Tenants' - The Journal of Property Management
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Journal of Property Management
May/June 2021
Tenants’
perspectives
Attracting the next
generation and
adapting to today’s
amenity demands
› Catering to
commuters
in Montreal
› Fostering
an inclusive
environment
› Announcing
the Elaina’s
Sustainability
Fund recipients
Contents May/June 2021
IREM® Maintenance and Risk Features
Management Skill Badge 06 Next-gen appeal
12 Accelerated
Effective building maintenance starts with a skilled maintenance team. And the demand for well- amenities
trained maintenance professionals is at an all-time high. By John Salustri
As a leading provider of real estate management education, IREM has expanded its curriculum to
include a Maintenance and Risk Management Skill Badge. By earning this Skill Badge, your
maintenance team will learn best practices and action steps for running a comprehensive
maintenance and risk management program that reduces potential loss and preserves the owner’s
investment.
Earning this badge requires taking an online course and exam
Elements of the course include:
• Developing a customized maintenance and risk management program
04
Dashboard
Departments
18 Global practices
An amenities survey,
• Conducting and monitoring property inspections short-term leases, and 22 DE&I
New pricing! digital marketing for offices
• Maintaining building systems
$430 members 24 Government affairs
• Developing emergency and disaster plans $510 non-members
28 IREM Foundation: Elaina’s
Sustainability Fund
Experience the difference a trained maintenance team makes in optimizing
32 Property spotlight
a building’s performance.
24
REM-015
34 New certifications
Learn more at irem.org/skillbadges Cover image: Rendering of Devimco Immobilier ©Graph Synergie
irem.org/jpm | | 1
President’s letter
Location, location, location! That’s the timeless refrain when
it comes to real estate, and it’s still true to this day. But
May.June 2021 / Vol. 86, No. 3
there’s a deeper meaning in that maxim we can take to heart
as property managers: Location matters when it’s where peo-
ple want to be. The theme of this edition of JPM is the tenant
President | W.A. “Chip” Watts IV, CPM, CCIM and resident perspective. Our profession might very well not
President-Elect | Barry Blanton, CPM require the level of specialized skillsets that it currently does
Secretary/Treasurer | Renee M. Savage, CPM, CCIM were it not for the numerous types of end users we serve. In
CEO/Executive Vice President fact, IREM is unique in the real estate management commu-
Denise Leduc-Froemming, CAE, MBA, CPA | dfroemming@irem.org nity in that we serve professionals in all asset classes!
Vice President, Knowledge Solutions
Wendy Becker, J.D. | wbecker@irem.org
One of the initiatives of my term as IREM president is
Vice President, Marketing and Business Development Chip Watts, CPM, CCIM, at IREM Advocacy Impact Day
partnerships. IREM was founded out of the recognition that
Donna August | daugust@irem.org
skilled, educated, and certified professionals are needed to
Production Manager
Jared Kimball | jkimball@irem.org maintain relationships and satisfy the needs of tenants, res- the distinction between house and home, but we would be
Director, Corporate Business Development/Advertising Sales
idents, owners, and investors. What each of us as real estate well served to extend that same care in seeing our buildings
Brian Lozell, CPM | irempartners@irem.org professionals can do right now is take stock of our relation- as communities for those who spend their lives (or careers)
ships with key stakeholders and ask ourselves: What more within them. In the second installment of IREM’s diversity,
JPM ®, Journal of Property Management (JPM ® ISSN 0022-3905) is published could we do to move from building relationships to cultivat- equity, & inclusion (DE&I) column on P22, you can take
bimonthly by the Institute of Real Estate Management, 430 N. Michigan Ave.,
Chicago, IL 60611. Internet: www.irem.org. This publication is provided as a ing partnerships—not only partnerships with those we serve, a deeper look at what it means for property managers to
medium for the expression of individual opinion concerning management
practices and procedures. The articles and advertisements printed herein but also those across the broad spectrum of real estate? create an environment that is truly inclusive.
do not necessarily represent the endorsement of the Institute of Real Estate
Management or of the majority of its members excepting such statements that are
so designated. The editors exercise only a general supervision of the material and
assume no responsibility for claims made in advertisements or for opinions and We all know that tenant satisfaction is a key driver of man- Elaina Tattersdale dreamed of creating a better world by
IREM® Skills statements expressed in articles.
IREM ®, Certified Property Manager ®, CPM ®, Accredited Residential Manager ®,
aging a successful property, and it’s also an indication that improving sustainability in the built environment. Sadly,
we’re performing our jobs well as property managers. IREM Elaina passed away of cancer in 2019 at just 35 years old. Her
On-demand Courses ARM ®, Accredited Management Organization ®, AMO ®, Income/Expense Analysis ®,
Expense Analysis ®, MPSA®, and JPM ® are registered marks of the Institute of
Real Estate Management.
Federal Housing Advisory Board Member Eileen Wirth parents, 2020 IREM President Cheryl Gray and her husband,
explores how property managers can better apply a part- Rick Gray, had an idea: The family would donate $50,000 to
Reprints: Material in this publication may not be reproduced in any form
without written permission of the publisher. For volume reprints or e-prints, nership approach to developing relationships with building the IREM Foundation to seed a new fund that would support
email jpm@irem.org.
occupants in this issue’s Government affairs column on P24. sustainability in Elaina’s name. Her passion for making a
Copyright ©2021 by the Institute of Real Estate Management. All rights
reserved. Periodical postage paid at Chicago, Illinois, and at additional difference will live on through the new Elaina’s Sustainability
mailing offices. Subscription rates: $62.95 for one year; single copy $8.53.
Remittances, undeliverable copies, and subscription orders should be sent to Across asset classes, we can observe the increasing Fund, and IREM is truly honored to steward her legacy. On
the JPM ® offices.
