HUD awards $11M+ for Florida residential property management services to 24 Asset Management Corp

Contract Overview

Contract Amount: $11,078,238 ($11.1M)

Contractor: 24 Asset Management Corp

Awarding Agency: Department of Housing and Urban Development

Start Date: 2026-01-13

End Date: 2027-02-15

Contract Duration: 398 days

Daily Burn Rate: $27.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: FIELD SERVICE MANAGEMENT AREA 5P

Place of Performance

Location: MIAMI, MIAMI-DADE County, FLORIDA, 33175

State: Florida Government Spending

Plain-Language Summary

Department of Housing and Urban Development obligated $11.1 million to 24 ASSET MANAGEMENT CORP for work described as: FIELD SERVICE MANAGEMENT AREA 5P Key points: 1. Contract awarded to a single vendor, raising questions about competitive pricing. 2. Fixed-price contract type suggests cost certainty for the government. 3. Contract duration of over a year indicates a need for ongoing services. 4. Geographic focus on Florida suggests localized service delivery. 5. No small business set-aside noted, potentially limiting opportunities for smaller firms.

Value Assessment

Rating: fair

The contract value of over $11 million for residential property management services over approximately 13 months appears substantial. Benchmarking this against similar contracts is challenging without more specific service details and geographic scope. However, the fixed-price nature of the contract provides some cost control. The absence of a stated low price or competitive bidding process makes a definitive value-for-money assessment difficult at this stage.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. However, the data does not specify the number of bids received. A high level of competition typically drives down prices and encourages innovation. Without knowing the number of bidders, it's difficult to fully assess the effectiveness of the competition in securing the best value.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it aims to ensure the government receives competitive pricing and the best possible services by allowing a wide range of potential contractors to participate.

Public Impact

Residents in Florida housing managed by the Department of Housing and Urban Development will benefit from continued property management services. The contract ensures the upkeep and management of residential properties, contributing to stable housing environments. The geographic impact is concentrated within Florida, specifically where HUD manages residential properties. The contract supports jobs within the property management sector in Florida.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detail on the number of bidders limits assessment of true competition.
Potential for price inflation if competition was not robust, despite 'full and open' designation.
Limited visibility into specific performance metrics and quality assurance for property management.

Positive Signals

Awarded under full and open competition, suggesting a broad market search.
Firm Fixed Price contract type provides cost predictability.
Contract duration aligns with the need for sustained property management services.

Sector Analysis

This contract falls within the broader real estate and property management sector, which is a significant component of the services industry. Federal spending in this area supports the government's role in managing public housing and other real estate assets. Comparable spending benchmarks would depend on the specific types and scale of properties managed, but multi-million dollar contracts for comprehensive management services are common.

Small Business Impact

The contract data indicates that this was not a small business set-aside. While awarded under full and open competition, there is no explicit information on subcontracting plans or goals for small businesses. This means opportunities for small businesses to participate as subcontractors may exist but are not mandated by the contract terms.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Housing and Urban Development's contracting officers and program managers. Accountability measures would be defined in the contract's performance work statement and terms. Transparency is facilitated by public contract databases, but detailed operational oversight information is typically internal.

Related Government Programs

Federal Housing Administration (FHA) programs
Public Housing Agency (PHA) operations
Government property management contracts

Risk Flags

Potential lack of robust competition despite 'full and open' designation.
Limited data on contractor's past performance in federal sector.
Need for detailed performance metrics to ensure value for money.

Frequently Asked Questions

What is this federal contract paying for?

Department of Housing and Urban Development awarded $11.1 million to 24 ASSET MANAGEMENT CORP. FIELD SERVICE MANAGEMENT AREA 5P

Who is the contractor on this award?

The obligated recipient is 24 ASSET MANAGEMENT CORP.

Which agency awarded this contract?

Awarding agency: Department of Housing and Urban Development (Department of Housing and Urban Development).

What is the total obligated amount?

The obligated amount is $11.1 million.

What is the period of performance?

Start: 2026-01-13. End: 2027-02-15.

What specific services are included under this residential property management contract?

The provided data indicates the contract is for 'Residential Property Managers' (NAICS code 531311) and is managed by the Department of Housing and Urban Development (HUD). While the specific scope of work is not detailed, typical services for residential property management include tenant relations, rent collection, property maintenance and repairs, lease administration, financial reporting, and ensuring compliance with housing regulations. For a contract of this value and duration, it likely encompasses a comprehensive suite of management services for a portfolio of HUD-owned or managed residential properties within Florida.

How does the awarded price compare to market rates for similar property management services in Florida?

Without detailed service specifications and the exact number of properties managed, a precise comparison of the awarded price ($11,078,238) to market rates is difficult. However, property management fees typically range from 8-12% of collected rent for private sector properties. For government contracts, pricing can vary significantly based on the scope, scale, and regulatory requirements. The 'full and open competition' award suggests an attempt to achieve competitive pricing, but the lack of bid count prevents a definitive assessment against market benchmarks. Further analysis would require comparing the contract's deliverables against industry cost models for similar government-managed portfolios.

What is the track record of 24 Asset Management Corp. in managing federal contracts?

Information on the specific track record of '24 Asset Management Corp.' with federal contracts is not detailed in the provided data snippet. A comprehensive assessment would require searching federal procurement databases (like SAM.gov or FPDS) for past performance history, including contract values, types, agencies served, and any performance ratings or disputes. Understanding their experience with similar HUD contracts or large-scale residential property management for government entities would be crucial for evaluating their capability and reliability in fulfilling this award.

What are the potential risks associated with a single award for this property management service?

Even though the contract was awarded under 'full and open competition,' if only one bid was ultimately deemed responsive or competitive, potential risks include limited price negotiation leverage for the government and a reduced incentive for the contractor to maintain peak performance throughout the contract term. There's also a risk if the contractor faces financial difficulties or operational failures, as finding and onboarding a replacement quickly could be challenging given the specialized nature of property management and the contract's duration. The lack of a competitive pool at the award stage warrants closer monitoring of performance and costs.

How does this contract align with HUD's overall mission and spending priorities?

This contract directly supports HUD's mission to create strong, vibrant, inclusive communities and provide affordable, quality housing. By ensuring effective management of residential properties, HUD can maintain housing stock, support residents, and fulfill its obligations in areas where it has direct property management responsibilities. The spending aligns with the agency's operational needs to manage its real estate assets efficiently and effectively, contributing to housing stability and community development goals within the specified Florida region.

Industry Classification

NAICS: Real Estate and Rental and Leasing › Activities Related to Real Estate › Residential Property Managers

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 13155 SW 42ND ST, MIAMI, FL, 33175

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $11,078,238

Exercised Options: $11,078,238

Current Obligation: $11,078,238

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 86614524D00008

IDV Type: IDC

Timeline