Gregory J. Rice is the general manager and vice president of franchise sales for Nexus Property Management, based in downtown Pawtucket. The company services more than 700 rental units in Rhode Island and southeastern Massachusetts.
Nexus provides landlords with services, including tenant placement, rent collection, maintenance, tenant communication, marketing and 24-hour response services. The company also offers investment advice, property analysis and profit forecasts for prospective real estate investors and is moving forward with residential property development of its own.
The company is now redeveloping the Sacred Heart Church at 415 Olo St. in Woonsocket into 32 apartments after buying the property in 2022 for $510,000 from the Roman Catholic Diocese of Providence.
PBN: There's been a change in the lead paint laws in Rhode Island starting this year. What do real estate investors and landlords need to know about this?
RICE: What they need to know is that cities, towns and, most importantly, the state’s Department of Health are no longer being lackadaisical about lead conformance. Make no mistake, lead conformance has been a requirement already. However, there was minimal enforcement, and no incentive for the landlords to oblige. Now, you are unable to file for a nonpayment eviction unless you have an active lead conformance certificate filed with the state. Additionally, for landlords who do not comply, fines and penalties are on the horizon.
PBN: What other real estate changes are Rhode Island landlords facing this year in terms of new fees? What can you tell us?
RICE: There was new legislation that passed recently that prevents landlords from charging prospective tenants application fees to apply for their units. This has caused some misconceptions with prospective tenants, as they believe they no longer need to have an application with the landlord.
What the legislation intends to do is help tenants by not having them pay application fees for numerous units only to not get approved for any of them. So, tenants are able to provide landlords with their own background checks instead of having to pay for each one individually when they apply. This has added a small, yet another, cost to the landlord's balance sheet.
PBN: Can you tell us the status of one of your real estate development projects, the former Sacred Heart Church in Woonsocket? What’s the latest?
RICE: The rectory of 12 residential units is slated to be completed this month. I am very excited to get these units online for phase one.
Additionally, the church's 20 units will be ready come early spring. I am pleased to bring 32 residential market-rate units to the Fairmount neighborhood of Woonsocket. Always and forever, I am grateful and appreciative to the city for their commitment and, most importantly, former Mayor Lisa Baldelli-Hunt for believing in my vision from day one.
PBN: What are some of the biggest challenges you are facing in the field of property management right now in Rhode Island? And how are you dealing with this?
RICE: The biggest challenge for everyone in the business is affordability. That goes for the tenants, owners, vendors and managers like me. The costs of doing business are so extremely high for everyone. The cost of rent is as high as it's ever been, the cost for properties and mortgages is record breaking, and the costs to hire workers is at the top of the mark. The landlord has a great deal of responsibility, and don't forget, we are the last one to get paid, if at all.
PBN: What are some services that Nexus and other property management companies offer that could save property owners money in the long-term and why?
RICE: We offer our maintenance and turnover services in-house. Many of our competitors have to subcontract it out, which can cause reliability to decrease and price to increase. Additionally, we offer eviction services in house, so the property owner doesn’t have to handle any of that process (or show up in court).
Overall, we are a one-stop shop company that aims to provide you with hassle-free income and a hassle-free mindset.
Marc Larocque is a PBN contributing writer. Contact him at Larocque@PBN.com. You may also follow him on Twitter @LaRockObama.
Nice job Greg!