What is Crisis Management in Commercial Real Estate
Written by Julia Ribeiro and Marisa Marulli (REMCO Communications)
Reviewed by Lisa Gerard (REMCO founder and principal)
November 10, 2021
In a property of any size—whether a residential home or a massive industrial complex—a crisis management plan should exist in case of any hazards or unexpected occurrences.
What is a Crisis Management Plan?
REMCO Principal, Lisa Gerard, West Palm Beach Downtown Development Authority Executive Director, Raphael Clemente and REMCO tenants in conversation on-property.
A crisis management plan is a roadmap that highlights steps a property owner should take when faced with a situation that disrupts the safety and functionality of an asset and its tenants.
The plan should be previously documented, comprehensive and anticipate any issues and ways to mitigate them.
While this article will outline procedures alleviating stressful situations, it is recommended to read further with the consideration of obvious concerns as well as less obvious concerns such as the departure of an important company official, debt consolidation, matters of confidentiality and more.
Why is a Crisis Management Plan Important?
Having a forward-thinking approach is essential to conserving a company’s reputation and upholding its revenue potential. A crisis management plan is an indispensable protocol that must be situated alongside optimistic business expectations. Successful business owners and managers anticipate scenarios that may affect their business and plan accordingly.
Key Concerns Addressed in a Crisis Management Plan
While it is nearly impossible to predict every unfortunate event that might happen, establishing a response system that addresses common concerns within a crisis will help alleviate chaos.
Lisa, Raphael and REMCO tenant in-suite, on-property.
Below are a few concerns that should be addressed when any given crisis occurs:
Safety of people: Whether a hurricane or a security breach occurs within a property, before addressing the situation of the asset, the chief concern should be making sure everyone in potential harm is secure. This includes not only the physical safety of those in the building, but also concern for and attention to the mental and emotional state of everyone involved.
Train crisis management team: A well-prepared crisis management plan starts with trained property managers. The property manager is then responsible for training tenants and handling any situation that occurs on-site. Providing property managers and tenants with such training, via an emergency protocol, will help mitigate disorder, as individuals feel empowered by knowing how to act. Emergency protocols will vary according to the crisis; while an upcoming hurricane might require tenants to vacate to another location, a safety breach might call for individuals to lock themselves in a safe room and call 911.
Establish communication: When a crisis occurs, there are many people who need to be contacted, such as tenants, tenant emergency contacts, vendors, employees, emergency responders and even surrounding residents. Having an updated contact list with names, phone numbers and email addresses, alongside an emergency messaging system, is key to effective communications in a potential crisis.
Choose a crisis communications representative: A well-prepared communications representative is needed for mitigating misunderstandings and rumors often associated with highly stressful scenarios. This leader may be responsible for communicating with tenants, vendors, employees, stakeholders and the press, depending on the size of the organization and hazard.
Crisis Management with REMCO
Shopping center in West Palm Beach, Florida.
REMCO takes an extensive approach when handling a crisis. Our fully-rounded crisis management team alleviates the pressure associated with a contingency by providing assistance from the initial steps of creating a crisis control plan, to implementing protocols and even managing moments of crises.
