MALOSE KEKANA
Group Chief Executive Officer, Pareto Ltd
SAPOA President
Malose Kekana, CEO of Pareto Ltd says of the company’s involvement in this initiative; “As the leading retail property investor in South Africa, we are passionate about investing in developing a sustainable and high-quality local skills base. This partnership with IREM will not only assist in raising local standards of commercial property management but will also assist in fast-tracking access to the industry for new entrants”.
NEIL GOPAL
CEO of SAPOA
As skills development remains one of the key drivers to achieving high levels of employee and organisational success, SAPOA continues to form partnerships that seek to promote and advance the interests of our industry.
Enhancing existing skills that will in essence enable members to compete on a global stage remains a priority to the success of the industry. With this in mind, we have decided to establish a relationship with the Institute of Real Estate Management (IREM), as this will benefit both our member organisations as well as individuals employed within our Industry.
NEIL GOPAL
CEO of SAPOA
As skills development remains one of the key drivers to achieving high levels of employee and organisational success, SAPOA continues to form partnerships that seek to promote and advance the interests of our industry.
Enhancing existing skills that will in essence enable members to compete on a global stage remains a priority to the success of the industry. With this in mind, we have decided to establish a relationship with the Institute of Real Estate Management (IREM), as this will benefit both our member organisations as well as individuals employed within our Industry.
With The Institute of Real Estate Management being and internationally recognized body that focuses on both property and asset managers, the intention is to enhance and further equip member companies with the ability to take on real estate management’s most dynamic challenges which cover among others, knowledge prepared for the day-to-day problem solving to latest tenant crisis management and analysing market conditions on both the local as well as the international stage.
The IREM holds a number of certifications for both individuals and companies which are, Certified Property Manager Designation, Accredited Residential Manager Designation and the Accredited Commercial Manager Designation.
SAPOA together with IREM will jointly establish chapters around the country which will assist our country with achieving an IREM country status which will have a positive contribution towards building effective international relations and upskilling your staff.
SAUL GUMEDE, CPM®
Raising the bar on asset and property management standards
For years, anyone who had the opportunity could be an asset or property manager in South Africa – but the industry itself didn’t have an accreditation mechanism.
However, this is changing, thanks to the Institute of Real Estate Management (IREM), an international institute for property and asset management which promotes industry professionalism through education and certification.
SAUL GUMEDE
Past President – IREM, & Group CEO – Dijalo, Property Group
For years, anyone who had the opportunity could be an asset or property manager in South Africa – but the industry itself didn’t have an accreditation mechanism.
However, this is changing, thanks to the Institute of Real Estate Management (IREM), an international institute for property and asset management which promotes industry professionalism through education and certification.
Established over 90 years ago, the US-based organisation believes good management translates into value, with professional ethics and education as key pillars.
IREM has over 25 000 members globally in 15 countries. South Africa became a global member in 2019 and now offers educational courses to professional managers.
Property stalwart Saul Gumede, with nearly four decades in the property sector, realised the need for professionalism in the industry. He is the founding member of IREM SA Gauteng Chapter.
Gumede, the CEO of Dijalo Property Services, a company he co-founded, is also co-founder of Dipula Income Fund. He is the former president of the South African Institute of Black Property Practitioners (SAIBPP), past vice-president of the South African Property Owners Association (Sapoa) and former chairperson of the Property Sector Charter Council.
“I stumbled upon the IREM property management journal in the 1980s while working for Old Mutual Properties, and I realised that there was a huge need to have accreditation for asset and property management in South Africa,” he says.
At the time, there were no property degrees offered by any educational institution in the country, except for the valuation diploma. IREM, through its various courses, is designed to enhance the professional standards of asset and property management worldwide. Gumede holds a Bachelor of Commerce degree and acquired the Certified Property Manager (CPM®) credential issued by IREM USA in 1999. At Old Mutual Properties, Gumede held various positions, including those of accountant, financial manager, regional investment manager and regional property manager.
When Gumede was president of SAIBPP, he signed a Protocol Agreement with IREM in Anaheim California in the USA in November 1998 to bring educational courses, training and accreditation into the country. “My credentials provided a platform to advocate the introduction of IREM. For years, this exercise was more about selling the South African property sector and why we needed to professionalise the industry.”
He attended over 20 annual IREM Global conferences held in the USA to learn and network. In 2018, together with other CPMs, they applied to have the first South African IREM Gauteng Chapter. This is also the first IREM Chapter in the African continent.
