Anybody else having issues with Mack Companies in Chicago?

Anybody else having issues with Mack Companies in Chicago?

Wholesaler · Denver, CO · Member since 2013 · 126 posts · 39 votes

I have a turn-key rental with Mack Companies in suburban Chicago that has been vacant for FOUR MONTHS!

A small sample of my issues with the management:

Finding out a tenant has moved out weeks after the fact. When the monthly statement came it showed a big fat 0 for rent. No communication. How hard is it to send a one sentence email that the tenant moved out?

Rent lowered by hundreds of dollars on a re-lease without a discussion or heads up.

Two months into vacancy I still don't have a tenant due to things like "it's a busy time of year". Really? You didn't factor in summer as a busy time of year in Chicago? Like this is different than any other summer? 

Two months into vacancy I'm then told the unit needs a refresh. Really? It took two months to figure that out? Shouldn't I have a list of needed repairs within a week of tenant moving out? I'm told the reason for the delay is the property "fell in a crack". In other words mis-managed.

Three months into vacancy I'm told "The timeliness of placing a tenant is affected by the change in market demand compounded with the specific location and property style. Well I'm pretty sure the location and property style hasn't changed.

Getting nowhere with the manager, At 3 1/2 months vacant I ask for a higher up manager who says my unit "has had a series of bad luck and unfortunately that may be the case with some real estate - remember, it is an investment not an annuity." Also he is "hoping to have a solution by Friday." I'm not holding my breath.

6 grand in lost rent and counting....

I've lost all faith in Mack Companies, buyer beware.

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Rental Property Investor · Manteno, IL · Member since 2009 · 2k+ posts · 2k+ votes
10y

@Account Closed  Did you read the initial post by this investor? I don't understand how anyone would come on to BP and suggest the comments that his PM said to him or the results he got were in the least bit acceptable.  

Bottom line is that in this market there is no way a house should be sitting vacant for four and a half months. If you have 250 employees and can't manage them all, then maybe you should cut back on your employees and find a number that you can manage. 

But suggesting there are a lot of moving parts when a company like yours has over 250 employees is awful. If you don't have something in your system that catches a vacancy before it hits 4 months, then something is wrong with your system.

And your response that you are the biggest company and longest tenured company means NOTHING in terms of whether you're providing good service today or not. Maybe you just happen to have the best sales people.

What in the world does the housing crash have to do with that investor's 4.5 month vacancy? Or lowering the rent without getting his approval? Is that the type of contracts you guys do? You have the ability to change the rent to any amount without an approval and at an time you choose? Jeepers....... Not exactly investor friendly if you do.... 

Ultimately, thats what you should have addressed on your post. Either dispute the claims he made in terms of his results or apologize for your company's awful service.  Don't make lame excuses and tell us how big you are and how many employees you have and how the crash affected people. That has absolutely nothing to do with the service you've been paid to provide.

Maybe you're used to selling sheep the "spiel". But when you come on here, you're going to get called out for nonsense like that.  To me, you shouldn't have said a thing on here unless it was to dispute his initial claims OR to apologize and make it right. But you did neither.  At the end of the day, that is what speaks volumes to me..... 

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  • Davis, CA · Member since 2017 · 6 posts · 0 votes
    9y

    @Ben Dunning great idea.  Will join.

  • Davis, CA · Member since 2017 · 6 posts · 0 votes
    9y

    They are refusing to release my security deposits, claiming that all disbursements are handled by "upper management". Any advice?

  • Investor · Frankfort, IL · Member since 2014 · 54 posts · 15 votes
    9y

    Matt: 

     When you have a chance, I would suggest to PM me your email and I be happy to forward the information of an attorney trying to get recovery. Is this Mack or Oak park? .. Mack is under an appointed United States Trustee

  • Investor · Frankfort, IL · Member since 2014 · 54 posts · 15 votes
    9y

    The latest from Oak Park.....http://www.chicagotribune.com/suburbs/daily-southtown/news/ct-sta-mack-subsidiary-bankruptcy-st-0608-20170608-story.html

  • Real Estate Agent · Coopersburg, PA · Member since 2016 · 28 posts · 9 votes
    9y

    Thank God for BP threads like this!  Who do I need to reach out to in an effort to try and get my past due rents and security deposits from Oak Park?


