Our goal for property management is for every property to perform at its “highest and best use”, which we work with owners to identify the depth and breath of what this means for each property.
In following with this philosophy, we are confident that we can provide quality living conditions for our tenants, while building cash flow and wealth for our owners.
K.I.G. Capital Real Estate maintains a personal approach with owners and residents in order to implement the highest level of efficiency and effectiveness throughout the operation of an investment asset, no matter its size or value. We believe that managing all of our properties with a responsible and flexible management style leads to increased and more consistent profitability. In being proactive, not reactive, we strive for excellence.
How We Got Started:
In 2004, we began buying houses and apartment buildings with the goal of real estate syndication in mind. We were increasingly displeased with the way other property management companies we had hired were mismanaging our investments.
In a classic example of “WE CAN DO BETTER!” we added property management to our operations. Years later, we are still proving ourselves right every day with every property we manage for our clients.
A sophisticated husband/wife owners of a building in San Pedro called us in desperation. They had hired and fired two other property management companies in 12 months for mismanagement. There was rampant drug use as two of the tenants were dealing drugs out of their units. There was prostitution, trespassing, vandalism and graffiti. We were confronted with a 25% vacancy rate. This was a HUGE liability for the owner and was certainly affecting his investment. K.I.G. Capital took over management and immediately worked with local LAPD, the City Councilman’s office, neighbors and the good tenants, to bring attention to this specific building. We increased police patrol of the area and surrounding the building. We worked with the neighborhood patrol to install cameras and improved lighting throughout the property. We aggressively got rid of the problem tenants with minimal cost to the owners. We fixed up and leased the property to quality and qualified tenants and reached 100% occupancy within a few short months. We regained control of the individual garages and leased them out to qualified tenants for additional income! We increased value of the property by 35% in just 6 months.
An owner contacted us to manage their high-end home in Beverly Hills. Our client hired us to manage their property ONLY and that they would handle the leasing part of finding a tenant. The owners found prospective tenants, however, prior to signing the lease, we requested that we take a look to verify the prospective tenants’ qualifications. As a result of our exclusive due diligence processes for qualifying tenants, we learned that the tenants, although having a good credit score and income verification, had recently filed for bankruptcy, had an eviction on their record and were planning on running a high-end escort service out of the back house. It was a result of our aggressive, comprehensive and exclusive background check and verification process, which allowed us to discover this information. Needless to say, our clients were very pleased with the fact that we caught this prior to executing the lease, thereby saving them a costly eviction in the future.
An owner of a high-end luxury condominium in West Hollywood hired us to manage their condo unit for them – they were hiring their broker to handle the leasing aspect. The owner’s broker spent tons of time and money advertising the unit for rent. During the application stage with the prospective tenant, K.I.G. Capital called the building’s HOA management only to learn that the CC&Rs precluded the owner from renting out his unit during the first 12 months of ownership. Had the owner entered into a lease agreement with that new tenant, the owner would have been exposed to liability – especially in a rent controlled area of West Hollywood. As a result of discovering this unfortunate technicality in the CC&Rs, we nonetheless saved the owner thousands of dollars in legal fees.
In another rent-controlled building that we manage, various tenants were paying 40% below market rent. During our due diligence, we learned that one of the tenants was living in his unit unlawfully. The tenant’s friend had the lease with the old property management company but moved out and had his friend (the current tenant) move in without consent from the owner/management – an unlawful assignment of the lease. Both prior property management companies missed this minor but major detail. We caught it. We were able to avoid a costly eviction for our owner clients and instead negotiated with the new tenant to sign a new 12-month lease and raise his rent to market rent immediately!