During the IREM Global Summit in Fort Lauderdale Florida in the USA in 2018, the team invited Thulas Nxesi, former Minister of Public Works, to speak at the conference to motivate for the need of the establishment of a South African Chapter and, ultimately, the IREM Governing Body Council approved the Chapter application.
The following year, 2019, Minister of Public Works and Infrastructure Patricia de Lille formed part of the delegation that attended the IREM Global Summit conference held in San Francisco California in the USA.
How it works
An IREM CPM designation enhances a manager’s knowledge to maximise the value of any property in any asset class. Since 2019, 100 CPM designations have been achieved by the South African Gauteng Chapter and these professionals are in high demand.
Gumede said they initially targeted individuals in the sector who had the influence to bring their teams for training. They collaborated with the University of the Witwatersrand and also approached Cape Town to get their property degree or courses approved by IREM International to enable students to study towards a CPM designation. Discussions will be held with the Universities of Johannesburg and Pretoria this year.
He explains that there are two ways to study towards a CPM designation. Firstly, candidates need to have a property degree from an approved university and at least three years’ experience in 19 prescribed experience areas that a property manager needs to be exposed to. Secondly, many asset and property managers, including their executives, have more than three years of experience but are without approved degrees. A block course programme has been developed for these individuals so that they may take the CPM course and ultimately acquire their designation.
University students with property degrees but no experience are called candidate CPMs. They are placed in various organisations as interns – a project that has been successful as these internships turn into permanent jobs.
Challenges
Pareto has been sponsoring the pilot programme for CPM training since inception in 2017 and Attacq sponsored 10 students once. Participants did not pay to attend the training, but now that the programme has taken off the ground, companies will need to pay for their employees who will be undertaking the training.
“Sponsorship remains a challenge and we continue to engage with industry leaders and companies to support this training initiative.”
Gumede says another challenge is, for example, when people have worked in leasing for 20 years (especially in the public sector) but lack experience in finance, rental collection, facilities management or property management. The course requirements stipulate that candidates should be exposed to 19 areas of work within the asset and property management space. These individuals are likely to be CPM candidates for a long time until they get exposure in the other areas of work.
Globally, IREM also caters for service providers such as marketers, IT and plumbers. South Africa is still developing this programme to include a wide range of industry players. “The partnership with Sapoa will enable the growth of IREM in South Africa. With the Gauteng Chapter comprising 100 CPM professionals, the plan is to further grow membership and open two new chapters in Cape Town and Limpopo,” says Gumede.
SARAH SHEZI
Taking IREM® SA Gauteng Chapter to new heights
Asset and property management specialists with Certified Property Manager (CPM®) credentials issued by the Institute of Real Estate Management (IREM) are rising quickly through professional ranks in South Africa. Introduced in 2018, and with 100 CPMs, professionals say IREM is now established. “The industry can expect changes from a professional perspective,” says Sarah Shezi, president of the IREM® SA Gauteng Chapter, and one of four candidate IREM course instructors.
SARAH SHEZI
SARAH SHEZI President – IREM
Taking IREM® SA Gauteng Chapter to new heights
Asset and property management specialists with Certified Property Manager (CPM®) credentials issued by the Institute of Real Estate Management (IREM) are rising quickly through professional ranks in South Africa.
Introduced in 2018, and with 100 CPMs, professionals say IREM is now established. “The industry can expect changes from a professional perspective,” says Sarah Shezi, president of the IREM® SA Gauteng Chapter, and one of four candidate IREM course instructors.
Shezi is an experienced corporate real estate management professional, specialising in estate management portfolio optimisation at Cushman and Wakefield | Broll. She started her career in the organisation as an intern in 2015 and quickly rose through the ranks to estate manager within the occupier services division.
Her academic qualifications include a bachelor’s degree in BSc in Housing from the University of KwaZulu-Natal and a post-graduate diploma in Property Development and Management from the University of the Witwatersrand.
Passionate about professional education, she is also a seasonal lecturer at the University of the Witwatersrand and student mentor at Excel@Uni.
Sapoa chatted to Shezi about the IREM® SA Gauteng Chapter and where the organisation is headed in 2023.
Talk briefly about your involvement with IREM
I was part of the first cohort to participate in the IREM pilot project in 2017. In the same year, the University of the Witwatersrand approved the accredited IREM designation course for students. Some of us were postgraduates and already working. Upon taking the exam and passing, we received our CPM designations. Those without working experience were candidate CPMs. The knowledge and skills we acquired landed many opportunities to work for some of South Africa’s leading property companies, and many have quickly risen through the ranks due to the international designation and the professionalism attached to this.
