Reic Exchange August 2013 by MediaEdge

Real Estate Institute of Canada

exChange VoluMe 15 • issue #3 • august 2013

www.reic.ca

raVe reViews for reiC 2013 annual ConferenCe and agM

inside Property Management Plans Made easy President’s Message Membership Milestones Parting words

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inside this issue

President Ron Fraser, CPM‰ ViCe President Ron Penner, CPM, ARP

ExECutIvE dIRECtoR's mEssAgE mEssAgE dE lA dIRECtRICE gÉnÉRAlE

PREsIdEnt's mEssAgE mEssAgE du PRÉsIdEnt

IREm lEAdERshIP ConfEREnCE

REIC PuRsuIt of ExCEllEnCE AwARds mEEt youR nEw boARd

mEmbER mIlEstonEs

PRoPERty mAnAgEmEnt PlAns mAdE EAsy

seCretary/treasurer Winson Chan, FRI, CRES exeCutiVe direCtor and Ceo Maura McLaren, CAE editor Pam Seran-Wallace, Manager Communications and Marketing aBout reiC

REIC is a provider of advanced education and designation programs to professionals in the real estate industry. With 14 Chapters across Canada, we have been educating and certifying professionals since 1955. 208-5407 Eglinton Avenue West Toronto, ON M9C 5K6 Tel: 416-695-9000 or 1-800-542-7342 Fax: 416-695-7230 www.reic.ca For sales information call (416) 512-8186 ext. 262 Published by MediaEdge Communications:

5255 Yonge St., Suite 1000 Toronto, Ontario M2N 6P4 E-mail: info@mediaedge.ca Tel: 416-512-8186 Fax: 416-512-8344

REIC Career Centre

Quality career

positions www.reic.ca

PARtIng woRds

Visit us online /reicnational

Conference pictures appearing in this issue can also be seen on the reiC flickr site at www.flickr.com/photos/reicnational.

Real Estate Institute of Canada - REIC @reicnational

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exeCutiVe direCtor's Message / Message de la direCtriCe générale

annual ConferenCe and agM a great suCCess!

la ConférenCe annuelle et l'asseMBlée générale annuelle ont reMPorté un franC suCCÈs!

If you haven’t already heard, the 2013 Annual Conference received rave reviews! The Fairmont Royal York in Toronto was an excellent venue. Delegates basked in the grandeur of the hotel and enjoyed the central access to many local attractions.

Pour le cas où vous n'en auriez pas entendu parler, la Conférence annuelle 2013 s'est attiré de nombreux éloges! Le Fairmont Royal York de Toronto est un excellent établissement. Les représentants ont profité de l'hôtel sublime et d'un accès central à de nombreuses attractions locales. Maura Mclaren, Cae Executive Director & CEO

Networking, professional development and providing members with a memorable experience are key objectives of the conference. Ninety-nine percent of respondents to the conference survey found the 2013 REIC Annual Conference a good to excellent experience overall. Many conference attendees echoed the sentiments of one participant who remarked, "It was a beautiful venue with great content, fun activities and a wonderful professional feel." You will see other review comments throughout this edition of Exchange.

Off rir du réseautage, un perfectionnement professionnel et une expérience mémorable aux membres sont les principaux objectifs de la conférence, et 99 % des répondants au sondage ont indiqué que la Conférence annuelle 2013 leur a procuré une expérience globale allant de bonne à excellente. Nombre de participants à la conférence ont abondé dans le sens d'un participant qui a mentionné « C'est un endroit magnifique, les activités sont très intéressantes et divertissantes et la prestation est professionnelle ». Vous trouverez d'autres commentaires dans cette édition d'Exchange.

