While the typical industry reaction to rent growth decline is to batten down the hatches, operators are finding that focusing on resident renewals and identifying new NOI strategies within day-to-day operations better positions them to weather the storm.
It is no surprise that when the market slows down, multifamily operators typically compensate with cost-cutting measures to bolster their margins. While cutting back and finding efficiencies can help companies stay profitable, the belt tightening may ultimately hurt owners both in the short and long run.
All pet-friendly communities deal with the challenge of unscooped pet waste. This challenge creates additional costs for operators who have to pay someone else to clean it up or task maintenance teams with doing the job, causing valuable time and resources to be wasted.
The generation of additional funds is invaluable, as the proceeds can be used to make capital improvements, invest in technology and bolster onsite training processes. But any fees charged beyond rent must genuinely add value for residents and not give them the perception they are being price gouged.