PenRent Property Solutions

1. INTRODUCTION TO PENRENT PROPERTY SOLUTIONS (PTY) Ltd

Penrent Property Solutions (PTY) Ltd (Formerly known as Pentony Properties Management Services cc t/a PenRent), established in 1989, is active in the commercial, residential, and leisure property sectors covering investment, letting, management and administration functions in these sectors. The enterprise possesses expertise, experience and resources to professionally manage and administer the leasing of residential and commercial properties.

Pentony Properties is registered with the Estate Agent Affairs Board, and is a member of the Institute of Realtors of South Africa. Clients are thus provided with fidelity and professional indemnity protection.

2. RESOURCING, REFERENCES AND MANAGEMENT FEE

Service resourcing is provided on Annexure A, and owner references on Annexure B.

The monthly management fee is fixed at 10% of gross monthly rent plus VAT.

1. EXTENT OF SERVICES

1.1 LEASES
A comprehensive standard lease is used for all tenants. New leases are drawn up for tenants whose leases may have expired. The terms of the lease are discussed fully with the tenant prior to signing of the documents. Copies of the lease agreement are handed to the owner and the tenant; the original lease is kept on file for record.

1.2 EXISTING TENANTS
Letters are handed to existing tenants advising then of the change in administration prior to the delivery of the first rental accounts. Tenant details are checked and updated where necessary.

1.3 NEW TENANTS
Adverts for the rental of units will be placed where necessary. Potential tenants are properly screened through the Tenant Profile Network Database and an ITC check can be carried out, if an owner requests, prior to the signing of a lease agreement.

1.4 MAINTENANCE
Properties are inspected when old tenants move out and the new tenant moves in. Arrangements shall be made for any repairs or painting that may be needed, with owner approval. Repainting, repairs and steam cleaning of carpets are undertaken when tenants change. Where applicable these costs are deducted from the deposit held.

1.5 ACCOUNTING TO TENANTS
Monthly rental and services statements are posted or delivered to the property around the 25th of each month for settlement by the 1st of the following month. The following details are reflected on the monthly statement;
- monthly rental
- services consumed
- deposit held in trust
- expiry date of lease
- receipts

1.6 ACCOUNTING TO OWNERS
A monthly summary transactions schedule is e-mailed to each owner on the 15th of each month as per example attached.

1.7 ALLOCATION OF FUNDS
Funds collected are distributed as follows:

- levies and services to the body corporate / rates and services to the local authority
- management fee
- any repairs and maintenance as approved by the owner. If Penrent Property Solutions has paid the Contractor up-front for services rendered a R10 surcharge will be charged to the owners account
- .remaining funds deposited into the bank account as required by owner

1.8 BREACH OF LEASE AGREEMENT
In the event of a breach of a lease agreement, appropriated legal action will be undertaken on behalf of the owner after advising the owner thereof.

1.19 HOUSE / CONDUCT RULES
Copies of the above pertaining to sectional title or cluster developments are handed to new tenants.