Our Services

Financial Management

We use the latest software to support our Lease Administration, Accounts Payable, Accounts Receivable and General Ledger operations in order to monitor financial performance. Our management team works closely with our clients to ensure they are fully informed through readily provided detailed financial reporting.

Budget Preparation & Tracking

An initial budget review familiarizes the Marsella Properties team with performance expectations. Our budget process typically runs on a calendar year but can easily accommodate a different format if required. Information accumulated throughout the year informs the next year’s budget and incorporates detailed leasing projections, income calculations, operational expenses, a capital improvement plan, and a detailed business plan. The bottom line shows cash flow by month. The budget is reviewed and revised by our management team and then submitted to ownership for comment, revision, and approval.

The budgeted performance is reviewed monthly and if conditions require, it is re-forecast mid-year. While the budget is critical to track any variances from the Operating Budget, proper rent collection procedures, expense control and ongoing budget tracking are ingredients to produce minimal budget variances.

Monitoring of Financial Performance

The monthly financial reports indicate actual performance compared to budgeted performance. A careful review of the variances allows Marsella Properties to provide explanations and revised forecasts if necessary. Performance factors can quickly be adjusted if the financial projections are favorable or unfavorable to expectations.

Yardi property management software handles all our Lease Administration, Accounts Payable, Accounts Receivable, and General Ledger. This application incorporates a unique data structure which puts the lease document as the heart of the software, adapting easily to unique lease clauses and calculations. On a monthly basis, all parties receive a full accounting package containing our standard reports to document all financial activity of the property. Standard reports can be modified or supplemented to meet any specific reporting needs.

Related Financial Management Services

Rent Collection

To ensure all rents and other charges are assessed properly, leases are carefully abstracted by the tenant coordinator into the accounting system and reviewed by the property manager and controller. The accounting abstract covers all items and events over the entire term of the lease and includes items such as: rent, rent escalations, rent abatements, pass through expense calculation methods, percentage rent, any other type of billing charge, sales reporting requirements, notice dates, option dates, expiration dates, first rights of refusal, and any other possible date sensitive item that may be encountered in the lease. The accounting system has control mechanisms to verify each and every item is billed or addressed automatically by the system and at the correct time.

Expense Control

By lowering pass-through expenses, the sites become more competitive and can demand higher rents. In addition, tenants are more prone to renew leases on properties with lower operating expenses. Expense control begins with realistically budgeting for the property based on ownership objectives. All anticipated expenses are competitively bid on a regular basis so as to be certain we are paying the lowest prices possible for the quality standards required.

Accounts Payable

The ownership approved operating budget governs the daily expenses of the property. The Property Manager and Maintenance team work together to keep expenses in budget. The Property Manager executes contracts and controls vendor invoices in accordance with our policies and procedures.

Management Controls

Input of lease information into the accounting system and the tenant service requests systems are vital to the ongoing day to day management of the property. Thus, the property accountant enters the accounting information into the accounting system, which is then verified by the property manager.

It is imperative to correctly code expenses to the correct property and GL account. This is done by either the assistant to the property manager or the property manager. This coding is verified by the property accountant.

Property managers and senior executives receive a daily report of all operational activity including notes of conversations and emails with tenants. This report gives our management team an unmatched grasp of the day to day activities for all properties.