Come Talk to Us at the HAA Business Exchange on Aug. 2nd!
by Michelle N. on 7/31/2018 3:51:00 PM
Look out for Jenny Hidalgo at the HAA Business Exchange on Thursday and get to know more about how Buyers Access optimizes purchasing performance for owners and operators.
Date: Thursday, August 2, 2018
Location: Ayva Center, 9371 Richmond Ave, Houston, TX 77063
Time: 8:00 a.m. Registration
9:00 a.m. – 11:00 a.m. Exchange
Contact Jenny Today!
Jenny Hidalgo - Director of Sales
Buyers Access Appoints New VP of Sales
by Michelle N. on 7/20/2018 12:09:00 PM
Denver, Colo., July 20, 2018 – Buyers Access is pleased to announce the appointment of Ken Miller as Vice President of Sales, who brings substantial leadership experience to the Buyers Access Sales team, with over 34 years of experience in Information Technology, Process Improvement, and Multifamily Operations Management.
During his multifamily career, Ken has held COO, CTO, CIO, and VP positions with such firms as The LYND Company, CF Real Estate Services (formerly CFLane/Lane Company), Peak Campus, Rainmaker-LRO, Ambling Companies, Pinnacle Realty, and Insignia Financial Group. Ken previously spent 13 years outside of multifamily with Sara Lee Corporation and Southern Weaving Company.
Ken’s background and management experience includes overseeing numerous departmental areas such as Property Operations, Human Resources, Payroll, Information Technology, Corporate Marketing, Corporate Training, Business Development, Technical Product Implementations, and Ancillary Services (voice, video, and data contract negotiations), Compliance, Construction Services, Corporate Accounting, and Property Accounting for Conventional, Affordable, and Student Housing management platforms.
“Ken’s past experience and leadership is a natural fit to continue building upon the substantial foundation established by our sales team, and to facilitate further escalation of our current upwards sales trajectory,” said Dan Haefner, President and CEO.
“I am honored to be a part of the Buyers Access leadership team and excited to assist our stellar sales team in promoting Buyers Access’ Purchasing Optimization Services and Data Analytics,” said Ken Miller, Vice President of Sales.
Miller earned his degree in Business Administration with a concentration in Data Processing from the University of South Carolina-Spartanburg.
About Buyers Access
Buyers Access is the nation's leading Purchasing and Cost Control specialist for the multifamily housing industry. We take an active role as your business partner, and provide full service solutions to help your business maximize the value of your real estate. Since 1986, Buyers Access has helped thousands of properties reduce their operating costs and become more efficient. Through the use of our operational expertise, these properties have added millions of dollars to their real estate value. For more information, contact Buyers Access at www.buyersaccess.com or call 1.800.445.9169
Director of Marketing
5 Trends to Watch in Multifamily Investment for the Rest of 2018
by Michelle N. on 7/19/2018 6:22:00 PM
Bleecker at Hyde Park, a Fogelman-managed property in Tampa, Fla., features an outdoor pool courtyard area with a fire pit to foster social interaction and relaxation among residents and their guests.
Multifamily investors have continued to enjoy rock-solid stability and strong fundamentals in the early half of 2018. Even with oversaturation and overbuilding in urban cores, capital market demand for multifamily remains robust, with sales volume up 44% year over year, according to recent reports. Now, midway through the year, many wonder if the multifamily sales appetite will continue or if we’re facing the “end of easy” across the asset class.
To find out, here are five trends to watch for in multifamily investment for the remainder of 2018:
1. Demand Is Gradually Catching Up to Supply
With large supply deliveries in major markets, we’ll continue to witness the residual effects of softness, especially in the boom submarkets and Class A asset space. As an example, infill Nashville was once a darling of multifamily. Now, the city is on the “no-fly list” for many institutional investors due to record-level new-apartment deliveries. The influx of new supply inevitably led to rent concessions in excess of two months free. However, the city is turning the corner this year with moderate effective-rent growth from the gradual burn-down of concessions and unit absorption.
Other submarkets in major MSAs are now starting to see a concentration of supply deliver and are expected to chart a similar, if slightly less severe, path as demand catches up to supply over a multiyear period.
2. Buyer Demand Outweighs Higher Borrowing Costs
Not unlike some other property types in real estate, there are more market participants pursuing multifamily assets than assets in other sectors. At the same time, the cost of debt has increased, with the 10-year U.S. Treasury up 80 basis points since September 2017.
