IRVINE, CA—Moving from reactive management to proactive management is where true value is created for clients, David Rowley, managing director of investor services in the property- and asset-management division for Colliers International, tells GlobeSt.com. We sat down with Rowley to discuss in detail the challenges property managers are facing in the quickly changing environment of property and asset management.

GlobeSt.com: What are the challenges to managing a diverse set of retail properties in today's economic climate?

Rowley: Taking care of the basics in order to capitalize on the value-add management opportunities present in today's retail market and understanding industry trends impacting our clients' assets are two of the challenges. In other words, moving from reactive management to proactive management is where true value is created for our clients. I like to say that 20% of the services we provide add 80% of the value. As for industry trends, Colliers has a team of national leaders for each major asset class. Their specific knowledge on office, industrial, retail and multifamily assets has proved to be an incredibly deep and valuable resource. Perfect examples of this are the recent contracts we signed to manage ValueRock's incredibly diverse portfolio of some 700,000 square feet of mostly retail and mixed-use properties and the 400,000-plus-square-foot Skyview Center office complex near LAX. They are completely different products, but the skills we bring are essentially the same. Combined with the tools and resources on a national level, the Colliers management teams on the local level have the tools necessary to stay proactive and focus on the 20%.

GlobeSt.com: What are some of the untapped opportunities in the management of these properties?

Rowley: Most, if not all, of the assets are value-add assets with enormous upside potential. Colliers' role is to streamline the management of these assets, allowing our clients the time and energy to concentrate on executing their strategy. One of the ways we have been able to streamline the property-management function is by consolidating data and making it more useful to our clients. Currently, as is the case for many of our clients, information on their assets, whether it be accounting data, contracts, tenant-contact information or market data, is located in different locations. In some cases, it's not even in a digital format. And, in a general sense, finding all of the information can be very time consuming. This allows our client the ability to make decisions on a real-time basis.

GlobeSt.com: Which is more difficult: managing like properties in widespread locations or managing a variety of property sizes and types within the same region?

Rowley: Both present their own challenges. Colliers has a broad base of offices and real estate management professionals in Southern California and the west, which affords us the ability to service these opportunities while maintaining a high level of service.

GlobeSt.com: What else should our readers know about property management today?

Rowley: For the most part, the property-management business today operates the same way it has for the last 100 years. With rapid changes in mobile technologies and big data over the last five years, I believe the stage is set for a monumental shift in the property-management model that will drive effectiveness and efficiencies. If you think about it, property management encompasses accounting, customer service, marketing, physical operations/engineering, contract management, project management and risk management. The historical model has been for a property manager or property-management team to handle all of these tasks simultaneously. The model that our industry is organically shifting toward is compartmentalization and centralization of the various disciplines, driving up service levels and driving down costs. On the financial side, with cap rates for core assets at all-time lows, the market demands that assets be managed dynamically and efficiently, which is why I think you will see a shift in the coming years to a more dynamic pricing model for management services basic on value-add performance.