On the business side, REIC's proposed Articles of Continuance Sur le plan opérationnel, les règlements et statuts de prorogation and By-laws were unanimously approved at the REIC Special proposés de l'ICI ont été approuvés à l'unanimité au cours de Annual General Meeting. Thank you to all the members l'assemblée générale extraordinaire. Nous remercions tous les who voted in person and by proxy. A special thank you goes membres qui ont voté en personne ou par procuration. Je tiens tout to the By-laws Task Force for their spécialement à remercier le groupe de travail "It was a beautiful venue with sur les règlements pour ses conseils et son guidance and assistance in this major undertaking. assistance dans cette tâche d'envergure.

great content, fun activities and

We held an information and discussion Nous avons organisé une séance a wonderful professional feel." session with delegates on what they d'information et de discussion avec les would like to see replace the Council Directorates meetings at the représentants pour savoir par quoi nous pourrions remplacer conference. Attendee suggestions included, panel discussions, les réunions des Directions du Conseil à la conférence. Voici des round table discussion, and facilitated inter designation sessions, suggestions recueillies : discussions d'experts, tables rondes et etc. A survey was distributed to attendees for member input. séances inter-désignation avec animateur. Un sondage a été distribué The Board will review and consider all suggestions and options aux participants pour recueillir leurs idées. Le conseil examinera et to implement in 2014 and going forward. Members who did not évaluera toutes les suggestions et alternatives en vue de les mettre en participate in this survey can send their suggestions to Lesley œuvre en 2014 et par la suite. Les membres qui n'ont pas participé Lucas via email at lesley.lucas@reic.com. à ce sondage peuvent envoyer leurs suggestions à Lesley Lucas par courriel à lesley.lucas@reic.com. I would like to extend my thanks to all our Annual Conference sponsors for partnering with us on this important event. J'aimerais remercier tous les commanditaires de notre conférence annuelle de s'associer avec nous dans le cadre de cet événement important. Join us next year! save the date - June 11-15, 2014, winnipeg, manitoba.  Joignez-vous à nous l'an prochain! Réservez la date - du 11 au 15 juin 2014, winnipeg, manitoba.  www.reic.ca

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President's Message / Message du président

President's Message Message du président Ron Fraser, CPM® As we all get into summer mode with bbq’s and drinks on the patio, I wanted to take a few moments to say thank you for your REIC membership and participation in the Institute.

Nous sommes tous passés en mode estival avec les barbecues et les boissons sur la terrasse, et je voulais prendre un moment pour vous remercier d'être membre de l'ICI et de participer à l'Institut.

As the National Board President, I take the role and responsibility of helping to lead REIC with great respect and optimism. The real estate industry is constantly evolving through competition, regulation, and technology.

En tant que président du conseil d'administration national de l'ICI, j'accepte mon rôle et mes responsabilités de dirigeant de l'ICI avec grand respect et optimisme. L'industrie immobilière est en constante évolution en raison de la concurrence, de la réglementation et de la technologie.

REIC represents members from east to west; from big city to small town; from independent entrepreneurs to employees of large corporations from all sectors of the real estate industry. REIC encompasses all of those variables and it is with great pride that my fellow board members serve in the best interests of all our members. Suzanne LeValley wrapped up her two year term as President at the very successful conference in Toronto. Suzanne has led REIC with tremendous insight and success, and I know all members join together to say “Thank you!” for the effort and commitment. She will be a hard act to follow, but I’ll do my best. The board will be gathering in September in Ottawa for a mini strategic planning review session as we lay plans for next year. REIC members will find regular updates via email and the REIC blog on the REIC website. I look forward to your feedback on how we can continue to build and improve REIC to be an institute that is worthy of your membership. Enjoy the summer! 

