This role will be overseeing the outsourcing company (IBM) and any of their work escalated to CKE. They will also be responsible for all ad-hoc reporting needed by the company.
The lease administration and database management responsibility being handled by IBM includes review, interpretation and abstracting of all real estate transaction documentation for incorporation into the company’s Lease Administration database system, currently both PeopleSoft and SLIM. All documents pertaining to the acquisition of new assets by lease or fee, any modifications to the lease throughout the term, the subsequent sale or sublease of an assets, and franchise leases and subleases with the company are abstracted for pertinent and strategic information and incorporated into the databases. All are funneled through Lease Administration for: (1) review, interpretation and abstracting; (2) initiation of appropriate start-up requirements as dictated by the documents and per Lease Accounting rules; (3) input and set-up of all pertinent real estate information into PeopleSoft; (4) document tracking, scanning and filing; (5) maintaining accuracy of the data and modifying the information as necessary; and, (5) production of various reports.
Lease Administration is responsible for tracking and reporting all critical dates. Lease commencement and termination dates, lease option notice dates, purchase option dates, rights of first refusal, restrictive covenants, co-tenancy provisions, exclusive use covenants, radius restriction and other critical dates are set up within PeopleSoft and SLIM. Reports are routinely prepared utilizing the data and distributed to the Real Estate Asset Managers so they may effectively manage and plan for the assets under their charge. All rents payable and receivable, including base rent, common area maintenance charges, taxes and percentage rent are initially set up for automated payment by Lease Administration in PeopleSoft and SLIM for subsequent monitoring, adjusting and processing by the Lease Accounting (IBM). In addition, all pertinent lease data concerning the property is abstracted and stored in PeopleSoft for easy reference by the Asset Managers and Property Managers. Rights to assign or sublease, remodel approval requirements, common area rights and responsibilities, exclusive use provisions, restrictive covenants and other pertinent data is set forth in summary form within PeopleSoft and SLIM. Other reports are routinely prepared for use both within the department and by other departments utilizing the data in PeopleSoft and SLIM.
This role will reach out to the franchisees monthly to obtain documents related to Franchise Direct Leases which will be sent to IBM Lease Administration to capture this data and to populate SLIM, with all relevant lease and fee information on Franchise Direct Properties for purposes of improved management, tracking, reporting and coordination with Franchise Agreement terms and new development market planning.
The Lease Administration Manager will be responsible for any CAM disputes that get escalated to CKE for further handling and SNDA’s and Estoppel’s which are not on our standard form. The Lease Administration Manager will work with both Landlord’s, Franchisee’s and outside counsel to complete such documents.
Lastly, Lease Administration is also responsible for overseeing the maintenance of data in SLIM and Peoplesoft. This includes options, option rent, and other viable and applicable information. This database allows Asset Managers, Property Managers, and other Real Estate personnel ease of access to information by pulling data from multiple locations and integrating it together in one place.
The Lease Administration Manager oversees and ensures performance of all Lease Administration activities.
II. LEVEL OF RESPONSIBILITY
1. Problem Solving/Decision Making
The Lease Administration Manager’s job function requires a high level of real estate knowledge and understanding of leases and other real estate legal documents in order to interpret legal documents and make a judgement on the meaning and intent of the document’s language. The role played by this position in providing accurately interpreted and comprehensive data and performing at a high level within the department is critical. Further, continuing exposure to current trends in real estate and legal issues related to same as well as familiarity with the company’s current financial and strategic initiatives affecting its real estate assets is imperative.
With the approval of the General Counsel for the company and the Vice President, Real Estate Asset Management, the Lease Administration Manager may engage local counsel to assist in lease interpretation, document drafting and review, dispute resolution, and other legal matters. Litigation is approved through the concept General Counsel.
2. Freedom to Act
The Lease Administration Manager operates with minimal supervision. Self-direction, absolute accuracy, extreme attention to detail and follow-through skills are absolutely fundamental to this position. Self-motivation, determination and a strong work ethic are essential qualities as well.
The Lease Administration Manager seeks guidance from the Vice President and Director, Real Estate Asset Management as to the company’s business practices, precedents and policies as necessary.
3. Scope of Responsibility
The availability, longevity and quality of our real estate assets is foundational to our ability to operate our restaurants. The Lease Administration Manager’s responsibility to accurately interpret and timely track and report data ensures the longevity of CKE’s real estate assets and appropriate market placement of new real estate assets. This data will play a critical role in CKE’s ongoing initiative to develop and grow the brands via our franchise community.
To further accentuate the comments above, the Lease Administration Manager’s role has a substantial impact upon the company’s ability to retain its real estate and operate its restaurants. Incorrect interpretation of lease clauses can result in loss of rights and other serious impact to the viability of a property. Likewise, failure to accurately and timely report option renewal dates can result in the loss of a valuable real estate asset as well as a highly profitable restaurant. Failure to accurately and timely report an option rent escalating to above market levels will affect the Real Estate Asset Manager’s ability to renegotiate the rent, and thereby have immediate and potentially long-term effects upon a store’s cash flow.
The Lease Administration Manager has regular and direct contact with landlords, shopping center management companies, developers and attorneys representing these parties with regard to lease interpretation, term commencement, rental adjustments, etc., and this communication can be anywhere from informational to confrontational and hostile. Throughout all encounters, the Lease Administration Manager’s objective is to professionally, effectively and productively represent the best interests of the company.
A four-year college degree is desired, as well as extended education in real estate, real estate finance, business and real estate law, or equivalent experience. However, on-the-job experience may be adequate in some cases and will be given consideration.
Excellent verbal and written communication skills are essential. A command of excel, word and outlook with adaptability to PC-based network systems is critical. A professional appearance and mature attitude is essential. The person must be highly self-motivated and able to work in a fast-paced and demanding environment. Excellent computer skills running accurate ad hoc reports as needed.
A minimum of ten years experience in commercial real estate transactional documentation and management is required to perform the elevated functions of this position. Analytical aptitude and problem solving skills is required. Exposure to Accounting rules and principals is also necessary to interface with the SLIM Lease Accounting function and CKE’s Finance and Accounting Departments.
3. Other Desirable Qualifications
Great attention to detail, a high level of accuracy and organizational skills are key components to the successful handling of this position; an ability to learn quickly and work independently is equally essential.