What does AI mean for Block Management?

Fear first, then embrace

For many, the prospect of AI is initially met with suspicion and fear. “We will all lose our jobs”, is the cry. However, we know from experience that anything new and challenging is greeted with resistance and rejection at first. The reality is likely to be very different.

Strengths, Weaknesses, Opportunities and Threats

The benefits of AI tools lie in how they are integrated into your business. The keyword here is ‘tool’ because AI cannot effectively fully replace a human being. Instead, the role of the AI will be to take on routine tasks and laborious manual processes. Their strength will be in collating disparate data: extracting key points from documentation, meeting notes, invoices, leases, contracts and agreements, and compiling these into coherent packages. 

There is an opportunity here to manage information more effectively and quickly ‘join the dots’ in a way that has proven near impossible in the past. Using AIs to communicate with different software packages and resources should help improve record keeping, tracking and cross-referencing, as well as assist compliance. In other words it can chomp through dull data like no human. This is a welcome change and should bring benefits across the property industry as a whole. Each sector has its areas of expertise and AI application can be tailored to suit.

What does this mean for Block Management?

In future, the vast array of documentation and scheduling involved in block management has the potential to be much better managed and organised delivering time and cost efficiencies. 

As an example, the Building Safety Act of 2022 increased the responsibilities involved with property management, most especially where documentation and legal compliance were concerned. AIs can assist with repetitive tasks - monitoring maintenance schedules, storing inspection logs and managing routine resident communications amongst other things. Importantly, by gathering, analysing and aggregating information, they can help agencies to fulfil compliance needs and meet the stringent new regulations.

Already, popular industry software such as Fixflo and MRI Qube (which we use), have integrated AI features into their packages to make use of extended capabilities. AI used effectively, should be able to significantly cut administration whilst improving service levels.

The other end of the scale

Reducing administration reduces payable man hours. However, where AI can successfully fulfil specific tasks, it is only as good as the rules and prompts that guide it. It does not request second opinions (unless prompted), nor can it make any kind of emotional decision. This is its core weakness. AIs are generative meaning that they create content from existing data based on patterns of learning. If the source information is inaccurate, so is the response. So whilst an AI can check a contract for you, it shouldn’t be allowed to be the author of it. When asked this question ChatGPT 5 pro states:

AI can help draft a contract, but you should never rely on it alone.

Straight from the horse’s mouth!

The personal touch

Despite all of the promise of AIs, people fundamentally like talking to people. One of the key attractions of MIH Property Management’s services is that we are real people. We are a specialist business, and we offer a very personal service. Processes and effectiveness are important to us of course, and underpin our business, but at the heart of it, it is people who are making the decisions using years of experience, knowledge (and at times emotion and empathy) to guide what we do.

We are fortunate to have a very strong management team that combines expertise in the central channels of our industry: block, property, legislation, financial, maintenance, and of course, people management. We have trust, respect, knowledge and intuition, skills not available with AI - nor coming soon! This is by far our strongest asset.

When AI takes up the administrative noise, human roles move up the value chain

It’s important to recognise that block management is about much more than data handling. Human interaction with landlords, residents, contractors and professional services requires interpersonal skills, negotiation and experience that no algorithm can replicate. There are too many unique situations and nuances to fall into predictable patterns that the AI relies upon.

The introduction of the Building Safety Act has further highlighted the need for accountable person support and golden thread stewardship – areas where compliance and governance cannot be left to chance. Similarly, complex Section 20 consultations, along with the associated budgeting and procurement strategies, demand a balance of legal expertise, financial oversight and clear communication with leaseholders. And while AI can support by improving prompting, exception handling and quality control, it must be guided by robust professional judgment.

Collaboration is the way forward

Fundamentally, we all need to embrace AI like it or hate it. Ignore it and you’re at risk of being left behind, especially as these tools continue to evolve and develop. The trick is to play to AIs strengths whilst reaping the rewards of a stronger and more agile team, with more time now available to address the service aspects of block management.

Time to open the door and let the AI in.

Sarah Fisher, Director at MIH Property Management