Looking for advice on how to fire my STR property manager

Looking for advice on how to fire my STR property manager

Bethlehem, GA · Member since 2017 · 46 posts · 20 votes

Hello BP community! How is everyone doing?

I need some advice on how to terminate my property manager for failure to maintain an occupancy system with the purpose of satisfying customer demands. My oceanfront studio unit in MB has been sitting empty since the first of November up until today. Zero income for more than 3 months. Whenever I would ask her what's going on, she would give the same garbage answer that our unit is competing with tens of thousands of other units in the low season, that the economy is terrible for travel, that our unit does not have a King bed, etc, etc. 

Background info, back on the 3rd week of October 2022, I sent her an email telling her that we are not renewing our contract and we will take over management starting January 1, 2023. 

Well, that did not go well because she pointed out that as per our contract, it states "

I signed the contract 01/14/2022 but the contract date is 01/06/2022.   

She explained that the contract ends December 31, 2023 which gives them 14 more months of unsatisfactory performance. I asked if there is a buy out and she made me wait 5 weeks for a figure" 4, 300" saying it would be unfair to their staff for the company to lose their commission from our unit since their annual projections operate on the assumptions based on the number of units they manage, yearly blah, blah, blah.

After that exchange, radio silence.... no bookings. When I asked, she gave me the same trash reasons...  

Communication is awful, performance very poor.... Zero income for more than 3 months.... Who would want to stay with them?

Please help me draft a strong and solid letter. My plan is to change the lock tomorrow (I have a co-host from my other unit who helps me with this unit) , The PM gave me non-working door codes today which sent my cleaner home without changing the door lock. After it is changed,  then I will send her the termination email. I would appreciate any and all advice. Thank you!

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John UnderwoodPro Member
Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
3y
Quote from @Joy James:

@John Underwood 

Yes, there is a section on Agent Duties/Responsibility part G: Maintain an occupancy system with the purpose of satisfying customer demands.

Sounds like breach of contract. You should be able to Fire her for cause. Best to consult a local attorney to confirm.
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  • Andrew SteffensBusiness Member
    Tampa, FL · Member since 2022 · 3k+ posts · 3k+ votes
    3y

    @Joy James

    I’m sorry for the brevity but after your attempts and with your current concerns rip it off like a band aid. Leave no room for negotiation.

  • Leavenworth, WA · Member since 2019 · 35 posts · 21 votes
    3y

    It is a contract that you signed, so you may want to get legal advice. However since they aren’t making any money either, it’s bizarre that they aren’t more motivated. Have you tried having a direct face to face discussion or at least a phone call? I recently terminated my PMC and sent them a letter and email stating the date of termination, but I just had to give 60 day notice. 

    Good luck!

  • Real Estate Agent · Grass Valley, CA · Member since 2017 · 185 posts · 198 votes
    3y

    Where is your condo?   What is MB stand for?

  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    3y

    Read the rest of the contract. 

    Is there a section for non performance?

  • Bethlehem, GA · Member since 2017 · 46 posts · 20 votes
    3y

    @John Underwood 

    Yes, there is a section on Agent Duties/Responsibility part G: Maintain an occupancy system with the purpose of satisfying customer demands.

  • Bethlehem, GA · Member since 2017 · 46 posts · 20 votes
    3y

    @Trish Mccoy

    Myrtle Beach  (MB)  :)

  • Bethlehem, GA · Member since 2017 · 46 posts · 20 votes
    3y

    @Jennifer Moraski

    yes, there is a contract I signed but I found an out for unsatisfactory performance.

  • Bethlehem, GA · Member since 2017 · 46 posts · 20 votes
    3y

    @Andrew Steffens

    Exactly my sentiments, after so many attempts to get them to market the condo, I just need to be aggressive! Thank you for boosting my morale!

  • Andrew SteffensBusiness Member
    Tampa, FL · Member since 2022 · 3k+ posts · 3k+ votes
    3y

    @Joy James

    I would send the letter and if they push back based on contractual issues you may need counsel but it seems you have a strong case for dereliction or negligence. I doubt litigation after a relatively small issue will come to any fruition

  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    3y
    Quote from @Joy James:

    @John Underwood 

    Yes, there is a section on Agent Duties/Responsibility part G: Maintain an occupancy system with the purpose of satisfying customer demands.

    Sounds like breach of contract. You should be able to Fire her for cause. Best to consult a local attorney to confirm.
  • Michael BaumPro Member
    Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
    3y

    I would also get an hour with an attorney @Joy James. Just to be sure, but it does sound like a breach of contract based on performance.

  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    3y

    I agree with the others that you should be able to fire for cause.

    They should be compensated for the work they've done, which includes the future reservations they've reserved.

    I would really think this through and try to negotiate a settlement. If the value of what they've done is $5,000 but it will cost you $4,000 in attorney fees to go after them, maybe consider meeting in the middle and paying $2,500 to buy them off?

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  • Investor · Member since 2022 · 1k+ posts · 754 votes
    3y

    I would consult your attorney and go through it with a fine tooth comb to find an out. Another reason why self management is the way to go

  • Property Manager · Miami, FL · Member since 2023 · 21 posts · 3 votes
    3y

    I'd suggest getting a lawyer to take a look at your contract and then draft a letter on behalf of you. You don't want to risk them suing you which even if they lose would leave you with a massive headache and legal fees.

  • Property Manager · Miami, FL · Member since 2023 · 21 posts · 3 votes
    3y
    Quote from @Clarissa Baker:

    I'd suggest getting a lawyer to take a look at your contract and then draft a letter on behalf of you. You don't want to risk them suing you which even if they lose would leave you with a massive headache and legal fees.


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