Tailor It Down

Tailor It Down
By: Nicholas A. Dunlap, CPM

Way back when, the income you received from your multifamily property was comprised primarily of rent, late fees and other fees associated with move-in or move-out. Now, there are a number of ways apartment owners are profiting. From partnerships with Cable TV and Internet companies to valet recycling programs and exclusive amenity packages that rival those of resorts and spas, there are multiple income streams flowing to ownership without having done anything more than sign an agreement or make an arrangement. We know that institutional owners are taking advantage of these opportunities, but are the mid-range management companies or individual owners as well?

Will concierge-type services soon become the norm at multi-family properties? Depending on your portfolio and the locations of the properties within it, the luxury treatment could soon be required to compete with the other guys in order to maintain occupancy and still attain top market rents. In the meantime, the bonuses and benefits are just icing on the cake.

There is a constant battle for relevance and the inability to adapt and implement these ideas as they develop will only set you back further. Smaller owners should grow accustomed to picking and choosing what works for the big owners and tailoring it down to fit their needs.