The tragedy of anticommons and associated challenges with management of Commercial Properties in Ghana

The tragedy of anticommons is a property-owning structure where multiple owners hold the right to exclusion of a particular asset or resource; in effect when there exist too many decision makers (multiple co-owners/ landlords) in one property, it generally leads to underutilization and reduced revenues that might accrue in rent payments. For the asset to be optimally used, permission must be secured from all co-owners. Since, each owner has the right of exclusion; in effect any owner can veto the use of the asset. The problems inherent with anticommons presents itself in different ways which can create management challenges for a property manager. The different perception and appreciation of the multiple landlords about property management coupled with the intended economic profit they individually want to realize from their interest in the property can create conflicts in how they each believe the property should be managed to optimize profit. It can further compound the problems faced in the administration of professional management duties. This research uses a case study of a commercial property with multiple landlords (co-owners) in the Central Business District of Kumasi-Ghana. Analysis of data gathered by structured questionnaires for tenants and interviews with the property manager and landlords were used. The study revealed that problems faced by property managers included micromanagement by some of the landlords, poor or no scheduled maintenance practices and low level of professionalism by property manager. It is recommended that service and administrative charge should be discussed and agreed prior to the start of tenancy to eliminate misunderstanding between parties and promote payment to contribute to routine maintenance costs. It concludes that a property manager should be skillful in meeting specific investment objectives of co-owners to ensure that the property accrues optimal returns.