Property Management Contract

Property Management Contract Template for Denmark

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Document background

The Property Management Contract is essential for formalizing the delegation of property management responsibilities in Denmark. This document is typically used when property owners seek professional management services for their real estate assets, whether commercial, residential, or mixed-use properties. The contract comprehensively addresses all aspects of property management, including maintenance, tenant relations, financial oversight, and regulatory compliance under Danish law. It incorporates specific requirements from relevant Danish legislation such as the Property Formation Act, Rent Act, and Business House Act, while also considering GDPR requirements for data handling. The Property Management Contract serves as a crucial tool for establishing clear lines of authority, responsibilities, and performance expectations between the property owner and the management company.

Suggested Sections

1. Parties: Identification of the property owner and the property management company, including business registration numbers (CVR)

2. Background: Context of the agreement and brief description of the property/properties to be managed

3. Definitions: Key terms used throughout the agreement including 'Property', 'Services', 'Management Fee', etc.

4. Appointment and Term: Formal appointment of the property manager and duration of the agreement

5. Scope of Services: Detailed description of core property management services to be provided

6. Manager's Obligations: Specific duties and responsibilities of the property manager

7. Property Owner's Obligations: Responsibilities and obligations of the property owner

8. Financial Management: Handling of property income, expenses, and accounting requirements

9. Fees and Payment Terms: Management fees, payment schedule, and expense reimbursement

10. Reporting and Communication: Regular reporting requirements and communication protocols

11. Insurance and Liability: Insurance requirements and allocation of liability between parties

12. Compliance: Obligations to comply with relevant Danish laws and regulations

13. Termination: Conditions and procedures for termination of the agreement

14. General Provisions: Standard clauses including governing law, notices, and amendments

Optional Sections

1. Emergency Services: Additional provisions for 24/7 emergency response services, used when the property requires constant availability

2. Multi-Property Management: Special provisions for managing multiple properties, used when the agreement covers more than one property

3. Special Services: Additional specialized services such as renovation management or sustainability initiatives

4. Staff Management: Provisions for managing on-site staff, used when the property requires dedicated personnel

5. Marketing and Leasing: Additional services for marketing and leasing of vacant units, used for rental properties

6. Development and Renovation: Provisions for managing property development or major renovation projects

7. Data Protection: Detailed GDPR compliance measures, required when processing significant personal data

8. Conflict Resolution: Specific dispute resolution procedures, useful for high-value or complex management arrangements

Suggested Schedules

1. Schedule 1 - Property Details: Detailed description of the property/properties including address, size, facilities, and specific features

2. Schedule 2 - Service Specifications: Detailed breakdown of all management services and service levels

3. Schedule 3 - Fee Structure: Detailed breakdown of management fees, additional service fees, and expense categories

4. Schedule 4 - Reporting Templates: Templates for required regular reports and communications

5. Schedule 5 - Key Performance Indicators: Specific performance metrics and standards for the property manager

6. Schedule 6 - Emergency Procedures: Detailed procedures for handling various types of emergencies

7. Schedule 7 - Insurance Requirements: Specific insurance types and coverage levels required

8. Appendix A - Property Management Team: Details of key personnel assigned to the property

9. Appendix B - Maintenance Schedule: Planned maintenance and inspection schedules

10. Appendix C - Contact Information: Contact details for all relevant parties and service providers

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