L'ICI représente ses membres de l'est à l'ouest du pays, des grandes villes aux petites villes, des entrepreneurs indépendants aux employés de grandes sociétés de tous les secteurs de l'industrie immobilière. L'ICI regroupe toutes ces variables et c'est avec une grande fierté que mes collègues du conseil d'administration desservent les meilleurs intérêts de tous nos membres. Suzanne LeValley a terminé son mandat de deux ans à titre de présidente lors de l’excellente conférence de Toronto. Suzanne a dirigé l'ICI avec grand succès, et je suis certain que tous les membres se joignent à moi pour la remercier de ses efforts et de son engagement. Elle a placé la barre très haut, mais je ferai de mon mieux. Le conseil se réunira en septembre à Ottawa pour une miniséance de planification stratégique en vue de planifier la prochaine année. Les membres de l'ICI recevront des mises à jour régulières par courriel et sur le blogue disponible sur le site Web de l'ICI. J'ai hâte de recevoir vos suggestions sur la façon de continuer à améliorer l'ICI pour en faire un institut précieux pour ses membres. Profitez bien de l'été! 

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reiC 2013 annual ConferenCe & agM

ireM leadershiP ConferenCe Nearly 50 chapter leaders and administrators attended the IREM Region 14 Leadership Conference held in conjunction with the REIC Conference. IREM Instructor Cindy Clare, CPM, led a well received leadership development workshop highlighting successful techniques for volunteer and staff empowerment. Delegates were surprised to learn they were being taught content from the Human Resources Management for Real Estate Professionals course (HRS 402). IREM President-Elect Joe Greenblatt, CPM, led a session on chapter strategic marketing. Congratulations to the saskatchewan Chapter for winning the IREm outstanding Canadian Chapter Award presented at the REIC Pursuit of Excellence Awards dinner! the IREm leadership Conference kicked off on wednesday with a welcome dinner, where 2012 Chapter star Awards were presented to the following Canadian IREm chapters: BRITISH COLUMBIA CHAPTER

SASKATCHEWAN CHAPTER

CALGARY CHAPTER

MANITOBA CHAPTER

EDMONTON CHAPTER

QUEBEC CHAPTER

OTTAWA CHAPTER

CONGRATULATIONS TO ALL OUR CHAPTER WINNERS! IREm Edmonto

IREm CAlgARy

IREm bC

IREm mAnItobA IREm REIs

IREm ottAwA

“ REIC_Exchange_July_2013.indd 5

I really enjoyed the Thursday morning leadership presentation. The material was well presented, pertinent and provided a strong framework for me to expand my growth as a leader.

”

www.reic.ca

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reiC 2013 annual ConferenCe & agM

Neil Thornto

Professional deVeloPMent Our keynote speakers focused on honing member leadership skills, running successful Chapters, understanding the nuances of online and social media marketing, and meeting the changing client and workforce landscape comprised of the Millennial generation. The presentations were well received and gave delegates essential tools and tips to implement at their workplace and/or Chapter. Hellen Buttigieg

Kathy Hogeveen

“

The speakers were fantastic.

”

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reiC 2013 annual ConferenCe & agM

networking REIC’s great events for camaraderie and networking included the REIC welcome reception, a guided city tour, Wayne Gretzy’s and The Second City production of the Meme-ing of Life. The guided tour took delegates on a scavenger hunt around Toronto’s financial and theatre districts. Delegates were divided into teams and given a variety of challenges, including finding a look-a-like team member! Thanks guys for being good sports!

“

It was a fun way to see the downtown and interact with other members.

Had a great time at the scavenger hunt.

”

” “

Creating teams mixed up people from various cities. Lots of fun.

” www.reic.ca

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reiC 2013 annual ConferenCe & agM

Pursuit of exCellenCe awards gala

“

Loved this year’s theme, and the Imperial Ballroom was exceptional.

” “

“ 8

Great MC! Makes a difference.

The awards dinner was fantastic.