How has IREM helped you professionally?
There have been opportunities for networking, sharing insights and advice from CPM professionals. I have developed key leadership skills and professional ethics enabling me to better manage the portfolio and teams, as well as effectively engage with clients. As an occupier representative, it is vital for me to fully understand the properties my clients occupy or intend occupying as these factors are taken into consideration during negotiations and effective managing of their portfolios.
You are now the president of IREM® SA Gauteng Chapter – how did this come about?
I officially became the president on 1 December 2022. Since obtaining my CPM designation in 2017, I have been extensively involved in the organisation. I was part of the steering committee which helped to set up the Gauteng Chapter. Globally, IREM works in Chapters with own committees, such as marketing and finance, which are governed by a set of bylaws. In 2019, I was recipient of the IREM 30 Under 30 Program recognising future leaders. I was also selected to be part of the 2020 IREM Diversity and Inclusion Leader Fellow. In 2022, I was appointed to serve as a board member in the IREM international Academic Outreach and Advisory Board.
Being part of a global community enabled me to tap into a wide network with access to mentoring by senior members. Through my involvement in the chapter, my core interests have been outreaches to university students and mentoring young professionals.
With 100 CPM designations – where to from here?
We are not targeting a specific number but we obviously want to see more asset and property managers being IREM accredited. We also want to increase the Gauteng Chapter membership and, in partnership with Sapoa, IREM will launch two new chapters in Cape Town and Limpopo this year. Furthermore, we want to have more member engagement around topical issues, such as entrepreneurship on starting a property management company.
Since inception, the delegates have been fully sponsored and, from October 2022, we introduced a registration fee. This is to encourage more involvement from professionals, beyond obtaining the designation. We are also in talks with potential sponsors.
How do you intend increasing the Gauteng Chapter membership?
Our current members are brand influencers and requests for membership are often through word-of-mouth and peer marketing. We intend capitalising on this in addition to traditional marketing. South African companies know about IREM and we believe we have cemented our position as a value-adding organisation in the past three years. Our partnership with Sapoa will enable us to reach a wider market. We are also changing our strategy from managing agents to speaking to property owners and investors because they understand the immediate value that CPMs bring to asset and property management.
What are the challenges?
Property has never been seen as a profession. Until now, there hasn’t been any professional body for asset and property managers specifically. Beyond closing property deals, there is more to property and asset management. IREM ensures CPM professionals are on par with industry standards and other sectors, such as accounting. There is a huge gap between working professionals and academics – we want to ensure that high school and university students have sufficient knowledge about property management and make this a career of choice. Sapoa will play a critical role in helping us spread this message.
OUR POSTGRADUATES
ANTON COETZEE – Member, 2022
Taking IREM® SA Gauteng Chapter to new heights
Those passionate about education would know that constant learning is the only way to broaden one’s horizon and tap into new ways of working. While the work is a perfect testing ground for this knowledge, in a dynamic real estate environment, professional education, collaboration and networking with likeminded people cannot be undermined.
ANTON COETZEE - Member, 2022
The value of professional education
Those passionate about education would know that constant learning is the only way to broaden one’s horizon and tap into new ways of working.
While the work is a perfect testing ground for this knowledge, in a dynamic real estate environment, professional education, collaboration and networking with likeminded people cannot be undermined.
Anton Coetzee, a Certified Property Manager (CPM®) and regional property portfolio manager at FNB South Africa, has found immense value in the Institute of Real Estate Management (IREM) – an organisation for property and asset management that promotes industry professionalism through education and certification.
“Even with years of experience in property management, I have always wanted to further my professional education in real estate, and IREM has provided this and more,” says Coetzee.
A former colleague recommended the CPM designation. Coetzee wasted no time in exploring the opportunity and wrote and passed the board exams in May 2022. He was inducted into the organisation in September 2022.
Coetzee is also the secretary for the IREM SA Gauteng Chapter, providing support to the executive committee to ensure the smooth running of the organisation. In addition, he serves as a member of the research committee where they are developing market analysis reports.
“Being a volunteer is my way of paying it forward and encouraging other professionals to consider joining global IREM professionals and tapping into continuous learning.”
With more than a decade in the real estate industry, Coetzee points out that IREM has ensured that the asset and property management industry in South Africa is professionally recognised through the CPM qualifications. Together with its standardised ethics, professionals with CPM designation are in demand. “Since obtaining my CPM designation, I have been approached by various employers – proof that these companies see value in CPM-accredited professionals.”
