What’s the Difference Between a Property Manager and a Project Manager?

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If you think a Property Manager and a Project Manager should do the same job on a capital project, think again. It is important to understand that, although they have similarities to their job scope, there are multiple differences between them. For example, a Property Manager typically deals with the residents and the owners and the impact that the project has on them both physically and financially. Whereas a Project Manager is more focused on the construction project from start to finish. The difference in scope also has an impact on price as well as the time investment to complete the project. Understanding these key differences will allow you to streamline your capital projects where the lines of duties are drawn and provide clear communication. The result? You will significantly improve the outcome of your capital project and reduce headaches along the way.  Read more below. 

Resource Request  

Property Managers have a lot to do in their role to service their clients. They oversee four primary areas: building and grounds, financial, administration and technology. For instance, scheduling notices to residences, soliciting and administration of financing vehicles like bank loans, setting up the owners within that system, ensuring that they are fulfilling their financial obligations, etc.  With this approach, Property Managers can effectively facilitate the coordination of projects that are being led by Project Managers on specific jobs. 

Project Managers’ responsibilities planning, organizing, and directing the completion of specific projects for an organization while ensuring these projects are on time, on budget, and within scope. 

Too often the Property Managers are expected by clients to go far beyond their scope of duties to save money by rolling Project Manager responsibilities into the realm of the Property Manager. They are taking valuable time away from the Property Managers to perform their everyday responsibilities. Getting two for the price of one is not an option. These specific roles must be budgeted for as separate entities—because they are.  

 For example, if the construction costs are expected to be $300,000 then the Property Manager is expected to get proposals for the “oversight” work beyond their own responsibilities—that falls under the domain of the Project Manager and must be added to the budget. Project Managers tend to get a percentage of a project cost. So, if their fee was $30,000, the overall budget for the project could be $330,000.  This amount does not represent the “fee” that the Property Manager may be entitled to for providing additional services beyond their standard contract obligations.  

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It is critical for property owners facing capital projects to understand the difference between a Property Manager and an Owner’s Project Manager (OPM) to retain good working conditions for all parties involved. This role awareness also prevents massive burn out within the Property Management industry. It is necessary to allocate the right budget for both professionals to protect your most valuable asset. Landmark Associates is an award-winning general contractor that has a deep understanding and appreciation of the two PM roles. We are experts at partnering with the Owner‘s Project Manager while working in tandem with the Property Manager, so your capital project gets done effectively and efficiently. Be sure to download our PM vs. PM Guide here.  

 

How to Make the Best of Capital Projects

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Everyone has a need for subcontractors when they are considering a capital project. Although they have been around for years, contractors have become more specialized due to the advancements in construction and technology. With new companies springing up all the time there is always a need for qualified subcontractors in your area. Landmark Associates—an award-winning construction and renovation firm based in Boston’s Metro West—has recently formed a strategic partnership with Caliber Painting, a professional commercial painting company. Landmark is excited to be able to provide our clients with a more robust way to handle capital projects—from the exterior to the interior.  Our goal is to make organizing and completing projects easier for everyone involved.  

(Old Reading School House, a Landmark renovation project, Reading, MA) 

One Stop Shop

Benjamin Seeley, President of Caliber Painting, and his team are experienced commercial painters with years of experience under their belts. With this strategic partnership, Landmark Associates can provide the project management and completion services for construction projects ranging from residential apartment buildings to industrial facilities. As a Landmark Associates client, you will have the flexibility to consider new construction, expansion, renovation, or replacement project for an existing facility or facilities, knowing that we have a full range of contractors and subcontractors– like professional painters, at our fingertips.   

(Caliber Painting) 

Up Your Game

When you complete a challenging job, the rewards can be enormous. You can build your confidence and earn the respect of your colleagues and clients when you work with us to complete projects quickly and efficiently from start to finish. But if you do not identify the right contractor and engage them effectively before you begin working on your project, you will not complete it on time or adequately. You will not get the job done on time or within budget. You could even end up losing money on the project because you engaged the wrong person.  