”

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REIC Pursuit of Excellence Awards

REIC Pursuit of Excellence Awards The REIC 2013 Pursuit of Excellence Awards dinner and presentation had all the trappings of an Oscars style event. The Awards program demonstrates the strategic value our members bring to the real estate industry. Our congratulations to all our award nominees and recipients. The 2013 Pursuit of Excellence Awards recipients are: REIC Emeritus Award Myrton Bello, FRI, Services immobilier à la carte Christine Stanley, CPM®, CMOC, Gateway Property Management Corporation J.A. Weber Award Johnmark Roberts, FRI, Broker of Record, B&B Associates Realty Ltd., Brokerage Bentall Kennedy Award of Excellence sponsored by Bentall Kennedy Katherine Weiss, CPM®, General Manager, Real Estate Services, Bentall Kennedy Bentall Kennedy Literary Award sponsored by Bentall Kennedy Eugene Korneluk, CPM®, PWGSC AFMS, Ontario Region

Murray Bosley Sales & Leasing Council Member of the Year Award Johnmark Roberts, FRI, Broker of Record, B&B Associates Realty Ltd., Brokerage Real Estate Management Council Member of the Year Award Eugene Korneluk, CPM®, PWGSC AFMS, Ontario Region REIC Community Services Award Cynthia Lai, FRI, President, Global Link Realty Group Inc, Brokerage WPJ McCarthy Corporate Citizen of the Year sponsored by W.P.J. McArthy & Company Ltd. Midwest Property Management

Association of the Year Award REALTORS® Association of Edmonton Chapter Initiative of the Year Award Real Estate Institute of Manitoba REIC Toronto Chapter Don Hill Award – Small Chapter IREM Quebec Chapter Don Hill Award – Large Chapter REIC Greater Vancouver Chapter Chapter of the Year Award – Small Chapter Real Estate Institute of Saskatchewan Chapter of the Year Award – Large Chapter REIC Toronto Chapter

Meet your new board

REIC National

2013-2014 Board of Directors

Back row (l-r): Shey Ergil, CRP; Tony Wagner, FRI(E), CPM®, CLO; Clayton Fitzsimmons, FRI, CPM, CMOC, CRES; Candace Le Roux, CPM, ARM®; Ron Penner, CPM, ARP (Vice President); Winson Chan, FRI, CRES (Secretary/Treasurer); Scott Fischer, CRP. Front row (l-r): Lindsay Carlson, FRI, CRES; Ron Fraser, CPM (President); Suzanne LeValley, CPM, CMOC (Immediate Past President). www.reic.ca

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MeMBershiP Milestones

reiC MeMBershiP Milestones Every year REIC recognizes members who reach 10, 15, 20, 25, 30, 35, 40 and 45+ year milestones. Members with a 25-year milestone anniversary receive a special milestone pin as a token of the special relationship REIC shares with its members. Congratulations to the following members for their dedication to the Institute through their membership and active participation. 10 years Shoshanna Anisman-Kaiser, CPM® Fernando Bada, CPM® Roy Barron, CPM®, ARM®, CMOC David Bentley, CPM® David Blois, CPM® Ian Brown, FRI Linda Capar, CLO Richard Charlton, CPM® Gordon Dundas, CRP Alice Galpin-Nicholson, ARM® Kristofer Hansen, CPM® Diane Jocelyn, CRES Kelly Mahajan, CPM® Alfred Marchi ,CPM® Wayne Mattice, CPM® Steve Osmond, ARM® M. Francess Otis, ARM® Sarah Palmer, CPM® Lloyd Peters, FRI, CRES Patricia Piecowye, ARM®

Fredrick Ruzycki FRI, CPM®, CMOC Madeline Sarafinchan FRI, CRES Beverly Scott, ARM® St. Bernard Sebastian, CRU Newton Seto, CRF William Thompson, CPM® Julie Vesuwalla FRI, CRES Patricia Wilk, ARM® Claire Woodward, CPM®

15 years John Abramowich, ARM® Noor Ali, CLO Richard Anda, CPM® Cyril Aylward, FRI, CRES Elisabeth Bily, CPM® Marc-André Bourdon, FRI Carolyn Brown, ARM® Scott Bullerwell, ARM® Sandra Caputo, CPM®, CLO Ronald Charbonneau, CPM® Pam Cherington, FRI