Initially, the idea of being an internationally accredited professional was the selling point for Coetzee. Having completed the course, he says there has been so much learning and sharing of knowledge that has changed the way he approaches his work at FNB as well as the way in which he interacts with clients and teams.
Coetzee points out that there are so many aspects to asset and property management. The CPM course aligns the two roles, resulting in a rounded learning experience.
He says the changing real estate environment requires that property managers think on their feet and be innovative in their management approach. Whether it’s deciding how much capex is needed for building projects or advising property owners, having these skills on hand can make or break a property manager.
CPMs have access to vast sources of data and case studies to keep them informed, while mentors provide valuable industry insights.
“IREM has given me skills to maximise the value of assets that we manage and given me tools to implement efficiencies within our operations. I have also sharpened my business acumen resulting in my becoming a property investor who can use all the knowledge and skills from the CPM course.”
BOITUMELO TSHIAN – Member, 2018
Essential learning and mentoring for young professionals
Many young people straight out of tertiary and starting their careers often lack coaching and mentoring to guide their career growth.
Boitumelo Tshiane, a Certified Property Manager (CPM) candidate and property manager at Transnet Properties, was fortunate to get extensive mentoring from various experts through the global Institute of Real Estate Management (IREM) network.
BOITUMELO TSHIAN - Member, 2018
Essential learning and mentoring for young professionals
Many young people straight out of tertiary and starting their careers often lack coaching and mentoring to guide their career growth.
Boitumelo Tshiane, a Certified Property Manager (CPM) candidate and property manager at Transnet Properties, was fortunate to get extensive mentoring from various experts through the global Institute of Real Estate Management (IREM) network.
“IREM’s network has opened up vast and constant learning opportunities. As a young professional, it kept me abreast with global trends, facts and ideas within the industry,” says Tshiane.
Further guidance and support has been extended to Tshiane in her pursuit of furthering her studies, including additional reports and learning materials from various individuals to further her career.
Tshiane, who holds a postgraduate degree in Property Development and Management from the University of the Witwatersrand, was introduced to IREM by Professor Sam Azasu during her final year of study. “I was intrigued by the international designation, and wondered what it could do for my career having identified the fact that there is a lack of regulatory bodies for the property management industry in South Africa.” A dedicated volunteer in the IREM SA Gauteng Chapter since she was sworn in 2018 into the organisation, Tshiane is the deputy chairperson of the Leadership Diversity and Development Committee as well as the Education Committee. “I will continue serving on the education committee, engaging in dialogues in order to create awareness about IREM and assist students as well as young professionals.”
She says one of the subjects taken in order to acquire the CPM designation was the ethics exam. “There are valuable principles taught on ethics which contributed significantly to my personal conduct in the workplace.” Overall, she says the global networking experience provided her with insightful knowledge and understanding of property management on a local and global level. “The mentoring aspect of IREM, with different professionals in various geographies, has been instrumental in my career growth. I would encourage young professionals to make use of this platform.” Tshiane says that in a dynamic and ever-changing real estate environment, IREM provides constant learning opportunities to help property managers adapt.
Dedicated to public service, she started her career in town and regional planning at the City of Ekurhuleni where she gained experience in land-use development, compliance and management. Tshiane was part of the operations management committee that spearheaded development programmes within the municipality. Some of these projects include Township Regularisation, Street Naming and the Municipal Planning Tribunal. She was also the planner and development compliance officer for several areas within the municipality.
Her recent career highlight was guiding developers for a proposed solar farm with retail and residential components. Tshiane joined Transnet Properties in November 2022, where she is responsible for managing commercial, industrial and residential portfolios in her region.
She holds a postgraduate degree in Town and Regional Planning from the University of Johannesburg, and is registered with the South African Council of Planners (SACPLAN).
Tshiane has been acknowledged for her research skills, which include The Routledge award by the International Society of City and Regional Planners (ISOCARP), Best Young Professional Planner by the South African Planning Institute (SAPI) and the UKZN Deans Award for Cornubia low-cost housing case study.
LEEMISA NEO TSOLO – Member, 2018
IREM: Bridging the educational gap in South Africa
For years, and without a professional body for property managers, anyone with a matric qualification could become a property manager. The South African landscape is changing, thanks to the Institute of Real Estate Management (IREM), an international institute for property and asset management that promotes industry professionalism through education and certification
LEEMISA NEO TSOLO - Member, 2018
IREM: Bridging the educational gap in South Africa
For years, and without a professional body for property managers, anyone with a matric qualification could become a property manager.
