the skills he or she will gain through continuing education in the field will be tested in their day-to-day working life. Understanding financial documents, or how to better expedite emergency evacuation of the building during a crisis such as a tornado, for example, will come in handy not only for the employee but also for the board, management company and all of the residents who will benefit from the manager having a more detailed understanding of building issues.
A board member’s desire to know about how to efficiently run his community may be laudable, but it’s no excuse for the community’s property manager to not be on top the latest developments in the field. In fact, some say, the property manager has a greater responsibility to know how to best manage the building.
“Owners and investors over the years have looked to property managers to perform more and more functions,” Peters says. “Way back when the property manager was chiefly responsible for the bricks and mortar of a property. Now owners and investors are looking to property managers for enhanced value of the property, so the property manager is also in many instances an asset manager in charge of building the asset value of a property. You can even think if this trend continues property managers will essentially be the CEO’s of the properties they manage.”
Jonathan Barnes is a freelance writer and regular contributor to The Chicagoland Cooperator and other publications. Editorial Assistant Enjolie Esteve contributed to this article.
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