Asset Management

We develop concepts for the profit-oriented management of real estates. This includes the strategic planning, management and monitoring of all value-influencing measures.
Active rental management, cost optimization, modernization and refurbishment are just as central tasks for us in asset management as the initiation and control of revitalization projects.
In addition, we are responsible for the management of business at property level and translate the owner's strategic aims into operational measures.
We consider constant controlling and reporting in alignment with the requirements of the owner/pledge holder to be customary.

With our services we are an important connecting link between the owner and the operative property or facility management. Depending on the client's requirements, the operational management of real estate service providers can be synergetically carried out by CFE, whereby we pursue potential management tasks with the aim of identifying and implementing any potential for profit and value enhancement.
Complex influences can also have a negative impact on the economic development of a real estate.
Especially distressed real estates require massive support, since a positive turn-around can only be achieved with a considerable investment of time and resources.
In order to determine all negative determinants, distressed real estate portfolios need an intensive analysis to create insightful information. CFE develops individual concepts for measures to stabilize and increase earnings and can also implement them in total according to the client's wishes.


Commercial Due Diligence

  1. Market analysis (of the micro and macro location).
  2. A transparent picture of the strengths and weaknesses of the target property and its planned use. Here, we distinguish between the micro and macro location analysis with hard and soft location factors.
  3. Deducing and assessing revenue risks based on a legal inventory with reference to invalid contract provisions, missing security deposits, invoices for ancillary costs etc.
  4. Identifying potential for increasing revenue and value.
    We check to see how far agreed rents are under or over current market-levels and how rent levels may develop in future (indexing, graduated rents etc.). Below-market rents increase the acceptable purchase price, above-market rents decrease it. We also check service agreements for possible cost reductions.
  5. Analysing and managing property risks.
    This includes checking past receipts of rents and ancillary cost with bank statements and transaction lists and investigating the revenue situation (past, present and future) by looking at the fluctuation rate and tenant creditworthiness.
  6. Checking suitable use.
    A use-analysis estimates probable requirements of future users. We look at various factors such as requirements of size and inherent nature of surface areas, possible room concepts, parking spaces, construction quality and execution, services and technical facilities. Also important for optimising use of surface area are local factors such as purchaser and lessor structures, which also significantly influence the floorplan design. In doing so, not only the current requirements but – if possible – future changes to requirements must also be included in the analysis.
  7. Analysis of the industry and competitive situation.
    The positioning of the property is shown in an overview compared to competing properties which are identified and valued. We prepare a ranking of all properties, including the client's own property, and the probable position of the client's own property is presented in detail against the competition. From the results of this analysis, we then draw conclusions about strengths and weaknesses of the client's own concept which can then lead to suitable modifications of the concept. The aim of this modification, which takes place continuously during the entire concept stage, is the best-possible adaptation to the needs of future users and a clear demarcation from possible competitors.
  8. Check of rental and use agreements for appropriateness.
  9. Check of service agreements for possible cost-reductions.
  10. Assistance in construction/unclear matters.
  11. Determining market value.
    In summarising the results obtained in the inventory the market value is calculated by a certified appraiser based on the German Property Value Regulations (ImmoWertV) or, if necessary, based on international valuation methods and continually updated during the management stage.


Preparation of Investment and Liquidity Plans
CFE prepares an investment and finance liquidity plan for the entire planned investment period (budget). This plan is updated annually.

  1. Developing use-concepts (needs-analysis in the potential rental market, development of specific target group-specific rental offers, upgrading unlettable surface areas).
  2. Defining investment aims.
  3. Budgeting ongoing income/costs.
  4. Calculating and defining an exit scenario.


Managing Transactions

Implementing use-concepts with coordination of property management. CFE provides the client with all appropriate information concerning this agreement according to activities carried out and to be carried out so the client can check the administration of the property and assess the performance of the manager.