Build property management Postmaster: Send address changes to JPM ®, Journal of Property Management,
demand for newer and better on-site amenities, and the P28, you can get a closer look at the person behind the name,
ever-increasing array of innovative options being developed the initial class of grant recipients, and what this will mean
skills and get up to date on Fifth Floor: 430 N. Michigan Ave. Chicago, IL 60611. Printed in U.S.A.
to satisfy those demands. For a closer look at the creature for the larger IREM family moving forward, including how
Institute of Real Estate Management Diversity Statement | IREM practices
emerging topics in as little as diversity. We are an inclusive organization that embraces and values differences
and welcomes individuals of all races, genders, creeds, ages, sexual orientations, comforts tenants are looking for in 2021, check out the you can support the fund.
an hour. gender identities, and national origins and individuals with disabilities, providing
an equal opportunity environment among its members, vendors, and staff.
feature on amenities on P12.
We’re nearly at the halfway mark of 2021. Time flies when
Institute of Real Estate Management Sustainability Statement |
The Institute of Real Estate Management (IREM) is dedicated to supporting While these extra on-site conveniences are becoming you take it one day at a time. That’s how we made it through
real estate management strategies that advance an environmentally sustainable
and economically prosperous future. increasingly indispensable to properties vying for the last year and a half and through the most trying of
best-use occupants, deft renters like those of Generation Z times—and it’s how we’ll continue to come out on top of
Visit irem.org/ondemand to learn now entering the residential market remind us that fancy whatever obstacles lie ahead! Enjoy the arrival of summer
more and register today! photos and flattering descriptions aren’t enough to fill units. wherever you are, and I eagerly await bringing y’all more
Read what will get Gen Z residents signing and renewing great news from IREM in the next edition of JPM.
leases on P6.
Any effort spent attracting tenants and residents is for
Publication Management
naught if they don’t feel like an integral and valued part of W.A. “Chip” Watts IV, CPM, CCIM
847-205-3000 | glcdelivers.com the properties they’re renting. We can easily understand IREM President
irem.org/jpm | | 3
dashboard
93% of U.S.
Time to Leases on roughly apartment
renew 1.5 billion square
feet of retail space seekers
Rendering © The Ion Houston
in the U.S.—14% of use online
the retail market—
are set to expire reviews
this year. This is in
large part due to the Mixed innovation in their
increased popularity Rising up on the site of a former Sears building in search for
of short-term leases. Houston, the innovative Ion, a 260,000-square-foot
structure, plans to bring entrepreneurial, corporate,
a rental
and academic tenants together in a collaborative
community. In an effort to support startups working
on smart city solutions, the development will include 74% of
Image: iStock.com/ismagilov
the Ion Smart and Resilient Cities Accelerator in
partnership with the City of Houston, Microsoft,
renters
and Intel. Projected to open in 2021, the Ion also read up to
Source: CNBC, “As store owners sign more short-term leases, landlords are taking a risky bet on the future of retail”
will include:
• Shared workspaces
10 reviews
before
Shifting expectations
• Prototyping and maker resources
• Commercial offices
• Restaurants and cafes making a
More than a year into the COVID-19 pandemic, an updated picture
of tenant expectations is coming into focus. A survey of more than
Read more
about popular
• Academic and event spaces decision
amenities in the • Indoor and outdoor communal areas
10,000 apartment seekers in February 2021 revealed that lifestyle
feature on P12. • Shared amenities
improvement was the main motivator in apartment selection, with
Source: ionhouston.com For upcoming
the top features people search for being open-air amenities (21%) webinars to
and more space (20%). This is in contrast to the March 2020 renter survey, when the expand your property
top renter preference was price, and the top concern was safety. Office insight management knowledge
and skills, visit
73% of office landlords say that irem.org/products/
Source: RENTCafé 2021 Renter Survey
digital marketing tactics have live-webinars.
become necessary to attract
tenants, and almost 60% say that
“Building a good customer experience does not happen Image: iStock.com/undrey
tenants expect a virtual space
by accident. It happens by design.”
Source: IREM webinar featuring
–Clare Muscutt tour before an in-person tour. Podium, “Tenant reviews: How to
grow your online reputation and win”
Source: 2021 VTS Global Office Landlord Report
4 | ®
| May.June 2021 irem.org/jpm | | 5
feature | gen z
Next-gen appeal
Focusing your
marketing to reach
Generation Z
The year was 1997—scientists suc-
cessfully cloned Dolly the sheep, Purel entered
the consumer market, Seinfeld was the top show
in the Nielsen ratings, and the first members of
Generation Z were just born.
With birthdates roughly between 1997 and 2012,
Gen Z is the first tech-native generation, never
knowing a world before the internet. Creative,
culturally diverse, and entrepreneurial, they
are concerned with the greater good, as well as
financial security, having watched their parents’
experiences during the Great Recession.
The oldest in the generation are turning 24
this year, and these Gen Zers, or Zoomers, were
the fastest-growing active renter segment in the
U.S. in 2020—no small feat given the tumultuous
past year.
“We’ve got an entire group of individuals who
are trying to establish themselves,” says Barret
Image: iStock.com/Lifestyle
Newberry, CEO of Seattle-based rental market-
place platform Leasera. “And it’s been a tough
year. For Gen Z and landlords, this can be mutu-
ally beneficial.”
6 | ®
| May.June 2021 irem.org/jpm | | 7
feature | gen z
Projections show Zoomers will spend “Chatbots, virtual tours—everything we were forced to do
more on rent in their lifetimes than in 2020—that all came very naturally to them,” Schmidt
their millennial predecessors, accord-
ing to a HotPads analysis. And as
says. “Chatbots really seem to have immediate interactions.
We’ve added them to most of our websites, and we’ve added
Give them the lay of the land. When I’m hungry
their influence on the rental market stories to all of our social media platforms.” in the middle of the night, where can I get food?
will only grow, shifting marketing to If it’s Friday and I’m burned out, what can I do
attract their attention is paramount. Gen Z prefers images over text, and they lose interest more on the weekend?
But it takes the right channels and quickly than other generations, says Sherle Brown, an
messaging to do it successfully. —Barret Newberry, Leasera
A mobile approach Gen Z snapshot
As the most tech-savvy generation instructor and family and consumer sciences (FACS) faculty
to date, it comes as no surprise that DOB: Roughly between 1997–2012 ambassador at the University of Georgia, who is involved in
their phones are the best place to Likes: Authenticity, luxury, inclusivity, individuality, outreach marketing targeting Gen Z. “Images are good for
reach them. contributing to the greater good, financial security grabbing attention, particularly images of something they
Defining characteristics: emotionally connect with doing or that include celebrities
Donna Schmidt, CPM, COO of Price • The first generation to never know a world or people their own age,” she says.
