• Property Search
• Contact Us

Viewpoint: Pure Asset Management, a Unique Approach

At LSH, we are in the unique position of being able to offer client’s a new service in asset management – what I refer to as ‘pure’ asset management services, on a local level.

With a presence in both the North and the South, LSH’s asset management capability is ideally placed to service large fund management companies and financial institutions. These companies, which tend to be based in London, have properties around the country, and need locally-based asset managers who can access their properties. We can provide that service. 

While some property professionals deal in asset management, it is important to distinguish that there is a clear-cut difference in responsibilities between asset and property management, particularly when dealing at the portfolio level.

Both asset and property management are absolutely essential specialist functions, which are distinct but closely linked together.

Asset management is about focusing on the ‘value’ of properties. It’s about taking an overall view – a bird’s eye perspective – understanding what the client wants, being conscious of the need for improvement, and finding ways to add value. It requires a sound understanding of investment principles.

Property management, on the other hand, is about the essential day-to-day issues of managing properties, such as the key and fundamental responsibilities of dealing with tenant enquiries and contractors, and collecting rent. In general, the requirements for successful property management are more clearly established and consistent, whereas asset management can require a more forward looking approach, which is why it is better to separate the two. 

At LSH, the asset management team is in the unique position of being an ‘internal client’ of sorts. Acting as specialist consultants we are instructed to look after our clients’ property fund portfolios. We manage the asset management side of things, and sub-contract all other services.

For fund managers in larger companies, outsourcing property management has been a common practice for years. They’re now starting to see the value of getting asset management off their desks too.  Clients are also now demonstrating that they are prepared to divide property and asset management into separate instructions, in some instances appointing different firms for each role. 

Tony Howlings is Director of Asset Management, based in LSH’s the Sheffield and Manchester offices.