Duke Kimhan, Principal Broker at Hawaii Pacific Property Management, has an eclectic background that includes culinary arts and entrepreneurship before transitioning into the real estate industry. Born and raised in Honolulu, he honed his culinary skills at Kapi’olani Community College and went on to become a successful Restaurateur, owning a Fine Dining Establishment in Florida.
In his current role as Principal Broker at HIPacific Property Management, Duke specializes in various aspects of real estate, including investment properties, condos, military relocations, 1031 tax exchanges, and commercial properties. With his expertise, he leads a team that manages over 1000 properties across Oahu, including areas such as Ewa Beach, Kapolei, and Honolulu.
HIPacific Property Management, established in 2013, offers full-service property management tailored to the unique needs of Hawaii’s rental market. The team’s deep understanding of the local rental landscape ensures efficient vacancy filling, providing peace of mind to property owners. Their commitment is summed up in two core principles: protecting clients’ homes and maximizing their financial returns.
The Decision to Specialize
Duke emphasizes the symbiotic relationship between property management and real estate sales, noting that many realtors primarily focus on sales and may not delve into property management without prior experience. He highlights the continuous demands and responsibilities inherent in property management, which require constant attention to details such as rent payments, security deposits, and maintenance issues.
Having recognized the distinct challenges and demands of property management, Duke made the deliberate decision 15 years ago to exclusively dedicate himself to this field, relinquishing real estate sales. By focusing solely on property management, he aimed to provide specialized and dedicated service, setting himself apart from realtors who juggled both sales and property management on the side.
Duke’s commitment to property management allowed him to excel in the field, providing efficient and effective services that surpassed those of his competitors. By prioritizing speed and quality in his operations, he quickly distinguished himself as a leading figure in the property management industry, earning referrals from real estate agents who recognized the value of partnering with a dedicated property management professional.
Building from the Ground Up
Recognizing the significant demand for maintenance in the property management field, Duke took proactive steps within the first year of establishing his business to address this need. He established a dedicated maintenance department to handle the influx of calls related to repairs and issues in the properties under his management.
Understanding the importance of providing timely assistance to tenants and ensuring the proper maintenance of owners’ homes, Duke’s maintenance department operates seven days a week to address any concerns promptly. As the number of properties under management grew, so did the volume of maintenance requests. Duke realized the necessity of having a dedicated team to handle these calls efficiently and effectively.
Today, Duke’s property management company receives an average of 80-100 maintenance calls per week, demonstrating the ongoing demand for maintenance services and the importance of having a dedicated team to address these issues promptly and professionally.
The Digital Advantage
Duke recognizes the importance of staying at the forefront of technological advancements in business. He observes that the younger generation is particularly comfortable with technology, and his staff often brings new tech solutions to his attention, illustrating how these innovations could streamline their work processes. In today’s market, time saved equates to money saved, highlighting the value of embracing technological tools that increase efficiency.
Over the years, there have been significant advancements in technology, particularly in the realm of property management. Duke cites examples such as auto payment systems for rent collection and owner payments, which streamline financial transactions. With advancements in banking technology, tasks like depositing checks no longer require trips to the bank; instead, checks can be scanned and deposited electronically, contributing to a nearly cashless system.
Also, tools like DocuSign have revolutionized contract management by automating the process of creating and signing contracts for owners and tenants. Additionally, the ability to scan documents to and from computers, as well as utilize digital pictures for property documentation, has improved efficiency and organization. With modern computers capable of storing large files of pictures and videos, property condition forms and other documents can be easily tracked and accessed, complete with automatic date stamping. Overall, Duke acknowledges that technology has come a long way and continues to play a crucial role in enhancing the operations of property management businesses.
Weathering the Storm
Duke highlights the current changes in the US real estate market, noting factors such as rising interest rates and investors’ cautious approach to adding more income properties to their portfolios. Many buyers are waiting for the market to stabilize before making significant investments, and even small expenses can impact investors’ decisions. Despite these challenges, Duke’s company has refrained from raising fees or rates, opting to wait until the market stabilizes. He emphasizes the resilience of the property management side of the business, noting that regardless of market conditions, there is always demand for rental properties. During downturns in the real estate market, more people opt to rent out their homes rather than sell them, leading to increased demand for property management services.
Duke also highlights a key differentiator in his approach to property management: he does not require owners to provide upfront payments or security deposits for his services. Unlike some competitors who ask for down payments or hold security deposits, Duke believes this is unfair to property owners. Instead, he focuses on providing quality service without upfront financial burdens for his clients.
Duke offers valuable advice to those in the property management industry, emphasizing the importance of passion and dedication. He encourages his team to pursue work that they genuinely enjoy, rather than merely fulfilling obligations. According to Duke, true success comes from a genuine desire to excel and constantly outperform the competition.
25 Years of Excellence
Duke reflects on his journey in the real estate field, drawing inspiration from the great leaders he has worked with in both the restaurant and real estate industries. He notes that these leaders all shared a common drive to be great and to outwork their competition. Seeking a career that would offer a balance between income and work-life balance, Duke found his niche in property management.
In today’s property management market, Duke observes that many realtors are drawn to the stability of property management. Unlike the fluctuations often experienced in real estate sales, property management provides a steady stream of income through monthly rent payments. Additionally, property managers have the opportunity to develop strong relationships with both property owners and tenants, contributing to job satisfaction and longevity in the field.
Over his 25 years in real estate, Duke’s company, Hi Pacific PM, has achieved numerous awards and accolades, including being recognized as one of the top three property management companies for the past decade. However, Duke emphasizes that the true measure of success lies in the growth and well-being of his team. He takes pride in the longevity of his employees, many of whom have worked with him for over a decade, and in seeing them achieve personal milestones such as buying homes and driving new cars. For Duke, the internal success and satisfaction of his team members are the most meaningful achievements.
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