Brothers Management in Overland without the internet
Park, Kansas, says her company has • On track to be the most educated generation yet Brown says research at the university has found that
zeroed in on reaching Gen Z this way • Hard-hit by the COVID-19 pandemic, as they are Instagram, TikTok, and YouTube channels are the most
through a number of digital strategies, just trying to establish themselves effective for reaching this audience, whereas channels
including geofencing, a marketing • More racially and ethnically diverse than previous such as Facebook, Google, and Twitter are better for
strategy that involves digitally adver- generations older generations.
Image: iStock.com/Tero Vesalainen
tising to potential tenants within a • Creative and entrepreneurial
certain geographic radius. She acknowledges that grabbing and keeping their atten-
Additional sources: Pew Research Center and Deloitte
tion through online marketing can be a challenge, though,
thanks to all of the competing digital noise and their pref-
erence for completing transactions on phones, which isn’t
always the most user-friendly method. “Messages must be
powerful but short,” Brown says. “That is not easy. You must like a robotics company that can
entertain first and then quickly provide a hook to get to the deliver food to your door contact-free.
next step. Every step must be close to perfect.”
“Give them the lay of the land,”
Newberry says marketing this way is a major shift for some Newberry says. “When I’m hungry in
industry veterans. “The industry was built on in-person the middle of the night, where can I
tours and paper leases, and Gen Z has entirely different get food? If it’s Friday and I’m burned
expectations,” he says. “For an apartment complex to not out, what can I do on the weekend?”
use Instagram for marketing is pretty crazy. People want
you to sell them an experience, not just a unit.” In Schmidt’s communities, they
have played to the creative sides of
Show me the assets Gen Zers with classes and activities,
Selling Gen Z on an experience means showing them like a virtual class on growing a suc-
the experience. culent garden, which she says was a
great success.
“This means virtual tours of the unit and building and a
detailed peek around the neighborhood,” Newberry says. As for appealing to their altruistic
“Creative property managers are starting to do self-walk- ambitions, Gen Z wants to feel like their
Image: iStock.com/recep-bg
throughs of the community.” community makes a positive impact.
They will be interested in anything
These walk-throughs could feature popular restaurants in that gives back and gets them involved,
the area, entertainment spots, or even services available, such as food drives, Schmidt says.
8 | ®
| May.June 2021 irem.org/jpm | | 9
feature | gen z
“They get carried away just talking about smart technology then accrue more points when they submit their back- Every word and image of your
in the home,” Brown says. “They love the ‘cool’ factor of ground check or make their first rent payment.” marketing must be perfectly
technology, but much of the appeal is the convenience and accurate, because these renters
control it provides to fit their lifestyles.” Offers featuring the words “free” and “giveaway” for items will point out any discrepancies,
such as gift cards and iPads will catch their attention, says Schmidt, who emphasizes
She says students show the most interest in smart tech- Brown says. “But the positive will turn into a negative if it is how crucial this is, as it isn’t
nology, such as voice-activated commands to lock doors, difficult to take advantage of the offer,” she says. “They will unusual for a Gen Z tenant to
turn on lights, play music, turn on television, or control the repost to boost a message if it is easy for them.” rent a unit sight-unseen.
temperature, among other tasks.
Image: iStock.com/Eva-Katalin
They also pay attention to reviews and ratings. “The times of having only pretty
Along with the digital amenities, Gen Z wants to see upscale pictures and creative angles of
features. “When I asked a class what appeals to them with
marketing, the first answer was ‘luxury,”’ Brown says. “This
“If someone truly wants to impress and attract new [Gen Z]
tenants, you’d better find a way to ensure your existing ones
your rooms are over,” Schmidt
says. “You have to be very clear
The times of
was surprising, because I had read that luxury is not some- are happy,” Newberry says. about the product. There is having only
thing Gen Z finds appealing. Informally, I asked students for a no hiding.” pretty pictures
Grab their attention show of hands if they agreed. It was unanimous!” Mind the message and creative
A cheat sheet for marketing to Gen Z Two other things Gen Z loves: individuality and Brown agrees. “They know
Don’t forget the perks authentic messaging. things aren’t perfect, and they angles of your
Be short and sweet. Use well-thought-out images As a generation that has been able to shop around for the don’t trust language that comes rooms are over.
and minimal text. best deal literally at their fingertips, Zoomers love incen- To craft the perfect personal message, property managers across as manipulative or as a You have to
tives and rewards programs. need to tap into the Gen Zers in their market. One aspect sales pitch,” she says.
Get social. The best places to reach Gen Z are Insta- property managers should take into consideration is
be very clear
gram, TikTok, and YouTube. Price Brothers, for example, offers a Pet Royalty Club, which the diversity within Gen Z, as it creates differences in A booming future about the
offers exclusive access to special offers and discounts at psychographics, Brown says. By 2025, about 45 million Gen product. There
Show them. Take them on a virtual walking tour of local pet-related businesses for tenants with pets. “Any- Zers will be at the peak ages for
the unit, community, and surrounding neighbor- thing with pets, that’s huge. It “What is effective with one group within Gen Z may not be renting (20–29), an estimation
is no hiding.
hood. Give them details on local delivery options, really speaks to them,” Schmidt as effective with another,” she says. “Even geographic areas that cannot be ignored by prop- —Donna Schmidt,
services, and entertainment. says. During the pandemic, Price make a difference. For example, images of football may be erty managers. Looking forward, CPM, Price Brothers
Brothers hosted contests and extremely effective with Gen Z in the Southeast but not property managers need to be Management
Highlight the upgrades. Voice-activated smart tech- drawings for residential tenants have much impact in another part of the country.” open to adapting practices to
nology and upscale amenities will go far. Tell them in an effort to drum up business not only attract, but also retain
about any loyalty program or rewards partnerships for some of their ailing commer- Schmidt agrees. “This generation really does want to be Gen Z renters. “To keep these
you offer. cial tenants, like pet bakeries or talked to more personally, and they really want to be inclu- high-value customers happy and
groomers. “That spoke to our Gen sive of everyone,” she says. loyal, you’re going to have to get with
Be authentic. Don’t try to mislead them with a Z residential tenants and really the digital, more per-
fisheye lens or exaggerated descriptions. said, ‘We’re all in this together,’ sonalized program,”
and they really formed a bond.” Newberry says.
