PROPERTY MANAGEMENT AGREEMENT

PROPERTY MANAGEMENT AGREEMENT

BETWEEN

COOK MANAGEMENT LIMITED (LTD)________________

(“THE PROPERTY MANAGER”)

AND

_______________________________________________________

(“THE PROPERTY OWNER”)

THIS AGREEMENT is made on the …………..day of……….20……., entered into by the Property manager and the Property owner (Property manager and Property owner collectively referred to herein as the “Parties” or individually as the “Party”) and includes that party’s successors and assigns.

WHEREAS:

• The Property manager is a management company.
• The Property owner is desirous of procuring the Property manager’s services.
• The Property manager has the necessary skills, expertise, personnel, and equipment to provide the services at the Contract Sum (a term defined below) and to the standards stated in this agreement.
• The Property owner now wishes to enter into this agreement with the Property manager, compensating it for its services.

Parties agree to the following terms and conditions and to be bound thereby:

1. DEFINITIONS AND INTERPRETATIONS
2. In this Agreement:
3. “Agreement” means this agreement, its Schedules, Exhibits, and other documents (save as may otherwise be varied by this agreement);
4. “Contract Sum” means the sum payable to the Property  manager for the services rendered;
5. “Intellectual Property” means the copyright, know-how, the trade names, and any marks, trade device, service mark, symbol, code or specification, patents, designs, and other individual or intellectual property rights used in or associated with any of the Parties;
6. “Services” means property management of short stay property via Airbnb, Booking.com, and direct bookings via 105doors.co.uk offered by the Property manager to the Property owner.
7. In this agreement, unless the context otherwise requires, any reference to any agreement or other document includes that agreement or other form as varied or replaced by the Parties in writing from time to time;
8. Clause headings are inserted for convenience only and shall be ignored in construing this agreement.

• 2. application of terms
  • Save as may otherwise be provided in this agreement, the terms and conditions set out in this agreement are the only terms on which the parties are prepared to deal with each other.
  • If any ambiguity is found in the agreement or various documents forming this agreement, the parties shall issue any necessary clarification or instruction.
  • All documents annexed to this agreement shall be subject to the terms under this agreement, provided that the parties append their signatures on the documents.
  • The parties will exercise utmost good faith in this agreement.

• 3. COMMENCEMENT AND DURATION

This agreement shall come into force upon execution by both parties and shall remain in force for twelve (12) months. If the agreement is not terminated after the twelve (12) months period, (the initial term) there shall be an automatic renewal of the agreement for a further period of twelve (12) months from the date of expiration of the initial term.

• contract sum

The Property owner shall pay the Property manager as follows:

• 20% of Turnover (Revenue) to be paid on the last day of every month for year 1 -; and
• 15% of Turnover (Revenue) to be paid on the last day of every month for year 2 and subsequent years.

• OBLIGATIONS OF THE PARTIES
• The Property manager

Year 1-

Year 2+

Provide shopping list of inventoryAssist with set up of propertyTake photos and write the description for OTA’s and websiteList property on online travel agents (OTA’s)List property on 105doors websiteAssist with recruitment of cleaner and proceduresSet up laundry agreement and proceduresAssist with recruitment of maintenance team and proceduresManage guest experience from initial booking/inquiry through to checkout, with an aim for five-star service.Set price ranges and occupancy numbersProduce monthly report used to show nights rented, occupancy, average nightly rate and turnover

Manage guest experience from initial booking/inquiry through to checkout, with an aim for five-star service.Set price ranges and occupancy numbersProduce monthly report used to show nights rented, occupancy, average nightly rate and turnover

• The Property owner

Year 1 –

Year 2 + –

Decorate property to a good standard ready for serviced accommodationSet up stripe account for direct bookingsSet up all direct debits for insurance, broadband, gas, electric, Council Tax, water, etcPurchase all furniture, soft furnishings, kitchen equipment, etcProvide the property manager with all bank details to set up incoming payments from OTA’s & Website.Ensure the cleaning staff is paid every Sunday for the previous week’s turnovers.Ensure all maintenance property managers are paid promptly for the completion of maintenance tasks. (If preferred, the Landlord can give the property managers access to the relevant bank account to make these payments on their behalf).Ensure the property managers are paid on the final day of the month after the invoice & report are produced.

Ensure the cleaning staff is paid every Sunday for the previous week’s turnovers.Ensure all maintenance property managers are paid promptly for the completion of maintenance tasks. (If preferred, the Landlord can give the property managers access to the relevant bank account to make these payments on their behalf).Ensure the property managers are paid on the final day of the month after the invoice & report are produced.

