Question

What potential operating cost synergies can you have when owning a number of real estate assets?

Answer 1

Potential operating cost synergies when owning a number of real estate assets :

• Marketing strategies: Lower Marketing Strategies Cost when having a number of real estate assets. Even using different channels for promoting business can be done for all of the properties at a time.
• Sharing of Resources and Office: Managing multiple real estate property can be done through a single office that will enable in a cost-saving of the firm.
• Lower Salaries: Multiple Assets can be managed with lower no of employees as compared to a single asset. Lower employee means lower salaries.
• Managing Efficiently: Streamlining maintenance process timing and Operating instructions. Which will enable both time and cost savings.