Plan sponsor is real estate management firm. Plan buys property from unrelated party and plan sponsor is to manage the property. Can the plan enter into contract with plan sponsor to manage the property? Something doesn't seem right.

Hold your nose!

Check ERISA Section 4975 and the applicable regs for a list of the prohibited transactions and the applicable examples given. One of the prohibited transactions is the furnishing of goods, services or facilities between the plan and a disqualified person.

This area can be tricky, so a good attorney/consultant in your area can glean all of the facts and help make a final determination.

I hope this helps!