by Objectives works—if you know the objectives.
Ninety percent of the
time you don't.”
When the board of directors hires a property management
to manage the corporation’s affairs, it signs a contract with the PMC
describing the company’s responsibilities, duties and fees. The PMC
supplies bookkeeping and accounting services, stores the corporation's
records and provides a manager for the property.
There are over 200
property management companies
in the GTA. There are a few very large property management companies. A
few of them are divisions of larger corporations including property
There are medium-size management firms, a lot of small
companies and a large number of tiny mom and pop shops. Finally, there
are one-man bands, companies that consist of only one person.
Most management companies offer the basic normal building management
and back room
services while a few management companies have subsidiaries that
also provide superintendent, cleaning, security and maintenance
I am convinced that is it best for the board to hire service companies
that are completely independent from the management company. That way,
the service providers will not have divided loyalties and the board
will be able to sign contracts with whichever contractors they believe
will provide the best quality services to the condo for the cost the
board is willing to pay.
There are good reasons to be
concerned if a management company has affiliated companies perform
work for your condominium.
Condominium property management is not yet a regulated profession in
Ontario, although that will be changing soon.
can register a business name, buy a cell phone, have some business
cards printed, rent a mailbox and create an instant property management
company. Prior experience is not required. Why not? It’s far, far
cheaper than buying a hot dog stand and a lot less work.
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