Property Entrepreneurs: Johns & Co founder John Morley on how he plans to improve landlord-tenant relations
For too many of London’s flat dwellers, their experience of property management has been wondering why repairs take so long and why calls for help go unanswered.
Part of the problem lies in the fact developers have little long term interest in management once they have sold all the apartments in a scheme, so, all too often, the task is passed on to the company tendering the lowest price for the job.
But John Morley is looking to change all that. Previously head of international sales at Ballymore, Morley set up his own management company, Johns & Co, to help take care of the growing number of investor landlords he felt were being dealt a bad hand by the market.
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One way he set out to differentiate himself was to provide management of the property ahead of completion. “Investors can buy off plan up to three years ahead,” he notes, “so we do a lot of hand holding.” He helps landlords with important decisions along the way to do with finishes, insurance, and tax. Morley also arranges handovers, checks snagging and arranges furnishing, before finding a suitable tenant.
Having sold more than 1,000 apartments to buyers in Hong Kong, Singapore and China, Morley had a good understanding of the support those investors needed. Yet while the majority of buyers were once overseas investors, he says the market has changed significantly since 2012, and now around half of buyers in need of his services are UK investors.
There’s an equal emphasis on tenants, too. Once he’s found them, it’s Morley’s job to look after them as well: As well as staff on the ground in local offices, he has developed a unique app called Details, a versatile tool allowing busy residents to order anything from groceries to laundry to a flower arrangement, or request extra cleaning visits. Paypal integration makes for seamless billing.
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Orders entered into the app are processed manually by local staff to ensure they are fulfilled in a timely fashion because Morley insists the personal touch is vital. “And our landlords love our app, as they can see how we’re looking after their tenants.”
Morley says that innovations such as this are about improving the tenant experience, not about trying to cut costs, and he has strong views on the way price competition can lead to property management being handled badly. “Fees come down and service comes down as a dogfight occurs,” he warns, adding that, ultimately, all that happens is tenants moan about lousy management, as repairs and cleaning get pared back.
After three years in business, Johns & Co now manages a portfolio of 500 apartments in developments including Embassy Gardens, London City Island and New Providence Wharf. And he is poised for strong growth, expecting to double the business within the next year, opening three more local offices.
While he does come recommended by Ballymore, Morley does not have the luxury of long term contracts with developers. Instead, he prefers to rely on his reputation – something else that appears to be growing nicely.