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Updated over 3 years ago,

User Stats

25
Posts
7
Votes
Gordon Way
  • Rental Property Investor
  • San Antonio, TX
7
Votes |
25
Posts

Property Management - Is a sale considered a termination?

Gordon Way
  • Rental Property Investor
  • San Antonio, TX
Posted

Hey BP-

I just sold a quadplex and my PM is considering the sale as a termination of the agreement for that property. I have 25+ units with them so this is a master agreement with lots of properties on it. I have added a picture of two section of the MA. They didn't have any selections checked for section H Fees in the Event of a Sale. They do however state that if I was to terminate the agreement (part or whole) that I owe the greater of $500 or their management fee for the remainder month's of in place tenants' leases. 

I'm interested how other REI view or have experienced this dilemma of words. Does the sale constitute a termination? Seems like there is a whole section of the MA that deals with sales and they opted out of any of them. Thanks and happy investing!

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