The South African landscape is changing, thanks to the Institute of Real Estate Management (IREM), an international institute for property and asset management that promotes industry professionalism through education and certification.
“IREM will help bridge the educational gap while also creating an official incubation hub for property management education,” says Leemisa Neo Tsolo, Certified Property Manager (CPM®), and head of asset management for the retail portfolio at Attacq.
Tsolo says many decaying buildings are the result of ineffective property management practices and strategies beyond rental collection that relate to the maintenance, health and safety of properties, in pursuit of achieving the owners’ return targets. Internationally recognised, the CPM designation is equivalent to NQF level 8 or an honours degree. The qualification provides essential foundational skills to help equip asset and property professionals with effective management capacity.
He says the IREM SA Gauteng Chapter is working towards getting the CPM designation locally accredited, thus enabling the creation of solid partnerships and increasing skills within the sector.
Many people in the property management space, such as lease administrators and credit controllers, lack exposure to all elements of property management and are missing out on promotions and opportunities. This could be due to lack of relevant degree qualifications needed to study towards a CPM designation.
Acknowledging this need and the historic transformation challenges in the country, IREM offers block courses for these individuals, by recognising their experience and building on that to acquire the required designation.
“Many of these individuals have never been properly groomed and, therefore, are missing a big chunk of professional education to propel them forward.”
Within his team at Attacq, Tsolo has identified at least five people with the potential to undertake the IREM course and join other accredited CPMs globally.
Tsolo obtained his CPM designation in 2018. He has been a volunteer since becoming a CPM, assisting those struggling with passing exams as well as being part of the IREM SA Gauteng Chapter research committee. In 2021, he was voted in as secretary and has been serving in this capacity. He is now the organisation’s president elect.
In 2018, then University of the Witwatersrand associate professor in real estate, Sam Azasu, called Tsolo to be part of the pilot post-graduate diploma in property development and management.
His real estate career started as a junior property manager at Broll Property Group. Although he had the qualifications and experience, he found that there was a gap between strategy and property management – this is where IREM has been a game changer.
“Even with all the qualifications and experience, I still needed to fully grasp property management; IREM has given me the confidence and underlying fundamentals to operate from.”
Tsolo says asset management is financially focused with responsibility for strategy, while property management is more operational. Among other key subjects, understanding financial modelling and its implications on the lifecycle of the asset is key. “IREM brings these two roles at lot closer while closing the professional education gap.”
NEO MOSEB – Member, 2022
Unlocking value in public real estate assets
The South African government – the biggest property owner in the country – acquired assets because departments required offices and buildings from which to render services.
However, a masterplan to leverage these assets was not adequately devised or implemented, hence government finds itself with many properties, and many are in bad condition due to lack of maintenance and proper management
NEO MOSEB - Member, 2022
Unlocking value in public real estate assets
The South African government – the biggest property owner in the country – acquired assets because departments required offices and buildings from which to render services.
However, a masterplan to leverage these assets was not adequately devised or implemented, hence government finds itself with many properties, and many are in bad condition due to lack of maintenance and proper management.
“We are not sweating government assets enough and a lot can be achieved with effective asset and property management strategies in place,” says Neo Mosebo, Certified Property Manager (CPM®) and deputy director general for property management at the Department of Infrastructure Development.
Mosebo says that government does not collaborate adequately; she has suggested a need for a joint planning team to draft a property masterplan. The state of public assets is not in good condition and there are no maintenance funds.
“If the government worked collectively, we could pool resources and execute tasks based on a plan to maintain buildings and repair infrastructure.”
The education and certification offered by the Institute of Real Estate Management (IREM) has enabled Mosebo to view assets differently and spot opportunities to turn many properties into income-generating assets.
“The challenge in the public sector is a lack of financial resources, building capacity and know-how to work with the private sector. I believe IREM will play a huge role in this regard.” A dedicated public servant, Mosebo started her career as a town planner and pursued property studies to further her knowledge. While studying towards a postgraduate degree in Property Management and Development at the University of the Witwatersrand, she landed a part-time job as a leasing consultant at the then Department of Public Works. A permanent position as assistant director for disposals became available and she continued with her studies during this time.
Even with this experience and her qualifications, Mosebo felt she needed more property knowledge. This quest led her to Transnet Ports Authority as a property administrator – a job she accepted to gain experience. Within a year, she was promoted to property manager and was exposed to facilities management and leadership while leading teams in Durban and Richards Bay, among other cities.
Mosebo moved between Public Works and Transnet and held positions that included asset manager and national property manager before being headhunted to launch a real estate division at the Department of Infrastructure Development.
