# Property-manager selection

Canonical: https://chicagocommercialfunding.com/tools/property-manager-selection/

Evaluate the operating team against the actual asset and business plan.

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

- [ ] **Define the assignment.** Specify asset type, leasing responsibilities, accounting, collections, maintenance and capital-project oversight.

- [ ] **Verify relevant experience.** Ask for examples of comparable assets and business plans, not only total square footage managed.

- [ ] **Understand staffing.** Identify the accountable manager, backup coverage, on-site needs and escalation route.

- [ ] **Review the proposed fee structure.** Compare base fees, leasing commissions, construction fees, minimums, markups and related-party arrangements.

- [ ] **Inspect reporting samples.** Review rent rolls, receivables, budget variances, cash reconciliations, bank controls and owner reporting.

- [ ] **Test lease administration.** Ask how options, insurance certificates, escalations, recoveries and notice dates are tracked.

- [ ] **Review procurement controls.** Evaluate vendor bidding, authorization thresholds, conflicts, warranties and documentation.

- [ ] **Confirm insurance and credentials.** Verify applicable requirements and coverage with appropriate advisers.

- [ ] **Call references.** Ask about responsiveness, problem resolution, accuracy and the manager’s performance during difficult periods.

- [ ] **Plan the transition.** Assign bank access, tenant communication, deposits, records, contracts, keys and emergency coverage.

- [ ] **Test cash custody and fraud controls.** Ask who receives funds, authorizes payments, reconciles accounts and reviews exceptions. Establish owner access, vendor-change verification and appropriate separation of duties.

- [ ] **Review termination and record ownership.** Have counsel evaluate authority, indemnities, contract term, termination costs and the return of money, data, credentials, deposits and records. Plan an orderly replacement before signing.

## Research sources

- [IREM — public commercial management curriculum overview](https://info.irem.org/cml201-course)
- [SEC — negotiated loan and reporting example, 2025](https://www.sec.gov/Archives/edgar/data/1649096/000143774925025574/ex_849368.htm)