Industry News | Wk of October 1
HOT & RELEVANT TOPICS
10 Reasons for an Ugly Move-Out Experience
Keeping residents happy while they are in the building isn’t enough anymore. With the number of platforms available to voice complaints, residents are sure to leave a scathing review if they are unhappy with the move-out process. With that in mind, Priyanka Angawal of J Turner Research examined the top 10 most common move-out complaints. These include exorbitant move-out fees for routine wear and tear, a lack of communication with regard to move-out fees, inspections done in the resident’s absence and being forced to move prior to the lease’s end date. Read Angawal’s entire list in units magazine.
Rethink Your Definition of Class-A
Class-A refers to much more than a luxury building in today’s market. Residents now expect the term to represent high service levels, plush outdoor spaces and a pronounced focus on amenities. Developers will need to keep this in mind to maintain pace with the market and understand that food-and-beverage options, co-working space and concierge-level service levels are the new expectation. As this trend takes hold, older barebones apartment buildings that had been considered luxury when built are undergoing renovation to include these new features. Read Kelsi Maree Borland’s article on GlobeSt.com.
The Most Over- and Under-Supplied Amenities in the Nation’s Top Metros
In a perfect world, amenities offered at apartment communities would directly coincide with those preferred by residents. But that isn’t always the case, according to an Apartment List analysis of user preference and property-level data. In-unit laundry is by far the most under-supplied amenity according to the analysis, featuring a minus-40 percent availability gap (53 percent of renters want it; 13 percent of communities have it). Pet-friendly amenities are the most over-supplied, particular with regard to cats. While 52 percent of buildings are cat-friendly, only 12 percent of users are seeking a cat-friendly apartment. Read Mary Salmonsen’s article in Multifamily Executive.
IN THE NEWS
A Look at the Top 10 Zip Codes for Millennials
Even with Generation Z’s new prevalence in the apartment market, millennials remain a sought-after commodity in the apartment industry. This rent-ready generation accounts for 60-plus percent of the population in some submarkets, most of them trendy neighborhoods in urban markets. In an examination of the 30 hottest zip codes most prevalent zip codes for millennials, Chicago’s West Loop (zip code 60661) ranked highest with a millennial population of 73 percent. Others ranking high on the list include Philadelphia’s Manayunk neighborhood, New York’s Financial District and Boston’s North End (all above 70 percent). See the full list in National Real Estate Investor.
Rent Control Reckoning
With election season just over a month away, many industry eyes will be on California’s Proposition 10. A repeal of the Costa Hawkins Rental Housing Act will pave the way for municipalities to have the leeway to institute rent control within their jurisdiction. As of now, no rent-control measures are in effect for buildings constructed after 1995. Doug Bibby, president of the National Multifamily Housing Council, hypothesizes that a “yes” on Prop 10 could have a ripple effect across the country. Rent control efforts have gained steam in cities such as Chicago, Seattle, Denver and Portland, and a win here could pose an existential threat to the multifamily industry. Read Bibby’s blog on the NMHC website.
Adaptive Reuse: Salvages Worth the Sweat
The wrecking ball is a quick way to remove a dated building and replace it with a posh modern structure sure to attract today’s renters. But with rising construction costs and a shortage of skilled labor, adaptive reuse projects have experienced a resurgence in recent years. As more and more buildings avoid demolition, they have the power to harness economic development, improve sustainability and create a renewed sense of identity. These buildings also have the potential to deliver additional long-term benefits to local communities. Read about three adaptive reuse projects in Diana Mosher’s article in Multi-Housing News.