They love the
Leasera, whose platform links Fortunately, these
Proving that your company serves prospective renters with avail-
‘cool’ factor of high-value custom-
the greater good—not just offering able properties, offers a loyalty technology, but ers can be yours
lip service—will go far in attracting program for tenants to amass much of the for the taking. With
this generation. “If you can prove points and use them with partner
appeal is the the right marketing
that you’re actually part of a virtuous companies for discounts or free tools and mindset,
ecosystem, it will serve you incredibly offers on hotel bookings, car rent- convenience you can ensure that
well,” Newberry says. als, dog walking, food delivery, and control it your properties are
and more. provides to fit Image: iStock.com/wundervisuals the top choices when
And don’t forget to tell them about these prized renters
the tech. Just as technology is the “From the moment you sign up
their lifestyles. log on and search
way to reach them, it is also a major on Leasera, you begin accruing —Sherle Brown, for apartments in
selling point. points,” Newberry says. “Renters University of Georgia your area.
10 | ®
| May.June 2021 irem.org/jpm | | 11
feature | amenities
Accelerated amenities
Resident requests in a post-COVID world
By John Salustri
There is an increasingly common
theme around our ongoing experience with COVID-19.
Namely, despite the watershed changes the pandemic has
made to our relationship with work, productivity, and how
we socialize, not every change we’ve experienced this past
year is a COVID-driven disruptor. Alongside last year’s quick
shifts, there were also trends in place prior to 2020 that have
Image: CF Real Estate Services
only accelerated. We’re seeing it with the growth of technol-
ogy as well as the greater emphasis on locations other than
Tenants can paint or build
our central business districts. furniture in spaces specially
fitted out by CF Real Estate.
12 | ®
| May.June 2021 irem.org/jpm | | 13
feature | amenities
Such also seems to be the case when
the topic turns to amenities. It’s
not just the obvious considerations Are you a class A building? If so, do you have a
like deeper cleaning, hand sanitizer
stations, and plexiglass; this discus-
rooftop terrace, a fitness center, a conference
sion revolves around the tenant and center, and bike cages? Check, check, check.
resident requests that make life bear-
—Regina Mullins, CPM, CCIM
able in both quiet times and periods
of risk. These are the amenities that
differentiate an asset and challenge
property managers to think outside of Akin to grilling stations and social areas, offices-on- Pay for play?
the COVID-19 box, largely in the name demand give residents a chance to escape the confines of CPMs often chalk up the provision of
of comfort and support. And, as you’ll home. “We want to give our residents a chance to get out of such services to the cost of doing busi-
Image: iStock.com/baona
read shortly, these requests can be their apartments and still get their jobs done,” says Owens, ness. This has apparently been true
fairly colorful. who is currently president of IREM’s Georgia Chapter. through the pandemic as managers
tried to help both tenants and resi-
The same, only more “We’ve reconfigured some of our common areas to accom- dents over the hump of COVID-driven
Says Kevin Owens, CPM: “Rather than modate coworking,” he adds. This comes in addition to stresses. Chargebacks, however, are
create a new need, more than any- manages throughout the South and Mid-Atlantic states more informal spaces that can be used for heads-down always an option.
thing, the pandemic has accelerated still want private work and play space. “They want us to work. While coworking providers will enter into bespoke
the implementation and reconfigura- have the latest and greatest in workout trends. Peloton agreements with managers and landlords to create five-star “It depends in part on if you’re a
tion of certain amenities.” Owens, the bikes and virtual workouts are popular,” she says. spaces, Owens says CF manages the spaces on its own. In class A or B building,” Mullins says.
executive vice president of property certain markets, he adds, the firm had to upgrade its Wi-Fi “But typically, there’s not a huge
operations for CF Real Estate Services She says residents look to management to provide offerings just to ensure volume reliability. return on investment in these ameni-
in Atlanta, manages some 26,000 anything they can’t get in their apartments, including ties,” other than getting on the short
units and says the most common grilling stations and outdoor spaces where people But once again, there’s nothing new under the COVID sun. list of interested leasing brokers. For
post-COVID request, especially from can gather in small groups. Pet amenities also remain “Personalized workspaces were a trend we saw four and instance, towel service and atten-
prospects, has been the ability to pass high on the resident wish list, such as dog washing five years ago,” says Jernigan, who was the 2018 president dants in fitness centers are costs
through a building and into their stations. “The more we know about COVID, and the of IREM’s Northern Virginia Chapter. “Now they’re getting typically eaten by building ownership,
apartments in touchless fashion. And more we discover that gathering outside is safer, more use.” she says.
while CF was already building out its The more we residents want to socialize rather than spend all their
tech, the requests have ramped up, know about time in their apartments,” she says.
he says.
COVID, and
Regina Mullins, CPM, CCIM, adds an interesting riff
Despite CF’s blossoming technological the more we on the requested-amenities theme from the commer-
capabilities, the focus seems to be on discover that cial perspective. “It’s not so much that tenants are
traditional offerings with a COVID gathering asking for it,” says the director of roughly 14 Wash-
twist. “They’re looking for areas to ington D.C.-area properties for Cushman & Wakefield.
gather in a private space without a big
outside is “It’s the leasing brokers.”
crowd, with firepits and outdoor exer- safer, residents
cise equipment,” Owens says. “We're want to Essentially, buildings in their sites have to check
not hearing anything much different certain boxes. “Are you a class A building?” she asks.
than before.”
socialize “If so, do you have a rooftop terrace, a fitness center,
rather than a conference center, and bike cages? Check, check,
“Residents are looking for us to up our spend all their check.” But once again, “Those boxes didn’t change in
game in terms of amenities,” adds 2020,” she says.
time in their
Miranda Jernigan, CPM, ARM, senior Image: iStock.com/archigram
regional property manager at McLean, apartments.” It stands to reason that the past year, with its meteoric
Virginia-based Kettler Management. —Miranda Jernigan, rise in work-from-home approaches, would also bring
Similar to before the pandemic, res- CPM, ARM, Kettler a flood of social-gathering requests, such as those listed
idents in the communities Kettler Management above, to provide some relief for overstressed residents.
