Caton’s Barbara Montes and Amy J. Hall: Pandemic-Era Property Management Brings Unique Challenges Across Residential and Commercial

For commercial real estate, the pandemic ushered in a slew of changes from the standpoint of both fundamentals and operations—but perhaps no aspect of CRE was impacted as greatly as property management. Caton Commercial, whose suburban Chicago activities run the gamut from leasing and investment sales to management of a variety of property types, has seen these effects first-hand. Here to provide an overview of pandemic-era protocols—some of which will fade from use and some that are here to stay—are Barbara Montes, managing director of Caton Property Management and Amy J. Hall, COO of Caton Commercial Real Estate Group.

Q: What safety/health protocols arose or increased in prominence across the different property types Caton Commercial manages?

A: Hand sanitizing stations, toe hold door openers and increased cleaning schedules are a few of the norm safety features and protocols now in place for many property owners. Industry wide, we have seen owners update filters and ventilation systems, install automatic doors, put in UV lighting, etc. Signage for masking and distancing policies are commonplace. We have worked to create resource sheets for our clients so they can stay up to date with the changing requirements.

Q: Which are likely to diminish in importance as the pandemic is put behind us, and which are pretty much established permanently now?

A: Many of the protocols may stay in place for the foreseeable future as the pandemic continues to be a part of everyday life. Two of the things that may diminish, as the need diminishes, are the hand sanitizing stations and the additional signage.

Q: Caton Commercial manages both commercial and residential properties. What are the unique challenges or considerations of commercial compared to residential?

A; Anytime there is a residential component, you are dealing with a person’s most personal side of living. They expect all of the features, amenities and utilities within their living space to be in working order at all times, which means as a manager, you are always on call. With commercial, you are also always on call, but most commercial locations are closed overnight, so those after-hours instances are less frequent. There are also additional safety protocols that must be considered when dealing with full-time residential dwelling that do not come into play with traditional commercial units.

Q: What are the similarities and differences between apartment management and co-living management (more broadly, not only from a health/safety perspective)?

A: Managing between traditional apartment assets and co-living assets is fundamentally similar. The nuances to co-living are like what you will find in student housing. With many co-living models, you will have an enhanced programming and events component, as well and cutting-edge prop-tech that helps to provide a seamless experience for the residents, that you may not find in traditional multi-family or student housing.

Q: Within office, how does the prospect of hybrid working arrangements going forward for many tenants–along with new distribution of desks within the office–affect property management?

A: The office sector is going to have segments that go through some type of restructuring coming out of the pandemic, just like every sector usually has to adapt as a result of cycle demands. Office footprints and needs may be quite different for some users as the seek to right-size based upon stabilized officing patterns have immerged. I think it is too soon to say what that will look like. On the management side, there will continue to be evolving health and safety protocols, and tech-enabled functions and amenities within the buildings themselves. We will adjust and adapt as technologies continue to evolve, and we will continue to educate ourselves and our clients as to products and platforms that can make the assets more efficient, safe and profitable.