# Annual asset management plan

Canonical: https://chicagocommercialfunding.com/tools/annual-asset-plan/

Turn ownership objectives into a measurable property operating plan.

An original educational working agenda, not a legal form or substitute for transaction-specific advice.

- [ ] **State the investment objectives.** Document return goals, liquidity needs, hold period, debt deadlines and acceptable risk.

- [ ] **Reconcile the starting position.** Validate current leases, collections, capital condition, debt obligations and available cash.

- [ ] **Build the operating budget.** Separate recurring revenue, recoveries, operating expenses and realistic bad-debt assumptions.

- [ ] **Build the leasing plan.** Identify expirations, renewal targets, prospecting, rent assumptions, downtime and required capital.

- [ ] **Schedule capital projects.** Prioritize life safety, building preservation, tenant obligations and return opportunities.

- [ ] **Forecast cash.** Integrate operating cash, capital costs, debt service, reserve changes and distribution capacity.

- [ ] **Review risk and compliance.** Assign responsibility for insurance, inspections, legal deadlines, reporting and operational controls.

- [ ] **Set performance measures.** Track collections, retention, leasing costs, project completion and budget variance alongside occupancy.

- [ ] **Define approval rights.** Clarify spending limits, vendor selection, lease authority and capital-call decisions.

- [ ] **Schedule review dates.** Use monthly reporting and periodic reforecasts to act on emerging deviations.

- [ ] **Fund the downside response.** Combine a tenant or collection shortfall with capital and financing stress. Identify unrestricted cash, contractual limits, decision dates and owners authorized to commit further capital.

- [ ] **Reassess the exit and debt path.** Compare current net sale equity with the funded hold plan, upcoming maturities and likely takeout constraints. Update assumptions when leasing, capital or buyer pricing changes.

## Research sources

- [IREM — public commercial management curriculum overview](https://info.irem.org/cml201-course)
- [OCC — CRE underwriting and risk framework](https://www.occ.treas.gov/publications-and-resources/publications/comptrollers-handbook/files/commercial-real-estate-lending/pub-ch-commercial-real-estate.pdf)