Fast-Growing Property Management Firm
Business Description
Full-service, high-growth commercial property management firm dedicated to delivering tailored management solutions to property owner clients, across Washington State. The firm specializes in large-scale retail shopping centers with widely recognized retail brands as tenants, big box warehouse store locations for retail or industrial uses and select offices or business park properties. Across these commercial properties, the firm currently has over 2.8 million square feet of property under management, made up of 659 units across a total of 72 buildings.
The firm operates with a technology-driven business model that has helped to enable rapid and scalable growth within their target markets. The firm's core services are supported by intentional investment in digital infrastructure that has allowed the firm to support an expanded property portfolio with less administrative support staffing compared to local competition. The services are designed to maximize client returns, by improving occupancy rates, and reducing the burden of administrative tasks, improving overall efficiency with the properties under management. For instance, the firm has recently achieved a 40% adoption rate with its commercial tenants for a web-based payment portal, increasing processing capacity for a routine task while reducing overall staff time required for payments management from tenants.
Other technological tools, have reduced administrative burden in other areas of operations, including a web-based system that has improved accounts payable processing time by nearly 3-fold. Artificial intelligence tools with third-party human review have also reduced the internal burden for the firm in abstracting complex commercial leases, and the lease abstracting software can directly incorporate information into the firm's accounting software.
Altogether, the continued investment in technology has reduced staffing needs internally and has allowed the firm to respond to growth opportunities more efficiently. The results of such investment in scalable processes and supporting software infrastructure can be seen clearly in the firm's operating results trends, where management fee revenues have grown from $1.1 million to over $2.5 million between 2020 and 2024, reflecting a compound annual growth rate of 22% in contrast to the current industry average around 1.9% during the same time period.
The firm operates with a technology-driven business model that has helped to enable rapid and scalable growth within their target markets. The firm's core services are supported by intentional investment in digital infrastructure that has allowed the firm to support an expanded property portfolio with less administrative support staffing compared to local competition. The services are designed to maximize client returns, by improving occupancy rates, and reducing the burden of administrative tasks, improving overall efficiency with the properties under management. For instance, the firm has recently achieved a 40% adoption rate with its commercial tenants for a web-based payment portal, increasing processing capacity for a routine task while reducing overall staff time required for payments management from tenants.
Other technological tools, have reduced administrative burden in other areas of operations, including a web-based system that has improved accounts payable processing time by nearly 3-fold. Artificial intelligence tools with third-party human review have also reduced the internal burden for the firm in abstracting complex commercial leases, and the lease abstracting software can directly incorporate information into the firm's accounting software.
Altogether, the continued investment in technology has reduced staffing needs internally and has allowed the firm to respond to growth opportunities more efficiently. The results of such investment in scalable processes and supporting software infrastructure can be seen clearly in the firm's operating results trends, where management fee revenues have grown from $1.1 million to over $2.5 million between 2020 and 2024, reflecting a compound annual growth rate of 22% in contrast to the current industry average around 1.9% during the same time period.
About the Business
- Years in Operation
- 16
- Facilities & Assets
- The firm operates from two offices that are strategically positioned within the I-5 corridor in King County and Pierce County, with close proximity to properties in their management portfolio. Further north, in Whatcom County, the firm employs a property manager who works remotely from an office onsite at a client's property. These locations are not only central to existing properties under management, they also provide opportunities to capture more clients in nearby high-growth real estate markets in this region.
- Market Outlook / Competition
- The commercial property management industry remains largely unaffected by the rise of short-term rental platforms, which have disrupted traditional residential models. Commercial management firms continue to differentiate themselves through service quality, technology adoption, and specialization. The firm operates exclusively in the commercial space, with the exception of one apartment building complex, where long-term client relationships and operational efficiency are key competitive advantages.
- Opportunities for Growth
- The firm sees existing staffing and scalable technology systems as suitable for continued growth with ample capacity to take on more clients. Further growth could be accomplished both in partnering or building a real estate brokerage referral network for more diverse leads and property management engagement opportunities. Growth could also be accomplished by expanding the firm's geographic reach within the state, as the firm has already been growing their portfolio quickly in South King County and Pierce County.
Real Estate
- Owned or Leased
- Leased
About the Sale
- Seller Motivation
- Exiting majority shareholder has achieved strategic objectives in their property
- Transition Support
- The firm maintains a strong team of experienced property managers, along with back-office accounting and administrative staff that all leverage the firm's systems to ensure that the firm is highly responsive and attentive to properties under management. It is flexible if the current managing partner will stay on, regardless, transition support will be offered.
- Financing Options
- Earn out proposal terms are welcome in context of the ongoing management fee benefit
Listing Info
- ID
- 2436712
- Listing Views
Listing ID: 2436712 The information on this listing has been provided by either the seller or a business broker representing the seller. BizQuest has no interest or stake in the sale of this business and has not verified any of the information and assumes no responsibility for its accuracy, veracity, or completeness. See our full Terms of Use. Learn how to avoid scams.
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