Mosebo obtained her CPM designation in 2022. Her accreditation resulted in her chairing the 12th Annual Public Sector & Land Management Conference. “Belonging to a professional body with international accreditation carries so much clout and commands respect from clients and other professionals.”
Mosebo notes that being self-taught is good. IREM combines learning from both the public and private spaces to professionalise one’s knowledge. The CPM course delves deeper into various facets of asset and property management.
“I’m passionate about coaching and mentoring and so I hope to add value to the IREM SA Gauteng Chapter committee on education by helping to spread the word about IREM and the benefits of international accreditation.”
OLIVE NDEBELE – Member, 2019
Managing to make a difference
By its nature, property management is a multi-disciplinary environment which can be very generic with a risk of mediocrity. A lack of recognition and professional exposure in this area also adds to this.
The Institute of Real Estate Management (IREM) encourages excellence in all aspects of property management. This includes finding an area in which you can excel, and digging deeper into implications that can affect financial returns, valuation as well as the lifecycle of an asset.
OLIVE NDEBELE - Member, 2019
Managing to make a difference
By its nature, property management is a multi-disciplinary environment which can be very generic with a risk of mediocrity. A lack of recognition and professional exposure in this area also adds to this.
The Institute of Real Estate Management (IREM) encourages excellence in all aspects of property management. This includes finding an area in which you can excel, and digging deeper into implications that can affect financial returns, valuation as well as the lifecycle of an asset.
“IREM teaches you to make a difference by giving you a global perspective on property management,” says Olive Ndebele, a Certified Property Manager (CPM®) and renowned retail portfolio executive.
The learnings from the organisation enable property managers to be relevant and stay ahead of the curve.
Ndebele has over 30 years of real estate experience, mainly in retail. She manages a portfolio comprising coastal and inland shopping centres, owned by Pareto, which are valued at approximately R40bn.
She started her career in township retail which gave her an advantage in understanding key retail segments, demographics and consumer buying behaviour. Ndebele is also an experienced commercial and office property manager, but retail is where her passion lies. “Retail is an exciting space and the heart of the real economy. It comprises living and breathing spaces where people shop and socialise and express themselves.”
The retail sector offers many career disciplines, such as leasing (sales), finance, facilities management, project management, engineering facets such as electrical and structural, and there is never a dull moment.
Ndebele was introduced to IREM by SA Gauteng Chapter founding member Saul Gumede. She obtained her CPM designation in 2019 and is also the chairperson of IREM SA Gauteng Chapter Education Committee. She was recently appointed as the marketing executive for IREM SA Gauteng Chapter.
She holds numerous qualifications in property management from the University of Pretoria, as well as postgraduate management qualifications from the University of the Witwatersrand and University of Cape Town. Leadership and management development are her key qualifications.
“The CPM programme allowed me to broaden my horizon and understand the full story behind the numbers and how to predict future income. Importantly, knowing what the property owner’s objectives are regarding an asset or portfolio over the short-and long-term has been an eye opener.”
She says marketing to the right tenant and market, as well as aligning that strategy to the owner’s objectives, is a key focus learning area for IREM. Ndebele says the course also enables professionals to gain insight into the fundamentals of property maintenance (often left to facilities management). It dives deep into the plant and equipment aspect, lifecycle costing and its impact on capital expenditure as well as overall asset financial performance – an area which was previously also left to the specialised function of facilities management.
Although asset and property management roles often overlap, the CPM course brings these roles together. A modern property manager needs to marry the operational aspect with the financial consequences of the current and future income of the asset.
“All this knowledge informs your management style, strategy development and asset value enhancement. It enables you to think differently and be open-minded.”
IREM is a collaborative and network-driven organisation that enables free sharing of insights and advice among members globally. “Building the brand and exposing the IREM SA Gauteng Chapter to local stakeholders will be key in the next three years.”
PATRICK KATABUA – Member, 2021
The changing role of property management
In the past, a property manager’s role was to collect rent on behalf of the landlord or property owner. Other elements of management were either outsourced or largely ignored. This resulted in assets not achieving substantial value during their lifecycle. With an ever-changing property environment, a property manager’s role goes beyond rent collection. Modern property managers understand asset and facilities management and how best to optimise the asset to extract value
PATRICK KATABUA - Member, 2021
The changing role of property management
In the past, a property manager’s role was to collect rent on behalf of the landlord or property owner. Other elements of management were either outsourced or largely ignored. This resulted in assets not achieving substantial value during their lifecycle.
