Apartment Investment Management Company - Cultivating Healthy Tenant Relations

An apartment investment management company exists to provide returns for investors by investing in apartment buildings. The rents from the tenants produce an income stream that is consistent and helps the apartment investment management company achieve profitability. Usually formed as real estate investment trusts (REITs), these companies offer investment products that are defined as a securities under the requirements of the Investment Company Act of 1940.

Relationship with Tenants

One of the important aspects of the apartment investment management company is the relationship with the building’s tenants. It is the tenants that provide the source of income for the REIT in the form of rent receipts paid on a monthly basis. It would be difficult at best for an apartment investment management company to be profitable if tension exists between the building’s tenants and the management of the investment management company that operate the apartment building.

Interest in Health Tenant Relations

An apartment investment management company has a vested interest in cultivating healthy tenant relationships. This cultivation results in less turmoil and tenant turnover. The costs associated with cleaning, listing and renting an apartment are drastically reduced and the building is less prone toward loss recovery due to damages that may be committed by a dissatisfied tenant.

blog comments powered by Disqus
Scottrade