James Clark, FRI, CRES Nancy Collins, CPM® Patrick John Cox, CPM®, CMOC, CRP Carolyn Davis Stewart, FRI Elizabeth Doyle, FRI, CRES Diane Eggert, CPM® Ken Eyre, CPM® John Fleming, ARM® Nadine Frazer-Bate, ARM® Dario Gattesco, FRI Constance Grant, CMOC, CRES Gursharan Grewal, FRI Edgar Hillman, ARM® Glen Holling, FRI, CRES Bridget Houghton, FRI, CRES Don Hui ,CRF, CRU, CRP Judith Jackson, CRES Cheryl King, FRI, CRES Bernie Krec, FRI, CRES Paul Lethbridge, FRI(A), CRES Caroline Ling, CPM®, CRF Ronald MacDonald, ARM®

reiC MeMBer-get-a-MeMBer PrograM Bill McCarthy and John Zabudney were presented with REIC $100 vouchers by Past President Suzanne LeValley, CPM®, CMOC during the annual conference for recruiting new members.

bIll

I, CPm , C mcCARthy, fR

John zAbudnEy, fRI(E

), Clo

William MacGillivray, CPM® Michael Magathan, CRES Anna Massara, CPM® Lisa Matlock, CPM®, CLO Julie McLean, CPM® Christina Mielke, CPM® Elaine Mitchell, ARM® Barbara Morris, FRI, CRES Gloria Morrison, CPM® Robert Nisbett, CRES Marianne O’Leary, CPM®, CMOC John Pollard, FRI Brenda Richard, ARM® Allen Schacht, CPM®, ARP Catherine Schraenen-Leduc, CPM® Kevin Screpnechuk, CPM®, CRF Vivien Sears, FRI Joseph Shum, FRI Tina Skinner, CPM® Rolly Skov, CPM® Judy Sykes, CPM® Vittoria Tassone, FRI, CRES Joseph Vero, CPM®, ARP Donna Vibert, CPM® Daniel Warhaft, CPM® James Westergard, FRI, CRES

20 years David Butkovich, FRI Olive Campbell, FRI, CPM® Benoit Campeau, CPM® Anthony Capobianco, FRI, CRES Angela Crowder, CPM® Gabriella Favero, CPM® Rodney Gatenby, CPM® Dave Gill, CPM® Richard Gray, CPM® Peter Greco, CPM® Joseph Ho, FRI Stan Humphreys, CPM® Nizar Jamal, FRI Suzanne LeValley, CPM®, CMOC Kenneth Loeppky, CPM®

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25 years Robert Beland, FRI, CPM®, CLP Pierre Benoit, CPM® Moshe Blumenfeld, CPM® Heidi Bohlmann, CPM® Nellie Boyer, CPM® Claude Charron, FRI A. Pierre Delisle, CPM® Anthony Derro, CPM® Maurice Dery, FRI Allan Dodimead, CPM® Clayton Fitzsimmons FRI, CPM®, CMOC, CRES D. Frank Franze, FRI Mark Glatt, CPM® E. Fraser Grant, FRI, CPM®, CMOC, CRP Mihkel Harilaid, CPM®, CRF Bonita Hutchins, FRI Mary Kahn, CPM®, CRP G. Alan Kearsey, CPM® Patrick Kelly, FRI John Kowalski, CPM® Odette Landymore, CPM® Douglas Lasenby, FRI, CLO J. Paul Maire, CPM® Malley Margetts, CPM® Richard Morantz, CPM® Gail Morris, FRI Howard Oakey, CRF R.K. Palamarek, FRI, CPM® Terry Parnell, CPM® Christopher Paterson, FRI, CMR Nicholas Pope, CPM® Sandy Rutledge, FRI Brenda Salmon, CPM®