  1. Maintenance and repair management
  2. Letting
  3. Reporting, budgeting

CFE reports regularly to the client concerning the latter's asset as follows:

  • the updated capital flow report according to the standard for capital flow reports provided by the client becomes the version submitted to the client's tax advisor
  • the key report office (once annually) examines and documents the operating costs concepts of all properties with a process developed in-house by the asset manager
  • on written request by the client: we report on empty properties or parts thereof giving the expiry date for each property or every part thereof of the previous contractual relationship
  • on written request by the client: we report on the activities carried out for collecting debts with reference to outstanding invoices
  • comparison of revenue and expenses with the budget for each budget


Financing Management
We ensure the regular transfer of debt servicing to the financing institutes and we undertake to represent the interests of our clients to banks to the best of our ability.

We also support our clients in new negotiations with banks before fixed-interest periods and contractual terms expire. We advise our clients on financing acquisitions and can call on a wide and specific network of excellent bank contacts in Germany.


Transaction Management
CFE is appointed to coordinate the sale of properties. This covers the following services:

  • a market analysis to advise the client in setting the price of the offer
  • assisting the client in preparing bid documents, e.g. an investment memorandum
  • checking potential purchasers for creditworthiness
  • taking part in and conducting visits with prospective purchasers
  • preparing digital documents on the property for prospective purchasers (data room)
  • assisting prospective purchasers with due diligence;
  • assisting and advising the client in preparing/negotiating the purchase agreement
  • reporting regularly to the client on the current status of the purchase negotiations (quarterly)


Technical Due Diligence
The technical inventory is dedicated to architectural, construction and technical features of real estate.

Relevance: construction standards, condition of individual trades work (roof, facade etc.), maintenance faults, overdue upgrading, space-related issues (dimensions between axes etc.), type and quality of structures.
Analyses: acceptance procedures, liability provisions and guarantee agreements.

a. preparing appraisal reports on construction faults and damage (construction analysis), preparing concepts and timetable for repairing defects;

b. obtaining, checking and documenting property documentation/appraisals:

  • general construction specifications
  • detailed specifications giving quality and standards
  • building approval
  • stating years of construction and completion dates (official acceptance records)
  • current as-completed plans (plans, sections, elevations)
  • as-completed plans for technical facilities
  • calculations and details of service areas, gross surface areas, net surface areas, main usable areas, ancillary usable areas, traffic areas, basement areas and rental areas by floor
  • wiring and piping routes (cable / separate service plans, connection, supply)
  • contamination reports with evidence of degree of contamination
  • evidence of complete disposal of contamination, harmful substances, contamination and environmental contamination harmful to health
  • hydrological reports
  • soil reports
  • sound insulation reports and evidence of sound insulation
  • report on electro-magnetic influences
  • fire protection reports and evidence of fire protection
  • thermal insulation certificate
  • evidence of implementation of the German Energy-Saving Regulations
  • details of economic independence of individual buildings (traffic and supply of services)
  • details of planning partners with contractual provisions on liabilities
  • renovation and conversion approvals
  • evidence of contractual warranty provisions


Legal Due Diligence
List of visible or concealed inventory and liability risks together with administrative uncertainties, limitation of potential for disputes, if necessary financial limitation. Property analysis of compliance with planning and construction specifications

  • residential rental agreements (examination of effectiveness of clauses used, tenants' right of pre-emption, ancillary cost agreements, cosmetic repairs, security deposit, rent-structure, rent-increase options, dependent rental disputes etc.)
  • commercial rental agreements (validity of clauses used, term of agreement, rent-structure, rent-indexing, ancillary costs, repair obligations, legal cases, payment arrears etc.)
  • service agreements (checking terms, notice periods, price adjustment clauses, agreement clauses etc.)
  • official site plans
  • current Land Register extracts
  • survey certificate with details of property size
  • evidence of ownership-changes to property, purchase and building lease agreements
  • information on history of property
  • extract from current archaeological monument map and monument registry
  • if necessary, town planning agreement with other framework agreements with public bodies and utilities
  • other agreements and contracts with neighbours
  • evidence of fully-completed connection payments and charges


Tax Due Diligence

  • treatment of the profits from the sale
  • qualification of related costs and expenses from transaction and real estate management
  • income and company-related facts connected with the transfer of the property
  • value added tax-relevance in the case of commercial real estate
  • debt-waivers