What does DPE stand for in a management fee context?

In the context of management fees, DPE stands for Direct Personnel Expense. This term refers to the costs directly associated with personnel involved in managing a project or property. These expenses typically encompass salaries, benefits, and other compensation-related costs for employees who are actively engaged in the operations or management of real estate assets. Understanding this concept is crucial because it helps stakeholders accurately assess the cost structure of managing real estate properties and ensure that management fees are appropriately allocated. By distinguishing direct personnel expenses from other types of expenses, organizations can better evaluate the financial performance and overall efficiency of their management practices.