The result of such competing factors in asset pricing suggests that the increased level of equity capital outstrips the higher debt cost. As a result, cap rates and expected investor returns have held steady or slightly decreased in most markets. Important to note, buyer demand isn’t spread evenly across asset types and locations. The increased level of sale offerings has created appealing opportunities for some assets that don’t “check all of the boxes” for the average investor. While tighter yields are a reality, investors continue to view multifamily as an attractive asset class, especially in comparison to alternatives such as equity/bond markets or other real estate asset types.
3. Workforce Housing Fundamentals Are Still Strong
Marketwide averages for rent growth and occupancy don’t tell the whole story as specific asset types drift further from the mean. Fundamentals continue to deteriorate for Class A product in core submarkets, for example, while Class B properties continue to show gains.
In general, the supply-and-demand picture is more appealing for workforce product, which is typically synonymous with Class B properties. The lower price point for workforce housing ensures insulation from new supply, given the high rents needed to justify new construction.
On the demand side, the labor market remains strong by most measures, including job growth and household formation, two related demand drivers for multifamily. Additionally, alternatives to apartment rental for the workforce population are scarce, due to rising home prices and tighter lending standards.
Hand in hand, these macroeconomic trends show no sign of imminent change and will continue performing for the workforce housing segment of multifamily.
4. Non–Top-Tier Submarkets Are Flying Under the Radar
With some properties averaging 40-plus bids in certain MSAs, competition is fierce and the odds of securing those assets at reasonable terms are low. However, buyer demand varies widely, and many of the assets that aren’t located in top-tier submarkets or that lack a significant physical value-add upside aren’t receiving the same attention from buyers.
At Fogelman, we expect that properties outside the “bull’s-eye” will offer the best risk-adjusted return as (a) the less-sexy submarkets are outperforming most top-quartile areas, due to less pressure on fundamentals from new supply; and (b) higher going-in yields and smaller renovation scopes inherently mean lower execution risk.
Looking ahead in the near term, we expect properties located outside of the top-tier submarkets within growing MSAs, such as those in the Southeast and Texas, will outperform the average, especially Class B properties.
5. Generational Sandwich Is Keeping the Market Healthy
The average age of a first-time home buyer recently rose to 30 as millennials opt to rent longer. Furthermore, 2018 has presented a new set of challenges for first-time home buyers; namely, a new tax law whose effect has yet to be felt on homeowner taxes or property values; low inventory; tough credit; and rising mortgage rates. Coupled with baby boomers selling their homes and downsizing to multifamily apartments in exchange for flexibility and mobility, the generational sandwich of millennials and boomers continues as one of the most important macrotrends for apartments this year.
Multifamily Purchasing: Standardization and Compliance Class
by Michelle N. on 7/9/2018 12:49:00 PM
Multifamily Purchasing: Standardization and Compliance Class
Wednesday, July 18, 2018 1:00 PM - 4:00 PM EST
Want to better understand how to more effectively spend your allotted budget? This course will teach you how to reduce purchasing and overhead costs so you can stay within your budget!
In this class, you will be able to project savings and learn about:
> Supplier management
> In-house vs group purchasing
> Healthy purchasing
> Spend management and budgeting
> Online ordering and reporting
> Improving purchasing
Click here for flyer
Buyers Access Partners with Pet and Playground Products for the best in Outdoor Amenities
by Michelle N. on 7/3/2018 10:05:00 AM
(DENVER, 7/3/2017) – Buyers Access (BA) announced today a partnership with Pet and Playground Products (PNP), the leading provider for turn-key outdoor amenity solutions in the multifamily industry. BA member companies will now have additional options available for dog parks, playgrounds and outdoor fitness equipment, along with pet waste solutions. These amenities can help attract new residents and increase retention rates.
“Adding Pet and Playground Products to our diverse list of supplier partners supplements our service offering with a proven outdoor amenities solution provider” says Jeff Peterson, Vice President of Business Operations, Buyers Access. “Pet and Playground helps property managers and multifamily management firms with their outdoor needs, from inception through installation.”
“We are happy to be working with Buyers Access and to offer our full line of products and services,” says Bob Hansen, National Sales and Marketing Manager of Pet and Playground. “Our turn-key solutions approach helps multifamily properties remain competitive.”
