Property Management Inc

How ProPerty manaGement inC. Has beCome one of tHe larGest franCHises of its KinD in tHe us

The property management brand has hit the 400 unit milestone and is making an imprint with its unique and profitable business model.

When it was founded in 2008, Property Management Inc. (PMI) was one of the first property management franchises in the country. Entering into a market that was full of business opportunities, CEO, Co-founder, and President Steve Hart created a recessionresistant model with multiple pillars and streams of revenue for franchisees.

In addition to being one of the oldest franchises of its kind in the nation, it’s now one of the largest. Hart and his extensive team have grown PMI into a brand with over 400 territories, 100,000 properties and $50 billion in assets, located in 47 states and places like the Dominican Republic, Puerto Rico, Malta, and Costa Rica.

The explosive and record-setting scaling efforts that PMI has undergone have been recognized by Franchise Direct, which

“Having the ability to diversify your focus within PMI is one of the things that really makes it stand out from other property management companies.”

placed the brand as #73 on their list of the top 100 fastest-growing franchises in the United States.

One of the major factors contributing to how the company can grow so fast and so successfully is that PMI has four pillars of service that franchisees can choose from: residential management, commercial management, association management, and short-term rental management. Most owners start with one but then eventually expand to others, bringing in additional revenue streams.

“One of PMI’s biggest milestones has been the buildout of all four pillars. When we first started 10 years ago, no other brand offered multiple pillars, and as time has gone on, our competitors have remained the same while we’ve continued to add solutions to our franchise,” explains Hart. “We call ourselves industry leaders, and we back it up—no one is doing what we’re doing in property management.” Its residential pillar offers high monthly management fees for brokerage services, property inspections, leasing and setup fees, and more. Association management, which has grown to become PMI’s second most popular pillar, provides a lucrative business opportunity with the per-unit fees collected. The commercial pillar allows franchisees to have longer leases and lower risks with business owner tenants. And short-term rentals offer a high per-night revenue, and travel keeps picking back up following the coronavirus restrictions. “Having the ability to diversify your focus within PMI is one of the things that really makes it stand out from other property management companies,” says Carey Jones, who owns PMI Cornerstone in Powder Springs, Georgia. “They have systems in place that allow you to grow in many different directions.” PMI also has focused heavily on acquisitions, offering smaller property management companies that are tapped out on business access to a nationwide network. Those who convert their existing property management business to a PMI franchise have unparalleled training, support, and brand recognition. “We work with many independent managers who convert their businesses and are amazed at how fast and far they can grow with our brand name and system,” Hart explains. The franchise is also happy to offer secondary income to real estate professionals who would like more opportunities amidst a tricky buying and selling market. “There are a lot of realtors wondering if real estate sales will stop or go backward and how they will get paid. We’d love to work with these realtors and help them pick up an additional revenue stream by doing property management with us,” Hart says. “Our goal is to be known as the brand that consolidated the industry.” With 15 years of proven success in the industry, PMI offers new franchisees the chance to operate under the top name in the business. The brand already has systems, processes and an extensive network in place, meaning franchisees don’t have to recreate the wheel and start from scratch trying to make their name in the real estate world. “Our business model provides property managers with the tools, technology, and support needed to expand their businesses, and we’re finding that just about any property manager can achieve their goals more easily with our assistance,” Steve Hart adds.

Vienna Lin was one such professional who was an independent real estate investor and property manager. When she was ready to grow to the next level, she was pleased to find PMI and all the brand has to offer.

“I wanted a better system to organize everything, but I didn’t want to waste my time building a system. If I can pay a small royalty percentage and have a team help grow my business, that’s huge,” says Lin. “I joined PMI because they have already done all the groundwork, and I really like the system they have built.”

Franchise owners at PMI pay an initial investment between $53,225 and $205,350. This includes $45,000 to $205,050 that must be paid to the franchisor, along with expenses for rent, software, insurance, certifications, equipment, and supplies.

In return, franchisees see average returns of $2,870 per door for residential units (with an average of 106 homes per franchisee), $291 annually per association unit (with an average of 590 units per franchisee), and $7,463 per short-term rental key (with an average of eight vacation homes per franchisee).