Rehabbing a multi-family

[Kenny M.]

I purchased another five unit multifamily a few months ago.  I hired a PM who promised the world, but has delivered nothing.  He hired a guy who bid on one project to combine two units into one.  Reason being, the units are small, so making it into a three unit will increase the rents.  The PM allowed the worker to deal directly with me and I brought him down from 6600 to 4400 plus materials.  He kept on finding issues, and had to rewire meters and such, so for the additional work, I agreed for another 1000 on top of the initial bid.  It was supposed to take a month, we're now on month 3.  I promised him last month if he's done within a week, I will give him a cash bonus, he said it was too much work, and was unable to complete.  He's a one man operation, so we hired a worker for him, but still was unable to complete the job.  He said he'll now be ready by this Saturday.  Over the time period, he's been texting me, I have no money for food, rent, his cell is being shut off, etc.  The PM had advanced him already about 4k, but he now says the bonus is the only thing keeping him going.  He said this is/was a 12k job and I am getting a deal of a lifetime; I digress.  I didn't answer on the bonus as he's 3 weeks late.  My wife suggests I give him something, but the business side of me says he missed the date, no bonus.

In addition, I will not be using him moving forward.  Not that he doesn't do good work, as he does, but he doesn't stick to the time table.  In addition, I am terminating the PM as well.  His team (of 3 people) managed to receive a full building and then over time, there's now only one tenant left.  The others all left.  He says he shows the units, but no one is submitting apps.  I went to the place the other day, just says for rent and no number or site address.  There was a slot for apps, but it was empty. When I was there, four people walked up to me asking if there are apts. to rent.  Obviously, this guy and his team care very little about my building.

What do you guys think on firing the PM and not giving the bonus to the worker?  He started in February and stopped occasionally to do other jobs as well, thus pushing the completion back.  The PM thought a bonus would make him work faster and complete the job, but no luck.  I have a heart and feel bad he has a bad time managing money, but the building is basically empty since the company has taken it over and the guy has been working on combining two units into one for four, almost five months.  My mentor suggested you're this far in, might as well wait until he's done and then get rid of him.  I've been getting excuses after excuses, etc.  I'm at my whits end.  Plus, I've been managing a mortgage, taxes and other fees where the building's one tenant doesn't cover it.

The PM knows I have other buildings managed by other PMs.  I am curious why he thinks I'll stick with him and his team?  Ideas?