Portfolio management and renegotiation of lease terms

Abstract

Since the early 1960s institutional investment in property, both direct and indirect, has increased from several hundred million pounds to over £2,200m in 1981. The consistently good performance of prime property, which has generally outpaced inflation and most other forms of investment, and its limited supply and resilience in recession has maintained properties' position a major investment outlet for the institutions (accounting for some 16.7 per cent of new money accruing in 1981). The substantial sums which have been invested over the last two decades have resulted in the creation of huge portfolios. With long‐term double figure inflation and the increased accountability of fund managers and their advisors a greater emphasis has been placed on active management of the existing portfolio. No longer is it acceptable to assume that a portfolio is correctly managed if there are no arrears of rent and all the tenants' covenants are complied with.

Citation

Jarvis BSc ARICS, P. (1983), "Portfolio management and renegotiation of lease terms", Property Management, Vol. 1 No. 1, pp. 4-11. https://doi.org/10.1108/eb006541