14 | ®
| May.June 2021 irem.org/jpm | | 15
feature | amenities
to help us identify upfront what we can charge
and then include those numbers in a pro forma,” Five beehives at a Cushman
& Wakefield asset
Rather than create a new need, more than he adds.
anything, the pandemic has accelerated Amenities: onward and upward
the implementation and reconfiguration of Not surprisingly, the types of amenities occu-
certain amenities. pants are asking for—and building managers
are providing—are limited only by imagination.
—Kevin Owens, CPM, CF Real Estate Services At the tamer end of the spectrum, Jernigan
says they would sponsor monthly resident
Photo by Cushman & Wakefield
The same has been true for CF’s demand soared. “We’ve been able to apply fees and actually events in their communities. “After COVID, we
coworking spaces—at least for their grow them,” he says. flipped the script and started providing virtual
test run. “These were provided to events, something that would appeal to resi-
give our residents options,” Owens Owens notes that reservations and payments (the spaces dents, get them outdoors and encourage small,
says. “Also, since they were a relatively are rented by the hour or the day) are handled by phone safe gatherings,” Jernigan says. Food trucks
new offering, we didn’t have a good apps. Between uses, strict cleaning protocols are applied, are one example. Since the events were already
idea of what people would pay for.” As “so the next user feels good about the space.” budgeted, the property continues to foot the bill. As stated, rooftop spaces in both com-
the pandemic wore on, though, the mercial and residential properties are
Other offerings are harder to pin a cost to. Technology, he Moving a bit farther out on the scale, she says one of the growing in their popularity for meet-
says, is tough to delineate. CF either folds the expenses into Kettler-managed buildings has an indoor, half-court bas- ings and socializing. And here we find
the base rent—depending in large part on what’s taking ketball court, a feature that also comes in handy for fitness what’s probably the most intriguing of
Personalized workspaces were a trend place in the local market—or ends up lumping tech, dog classes and large resident events—at least with proper amenities: a rooftop apiary.
we saw four and five years ago. Now amenities, and the like into an umbrella amenities fee. social distancing. Some of their properties offer rooftop dog
they’re getting more use. “We attempt to monetize most of our amenities, but the parks, and she says other buildings have experimented with “We started doing it for sustainability,”
reality is that a lot of this is trial-and-error,” he says. With indoor pet areas. Mullins says. “A vendor cares for the
— Miranda Jernigan, CPM, ARM, Kettler Management all first-time offerings, “we collect usage and market data five hives in our Arlington property,
Cooler still is the market set up in the lobby of another of their and each houses about 1,000 bees.
buildings, structured as a revenue share with management. “If Honeybees in North America have
the providing company meets a certain threshold, the building been decimated, and our ownership
gets a certain percentage of the revenue,” she explains. has a strong environmental focus.”
Increasingly, Owens says properties in the CF portfolio fea- And there’s an added benefit: honey.
ture electric vehicle charging stations. While they’ve been Curated by the vendor, the private-
popular in urban locations for a while now, he says their label jars are given to tenants and
presence is growing in the suburbs, as well. visitors alike. “It’s a marketing cost,”
she explains.
Almost as cool, however, are what Owens calls “experiential
amenities, where we offer things like craft and building In an era of unprecedented stresses,
rooms where residents can paint something or build furni- property managers have it in their
ture. We provide the supplies and tools.” power to help their residents and
tenants maintain a bit of normalcy. The
But aren’t those accidents just waiting to happen? “The means to that end needn’t be budget-
decision to offer any amenity has the potential for liability, busting or even wildly creative; a space
even fitness environments,” he says. A rewording of insur- to gather or a change of scenery are
ance policies is a necessity, or, at the very least, they ask really all it takes. While free honey is
residents to sign a waiver. “We do as much as we can to smart and purposeful, any well-crafted
protect ourselves, our clients, and our residents,” he says. amenity will help make life sweeter for
everyone involved.
Phtoo © John Cole
Ultimately, Owens sees more upside than down, especially in
Private meeting
space at Kettler these cooped-up, COVID days. “When you live in an apart- John Salustri is a contributing writer
ment, you don’t have many opportunities to do stuff like that.” for JPM.
16 | ®
| May.June 2021 irem.org/jpm | | 17global practices
Living for the city Solar Uniquartier
a unique lifestyle centered around access to public trans-
portation, a variety of residential options, offices, and shops.
launched in 2016 and
Innovative developments in Montreal unite transportation and residential spaces Devimco, a major real estate developer in the province seeks to take the retail
By Salima Jaafari, CPM
of Quebec, is currently working on Solar Uniquartier, a offerings of Dix30 in the
major TOD project that leverages Devimco’s experience
in the area developing communities woven into transporta-
suburbs and pair them
tion systems. with residential and
office buildings to create
One example is District Griffin, which is located in the
trendy downtown neighborhood of Grifftintown. While not
a walkable community
technically a TOD project by itself, it is one of Devimco’s with links to a reliable
developments that united a large number of services, parks, public transportation
and transportation options. At the same time, Devimco
created Dix30, a commercial project in Montreal’s suburban
structure—a combi-
South Shore with 200 shops, a cinema, a hotel, and a spa. nation that you might
expect to see closer to
Solar Uniquartier launched in 2016 and seeks to take the the city center.
retail offerings of Dix30 in the suburbs and pair them
with residential and office buildings to create a walkable
community with links to a reliable public transportation
structure—a combination that you might expect to see increase in traditional commuters
closer to the city center. using public transportation, growing
from 38% in 1996 to 58% in 2016.
