Costly Facility Managers enhancing recurring cost to own Real Estate

FacilityBy Accommodation Times News Services

Facility management fees goes as high as Rs.30/- per sq ft per month which do not include any capex or any capital expenditure like security equipment, cleaning gadgets and equipment. Corporate and posh residential premises like in South Mumbai are paying it through their nose to these Facility Managers.

A normal residential apartment with 100 members needs to pay just Rs.1/- per sq ft. Or in normal case cleaners and security staff do not add such whoopingly high Facility Management fees for Rs.12/- to Rs.30/- per sq ft per month. Suppose you own a 1000 sq ft apartment in South Mumbai or South Delhi or South Bangalore, you will end up paying Rs.15,000/- to Rs.30,000/- per month for Facility Management in your society which excludes property tax and municipal charges like water, sewer etc.

Facility Management should not cost Rs.1/- to Rs.4/- per sq ft. Do it your self. Just appoint a Estate Manager to manage facilities like cleaning, maintaining etc. Many Facility Managers promise to paint the society structure / building and small repairs. Now how does it cost? Is Sinking Fund in Society not enough to cover future maintenance?

Facility Managers are looting the real estate occupants, be it commercial or residential societies in all big Metros. They are also giving nightmare to Investors who cannot themselves maintain their properties. A huge profit margin of 1000% in the Facility Management made majority to go for their own.

Facility Management is now taken as inhouse activities by almost all big corporate and big societies in all major metros. Doing things for themselves is saving cost to society and its members. Un-necessary spending on Facility Management which is not that much worth is now taken over by corporate themselves.

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