With an ever-changing property environment, a property manager’s role goes beyond rent collection. Modern property managers understand asset and facilities management and how best to optimise the asset to extract value.
“Property owner and investor demands have changed from just collecting rent from a building to realising sustainable income returns from the asset,” says Patrick Katabua, Certified Property Manager (CPM®) and Africa Desk account director at Cushman and Wakefield | Broll.
Katabua says that with a lot more focus on sustainabilty and green buildings, occupiers demand to lease buildings with green credentials or find out what landlords are doing to ensure their buildings are sustainable.
Since the property manager deals directly with the occupier/tenant, it becomes imperative that they possess knowledge and skills to manage in a changing environment.
Katabua has years of experience in client relationship management and tenant representation, both in South Africa and other Sub-Saharan African countries. He started his career in construction as a site engineer, moved into banking and then entered occupier services due to the growing need in the transactional advisory space. He understands strategy in real life and how best to utilise space. His previous and current roles encompass various aspects of management, strategy, team leadership and project management.
Obtaining the CPM designation has added value to how he engages with clients and teams, as well as formulating management strategies.
It wasn’t until about two years ago that Katabua became a CPM –following years of being a friend of the Institute of Real Estate Management (IREM).
“It is more than getting the designation – it is the journey through the process and becoming part of a professional global learning community.”
Katabua says there is a lot of shared value in collaborating with management professionals with diverse mandates worldwide. “With so many moving parts within the property sector, it’s wise to be ahead of the curve. The more knowledge we have, the better prepared we are to tweak our management strategies in line with changing needs.”
He says networking is education itself. It enables the sharing of best practices to take back and apply in the workplace.
The property management landscape has changed. Not so long ago, there were few players in the sector, but now there are a lot more credible and savvy operators with many innovative offerings from a negotiation perspective. Tenants, too, have a lot more choice of buildings they want to occupy and more say on what they are prepared to pay.
IREM not only ensures the professionalism of asset and property management, but it also provides ongoing and relevant professional education.
“I urge property managers to take advantage of the continuous professional education offered by IREM and become part of a fast-growing global community.”
RODRICK LIMA – Member, 2017
The value of a property manager
With growing demand and many people investing in property, understanding the key fundamentals of managing and maintaining assets is key.
“It is important that investors think about the property manager who will look after their asset when planning investments,” says Rodrick Lima, an Institute of Real Estate Management (IREM) Certified Property Manager (CPM®).
RODRICK LIMA - Member, 2017
The value of a property manager
With growing demand and many people investing in property, understanding the key fundamentals of managing and maintaining assets is key.
“It is important that investors think about the property manager who will look after their asset when planning investments,” says Rodrick Lima, an Institute of Real Estate Management (IREM) Certified Property Manager (CPM®).
Lima says IREM has changed the asset and property management industry in South Africa through the promotion of industry professionalism, providing professional education and certification.
He has extensive asset, equity and property management but found immense value in the CPM course he completed in 2017. Lima says the course gave him in-depth knowledge of property management and how to effectively manage assets in a changing landscape.
“The CPM course has been like a teacher pushing me to be a better version of myself, be ethical and professional, and effectively implement some of the learnings in my work.” Beyond the CPM course, IREM is a learning hub with numerous resources and case studies.
The global network provides a platform to engage other CPMs, ask questions and obtain advice on practical matters relating to asset and property management.
Lima says the IREM also exposes professionals to a wide range of property management systems. “This exposure enables professionals to explore outside what is known to find better and more effective software suitable for their operations.”
Since becoming a CPM, Lima has attended three global annual conferences, and has always been encouraged by the sharing of knowledge and expertise among professionals. He says the CPM designation has been rapidly recognised internationally and, in the US, it is a requirement for anyone wanting to work for the government.
During a recent visit to the US, he spent time with CPM colleagues who shared their expertise on software (Avatar) that, for example, brings a new experience to remote working. Under normal circumstances, it would have been difficult, if not impossible, to connect but the IREM network provides this and more, he says.
Lima is the director of the Rodima Property Group, a property services company, and director of Real Estate, Acquisition & Leasehold at the Department of Public Works and Infrastructure (DPWI). The government leases about 2 300 private buildings for departments such as Home Affairs and the South African Police Service.
He says there is potential to unlock asset value in public assets. However, the public sector needs to find better ways to manage its assets and procurement processes as well as reduce red tape. Traditionally, the government’s property management systems have not been upto-date and this drags the workload.