Rendering of Devimco Immobilier ©Graph Synergie
Increasing transportation options
Solar Uniquartier’s location at the intersection of The commitment to public transpor-
Autoroutes 10 and 30 provides easy access for drivers, but tation is best demonstrated by the
public transportation is a major consideration. Recent Réseau Express Métropolitain (REM),
census data also showed that Montreal had the highest a new public mega-transit project
in Quebec launched in 2018,
which will be a 100% electric,
driverless light rail network
with 26 stations across Mon-
O
Du Quartier REM station ver the past 25 years, there have been major treal and 67 kilometers (41.64
bridge connected to changes in the way that residents of Montreal miles) of tracks adapted to the
Solar Uniquartier
choose to live and work. The most recent census, Canadian winters. The Nobel
in 2016, showed that the number of people commuting Condominiums, one of the
within Montreal’s city core fell by 47.4% between 1996 and main towers being developed
2016 but that traditional commutes (from the suburbs into in Solar Uniquartier, will be
the city core) and reverse commutes (from the city core directly connected to the REM
The transit system will link outward) grew by 47.3% and 48.8%, respectively. by a footbridge.
downtown Montreal, the South
Increasing numbers of Montreal residents are opting to The transit system will link
Shore, West Island, the North live separately from where they work. Real estate develop- downtown Montreal, the South
Shore, Montreal-Trudeau
Rendering of Devimco Immobilier ©GMV 3D
ments have followed these trends and sought to provide Shore, West Island, the North
residents with increased flexibility, particularly when it Shore, Montreal-Trudeau
International Airport, and comes to transportation. International Airport, and three
three major stations connected major stations connected to the
Transit-oriented development city metro lines. The first trains
to the city metro lines. A new market trend called transit-oriented development are expected to start running
Townhome – Oria Condominiums
(TOD) aims to create sustainable housing communities with in 2022, and other sections will
18 | ®
| May.June 2021 irem.org/jpm | | 19global practices
commercial basilica area, tar-
geting professionals working in
The building has many amenities, like a downtown Montreal who don’t
swimming pool and gym, making this an easy own cars or don’t want to drive
to work. Oria Condominiums
choice for those seeking fuss-free fitness. will add 400 units in two phases
and will create townhouses sur-
rounded by gardens and parks,
perfect for families with kids.
For rentals, the Lumeo Apart-
ments complex provides 248
one- to three-bedroom apart-
ments facing a large park. Many
utilities are included in the rent,
Rendering of Devimco Immobilier ©Graph Synergie
such as electricity and heating,
as are essential features like
in-unit washer and dryer, stove,
fridge, dishwasher, and micro-
wave. The building has many
Rendering of Devimco Immobilier ©GMV 3D
amenities, like a swimming pool
and gym, making this an easy
choice for those seeking fuss-
free fitness.
Offices are embedded in the various towers of the develop- Although many towers in Solar Du Quartier REM
station connected
Devimco is also taking advantage ment and include a variety of floor plan sizes. Devimco is Uniquartier are still under construction,
to Solar Uniquartier
of the mixed-use and easily walk- attracting companies, their own workers, and additional the development perhaps provides a
able Solar Uniquartier community residents by locating shops, restaurants, schools, and day model for future communities. Situated
A park in be gradually put into service from 2022 by incorporating apartments for seniors. Éolia Appartements cares nearby, and the goal of the commercial development in the suburbs with connections to
front of Oria to 2024. Construction is underway and will offer rentals for residents age 55 and older. With access is to provide local neighborhood services, such as cleaners, both expressways and public trans-
Condominiums
has progressed to an advanced stage to indoor and outdoor community activities and amenities as hairdressers, bakeries, and cafes. Tenants will be able to portation, with easy access to the
for the South Shore section. well as proximity to services and public transportation, Solar access a high quality of life and develop a strong sense of city center, it seems well aligned with
Uniquartier is expected to make life easier and more enjoy- living within an actual community. changes in transportation trends. In
The convenience of public transpor- able for residents. addition, increased remote work oppor-
tation, savings on gas and travel time, COVID-19 and changing transportation habits tunities could draw residents looking to
and the environmental benefits are In total, over 1,400 units for rent or sale are expected to The Canadian Census of Population is conducted every five escape the crowding while maintaining
all expected to attract residents. The become available in the near future. years, and 2021 may reveal how much has changed in the access to commercial services.
REM will help to reduce greenhouse past year.
gas emissions by 680,000 tons over Residential developers and property
25 years of its operation. A survey conducted by researchers at HEC Montréal managers will need to continue focus-
showed that Canadians are wary of using public transpor- ing on tenant needs and shifts in the
Diversified approach to The convenience of public tation during the pandemic and intend to use personal larger underlying trends as they strive
residential units and retail transportation, savings vehicles instead. The authors note that buses may still be to create the best living experience.
Devimco’s strategy for residential preferred over subways because there is no need to wait
and commercial spaces provides a on gas and travel time, indoors to ride, suggesting that light rail may not be Salima Jaafari, CPM, is the owner of JAAFS
good fit for many different needs and and the environmental as affected. Property Management Inc. in Montreal,
for residents looking to either rent Quebec, and has 20 years of experience in
or own. benefits are all expected A Statistics Canada report from June 2020 noted that 42% managing multifamily and commercial prop-
to attract residents. of public transit users in Canada switched to telework, and erties. She received her CPM designation
The Nobel Condominiums tower has 74% of public transit users are concerned about using in 2017 and is a member of the Real Estate
275 condominiums elevated above the public transit. Institute of Canada Quebec Chapter Board.
20 | ®
| May.June 2021 irem.org/jpm | | 21DE&I
The inclusion equation
from residents and bring suggestions experiences or perspectives they have
to the table. in common with tenants.
