Real estate strategic management model for Lithuanian municipalities
Within the municipal boundaries, municipalities themselves are usually the largest real estate owners and managers. Such significant amount of real estate property could be expected to be professionally managed; however, the situation is different. According to the latest publications, only about 25% of major European cities are able to follow the quantity and value of their real estate portfolios. The Lithuanian Free Market Institute has recently introduced its first Index of Municipalities in Lithuania and states that none of the Lithuanian municipalities has developed its real estate management strategy. This paper reviews the scientific research on municipal real estate management and analyses the system of real estate management in Lithuanian municipalities. The authors of the paper collaborated with the Association of Local Authorities in Lithuania as well as the representatives of municipalities, and together they identified the main problems of real estate management. On the basis of real estate management research and practice within Lithuanian municipalities the authors of the paper present a brand new model which would help to manage municipal real estate effectively by taking into account the priorities of strategic economic and social development tendencies of the region.