About Buyers Access
Buyers Access (BA) is the country’s leading provider of customized purchasing solutions, serving more than half a million member units in the multifamily space. For more information, visit www.buyersaccess.com or contact Dan Haefner at 303-991-5577, firstname.lastname@example.org
About Pet and Playground Products
Pet and Playground Products (PNP) is a nationwide provider of outdoor amenities that specializes in the needs of the multifamily community. The company is a full-service provider of outdoor equipment, such as playgrounds, dog park equipment, outdoor fitness equipment, and other amenities providing residents a fun and comfortable place to live. Visit www.petandplayground.com or contact Linzie Atkinson 334-219-4003, email@example.com
7 Takeaways From Apartmentalize
by Michelle N. on 6/20/2018 5:24:00 PM
By Les Shaver
Despite strong operating results during the past decade, apartment managers face no shortage of questions as they peer into the future.
How will they find qualified maintenance workers? How will they incorporate the ongoing big data revolution into their platforms? How will they harness the power of that data and digital technology to market their buildings? And, as these questions linger, the older challenges of customer service persist and are amplified with the proliferation of online review sites.
If the key takeaways from Apartmentlize are any indication, there are no shortage of strategies out there to help savvy operators tackle those challenges.
Here are the key things we learned:
There is movement afoot to find workers for maintenance jobs.
While keynote speaking Mike Rowe is known for his hit show “Dirty Jobs,” he is also CEO of The mikeroweWORKS Foundation, a non-profit charity that rewards people with a passion to get trained for skilled jobs that exist, such as maintenance technicians. While the need for qualified maintenance techs is staggering, Rowe thinks there will be an awakening and people will ultimately realize the importance of taking on these tough jobs. Once they do, they will be rewarded.
“The people I met doing Dirty Jobs were among the happiest people I’ve known,” Rowe says.
Technology Can Make Maintenance More Efficient.
Raymond van Beveren, SVP of Construction and Facilities Services for Pinnacle Property Management Services, has advice for selling maintenance careers.
“You have to emphasize [the technology that they’ll be using] to bring in the young maintenance people,” he says.
These technologies can also help companies become more efficient because regional managers can relocate maintenance technicians to other communities based on the information coming in from their system that shows where they are most needed, van Beveren says.
But before an operator can take full advantage of these maintenance platforms, it needs to train its techs.
“Training must be comprehensive and include the entire [onsite] team,” says Nyla Westlake, Managing Director of Asset Management for Trammell Crow Residential.
Marketing and Pricing Can Work Together.
When companies introduce change, they often have to overcome internal barriers.
If you are thinking about marrying pricing and marketing, the rewards outweigh any potential problems, according to Christie Bennett, Vice President of Operations, Pinnacle Campus Living’s and Daryl Smith, Chief Marketing Officer for Kettler.
As a marketer, Smith has an understanding of the lifestyle preferences of his residents and how he can use that information to help fill apartments. As a pricing specialist, Bennett knows historical pricing patterns and how to use those numbers to make accurate projections.
“If we give that information to marketing, we can make better decisions,” Bennett says.
Thoughtful Amenities and Service Matters.
When you’re putting together a community gym, for example, it is easy to add some elliptical machines, treadmills and a few weights and assume you’re done. But Kelley Shannon, Vice President, Consumer Marketing at The Bozzuto Group, says that is the wrong way to think about amenities.
“You have to target common space around what the customer says they are interested in,” she says.
Whether it is developing amenities, making move-in easier or adding services, companies that listen to their residents will have higher retention rates.
“Everyone has a vote, but the customer’s vote is the one that wins,” says Virginia Love, Vice President of Training and Marketing at Waterton Residential.
There is a revolution coming to customer insight.
Understanding the digital path a prospect followed before deciding to lease at your community will pay tremendous dividends and help apartment marketers make better spending decisions.
“The ability to track the customer path can also show marketers what digital platforms should be rewarded, according to Mia Wentworth, Director of Marketing at Monarch Investment and Management Group.
“Over time, you see what sources are more consistent in the customer journey,” she says. “You do not want to lose those.”
Owners want their say.
Owners entrust their managers with very expensive assets and they want to know who is running them. “You want to know the manager and why they are right for your community,” says Robert Murray, Senior Director of Asset Management for TruAmerica Multifamily.
If Greystar is hiring a new community manager, Senior Managing Director Lisa Taylor will encourage the owner’s asset managers to interview her top candidates or at least look at their resumes. “It is important for them to know who this person is and why we selected them,” she says.
If you need help, the U.S. Armed Services are good places to look.