Membership Milestones

Joan Lough, CPM® Pierre Majeau, FRI Gregory McAmmond, CPM®, CRP Ron Penner CPM®, ARP Louis Renaud, FRI Bill Rinsma, CPM® Lucien Roy, FRI(E), CPM®, CMOC Jeffrey Simpson, FRI, CLP Charles Starke, CPM® William Weissig, CPM®, CLO, CRES Stacy Wentzell, FRI Sandro Zuliani, CPM®

Laurie Smith, CPM® Bernard Van Dyke, CPM® Dennis Villeneuve, CPM® David Ward, CPM® Robert Wilcock, FRI Samuel Yu, FRI

30 years Alfonso Alfano, FRI Pauline Aunger, FRI Andre Chiasson, FRI Ghyslain Couture, FRI James Dustan, FRI, CLO Peter Fodor, FRI Jean-Francois Fournier, FRI, CPM® Andrew Gordon, FRI, CPM® Alexander Ingram, FRI, ARM® Seaford Jack, FRI, CLP Mehbubali Kanji, CMR, FRI Elliot Katz, CPM® Evan Kreutzer, FRI, CMR Jean Lekopoy, CPM® Bradley Pickering, FRI Angelo Sangiorgio, FRI, CPM® Roger St-Marseille, FRI Jerry Wasylkiw, FRI Steven Weinrieb, CPM® Ekkehard Zorn, FRI

35 years Bryon Brandle, FRI Jack Chow, FRI, CMR Don Hill, FRI, CPM® Stephen Kwok, FRI David Landry, FRI Marc Lapierre, FRI Steven Leistner, FRI(A), CPM®, CMOC, CRU, CRP, ACoM Michael Mendela, FRI Jacques Metivier, CPM® Denis Monette, FRI Sherri Park Waiting, FRI Marilyn Partridge, FRI Richard Peterson, FRI Daniel Pitt, FRI, CLO Charla Ramsay, FRI, CMR Dorothy Roberts, FRI, CMR Joan Smith, FRI, CMR Judith Stacee-Cleaver, FRI Richard D. Talbot, CPM®, CMR Tom Town, FRI, CMR

Earl Pottage FRI, CRES is presented with his certificate of recognition for 45 years of membership by Edmonton Chapter past President Lindsay Carlson, FRI, CRES.

Dan Turner, FRI, CMR, CRES Ron Varley, CPM® John Walker, FRI(A)

40 years Ronald Abraham, FRI Rodney Adam, FRI Joseph Hua, FRI John Lucas, CPM® Ron MacDonald, FRI, ARP Rudy Nielsen, FRI

45+ years Terry Barber, FRI, CMR Murray Bosley, FRI Douglas Bullied, FRI James Burnett, FRI Ian Caunce, FRI, CMR Georges Couillard, FRI, CPM®

Lawrence D’Orsay, FRI Graham Downey, FRI, CMR Robert Gencher, FRI J. Gillies, FRI Barry Groberman, FRI Ernest Kitzul, FRI Ronald Klombies, FRI, CMR Stanford Korsch, FRI Kent Lyle, FRI, CMR Ian Macnaughton, FRI Fred Meyer, FRI, CLO Ernest Nock, FRI, CRF Leonard Potechin, FRI, CPM® Earl Pottage, FRI, CRES Peter Read, CPM® Irving Slone, FRI David Stevenson, FRI Philip White, FRI Roy Wilson, FRI

www.reic.ca

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Property Management

Property Management Plans Made Easy

Writing It Third in a Series, by Eugene Korneluk, CPM®

Over the long term, a Property Management Plan assists the owner in meeting their goals and objectives as well as maximizing the property’s value and return. Property owners and investors are advised to hire a Certified Property Manager (CPM®) trained to complete this highly specialized and complex report as their lead team member. Your PMP is the evaluated consolidation of information available from many sources, with a recommendation on the short and long-term management of the asset. As the reports come in, source the executive summaries of your reports to start writing our plan. Review the reports to ensure that critical information has not been missed in the executive summaries. Sometimes there is information that will make a real impact on the facility. PMPs should include all relevant information about the subject facility since the report will become the central repository of information gathered about the facility studied. Try to interpret the facts in simple short sentences followed by bullet points justifying the subject matter being discussed. Write-up sections as you gather your report material to keep the momentum going. At the end of a subsection you can conclude with a summary sentence to be re-written into your executive summary. 12