    I appreciate all of the great information in this thread.  I hope we can all get what we are owed.

    Thanks!

  • Davis, CA · Member since 2017 · 6 posts · 0 votes
    9y

    PM me and I can send you the latest info. 

  • Investor · Sydney, New South Wales · Member since 2017 · 3 posts · 0 votes
    9y

    Hi Everyone,

    I am an international investor located in Australia with one property under Oak Park Realty management. I have only just been made aware of the current situation with a email informing me that the management of my property would be handed over to Renters Warehouse on the 1st of July. My previous communication from the management team was in May with a promise of following up my concerns regarding not receiving rent owed for my property, no mention of any other issues of course. 

    I would appreciate any contact details or information you can provide on who may be able to help me in my situation.

  • Wholesaler · Denver, CO · Member since 2013 · 126 posts · 39 votes
    9y

    It looks like Mcclelland is doing business as Wheelhouse Investments, LLC

    Wheelhouse Investments, LLC is an Illinois LLC filed on February 20, 2014 . The company's filing status is listed as Active.

    The Registered Agent on file for this company is Alan Fulkerson and is located at 30 N La Salle St Ste 2630, Chicago, IL 60602. The company's principal address is 16800 S. Oak Park Avenue, Tinley Park, IL 60477-0000.

    The company has 1 principal on record. The principal is James H Mcclelland from Tinley Park IL.
  • Redmond, WA · Member since 2016 · 15 posts · 4 votes
    9y

    Hi @Jay O'Loughlin - Would you be able to share your experience with Renters Warehouse?

  • Investor · Sydney, New South Wales · Member since 2017 · 3 posts · 0 votes
    9y

    Hi @Marcelo Bellinaso, I've only been with Renters Warehouse for a couple of months but so far so good. They are very communicative and keep me up to date with both their attempts at obtaining the tenant bond from Oak Park (no luck) and the current status of my tenants. They have also arranged for the locks to be changed from the ones that Oak Park had access to - which were apparently the same master locks used on a number of properties from Mack that Oak Park managed. As a result there were no individual keys for Oak Park to hand over as they just had a master key that worked for a number of properties! The owners platform is nice change however I haven't had much reason to use it as yet. 

  • Orange, CA · Member since 2013 · 1 post · 2 votes
    8y

    California investor.  I purchased 3 MACK turnkeys dating back to 2012 when Eric Workman was still with the company.  Over time I found property management to be lacking.  They placed poor tenants (stopped paying rent, left huge utility bills, required eviction), turnover was long (4-6 months on multiple occasions), turnover repair bills on the higher side.  Investor communication was poor, slow and unresponsive.   The worst part was that MACK did not hold the tenants accountable--there was no penalty if they made late rent payments, so tenants were months and months behind on rent, and MACK was ok with it.  Won't take the time to list the other multiple bad signs I saw, suffice it to say they were a big, clunky operation.  I felt stuck because I didn't know any other PM's and changing seemed to require a lot of decisive action and entry to the unknown, and couldn't sell yet cause prices hadn't really recovered.  Finally, in mid-2016 I changed PM's when John Gutman, Keith Tarasiewicz, and Dean Siampos all left the company at the same time.

    Best decision ever. I lucked upon new PM of a small, growing and highly responsive PM.  She has experience working as property manager of 1000s of units Chicago public housing projects.  No nonsense with the tenants, but can still relate to them, comfortable managing Section 8.  Husband is in law enforcement, and she is working hard to grow her business, very responsive, practical cost efficient solutions, too.   I call her when I have a question and she takes care of it.  Completely different experience from the MACK incompetency and bureaucracy. The properties don't perform perfectly, but they are cash flowing well and I am happy the new management.  

    I'm sure there's other good PM out there, but I have been very happy.  Former MACK investors feel free to PM me and I can connect you.

  • Wholesaler · Denver, CO · Member since 2013 · 126 posts · 39 votes
    8y

    FYI, If anyone is loooking for property management in south Chicago and suburbs, I HIGHLY recommend Mike Fisher and Jill Ferguson at www.GetCashFlowToday.com. They have been fantastic is getting my former Mack properties back into shape and cash flowing!

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