What is a key component of a risk management plan for a property?

Identifying potential hazards is a fundamental component of a risk management plan for a property. This process involves recognizing various risks that could impact the safety, security, and financial stability of the property. By pinpointing these hazards, property managers can develop strategies to mitigate them, implement safety protocols, and ensure compliance with regulations. This proactive approach helps in safeguarding both the physical asset and the occupants, ultimately contributing to the overall risk management framework.

Setting quarterly budgets, renewing tenant leases, and conducting market analysis, while important aspects of property management, do not directly relate to the formation of a risk management plan. Budgeting is primarily concerned with financial planning, lease renewals focus on tenant relations and occupancy levels, and market analysis pertains to understanding the property's competitive position in the real estate market. These elements support property management but do not address the identification and assessment of risks, which is critical in protecting the property and its stakeholders.