Recommend a report template to your stakeholders. Depending on your objectives, the PMP should follow a basic format beginning with the Executive Summary that would be written last after the entire report is completed. The Asset Description section provides all pertinent factual statistics about the subject building allowing readers to appreciate the nature of the asset’s key characteristics. Include the building address, size, tenants, legal description, construction date, floor sizes, parking, vacancy level, market data, current appraisal value, and building condition indicators. A summary of the Building Condition Report (BCR) will reflect the asset’s condition. Specifics of the current building components need to be outlined as briefly as possible. Create a chart outlining the cash flow required for repairs and capital reinvestments over the next 5 and 25 year for both short and long term periods. Outline the most urgent projects to be completed over the coming five years.

Evaluate the financial performance of the asset on a cost performance basis. Create a chart on past, current and future income sources for the next five years. Include all rents, third party income such as cell-phone towers, phone booths, advertising displays and percentage rents, to name a few. Add the operating costs for the years gathered to match the budgeted income. Finish your Performa statement with simple calculations on Return on Investment (ROI) and Internal Rate of Return (IRR) unless your owner asks for other calculations such as present value of money statistical analysis. The Canadian Federal Government uses the “Present Value Cost of Accommodation” as their benchmark comparing investment options. Compare your subject building’s operating costs to published IREM and BOMA

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Comment on the subject building’s current management approach. Does the building comply with applicable codes and standards expected in energy efficiency, sustainable environment, accessibility, security, health and safety, waste audit? How about the facility’s Standard Operating Procedures Manual and Tenant Handbook? Are there any tips you can provide to improve the documents? Are daily operations for cleaning and maintenance being carried out effectively? Study the operational compliance audits based on benchmarked key performance indicators (KPIs) to answer questions outlining operational deficiencies. Tenant interview comments can be added based on their perception of building operations. Recommend any necessary projects requiring attention. If you have a contract to write a PMP for any level of government, be cognisant

Provide an overview of the appraisal report for market comparisons, neighbourhood contexts and estimated market value of the facility. Discuss demographics, economic issues in the surrounding area, urban trends impacting the subject asset, factors driving the future of real estate in that marketplace. What are vacancy rates specific to the locale? Cover the key findings with conclusions and market implications on the subject property. Examine the possible options available for the subject building and recommend viable short and long term goals. Discuss the old SWOT method (strengths, weaknesses, opportunities and threats) to those options or try a new approach using POINT – pluses, opportunities, issues, and new

thinking as suggested by Chris Grivas in his book, The Innovative Team. Using bullet points is the best writing technique to use in this case. Some options may be eliminated for their shortcomings. Financial and risk analysis can be presented in chart forms with present value analysis to differentiate each recommended option. Recommend the best action plan based on your analysis. Specify investment options for the asset based on the gathered information and analysed options, taking into account overall owner objectives and priorities. Recommend a management plan for the asset, setting out multi-year financial and performance objectives for the operation, revenue and investment expenditures necessary to attain the owner’s goals for the asset. Look through those reports you gathered to confirm that nothing has been missed in your PMP. Create an Appendix by tab separation with copies of your resource materials. Include a section on your PMP writing team with references to all who have contributed information or their time. Include their telephone number in the event of any further questions in the future. Write up your Table of Contents referencing page numbers for your topic sections. Create a cover page with a picture of the subject facility. Bind your report according to your owner’s requirements. As a final task, create a slide show with a summary of the key points of your PMP. Now you are ready for that final meeting with the owner’s representatives to discuss the findings and recommendations. Leave confident that your hard work will pay off with another assignment for another report. Happy writing! 