Service members -- who are used to working in teams -- can become great hires. So can their spouses, who are used to moving multiple times, giving them a high level of varied professional experience.
Moving multiple times means these military spouses have often worked in many different organizations. That boosts their resume.
“They bring skills, ability and talents from other companies with them,” Jonathan Nix, Senior Regional Human Resources Manager with Balfour Beatty Companies, says. “This helps the companies that hire them build their strengths.”
That moving experience can be particularly helpful in site-level roles.
“They are supportive,” he says. “They understand what goes into the move-in and move-out process and are able to help residents with that,” Nix says.
Purchasing Doesn't Have To Be Rocket Science! Find Out Why in San Diego, Tomorrow!
by Michelle N. on 6/12/2018 4:22:00 PM
Don't miss out on the chance to win a $100 Amazon gift card at the 2018 NAA in San Diego! Stop by the Buyers Access booth #1838, pose for a #notrocketsciencewithbuyersaccess photo and tag @Buyers Access to enter!
To set up a meeting ahead of the show, please contact a Sales Director below.
Kelly Scott - Vice President of Sales
Carol Hand - National Sales Director
Jenny Hidalgo - National Sales Director
Ken Miller - National Sales Director
Location: South Carolina
How the Amenities Multifamily Properties Offer are Evolving with Technology
by Michelle N. on 6/6/2018 1:37:00 PM
Technology that make new connections to equipment that residents already use may be among the next offerings multifamily residents expect.
By Bendix Anderson
Technology companies are rolling out new products that carry a promise of making a real difference for multifamily residents.
“We are probably on the cusp,” says Rick Haughey, vice president for industry and technology initiatives for the National Multifamily Housing Council.
For years, apartments experts have looked forward to new Internet-enabled smart technologies that would enable residents to control aspects of their residences remotely. But aside from a few smart thermostats, some property managers have struggled to find secure Internet of Things hardware that residents would find useful.
That may be changing as companies roll out technology that make new connections to equipment that residents already use—like a telephone or the intercom panel by their property’s front entrance.
Technology opens the door
For example, new technology can allow residents to let guests or delivery people into their apartment community by adding new connectivity to the existing intercom system.
Not every building has a doorman or a leasing office that can receive packages or allow guests onto the property. These apartment communities face a constant challenge as package deliveries arrive. UPS or FedEx drivers often leave with packages undelivered.
Technologies like Doorport can get the delivery person securely through the front door. The technology places a touchscreen panel by the front door of the apartment property, replacing the old panel of doorbell buttons for the existing intercom system. Using the touchscreen, delivery people or guests can follow the prompts on to identify themselves and what apartment they are visiting. A camera records a short video of the visitor and immediately sends a notification to the smartphone of the apartment resident, who can respond to let the visitor into the property. “Your smartphone becomes your building intercom,” says Ben Taylor, founder of Doorport.
Doorport is currently being beta tested at two buildings in New York City with a total of 100 apartments. The company is currently in negotiations with several large landlords in New York and New Jersey to apply the technology to thousands of midrise apartments and garden apartment communities.
Doorport plans to create more complicated solutions in the future that will open individual apartment door. But for now, Doorport’s strength is in it simplicity. Doorport’s fits neatly into the buildings existing system – and shouldn’t even require any new wiring to work.
Technology gets to work orders
Another technology allows residents to place work orders with a phone call to a voice-recognition technology similar to Amazon’s “Alexa” service. Technology company TRAVTUS, based in New York City, calls its new digital property manager “Adam.”
Residents that use the service can complete many of the basic interactions with property management. For example, residents who need repairs in their apartments can start the process with Adam, which can route the work order to the people who will carry out the repair and even begin the process of procuring supplies.
“We trying to deal with a day-to-day, so that your property manager is only dealing with the genuine escalations,” says Tripty Arya, founder of TRAVTUS. “The property manager can then focus on the 30 or so that really need attention.”
Fitting technology into the lives of residents
These new technology companies hope to succeed by fitting their ideas into the activities that residents perform every day.
Moderately-sized, class-B apartment properties can probably benefit the most from this latest wave of technology innovations. That’s because many of these services effectively fill in for a doorman, and allow management companies to stretch the limited staffing resources farther.
Property managers are also now thinking about how to coordinate services that require access to an apartment property, like dog walkers, dry cleaners and grocery deliveries. Property managers may soon not only open the door for these services, they may also help arrange them. For example, if an apartment community could arrange a dog walking service, that amenity may be provided more efficiently, and the property could potentially make some money from the transactions.