• LIABILITY OF THE PARTIES
  • A party shall be compensated for damages caused by the other party.
  • No Party shall be held liable for any damages, where:

the damage has been occasioned by the other party, their representatives, employees, or agents, and

the damage has been caused by an event beyond the control of the party e.g, force majeure or accidents.

• INDEPENDENT CONTRACTOR

The relationship of the parties hereto is that of an independent contractor. Accordingly, the parties hereto are not deemed agents, partners, or joint venturers of the others for any purpose due to this agreement or the transactions contemplated thereby.

• INTELLECTUAL PROPERTY

Any designs, ideas, concepts, discoveries, techniques, patents, copyrights, or trademarks belonging to the Property manager during the subsistence of this agreement are the exclusive property of the Property manager. Specifically, property owner data, property data, Airbnb data, Booking.com data, and similar data belong to the Property manager.

• PROHIBITION ON TRANSFER

A Party shall not sell, transfer, or assign their interests without the other party’s written consent. This consent shall not be unreasonably withheld.

1. DISPUTE RESOLUTION

If any dispute arises between the Parties related to this agreement, it shall be resolved by Negotiation or Mediation as agreed by the parties. Parties shall act in good faith to resolve the dispute. Nothing in this agreement shall be construed as limiting the Court’s jurisdiction.

1. TERMINATION
2. Either party may terminate this agreement at any time upon breach of the contract by the other party, including but not limited to non-payment or late payment of management fees.
3. The Property manager may terminate this agreement at any time upon changes in the national legislation or online travel agents’ terms and conditions that will affect their service delivery.
4. Either party may terminate this agreement upon giving the other party no less than three (3) months’ notice in writing in the first twelve (12) months of service (initial term). This notice shall be given by the ninth month.
5. Either party may terminate this agreement at any time if both parties agree to the termination.
6. The termination of this agreement shall not discharge the liabilities accumulated by either party.
7. Any Clauses intended by the parties or this agreement to survive the termination of this agreement shall survive the termination of this agreement by whatever cause.

1. changes to the agreement

Either party may request changes to the agreement, but they will only be effective if agreed in writing, signed by all parties, and recorded.

1. Force Majeure
2. For this agreement, “Force Majeure” means an event which a diligent party could not have reasonably avoided in the circumstances, which is beyond the control of a party and includes, but is not limited to, war, riots, civil disorder, earthquake, storm, flood or adverse weather conditions, strikes, lockouts or other industrial action, terrorist acts, confiscation or any other action by government agencies.
3. A Party’s failure to fulfill its obligations due to Force Majeure, shall not be considered as a breach of this agreement, provided that the affected party has taken all reasonable precautions, due care, reasonable alternative measures, and minimal delay all to carry out the terms of this agreement.

1. CONFIDENTIALITY

The Property owner shall not at any time disclose, directly or indirectly to any other person whatsoever (including to the public or any section of the public) any information concerning this agreement or any additional information of any nature whatsoever concerning the Property manager, whether such information or matter is stated to be confidential or not, without the express written permission of the Property manager.

1. NO WAIVER

Except where this agreement provides otherwise, the rights and remedies contained in it are not exclusive to rights or remedies provided by law.  Failure by either party to enforce any of the terms or conditions of this agreement shall not be a waiver of their right to enforce this agreement.

1. SEVERABILITY

Suppose any provision of this agreement is declared by any judicial or other competent body to be void, voidable, illegal, or otherwise unenforceable; parties may amend that provision or remove it from this agreement. The remaining provisions of this agreement shall remain in full force and effect.

1. NOTICES
2. All notices shall be in writing.
3. Parties shall be served through the following addresses (including email).

THE PROPERTY MANAGER: ___________________________________________

___________________________________________

___________________________________________

___________________________________________

___________________________________________

___________________________________________

THE PROPERTY OWNER: ___________________________________________

___________________________________________

___________________________________________

___________________________________________

___________________________________________

___________________________________________

1. CHANGE OF ADDRESS

Either party may provide changes in the above addressees by reasonable notice in writing given to the other party as aforesaid.

1. COSTS

Each party shall bear its costs incurred in the negotiation, preparation, and execution of this agreement.

• GOVERNING LAW

The construction, validity, and performance of this agreement shall be governed in all respects by the United Kingdom (UK) Laws. 

IN WITNESS WHEREOF, each of the Parties has executed this agreement, both Parties by their duly authorized officer, as of the day and year set forth below.

Signed by the duly authorized representative of the PROPERTY MANAGER Signature: Name: Designation: Date:………………………………………

Signed by the duly authorized representative of the PROPERTY OWNER Signature: Name: Designation: Date:…………………………………………….…………