Operations & Technology

October 08, 2009 – Fifteen years ago, we were in the midst of the last big recession. Then, as now, the crisis was caused both by the general economy as well as illiquidity in the financial markets. Today, however, the multifamily sector is light years ahead of where we were in the last go-around. This time, the major players in our sector, mostly REITs, are fueled by stable capital structures, but, more importantly, by operating platforms with a scale and sophistication unimaginable fifteen years ago.

A few new developments in the sustainability world have come to pass since my last note.

Resident portals are mini sites where tenants can pay their rent, check out activity calendars and request maintenance service. Owners and managers are finding that these portals are must-have amenities today, impacting both resident retention and leasing efforts.

Resident portals are mini sites where tenants can pay their rent, check out activity calendars and request maintenance service. Owners and managers are finding that these portals are must-have amenities today, impacting both resident retention and leasing efforts.

With more and more renters moving back home or doubling up, vacancy rates throughout the nation are on the rise. Industry experts agree that, while the emphasis is usually placed on leasing and marketing, there needs to be a shift toward focusing on the current paying customer. In other words, resident retention in today’s difficult economy is even more important than ever before.

A new program could provide a sizable jolt to the already-popular practice of retrofitting existing commercial properties to increase environmental sustainability. The Community Preservation Corp., a non-profit affordable housing lender, has unveiled a new public-private partnership that aims to provide $1 billion in funding for energy efficient upgrades and green retrofits to multifamily properties.

For many, the environmental movement is about recycling, solar panels, and hybrid cars. Even we in the industry can get distracted by the technological whiz-bangery of the latest wind turbine, composite material, and waterless urinal. It’s easy to overlook what will be the most pervasive aspect of sustainability in the coming years: the green collar job market.

With rental vacancy rates at their highest levels since at least 1996, it is only natural that some property owners may “loosen” their standards during the rental screening process to increase occupancy levels. However, before taking such actions, property managers need to best understand how to assess their prospective residents in today’s new economic environment. To ensure a renter is both reliable and profitable, a property manager must look at several attributes in their profile.