How inclusion efforts impact managers and tenants Before the pandemic, the company Kimberly Parker, ARM, senior property
put together many programs that manager at The Abrams Management
tenants could take advantage of. Company in Boston, has more than 30
D
iscussions about inclusion are clear: Tenants must pay rent “We’ve done surveys with the resi- years’ experience working in property
in the property manage- on time and do nothing to devalue dents to see what kinds of services management and can also draw on her
ment space can emerge in the property. However, sometimes they would like to see,” says Vermales. own personal experience of having been
two different aspects: how property cultural differences can disrupt that “We have encouraged things like GED a tenant in affordable housing growing
managers of diverse backgrounds assumed understanding. training and provided the location for up. She had a counselor in an after-
the sessions. And we have sometimes
are treated as employees within their
own companies and how tenants Saadat Keshavjee, CPM, managing worked with nonprofits to provide
school program who went into property
management, and Parker followed
There’s always room
interact with the property and the director of Amhurst Property Man- additional services—in fact, one of her into the career. “I don’t care what for improvement, but
management team. agement, Ltd., in Calgary, Alberta, our managers took the training to neighborhood you are in, I want people the company is striving
appreciates how cultural differences become certified to teach financial to have decent housing,” she says. really hard to be who
In the latter case, those interactions can impact tenant relations. “When literacy to the residents.” In the event
can be particularly challenging people come to Canada from another that they do get a resident complaint, “When we talk about equity, we want they say they are, and I
because the relationship is inherently country, whether that’s somewhere in We have encouraged it is the Vermales’ policy to not only to make sure that everybody has a think that’s important.
transactional. A tenant may feel at Europe, Asia, Africa, India, etc., we find things like GED training resolve the conflict, but to follow up voice at the table,” Parker says. “We’re
—Kim Collins, CPM, CBRE Property
a disadvantage asking for anything that cultural nuances can definitely and provided the with residents within the month to including everyone. Our managers Management, AMO
beyond common courtesy when deal- make a difference,” Keshavjee explains. confirm 100% satisfaction. represent the residents we serve.
ing with a property manager because “Let’s face it, not everybody knows how
location for the sessions. That’s what we look like.”
of a perceived power imbalance. On to use what we use in North America —Pedro E. Vermales, CPM, Horizon Personal experience
the other hand, property managers in the same way that we use it. Some Housing Management Having property managers who can Parker credits the company’s founder groups that actually address matters
dealing with tenants may assume people don’t fully understand how a understand and respect these kinds with setting the right example. “Mr. of inclusion.
that the “rules of engagement” bathroom should be used here, how a address it purely from a safety point of of differences is what inclusion is all Abrams was a pioneer of this sort of
kitchen should be used, or how to treat view. For instance, we talk about fire about. Part of what makes those kinds inclusion,” she says. She also credits her “One of the things that our company
maintenance issues. So, my managers risk. People often don’t realize that if of interactions authentic is having current boss, Martha Abrams-Bell, with does that I think is pretty cool is the
already know that if somebody arrives you don’t maintain the kitchen, an oil managers who can draw on personal noticing when Parker was left out of many specialized networking groups
here and wants to rent a place, we may fire can burn the whole house down. conversations in meetings or at social within our larger organizations,” Col-
have to gently inculcate or train them When we talk about these things events and going out of her way to lins says. “There’s a Women’s Network,
about things like changing the filter in from a safety, security, liability, and address it. “She would bring them over an LGBTQ and Allies network, an Afri-
the furnace, for instance.” emergency perspective—not from a to greet me and say, ‘By the way, this can American networking group, and
personal perspective—that is a better is Kimberly Parker my senior property an Abilities Employees networking
Keshavjee goes on to say that he way to deal with an issue.” manager at The Abrams Management group. There are all kinds of different
encourages his managers to educate Company.’ Abrams-Bell really helped groups that our company has put
tenants who might be unaware of Open dialogue me with inclusion. It does no good to out there, not only to allow people to
certain common practices so that Working with residents and listening have you there if you can’t have a voice.” create their own network and cama-
problems can be avoided. to their concerns about topics beyond raderie within those individual spaces,
It’s a very delicate the property can also be a way to Company culture but also to allow for everybody to
process. You’ve got to “It’s a very delicate process. You’ve got address inclusion. Pedro E. Vermales, Supporting inclusion efforts within a celebrate and learn from each other.
be very careful about to be very careful about what you’re COO of Horizon Housing Manage-
We’re including company furthers the goal of pro-
saying and the tone with which you ment in Oviedo, Florida, and his wife, viding all employees with a chance “I think it’s great because it’s allowing
what you’re saying and say it, because it could easily be misin- Elizabeth Vermales, who is the com- everyone. Our managers to participate in—and add to—the those voices to become a little bit
the tone with which you terpreted. We’re not telling them how pany president and co-owner, hold represent the residents success of the business. Kim Collins, louder, a little bit stronger, and a little
say it, because it could to handle their personal issues, we’re weekly meetings with their managers
we serve. That’s what CPM, director at CBRE Property Man- more heard,” Collins says. “There’s
dealing purely with the property,” he to assess what is going on with the agement, AMO, in Indianapolis, feels always room for improvement, but
easily be misinterpreted. explains. “We’re dealing with filters, properties and with the employees we look like. good about the way her group has not the company is striving really hard to
—Saadat Keshavjee, CPM, Amhurst lightbulbs, fuses, general cleanliness themselves. They encourage their —Kimberly Parker, ARM, The Abrams only welcomed diverse personnel, but be who they say they are, and I think
Property Management, Ltd. around bathrooms and kitchens—we team members to raise concerns Management Company also supported their participation in that’s important.”
22 | ®
| May.June 2021 irem.org/jpm | | 23government affairs
Owner/occupant
issue, such as a small leak, understand required by the U.S. Department of six times the cost of keeping a current
this all too well. Housing and Urban Development renter in place. The landlord-tenant
(HUD), Rural Housing Services, relationship can be a major factor in a
Communication is key in the landlord-tenant relationship Welcome to the neighborhood investors, or the allocating agency for resident deciding to remain in a com-
Just as imperative as educating resi- any properties receiving low-income munity for the long run.
dents on the importance of reporting housing tax credits (LIHTC). Lease
maintenance issues is communicating renewals also involve execution of When residents are facing challenges
with them the expectations for living many of the same documents that such as job loss, medical issues, or
in your community. were completed at move-in. other unexpected expenses, open
communication with property man-
A thorough review of the full lease is Taking time to explain all of the agement ensures that these challenges
another example of a property manager program-reporting requirements will not be kept a secret. Residents
engaging in “measure twice, cut once.” helps residents new to living in reaching out to management imme-
Does your property have a common these types of properties avoid being diately when facing these challenges
lease violation? When reviewing house surprised by requirements to provide means that an action plan can be
rules, are there guidelines or provi- proof of income or the overwhelming developed together and—crucially—
sions that are unique to your property? number of forms and addendums that before the situation becomes critical.