During his career spanning more than 13 years, he has managed commercial, retail and residential property in the private and public sectors. Lima started his career as an equity and asset portfolio manager at R.I. Direct Group. He has been in leasing, property and portfolio management positions for the Billion Group and Live Easy Property Management. Lima is also a third-year student associate-lecturer at the University of the Witwatersrand.
TUMELO RAMUSH – Member, 2017
Effective management of public assets
In the South African context, we talk of private and public real estate assets, but the two are vastly different in the way they are managed.
The government, also the biggest real estate asset owner, plays a crucial role in the entire real estate ecosystem and has reach in
TUMELO RAMUSH - Member, 2017
Effective management of public assets
In the South African context, we talk of private and public real estate assets, but the two are vastly different in the way they are managed.
The government, also the biggest real estate asset owner, plays a crucial role in the entire real estate ecosystem and has reach in the different value chains of the industry. It also has oversight responsibilities to ensure that both state-owned and privately owned real estate markets are compliant with proposed legislated practices and contribute meaningfully to developmental mandates, economic viability and sustainability.
The state provides for approvals of property developments, rates and tax policies and, yet, it lacks meaningful and practical legislation, framework and governance pertaining to the management of its property portfolio.
Tumelo Ramushu, a Certified Property Manager (CPM®) and general manager for property management at Transnet SOC Ltd, says real estate – private and public – should be viewed as an industry collectively, rather than separately, in a bid to begin more integrated industry collaborations than sector-specific. However, he points out that the lack of participation by public real-estate management entities in relevant industry body platforms has resulted in poor understanding of the paradigms that parallel both sectors.
“Some of the purposes of the Public Finance Management Act are to regulate financial management in the various levels of government and ensure that all revenue, expenditure, assets and liabilities of those organs of the state are managed efficiently and effectively.”
Ramushu says the state needs to consider a bill inviting all stakeholders to envision an equally robust mandate in the management of state assets that does not violate the principles embodied and enshrined in the current legislative framework.
“The state as the custodian of legislation should consider a lot more effort in operational efficiencies in their own portfolio as a significant landlord in the industry, and introduce thought leadership in areas of technology and sustainability practices in real estate industry.”
Furthermore, this legislation should consider the states’ constitutional mandate that creates a more inclusive and prosperous sector of the economy, centred around operational efficiencies without unnecessary red tape and bureaucratic rigidity, which is at the heart of slow economic and transformational imperatives. He says the challenge facing government is that there are too many pieces of legislation.
Property management tends to adopt from other Acts to adhere to certain requirements. “A property management Act will result in the efficient management of public assets currently stifled by numerous Acts and lack of proper strategy.”
At Transnet, Ramushu is responsible for the national property portfolio of Transnet Property, which includes selected properties within other Transnet Operational Divisions.
He started his career in the private sector at JD Group as a property consultant in 2013. He held positions in property, retail and portfolio management for companies including Broll Property Group, Growthpoint and Mowana Properties before joining Transnet.
Ramushu is an experienced real estate and asset management professional, as well as an advisor, with a wealth of knowledge in real estate analysis, economics and research.
His educational qualifications include a master’s degree in Property Development and Management from the University of the Witwatersrand (Wits), a Master’s in Finance and Investment (MMFI) from the Wits Business School and an honours degree in Property Valuation and Management from the University of Johannesburg.
He was introduced to the Institute of Real Estate Management (IREM) while studying for his master’s degree at Wits. He was part of the first cohort to pass the board exam and obtained the CPM designation in 2017. “The CPM course provided additional insights into the asset and property management sectors along with global best practices, with key practical takeaways in the portfolios that I managed.”
He says the biggest opportunity for the public sector is to learn how reputable property owners in the industry manage their portfolios. Learnings from IREM could be applied, along with getting more people in the public sector to become designated real estate professionals by virtue of their accreditation as CPMs. Designation implies that state assets are being managed by skilled professionals with technical background and know-how, with an understanding of the role of real estate in the broader economy – individuals who not only take an oath of professional and ethical conduct, but actually adhere to it, with sufficient controls within state organs.
Ramushu says IREM provides a broader understanding of the value chain of property management. With this knowledge and seeing the results of effective management, Ramushu, with support from the Transnet Property executive team, resolved that all national and regional heads responsible for the various property portfolios would undertake the assessment process to become IREM Certified Property Managers.
“IREM is not a voluntary membership-based organisation – there is a level of knowledge and a board exam to pass to become an internationally accredited professional. A designation not only recognised globally but one that significantly imparts the knowledge to meaningfully manage portfolios of real estate assets.”