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Property management

Welcome to LEXXUS Property Management, (LPM) our team provide both local and overseas residential investors with a professional, efficient and transparent service delivered to an international standard.

P.R.A.G.U.E. - Residential Investment Principles

P urchase Structure, (Holding and Tax Set Up)

R ental Income, (Maximum Rent, Minimum Vacancies)

A partment Fit Out, (Quality, Cost Effective, Widest Aesthetic Appeal)

G ains, (Capital Gains and Currency Exchange)

U ncomplicated Management, (Clear Reporting, Quality Service)

E xit, (Sales)

OK the above acronym is not necessarily in the right order. However, it highlights the essence of any successful real estate investment. A good return on sale depends upon the correct acquisition and tax structure, appropriate fit out and essentially the control of daily running costs. Unless these factors are combined with a realistic and sustainable rental stream any long term capital gain will be seriously eroded.

In order to ensure your property returns the maximum yields, we have established a system of codes, practices and reporting structures that ensures that you are informed and in control.

Our team handle every type of Prague property - from historic, modern apartments to townhouses. We take care of both individual units and large residential portfolios.

We have established excellent connections with the major leasing agents, banks, multi-national companies and embassies to provide us with a steady supply of suitable tenants.

LPM is supported by our own marketing department that ensures your property is effectively and professionally marketed locally, nationally and internationally.

Our office in the historical centre is operated by personnel with many years’ experience in their individual fields. It is a continuous process to stay informed of current legislation, health regulations and tax requirements that affect you, essential given the recent changes to local legislation.

Our book keeping department has a proven track record of rent collection and efficient transfer of funds to the client.

We do not charge a management fee if your apartment is vacant.

Why LPM?

Our Opportunity

LPM will deliver the same high levels of service and corporate knowledge that has made our group Prague’s market leader. Our management teams combined professional experience will ensure that the owner‘s mandate is not only met but surpassed.

Our Offer

  • Establish a tailor made Property Management Charter. A charter of codes, practices and reporting that ensures that you are informed and in control.
  • Leasing Strategy, including brochure, web exposure, agent education, professional photos, all legal documentation such a lease contract, inventory, handover protocol
  • Review of all service providers in terms of cost and quality of service delivery
  • Subject to owners consent.
  • Launch negotiations with existing service providers or appoint new contractors
  • Clear system of regular fiscal and maintenance reporting to the owner
  • Communication in Czech & English
  • Complete 24 hour response in event of emergences or property related matters
  • Communication with all local and financial authorities, insurance companies, utility providers and tenants’ associations
  • Annual LEXXUS valuation of the real estate.
  • Fit out and furnishings are undertaken on an open book system. All invoices, bills and discounts are channelled back to the owner or their holding company. LPM takes an agreed separate fee for coordinating and facilitating this service.

In regards to your apartment our aim is to provide you with the same level of control and information as if the apartment were in your own home town.

Summary of Charges

DescriptionCosts (including DPH/VAT)
Management Service 6,5% of gross rent, (plus DPH/VAT)
Lettings Service : Tenancies of +6 months One month gross rent, (plus DPH/VAT)
Management Service Included in fee
Attending owners‘ meetings Included in fee
Preparation Tenancy Agreement Included in fee
Sale of the apartment Negotiable, (plus DPH/VAT)
Accounting service Cost subject to your requirements

Property Management

Day to day maintenance

Experienced reliable and professional contractors are hard to find. We have a network of vetted qualified and fully insured contractors. As they undertake a great deal of work for LPM so you can be assured of prompt service and reasonable prices.

We respond quickly to solve any reported problems. This is important for your peace of mind, your tenant’s welfare and ultimately the success of your lease.

Even in the event of emergencies we will always receive quotes.

Property inspections

Contractually we will visit the property a minimum of twice a year. In reality due to regular contact with the tenants ‘we see the property on a regular basis.

After each visit we send you a report on the visible condition of the property and how the tenants are respecting the unit. If the tenants are in breach of their tenancy agreement we will advise you of the best course of action.

Legal services

Several tax, legal and health and safety regulations relate to the letting your property and all landlords must comply.

Failure to comply with safety regulations can result in severe penalties. We relieve you of this worry.

