This Agreement is made on ____________, 200__, between ________________________________________ (the Landlord) who owns and has the right to lease the premises as defined below and Reliance Property Management Group, LLC (Agent), in consideration of the mutual terms of this Agreement the parties agree as follows:
1. The Landlord desires to have the Agent manage the premises and the Agent has agreed to accept such appointment as Agent of the Landlord.
2. Description of the premises: The property to be managed by the Agent under this Agreement is located at: ___________________________________________________________
3. Agent's Responsibility: The Agent agrees and the Landlord authorizes the Agent to do any and all lawful things necessary for the fulfillment of this Agreement and to enter into contracts and agreements as Agent of the Landlord as may be necessary in the fulfillment of this Agreement including, but not limited to, the following:
To rent and lease the property, and to advertise the property at Landlord's expense and display signs thereon for that purpose; to sign, renew and cancel rental agreements and leases for the property; to commence any legal proceeding or take any legal remedies available to the Landlord pursuit to a lease or in law or in equity for the recovering of any owing and unpaid rent and for the loss of or damage to any part of the property; and where expedient to settle, compromise or discontinue any such proceeding.
Collect all rents and other charges payable by the tenants of the property as they become due.
To maintain detailed and proper records regarding all financial transactions and to provide the Landlord each month a statement of receipts and disbursements made during the proceeding month no later than the 15th of the following month.
To hire, supervise and dismiss as may be necessary from time to time all persons required for the proper operations, maintenance and repairs of the property and its equipment.
Landlord authorizes Agent to attend to the making of necessary property maintenance, repairs, and cleaning in and to the property and the purchase of incidental supplies at Landlord's expense. To this end, Landlord agrees to maintain as an operating and/or reserve escrow balance in the amount of $250.00 with Agent to make routine repairs, service or replacements, and related expenses above and beyond routine property management duties. Costs of appliances, hot water heaters, furnaces and other repairs, replacements or improvements shall be billed to Landlord at actual contract costs to the Agent. A reasonable charge may be made for time or charges made necessary by governmental laws or regulations and compliance with such rules or regulations, or excessive time spent in protecting the Landlord's interests in any way, such as legal actions or inspections. This maintenance fund is to be maintained from the balance of rent monies or by additional funds promptly remitted by Landlord upon notice from Agent.
Except in the event of emergencies, expenditures exceeding $250.00 will be made by Agent only after being authorized to do so by Landlord. It is agreed and understood that emergency repairs are those which, in the opinion of the Agent, are expedient, desirable or necessary for the health, comfort and safety of the Tenant or for the protection of the property or to maintain services to the Tenant as called for by the tenancy, which the Landlord authorizes Agent to make.
In the event the Landlord desires to sell the property during the term of this Agreement or any renewal thereof, the Landlord agrees to engage the Agent to list the property for sale for a period of not less and ninety (90) days.
4. Liability of the Agent: The Agent shall not be liable for any arrears in the collection of rents or for any other damage, loss, injury or liability incurred in relation to the management of the building unless any such damage, loss, injury or liability results from the negligence of the Agent or those for whom it is in law responsible.
5. Compensation of the Agent:
Management Services: A fee of 8% of the total monthly gross rents collected by Agent per month.
Leasing Fee: To pay the Agent a leasing fee of 100% of one month's rent for a one (1) year lease. The leasing fee is in addition to the management fee. Leasing and management fees are non-refundable. In any event where the Agent is required to negotiate and/or has signed a lease renewal or extension, regardless of the term, no renewal or extension fee will be paid to the Agent.
6. Term of Agreement: The terms of the Agreement shall be for an initial period of one (1) year beginning on ___________________, 200___, and ending at the end of ___________________. 200___, and thereafter shall be automatically renewed form year to year unless terminated thirty (30) days prior to the end of a term.
7. Leasing and Renting
Agent's Authority: The Agent shall make all reasonable efforts to keep the premises rented by procuring tenants. The Agent is authorized to prepare and sign all leases, including all renewals and extensions of leases and to cancel and modify all existing leases. The Agent shall sign all leases as Agent for the Landlord. All costs of leasing shall be paid out of the Landlord's operating and/or reserve escrow account.
Exclusive Rental Agent: During the term of this Agreement, the Landlord shall not authorize any other person, firm or corporation to negotiate or act as a leasing or rental agent with respect to any leases on the premises. The Landlord shall promptly forward all inquiries about leases on the property to the Agent.
Rental Rates: The Agent shall employ best efforts to obtain a suitable tenant as soon as possible, at a monthly rent of Market Value or such other amount as may be agreed upon by the Landlord or the Agent but not less than Market Value.
IN WITNESS WHEREOF, the parties hereto have signed this Agreement on the date first set forth above.
