CHAPTER ONE

INTRODUCTION

1.1     Background to the Study

Record constitutes a piece of evidence about the past, especially an account of an act, events occurred, results achieved, or statement made. This evidence can however be called data. When the data is organized, it produces information.  Information is one of the crucial ingredients we require in life. We either get or provide information for people. It is popularly said that information makes one not to be deformed. The information could be about human, real properties or chattels. When involved in various activities or transaction, information is always needed to guide you. However, the problem is not how to get the information/data or evidence, but how to keep it properly. Information is mostly stored in the human brain pending the form in which it was given. However, the brain has capacity of data which it can accommodate for a particular moment. If the information is not stored in the brain, it is recorded through any of the mediums. It could be handwritten, type written, recorded with electronics for easy accessibility. But in contrast, it is advisable that agreements between parties are made in black and white.

Record keeping is very important most especially when you have been assigned to perform certain jobs. You automatically owe your assignor certain duty. For example, a manager of a property (whether real estate or chattels) who is in charge of his client’s property for the purpose of management, owes his clients duties. Though some of the duties will not be stated, but impliedly you do. The client will always want to be asking, “why is”, “where is”, “how is”, “when is”, and even “who is” questions in respect of his property. Though, manager on the other hand has so many management portfolios at hand which that are not an excuse. The manager may succeed to answer these questions on a ground. If he fails, the question is “does he keep records? On this note, I have the urge to ask, “Can a property manager perform without keeping records?”

Questions of this approach need necessary explanation on the concept of real property, who a manager is, his qualities and functions, concept of record keeping, types of records kept, methods of keeping records in property management, the importance of record keeping in property management practice. This is the reason for the research.

1.2     Statement of the Problem

Management is another estate practice that requires skill or professionalism and carefulness. People’s properties are being controlled for the maximization of profit. For the owner it involves interaction with different facet of interest; the landlord and the tenant.

However, some managers neglect the idea of proper record keeping. Some try to keep records but fails to update the records. Many still prefer the traditional/manual method of record keeping. The computerize method is not totally achieved because the computer are sometimes replaced or fails. Absence of record keeping has posed a lot of challenges to a property manager in diverse ways. Thus he cannot give accurate account or monthly report or give detail information about the property he is managing. Sometimes dispute arises between the landlord, agents and tenant. One of the important tools that a manager requires is record. This is the reason for the study.

1.3     Aim and Objectives of the Study

The general aim of the research is to ascertain the importance of record keeping in property management among property managers.

However, in other to achieve this, the following specific objectives are followed;

(1)     To examine the methods adopted in record keeping

(2)     To examine the type of records kept by property managers

(3)     To examine the importance of record keeping.

1.4     Research Question

Accessing the importance or vital information about the problem, the researcher deemed it pertinent to formulate some question. They include;

1.       What kind of records do property managers keep?

2.       What are the importance of record keeping in property management?

1.5     Scope of the Study

The study basically covers and examines the need for the professional estate surveyors and valuers to know the importance of records keeping among practicing property managers in Port Harcourt.

Consequently, issues pertaining to the type of record kept, maintenance policy, the role of the professional estate managers in terms of records documentation and the problems affecting good record system have been succinctly discussed.

1.6     Significance of the Study

It is obvious that all research work that was carried out to solve an existing problem or a problem that might occur in the society is important. Hence, this research work will be significant for the following reasons.

(a)     Academy: undergraduates, researchers, lecturers of any college/polytechnic/university, and even scholars who will be privileged to view this work will be educated in record keeping in property management.

(b)     Property Managers: some managers have not equipped themselves with some of the duties which would have widened the scope of their practice. Some of these functions are very much important which does not need to be neglected. This work shall unveil to them the importance of record keeping in property management.

(c)      Also the property owners will also benefit from this work. It’s obvious that not all property owners are managers to their property. This may be for some reasons notwithstanding, but however this research work will reveal the records that are supposed to be kept while managing a property.

1.7     The Study Area

Port Harcourt is the Headquarter of Rivers State Nigeria in the south-south and since it attained the status of a state capital in 1967, construction and other activities have accelerated appreciably. The state has an area of 369km and has an estimated population of about 1,865,000. As a matter of fact, Port Harcourt comprises of different real properties that routine management is carried out on. The type of real properties thereon include the self-contain, flat, terrace building, semi detached house duplex, maisonette etc. The properties are either managed by the estate surveyors and valuers or owner/landlord.

Port Harcourt Metropolis comprising the core city of Port Harcourt with its component area of Diobu (Mile I – III), main township area, Borokiri, D-Line, Old GRA, New GRA and the Aba Port Harcourt Express Way, stretching up to the Presidential Hotel Area and Federal Secretariat.

Port Harcourt is the most highly urbanized and densely populated city in the south-south region of Nigeria. The city is easily accessible from neighbouring states of Abia, Bayelsa, Imo and Akwa-Ibom via Standard Federal High ways which criss-cross the major cities in Nigeria.

It is the seat of governance of Rivers State which is one of the highest oil and gas producing states in Nigeria. Thus, there is high population due to the influx of rural-urban migration as well as ingress of different people from different parts of the country and outside the continent of Africa due to the conglomeration of diverse economic activities including small, medium and long term business and most importantly, the oil exploring and servicing companies. The original settlers of the city are the Ikwerres whose initial occupation was subsistence agriculture but with the rapid urbanization process involving the clearing of forests and farm land, majority of the inhabitants are now businessmen and women.

Port Harcourt City is also the Headquarters of Port Harcourt Local Government Area which is bounded by Ikwere and Emohua Local Government Areas to the West, Okrika Local Government Area to the East and the Obio-Akpor Local Government Area to the North. The city today has developed to merge with the surrounding suburbs of Obio-Akpor Local Government Area (see map below).

1.8     Limitation of the Study

It is the intension of the researcher to come out with a perfect research. The researcher applied enough wisdom, skill and strength in order to obtain reliable information. However, there were some limited factors that nearly make the purpose of the research not to be accomplished. They include:

          Finance: there was limited finance to satisfy the unlimited wants like textbooks, writing materials and sundry expenses which will contribute to the success of the research.

Time: the time frame was not really, favourable for a research of this magnitude this have become a close to the solution of the problem.

 Respondent’s Attitude:  the uncompromising attitude of some respondents were not encouraging some misconceived the purpose of research; that the data will be used against them.

1.9     Definition of Operational Terms

Records: A thing constituting a piece of evidence about the past, especially an account of an act or occurrence kept in writing or some other permanent form.

Property: it is an interest, which can be acquired in an object or thing.

Information: Information according to business dictionary, is data that is accurate and timely, specific and organized for a purpose, presented within a context that gives it meaning relevance, and can lead to an increase understanding and decrease in uncertainty. They are sets of data or processed data.

Record Keeping: It is the documentation of all financial activities, correspondence, report, reference material, contract, leases, memoranda etc. this documentation must be available, understandable and usable throughout the life of the business and beyond.

Estate: An estate is legal entity denoting a character and quality of right an individual or individual possess in a property extensively, it is an area of land.

Manager: Manager is one who plan, organize, lead and control resources (land, labour, capital and entrepreneurship) in order to achieve set goals.

Property Manager: A property manager is one who carries out the responsibilities of a property management

Property Management: Property management is the act of directing and controlling interest on land and landed property in such a way and manner that will enhance its functionality and promote its life to enable it yield optimal return.