We look forward to introducing you to Ben Seeley, the President of Caliber Painting, to see how the Landmark team and Caliber Painting can collaborate with you on getting your next capital project started and completed on time and on budget. And to further up your game, we’d also like to give a shout-out to the MAA Expo taking place at the Hynes Convention Center in Boston on Wednesday, September 15th. Stop by the Landmark booth there and join over 1,000 property management professionals who manage, develop, own and/or support 175,000+ units in Massachusetts for the MAA’s largest gathering of the year! Let’s work together on how to execute the best capital projects from start to finish. 

The Greater Boston Suburbs may be the Epicenter of Work

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“Suburban Greater Boston communities may be the natural beneficiaries of future work trends, with potential for increased vibrancy as remote eligible workers spend more time closer to home,” concludes the consulting firm McKinsey & Co. in a recent study commissioned by the Baker administration. This is good news for businesses that are already established or looking to expand into the ‘burbs.  

Due to the pandemic, remote eligible workers spend more time closer to home which could impact the need for more local office, industrial and housing construction. McKinsey forecasts that the decrease of two days in office space will reduce footprint demand by 15 percent in the long haul, while three day in-office demand will be diminished by 22 percent, in addition to a 30 percent business travel decline in Boston and Cambridge. Fewer trips downtown could boost the vibrancy of the Suburban Boston and Metro West areas, creating demand for more local businesses, retail, and housing to open.  

“Planning ahead for this gravitational pull to the suburbs is a wise move for business owners,” says Tony Chiarelli, President of Landmark Associates. “As more business owners are reading the tea leaves on the “new normal” for workers, it’s become clear that now is the time to be proactive on future workspace needs.” Fewer trips downtown with the ability to work remotely coupled with more spending locally, results in more dynamic communities and commerce in the ‘burbs.  

At Landmark Associates, we are bullish on the future of construction and renovation in the suburbs. Bids for projects and fit outs are increasing as business leaders anticipate the boost in demand for suburban workspaces. Although building supplies and skilled labor will remain a hot commodity well into the near future, with careful planning and guidance, Landmark clients will stay ahead of the curve and at the center of gravity in the Greater Boston and Metro West suburbs.  

Beware When Hiring Temp Construction Labor

by Commercial Construction

I wanted to share something with you that I came across recently that I thought would be beneficial to other contractors out there in the industry. It doesn’t matter where you come from in the business, this applies to everybody.  

The Current State Of Construction

In the current state of construction where we have a shortage of skilled labor and everybody’s clamoring for help, temporary employment agencies come into play a lot.  It’s an integral part of the industry and it’s necessary we have them to fill in when we need people to perform certain tasks on jobs or join a crew. 

My Story Of Working With Temp Agencies

We had something come up for us recently and it had a pretty drastic effect on our business.  When you hire temporary help from an agency they are not required to do background checks on the people that they put on your job sites.  We’re always comfortable that they will have workers comp insurance and they’re all fully covered so if anything happens to them the insurance liability goes back to the agency. I wasn’t aware that they weren’t automatically doing background checks. We had a guy on a job site that had a long criminal background and became a giant disruption on our project.  We didn’t find out about the criminal background and everything else until we had the disruption and then we had to scramble around and try to deal with it.  

My Advice

If you don’t want to deal with stuff like that on your job site you need to specifically ask the temp agency to do background checks on the people that you’re requesting them to hire. They don’t disclose this information because it’s an extra step for them and you’re going to need to pay for it.  Some agencies will charge you $50-$200 per background check. I had one agency say they add another $2 per hour in order to do a background check. I found this comical because if you’re going to put somebody on a job for a thousand hours you’re telling me that it costs $2k to do a background check on somebody?  Personally, I think it’s something that should be required to do, but it’s not up to me to change their industry, but it’s up to us to be aware in our industry and what the risks are out there.