Eugene would like to hear from you as a contributing writer to this series of articles if you manage any of the following specialty buildings: airports, medical buildings, shopping centres, laboratories, theatres, convention centres, hotels & motels, resorts, schools, academic buildings, libraries, factories, heavy industrial, or unusual residential. You can reach Eugene at ekorneluk2@rogers.com.

www.reic.ca

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Property Management

Income and Expense standards standards. Remember to contribute building data to these valuable benchmarking databases. State your conclusions about the asset’s performance from the data presented.

of the occupant’s needs. Governments are specialized owners who place heavy emphasis on facility functionality – the building’s ability to satisfy occupant’s program requirements. Factors to be discussed include space optimization, client satisfaction, design features, configuration of the building services, etc. Review your gathered reports for a Functionality Study that may contain those answers for your report. Government agendas change with legislation and elections. Churn levels can be 15-30 percent per year for government departments. Place emphasis on the owner’s current strategy for the facility. Address owner opportunities and site limitations such as public access points and amenities. Highlight limitations of building use, flexibility and adaptability to changes in utilization. Recommend areas identified for further action to improve function performance of the subject building.

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Message From Immediate Past President

Parting Words… The following is an excerpt from Immediate Past President Suzanne LeValley’s outgoing speech at the 2013 AGM.

Since I started to serve on the Board in 2008, I’ve watched as we’ve moved forward on so many initiatives. Our courses have been transformed. We’ve survived the blow of losing the support of a major company, rose to the challenge by diversifying our membership, and capitalized on our opportunities. We’ve gained ground in an increasingly competitive pursuit: real estate education. Our long history, combined with our vibrant new branding and leading edge courses, have made us continue to be a viable and well-respected Institute. When the Oakville-Milton District Real Estate Board decided to further embrace professionalism for their membership, they turned to REIC and the FRI designation. When Colliers International committed to supporting professional development within their organization in Canada, they turned to REIC and the CPM® designation. The Province of Alberta is seeking our education for the ARM® designation. They all recognize the value of a partnership with us. I am more proud today to be a member of REIC than I was on the day that I received my CPM certificate and pin. We see, feel and experience a new REIC today. More importantly, so do our students, candidates and potential members. That’s an outstanding achievement when we realize that our demise was predicted about ten years ago by an outside consultant. Leadership has been pondered and written about and defined for centuries. Unity represents a more unique challenge. We live in a large, diverse country, and are members of REIC through diverse activities in real estate. It’s only natural that we should have an affinity for our home bases and our areas of expertise. We sometimes forget that we’re part of something larger. This conference is an example of the wonderful benefits of being part of a national organization. We meet in different cities every year, and we come together from across the country. We exchange information, share our stories, and develop bonds that unite us as colleagues, members and friends. 14

Carrying that spirit back to our Chapters goes a long way toward unifying us as members of REIC. One of the biggest benefits of serving nationally is gaining a broader perspective on our Institute. How we rise to the challenge of creating unity within REIC should invoke as much pride in us as our volunteer service to our Chapters. REIC provides us with objectives that are worthy of our best efforts. We are honouring our past as we look to our future. The best way to honour our past is to remember that those who founded REIC in 1955, did so with the intention of uniting Canadian real estate professionals, as they looked into the nebulous future of a fledgling organization called the Real Estate Institute of Canada. As Thomas Paine said: “It is not in numbers, but in unity, that our great strength lies.” The best way to honour our future is to embrace change through our Strategic Plan, build on what our predecessors have created, and combine our best efforts in that pursuit. This is a quote from Max DePree: "The first responsibility of a leader is to define reality. The last is to say thank you. In between, the leader is a servant.” I was very fortunate to be able to help define reality through our Strategic Plan, and I have thoroughly enjoyed being your servant. Although I can’t truly express my gratitude and appreciation, it has been an honour and privilege to serve as REIC’s President. DePree is right, and so, on behalf of myself and the rest of the Board, thank you. 

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