Highlighting these and having the must be completed to ensure program
provisions initialed by the resident compliance. The penalties for noncom-
can save time and avoid confusion pliance can be too severe to risk taking
and the need to send lease violation shortcuts. For LIHTC properties, these
notices later. Another consideration is penalties for noncompliance can be
“First-time” does
an already-scheduled property inspec- millions of dollars, so both landlords not necessarily
tion within a few months of a move-in. and tenants can avoid a lose-lose
mean young;
Image: iStock.com/Drazen Zigic
Inform your new resident that some- scenario by taking the time for a
thing is on the calendar, and explain thorough documentation process. there are
what access may be needed. undoubtedly older
Working together
First-time renters benefit from an There is another principle common individuals who
in-depth review of lease provisions to property management: It is less are also new to
M
easure twice, cut once. Are you projecting a feeling that and house rules. However, “first-time” expensive to keep a resident than to
This may be familiar welcomes your resident into their does not necessarily mean young; find a new one. Some estimates put multi-unit living.
advice for working on a new home? Are you taking steps to there are undoubtedly older individ- the cost of finding a new resident at
construction or home improvement ensure they feel included in the build- uals who are also new to multi-unit
project, but what does this statement ing community, or will they feel like a living. Many active adult communities
have to do with landlord-resident nuisance because you are perpetually have residents that transitioned from
relationships? It is the simple mes- focused on the next task that requires private home ownership. Facing poli-
sage of this axiom that should be your attention? cies or rules for the use of community
taken to heart: careful preparation space and amenities for the first time
can avoid extra work later. Later communication will be nega- can, therefore, lead to pushback. For
It’s the simple tively impacted if a resident believes example, these residents might not
What careful preparation can prop- that they are bothering management want to hear that a loud party by the
message of this erty managers undertake to establish by asking questions or taking up too pool is unacceptable.
axiom that should great relationships with tenants? The much time at move-in. But residents
be taken to heart: answer, too, is simple: time spent reaching out to management with Affordable housing
with each new resident at move-in. issues goes a long way in successfully Certain sectors of housing have always
Careful preparation This time together establishes the managing properties, so this state of required a more expansive document
Image: iStock.com/kali9
can avoid extra tone of the landlord-tenant relation- hesitancy to communicate should be review at move-in. This is particularly
ship, a rapport in which strong and prevented. Property managers that relevant for affordable or subsidized
work later. open communication is critical to have had to deal with damage in a unit housing, where multiple lease adden-
long-term success. due to a resident not reporting an dums must be executed, such as those
24 | ®
| May.June 2021 irem.org/jpm | | 25government affairs
For those who manage
a resident feel valued. This time
to make a difference.™
together provides an opportunity to
obtain details on potentially unre-
ported maintenance issues as well as
gain open-ended feedback. Comment
cards or “How did you hear about us?”
feedback are both commonly collected
when leasing, but are questions such
as “Why did you decide to remain?” or
“What do you like best about your cur-
Image: iStock.com/fizkes
rent home?” asked at the lease renewal
stage? These answers provide insights
into the state of resident relations,
help management recognize which
Entering into a Right now, it seems that there are amenities or features to highlight in
daily news reports of resident payment marketing, and can even be used
realistic payment issues, eviction moratoriums, and as testimonials.
arrangement is the potential crisis anticipated when
current health emergency orders are It should be noted that the principle of
easier when a ultimately lifted. Having a resident “measure twice, cut once” is not limited
resident, facing come to the office looking only for a to residential property management.
deferment of rent does not help anyone, Even if someone is already familiar
circumstances but neither does management being with residential leases, becoming a
that might feel inflexible. Entering into a realistic tenant in commercial space opens
payment arrangement is easier when up a whole new world of lease terms,
impossible to a resident, facing circumstances that including leasehold improvements,
overcome, is met might feel impossible to overcome, is triple net, and common area main-
met with a level of understanding from tenance, just to name a few. A new
with a level of management—the culmination of the business owner leasing space for the
understanding from
Sustainability certification
cultivated relationship, established first time can certainly benefit from a
management— firmly all the way back on Day One.
The first question posed by manage-
landlord or broker taking the time to
carefully review the lease and explain
the culmination ment when approached by a resident any unfamiliar terms.
of the cultivated
for your entire portfolio
experiencing a financial challenge
should be, “How much can you pay For owners and managers reflecting
relationship, now?” Securing this immediate buy-in on the time that they invest into their
established firmly from the resident is critical, even if only tenant relationships, the operating
a minimum payment is made. Setting principle of “measure twice, cut once”
all the way back on biweekly payment dates that align simply cannot be underestimated.
The IREM® CSP Volume Program allows Why certify your property?
you to certify the environmentally-
Day One. with when unemployment benefits are
friendly conventional and medical office • Get recognized as a sustainable property by IREM.
received, focusing on rent payments, Eileen Wirth, CPM, MBA, HCCP, SHCM,
and deferring late fees to be paid once NAHPe, is the president and CEO of the buildings, multifamily and senior housing • Get credit for portfolio-level sustainability
new employment is obtained are not at Octavia Hill Association, Inc. She has served communities, and shopping centers in programs and gain access to customized
all unreasonable. as a New Jersey your portfolio. You can also obtain a certification materials
Chapter officer and gap analysis on corporate sustainability
A chance to reiterate currently serves on • Enhance external sustainability reporting, such as
programs through the Volume Program programs like GRESB, CDP, and RobecoSAM CSA,
A review of critical lease terms or the IREM Federal
changes to house rules at renewal Housing Advisory
enrollment process, which results in for your company or clients
creates another touch point for Board and IREM streamlined CSP applications for you and
communication. Scheduling an Foundation Board your team.
appointment for renewals can make of Directors.
To learn more and enroll, visit irem.org/csp-volume-program.
26 | ®
| May.June 2021You can also read
