The Keys to Operational and Revenue Success in Multifamily

This October in Dallas, a climate where supply outpaces demand in some markets, multifamily leaders met to discuss how to get more revenue out of their Texas assets. Discussions focused on how to maximize amenities and get the biggest return on the dollar by basically understanding what residents really want through their actions. At the Marcus & Millichap Dallas/Fort Worth Multifamily Forum, panelists agreed that some old-school fundamentals blended with the techy new trend of mining data can hold the key to if they attract new residents and retain the ones they have while achieving the highest possible revenue. Moderator Hugh Cobb of Alpha Barnes probed High Street Residential Senior Vice President Gary Mann, Kairoi Residential Executive Vice President Tammy Feiling, Camden Director of Revenue Management James Flick, Pinnacle Director of Revenue Management Connie Aldape and RealPage Director of Asset Optimization Andrew Bowen about effective operation strategies that drive revenue. Panelists believe that customer service and relationship building emboldened with the understanding of what renters are willing to pay for in various markets are keys to success. Data identifies probabilities of renewals and new residents Lease transaction data is being studied to identify trends that can help multifamily operators find the right prospects for the right types of apartments. Predictive analysis is trumping traditional pricing practices by factoring in various conditions, occupancy rates, rent rates and other data based on resident behavior to recommend a price. Also, data is being measured to narrow the likelihood of residents who will renew. “There are things about residents that are predictive of if they will renew,” Bowen said. “Things like their previous address, whether not they have pets, if they have a car. All of those have an impact on if that person is more likely to renew. As we get further into data, you start to see those ty...