What is Cannabis Business Property Management?
Property management—also known as real estate management—encompasses all aspects of running an income property, from finding and screening tenants to maintaining the property, collecting rent, and handling any issues that arise.
While some professional property management companies specialize in certain types of services and industries, most don’t work within the cannabis industry. At FTG Management Group, cannabis businesses is all we do. Our specialty comes from being in the cannabis industry for 8 years.
Throughout the years we have been working with cannabis cultivation operations, dispensaries, manufacturers, delivery services. We are prepared to take full responsibility for your property to make sure all cannabis businesses in your property are in full compliance with local cannabis business regulations and California state laws—unless you’d prefer to handle certain things yourself.
Here is some information about the services we offer here at FTG Management Group:
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- Finding the right tenants: We have a list of clients that are looking for properties to lease for their cannabis business. We are experienced in the cannabis industry and are aware of the requirements for cannabis industry tenants. We are experts at finding good tenants, and will take care of all the details, including the securing all criminal background and security checks, running credit reports, verifying employment, and collecting previous landlord references.
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- Managing tenants: In addition to finding good tenants, we will manage all aspects of the tenant-landlord relationship. We will handle both routine and emergency maintenance, take care of routine inspections, and manage any situations where conflict resolution is required.
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- Setting the right rental rates: While looking through the classifieds to see what other landlords are charging for similar properties is a fine way to ballpark your rent price, a good property management company will conduct a thorough market study in order to set a rental price for your property, ensuring that you achieve the perfect balance between maximizing monthly income and maintaining a low vacancy rate.
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- Collecting and depositing monthly rent payments on time: If you’ve ever worked in a billing department, you know that securing payment from clients can be difficult, not to mention awkward. Property management companies have efficient, tried-and-true systems in place to effectively collect rent and maintain on-time payments. You’ll find this particularly important if you have a limited number of properties, and collecting payments on time is crucial to maintaining your cash flow.
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- Marketing and advertising your property: Through long experience, a property manager will know exactly where to market your property and how to craft compelling advertising materials—a significant advantage when it comes to filling your properties quickly and avoiding long vacancies.
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- Managing vendor relationships: We have relationships with maintenance workers, tradesmen, contractors, suppliers, and vendors that it’s almost impossible for an independent landlord to duplicate. Not only you will get you the best work for the best price, we’ll oversee any necessary maintenance projects.
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- Ensuring that you’re in compliance with cannabis regulations and property laws: There is a multitude of applicable laws and regulations to abide by when renting and maintaining your rental property in the cannabis industry. These include local and state regulations, as well as fair housing regulations (such as the ADA). We can help you avoid lawsuits by keeping your property up-to-date and in compliance with these regulations.
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- Maximizing the profitability of your time: By having a FTG Management Group take care of the day-to-day aspects of running your income property, your free to spend your time identifying further investment opportunities or otherwise furthering your career.
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- Maximizing the profitability of your money: We will apply for the cannabis business “Conditional Use Permit” with the city or county your property is located, thus being able to charge twice or in some cases triple the going rate for buildings in the area where your business is located.
- We do charge a percentage of your property’s monthly rental rate in exchange for their services. The rate typically runs anywhere from 6-10%, which is generally less than the money you save by doing everything yourself.
Call us today and learn more about FTG Management Group’s services and we can do for you!
