As specialized real estate asset managers and Court Appointed Receivers throughout Florida, JKM provides the oversight and expertise required to initially stabilize and subsequently enhance asset performance. There are numerous situations, including but not limited to foreclosure, litigation and business disputes, in which a third-party asset manager can devote the time required to fairly and effectively operate a property.
In some circumstances, the Court appointment of a Receiver is in response to the misappropriation or mismanagement of a property. In this case, the Receiver, acting as an agent for the Court, can legally take control of the physical premises and/or finances of a property pursuant to the details of the Court Order. The Receiver reports his findings and actions to the Court through the submittal of quarterly Court reports.
During the Bankruptcy process, a third-party Plan Administrator is typically required in order to administer changes that are detailed within the Bankruptcy proceedings. These Court approved changes are intended to physically and financially stabilizes a property in accordance with a strategy for disposition.
JKM Services provides comprehensive management, marketing and financial management services to lenders, portfolio managers and private owners of non-performing real estate assets throughout the state of Florida. As a for-contract asset manager, State Circuit Court Appointed Receiver, or U.S. Bankruptcy Court Appointed Plan Administrator, JKM implements project-specific stabilization solutions designed to maximize asset performance.
JKM believes that the key to successful management, operation and disposition of a real estate asset requires an in-depth understanding of each property. At the onset of a project, JKM conducts a hands-on analysis of a property’s financial health, physical and structural condition, current management practices, and viability in the marketplace. Urgent needs, special issues and required changes are identified from this initial analysis and serve as the basis for the development of a stabilization program. Stabilization of a real estate asset typically includes many of the following services:
- Development of short and long term financial projection(s) including operating budget(s)
- Implementation of accounting policies, procedures and oversight
- Vendor contract(s) analysis and administration
- Resolution of municipal code violations, expired permits, licenses, and/or development approvals
- Insurance audits, recommendations for coverage(s) and suggested placement
- Human resources management
- Analysis of existing commercial and/or residential tenant quality and development of appropriate tenant qualification criteria
- Implementation of lease-up programs designed to maximize occupancy and enhance cash flow
- Oversight of on-site capital improvement projects
Once a real estate asset reaches stabilization, JKM can either remain in place as the property manager or assist with disposition through our network of institutional quality brokerage and/or investment partners.
John K. Markey, as Principal of JKM Services, was appointed as the U.S. Federal Bankruptcy Court Plan Administrator for the Isles at Lago Mar community in July 2009. The Isles at Lago Mar is a 368 unit fractured condominium conversion project located in Sunrise, Florida, in which 230 units were sold and 138 units remained unsold. Mr. Markey was appointed pursuant to the request of the foreclosing Lender in order to lease-up and manage the 138 unsold units and operate the Developer controlled condominium Association.
Under previous management, the property had suffered from numerous including: a lack of accounting policies, procedures and oversight; in-efficient and in-effective on-site management; overstaffing; a limited leasing program for unsold/damaged units; and a lack of collections activity.
Over the past two years, Mr. Markey and his team addressed the above issues, resulting in a current occupancy rate of 98% for the unsold units and net positive monthly cash flow. Management and collections activities on the Association side were addressed in order to fund Reserve accounts and implement a phased capital improvement program. Although the Bankruptcy was discharged in 2010, the project Lender has retained JKM as a private asset manager indefinitely in order to further enhance the property in preparation for future disposition.