“Everyone is trying to figure out how to monetize and control these features,” says Haughey.
Source: National Real Estate Investor
Renting is Becoming the New End Game for Many Millennials and Baby Boomers
by Michelle N. on 6/1/2018 2:30:00 PM
Baby boomers are flocking to rentals in town centers, such as Reston Town Center, above, near the communities in which they’ve owned homes for years. (Melina Mara/The Washington Post)
By Robert Pinnegar
Renting traditionally has been viewed as one rung on the housing ladder: First, you rent an apartment, then move on to purchase a starter home, which is followed by the family home, where most people spend the majority of their years. Renting has always been a step in the process and rarely the endgame.
Based on the growing number of renters in major cities throughout the country, including Washington, it’s clear that attitude is changing. Instead of viewing renting as a short-term phase, an increasing number of residents are choosing rental housing specifically because it offers a more-flexible lifestyle than homeownership.
This is especially true for baby boomers and millennials, two of the fastest-growing groups of renters. Whether just starting out in their career or settling into retirement, both generations are seeking a lifestyle that offers mobility, convenience and community.
“There’s no question that apartment living keeps getting better,” said Stephanie L. Williams, president of Bozzuto Management Company. “We’ve just started to see a slight shift in boomers actually deciding to forgo a mortgage for rent in high-end, highly serviced [properties with lots of amenities,] and do believe that we’ll see more. And they’re not necessarily moving from the suburbs directly into downtown locations. More likely, they’re staying fairly close to home in communities they’ve known for decades and are opting for nearby town center locations. Millennials, on the other hand, are enamored by the eclectic, energetic urban environment and thus love living downtown close to art, culture and entertainment.”
Mobility needed: Regardless of age, mobility is one of the top reasons people decide to rent. For millennials just entering the workforce or in the process of building their careers, the ability to relocate is a major factor. Even if they are in a financial position to purchase a home, millennials may choose to rent to have the flexibility to take advantage of new job opportunities as they arise.
Boomers value mobility, as well — with their children grown and out of the house, many have realized they no longer want or need a large suburban home. Instead, they’re opting to rent in urban environments that offer greater flexibility for travel and the option to leverage the equity in their homes. Many baby boomers also are working longer than their parents did. They still want to be close to their job and are not yet ready to retire to a new locale, but they are empty-nesters who want a vibrant, walkable lifestyle.
Transportation and accessibility play an important role. With busier-than-ever lifestyles, more and more people are simply refusing to spend hours commuting every day. Especially in cities such as Washington, where the commute between downtown and the outlying suburbs can take hours during peak travel times, rental housing close to work or with easy access to public transit offers residents the opportunity to achieve a higher quality of life, with less time stuck in traffic.
The convenience of living in the middle of things: Similarly, we’re seeing residents choose renting over homeownership for the sake of convenience. For busy boomers who are ready to give up the yard work and other home-maintenance tasks, renting is an attractive alternative. If something breaks or goes wrong, all they have to do is pick up the phone and call the property manager to take care of it. The same goes for young professionals who may lack the time, experience or willingness to address these issues.
We’re also witnessing apartment owners and operators go beyond basics like regular maintenance by offering amenities such as package storage, fitness centers and pools, along with hotel-like concierge services to enhance the resident experience. As communities compete for residents in the Washington market, we can expect the bar to continue to rise in terms of luxury and creativity, further augmenting the rental lifestyle.
Creating a sense of community: In addition to making residents’ lives easier, modern apartment amenities are designed to encourage socialization and create a sense of community. Whether it’s happy hour on the rooftop deck or cooking class in a common kitchen area — both of which we’ve seen local properties host for residents — these are the types of experiences that today’s renters are looking to incorporate into their lifestyles.
This sense of community is important to boomers, who may be leaving a social network behind as they move away from the suburbs; as well as to millennials who are eager to make new connections personally and professionally, especially if they are new to the District. With shared common spaces and experiences, apartment living creates organic opportunities for residents to make these connections and build on them.
In today’s economy, we can rent almost anything we need, including music, movies, clothes and cars. Having all of these options available to us suggests that people’s view of ownership is shifting. It’s natural that this trend extends to our homes, giving people more choice over where and how they live.
Robert Pinnegar, is president and CEO of the National Apartment Association based in Arlington, Va.
Read more here