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Property Management Agreement

Introduction
Parties
Property
Management Services
Responsibilities of the Property Manager
Responsibilities of the Owner
Fees and Expenses
Term and Termination
Insurance
Default and Remedies
Governing Law and Dispute Resolution
Notices
Entire Agreement
Severability
Waiver
Amendments
Binding Effect
Confidentiality
Representations and Warranties
Signatures

Introduction

This Property Management Agreement (the "Agreement") is made and entered into as of [Date] by and between [Owner Name], residing at [Owner Address] (the "Owner"), and [Property Manager Name], residing at [Property Manager Address] (the "Property Manager").

Parties

Owner: [Owner Name]
Property Manager: [Property Manager Name]

Property

The property subject to this Agreement is located at [Property Address] (the "Property").

Management Services

The Property Manager agrees to provide the following management services for the Property (the "Services"):

Marketing and Leasing:
- Market the Property for rent.
- Screen and select tenants.
- Prepare and execute lease agreements.
- Collect rent and security deposits.
- Enforce lease terms and conditions.
Property Maintenance:
- Oversee routine maintenance and repairs.
- Respond to tenant requests for repairs.
- Coordinate with contractors and vendors.
- Maintain the Property in accordance with applicable laws and regulations.
Financial Management:
- Collect and deposit rent payments.
- Pay property taxes, insurance premiums, and other expenses.
- Provide regular financial reports to the Owner.
Legal Compliance:
- Ensure compliance with all applicable laws and regulations.
- Advise the Owner on legal matters related to the Property.

Responsibilities of the Property Manager

The Property Manager agrees to:

Act in good faith and in the best interests of the Owner.
Exercise reasonable care and diligence in performing the Services.
Maintain accurate records of all transactions related to the Property.
Provide the Owner with timely and accurate financial reports.
Comply with all applicable laws and regulations.
Maintain confidentiality of all information related to the Property and the Owner.
Obtain the Owner's prior written consent for any major repairs or improvements to the Property.
Provide the Owner with reasonable access to the Property.

Responsibilities of the Owner

The Owner agrees to:

Provide the Property Manager with all necessary information and documentation related to the Property.
Pay the Property Manager's fees and expenses as set forth in this Agreement.
Maintain adequate insurance coverage for the Property.
Comply with all applicable laws and regulations.
Cooperate with the Property Manager in the performance of the Services.

Fees and Expenses

The Property Manager will be compensated for the Services as follows:

Management Fee: [Percentage] of the gross rental income received from the Property.
Expenses: The Property Manager will be reimbursed for all reasonable and necessary expenses incurred in connection with the Services, including but not limited to:
- Advertising and marketing costs.
- Tenant screening fees.
- Repair and maintenance costs.
- Insurance premiums.
- Property taxes.
- Legal and accounting fees.

Term and Termination

This Agreement will be in effect for a period of [Term] (the "Term"). This Agreement may be terminated by either party upon [Notice Period] written notice to the other party.

Insurance

The Owner shall maintain the following insurance coverage for the Property:

Property Insurance: Coverage for the full replacement value of the Property, including all structures and fixtures.
Liability Insurance: Coverage for personal injury and property damage claims arising from the Property.
Workers' Compensation Insurance: Coverage for employees of the Property Manager.

Default and Remedies

In the event of a default by either party under this Agreement, the non-defaulting party shall have the right to terminate this Agreement and pursue all available legal remedies.

Governing Law and Dispute Resolution

This Agreement shall be governed by and construed in accordance with the laws of the Republic of Kenya. Any dispute arising out of or relating to this Agreement shall be settled by binding arbitration in accordance with the Arbitration Act, 1995.

Notices

All notices and other communications hereunder shall be in writing and shall be deemed to have been duly given when delivered personally, sent by certified mail, return receipt requested, or sent by overnight courier service, addressed as follows:

If to the Owner: [Owner Address]
If to the Property Manager: [Property Manager Address]

Entire Agreement

This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior or contemporaneous communications, representations, or agreements, whether oral or written.

Severability

If any provision of this Agreement is held to be invalid or unenforceable, such provision shall be struck and the remaining provisions shall remain in full force and effect.

Waiver

No waiver of any breach of this Agreement shall be deemed a waiver of any subsequent breach.

Amendments

This Agreement may be amended only by a written instrument signed by both parties.

Binding Effect

This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and permitted assigns.

Confidentiality

The parties agree to hold confidential all information relating to the Property and the Services, except as required by law.

Representations and Warranties

Each party represents and warrants to the other party that it has the full right, power, and authority to enter into this Agreement and to perform its obligations hereunder.

Signatures

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.

Owner:

[Owner Signature]

[Owner Printed Name]

Property Manager:

[Property Manager Signature]

[Property Manager Printed Name]

Sources:

Arbitration Act, 1995
The Law of Property Act, Cap 280
The Land Registration Act, 2012
The Rent Restriction Act, Cap 296
The Landlord and Tenant (Shops, Hotels and Catering Establishments) Act, Cap 301

Note: This is a sample Property Management Agreement and may not be suitable for all situations. It is recommended that you consult with an attorney to ensure that the Agreement is appropriate for your specific needs.