Property management is an optional competency on the commercial real estate pathway that requires a breadth of knowledge and understanding of statute and practice alike.
RICS' pathway guide states that the competency 'covers all aspects of day-to-day functions associated with property management. This includes issues relating to works, health and safety, landlord and tenant relationships, and service charges – in general, any matter associated with the smooth running of a property.'
The requirements for this competency by level are, briefly, as follows.
- At level 1, you should be able to demonstrate 'your knowledge and understanding of property management and the relationship between owner and occupier', which will include understanding legislation, regulations and RICS guidance.
- At level 2, you should be able to 'apply the principles of property management to provide solutions to issues affecting both owners and occupiers of real estate', including reporting on statutory compliance issues.
- At level 3, you should be able to 'provide evidence of [having given] reasoned advice including the preparation and presentation of reports in relation to property management', which will involve advising on any issues of statutory compliance.
Candidates must know about practice, statute and guidance
At level 1, you should be familiar with a range of practice, legislation and regulation. We have grouped this into various themes. As you will note, there are a wide range of potential areas of knowledge you may need to be aware of.
Which area you specifically learn about will depend on your area of practice and examples stated in levels 2 and 3 across your whole breadth of competencies.
Building control and planning:
- the function of building control, the Building Regulations 2010 and approved documents and enforcement action
- the planning framework and planning consents, together with related issues such as tree preservation orders, listed building consent, conservation areas and directions under article 4 of the Town and Country Planning Act 1990.
Health and safety:
- Control of Asbestos Regulations 2012
- Corporate Manslaughter and Corporate Homicide Act 2007
- Electricity at Work Regulations 1989 and portable appliance testing
- Gas Safety (Installation and Use) Regulations 1998
- Legionnaires' disease
- Lifting Operations and Lifting Equipment Regulations 1998
- Health and safety, including the Health and Safety at Work etc. Act 1974, the Management of Health and Safety at Work Regulations 1999, Work at Height Regulations 2005, Control of Substances Hazardous to Health Regulations 2002 and Construction (Design and Management) Regulations (CDM) 2015
- Occupiers' Liability Act 1957 and the Occupiers Liability Act 1984
- Pressure Systems and Safety Regulations 2000
- Provision and Use of Work Equipment Regulations 1998
- Regulatory Reform (Fire Safety) Order 2005, Fire Safety Act 2021 and the Building Safety Act 2022
- Water Supply (Water Fittings) Regulations 1999.
Landlord and tenant and property management:
- Defective Premises Act 1972
- how leases and licences work, including licences to alter
- insurance, including how this is dealt with by leases, professional indemnity insurance and public liability insurance
- leasehold obligations and the law, such as the Landlord and Tenant (Covenants) Act 1995
- Private Security Industry Act 2001
- Transfer of Undertakings (Protection of Employment) Regulations 2006.
Environmental:
- air conditioning and the ban on refrigerant, R22
- environmental legislation, including the Environmental Protection Act 1990
- Minimum Energy Efficiency Standard and energy performance certificates.
Mandatory competency related:
Key RICS publications you should also be aware of at level 1 include the current editions of:
Higher levels require insight on application and advice
Typical areas where you might need to prove how you would apply this knowledge at level 2 include:
- dealing with licences to alter and other types of consent pursuant to a commercial lease
- inspecting and preparing reports on various issues of statutory compliance, which may involve instructing others to provide specialist advice or reports
- dealing with health and safety obligations
- reporting on lease obligations
- understanding action that could be taken by your client in relation to breaches of lease by landlord and tenant
- understanding the legal requirements associated with multi-let or managed properties.
In turn, at level 3 you will need to evidence your experience of offering advice on relevant issues such as:
- lease obligations
- relevant case law for a variety of instructions
- statutory compliance in relation to matters such as access, asbestos, energy, planning and environmental issues; this may include seeking input for your reports from other professionals where the work exceeds your scope of competence
- statutory obligations
- the application and interpretation of lease terms.
You may also be required to use your negotiation, communication and business skills to advise on contentious statutory compliance issues and applications, e.g. licence to alter or assign, or a planning application or Building Control application on behalf of clients, together with advising within the associated legal frameworks.
Interview will focus on individual experience
You should be familiar with the property manager's role and responsibilities when it comes to statutory compliance for various types of commercial property. What you write about in your summary of experience will be defined by your role, and you are not expected to cover everything listed above.
The summary should contain two or three practical examples at both levels 2 and 3, written in the past tense and the first person. You may also include elements of this competency in your case study and detail relevant knowledge acquisition in your CPD record.
You will then need to be ready to address questions on your examples and knowledge in your final assessment interview. Actual questions will be based on your experience, which will start at level 3 and focus specifically on the examples that you have put forward.
Always answer the assessors' questions based on your practical experience, ensuring that you explain the advice you gave at level 3 or what you did at level 2.
The 60-minute interview is very short, so your answers should be concise and considered. Avoid the temptation to tell the panel everything you know about a specific example or the competency as a whole.
A sample answer at level 3 is given below, which you can apply to your specific examples.
You will need to ensure that your answer reflects your own experience and the reasoned advice you have given. Think logically about the measures you took and the justification for your advice. Best of luck.
Q: You have given an example where you took on the management of a retail unit built in the 1960s that your client had recently purchased. What was your advice on any of the statutory compliance issues?
A: I asked my client for any documentation they held on file about asbestos, including an asbestos report and management plan, because the property had been built before use of the material was banned. The client was unable to provide anything, though, as they had not been provided with any relevant documentation as part of the purchase.
I therefore advised that they should instruct an asbestos surveyor to inspect and provide an asbestos report and management plan, which would identify any asbestos-containing materials (ACMs) in the building.
These could then be managed appropriately and identified to any contractors or future tenants of the property. I then advised that, before any refurbishment works commenced, a refurbishment and demolition asbestos surveyor should be employed to ensure such works could proceed safely.
Before I undertook a routine management inspection, I also checked the newly commissioned reports to ensure I would not disturb any ACMs on site.
Jen Lemen FRICS is co-founder of Property Elite
Contact Jen: Email
Related competencies include: Property management