Claims against deposit when tenancy ends

The most contentious part of the letting process.

Having your property managed keeps you at a distance from any negotiations and we mediate between you and the tenant. LPM undertakes the Inventory and Hand Back Report and we evaluate if necessary deductions. In the event of a dispute the matter will be managed by LPM in order to avoid any protracted legal actions.

General management service

The following is also included in our Management Service. Please note unless LPM is provided with a Power of Attorney some suppliers will only take instructions directly from the owner.

  • Demanding the rent on the due dates, preparing a landlord’s Statement of Account and remitting the rent to the Landlord if funds not paid directly to Landlord.
  • Arranging quotes and payment of the Landlord's outgoings such as service charges, buildings tax, water rates and insurance. LEXXUS cannot be held liable for any loss suffered if we do not hold funds; or any dispute that arises concerning payment of an invoice.
  • Arranging for gas and electrical safety certificates and regular servicing, if applicable. If LEXXUS arrange for gas and electrical certificates, the Landlord will be responsible for payment of the contractor's invoices which Lexxus will deduct from the initial rent received.
  • Attending to any complaint or enquiry by the Tenant during the Tenancy; calling out a contractor to carry out the appropriate repair; apportioning the charge as appropriate between the Landlord and the Tenant. Wherever possible Landlord approval for repairs will be sought if the cost is likely to exceed 2000CZK inclusive of value added tax, provided the Landlord or his authorised representative can be easily contacted.
  • In emergencies, or to enable a Landlord to comply with his statutory obligations or when Lexxus considers it necessary, LEXXUS will act to protect the Landlord's interest without prior consultation.
  • Visiting the property not less than two times a year and providing the landlord with a written report with photographs. This is not a structural survey only a sight as seen inspection. LEXXUS are not liable for any hidden or latent defect.

Fees for the management service

No fee when the property is vacant.

Our standard commission is 6,5% of the gross rent as per the terms of the terms of the Tenancy Agreement plus Value Added Tax, (D.P.H. in Czech).

We prefer if to raise a separate invoice, usually on a quarterly basis however, we can also take our fees directly from the rent.

Leasing Services

The following services are included in our lettings service:

  • Accompanying prospective tenants/agents when viewing the residence.
  • Holding keys to the residence.
  • Introducing a tenant, negotiating an acceptable rent and upon landlord’s request obtaining financial and character references.
  • Details of the residence will be offered on a commission-sharing basis to other agents.
  • Negotiation and Preparation of the Tenancy Agreement.
  • Collecting, holding or transferring the Deposit.
  • Serve Notice of Extension and if necessary Lease Extension Amendment.
  • Serve Notice to Terminate Tenancy.
  • Inventory, Check In and Hand Back
  • Deposit balance less any charges agreed in writing between the Landlord and the Tenant for repairs, replacements and cleaning.
  • Paying to the Landlord out of the Deposit the sum (if any) for repairs, replacements and cleaning which has been agreed between the parties.

Fees for the letting service

  • Our commission amounts to one month of the gross rent plus value added tax, (DPH in Czech).
  • Tenancy Agreements up to and including six months our commission is 15% of the gross rent plus value added tax
  • Tenancy Agreements up to and including six months our commission is 15% of the gross rent plus value added tax, (DPH in Czech)
  • No charge is made for the preparation and/or negotiating the Tenancy Agreement.
  • If LEXXUS are successful in finding a Tenant for a Landlord's Property who makes an offer which the Landlord accepts, subject to references and subject to contract, and the Landlord later withdraws from the proposed letting for reasons other than references, LEXXUS will charge an abortive fee based on the equivalent of one months' letting commission. This fee will be waived if the Landlord instructs LEXXUS to proceed with a letting to another Tenant which is completed within a period of one month from the date of withdrawal.

Fit Out/Refurbishment

Our fit outs and furnishing are operated on an open book system. In simple terms all invoices, bills and discounts are channelled back to the owner or their holding company. Lexxus takes a separate fee for coordinating and facilitating this service.

Accounting Service

If LEXXUS are required to make quarterly returns to the Czech Financial Authorities, LEXXUS make a charge for this service plus value added tax, dependent on the level of activity of the company. Fees for the accountancy service are tailor made to the individual’s requirements.

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