Apartment Amenities: Understanding What Gen Y Wants

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The multifamily industry spends considerable time and money targeting Gen Y renters through property management, apartment development, and marketing.

And when 72% of people under 30 years old live in rental housing, its easy to understand why.

But do multifamily professionals really know what Generation Y wants when it comes to their apartment home? And do the 20-somethings employed within the industry think we actually understand them?

Here’s an idea: let’s ask them.

At the 2013 Crittenden Multifamily conference in Dallas last March, Property Management Insider contributor, and resident Millennial, Jay Parsons moderated a panel discussion with Generation Y multifamily professionals to debunk some myths about this particular generation of renters.

When the topic of discussion turned to apartment amenities, Parsons asked the panelist their verdicts on development trends and amenities that are typically targeted at them and whether they are truly essential or overrated.

Green Features are a Given with Gen Y

This one needs some clarification: green features as amenities are overrated, but that’s because Millennials expect your property to have them. Meaning, Green is not a feature, but part of the base package. So rather than trying to sell Millennials on green features, explain HOW your property is green and the cost savings.

But don’t oversell the cost savings because this could be someone’s first apartment and they won’t have a baseline for cost comparisons. Rather than trying to sell renters and what THEY can save, brag about how much YOU saved with green. Market your community and philosophy, not the unit. And for the record, each panelist said they would NOT pay more rent because an apartment is green.

Verdict: Overrated as an amenity, essential for an apartment community.

Dog Parks are the PreferenceImage of dogs playing in a dog park

Dogs, and pets in general, are the new children for Millennials. They’re not avoiding marriage and children but they may be delaying them so when they are getting their first apartment or moving to a new city, they need to bring their best friend along with them.

But don’t despair if your apartment community doesn’t have a dog park. Play up your proximity to any area dog parks or other animal friendly venues. This is especially important when dealing with urban environments. One of the panelists implored the audience to get creative: put one on the roof, use garage space, etc.

Verdict: Essential

 

Your Video Game Room Won’t Turn Any Heads—or Thumbs

The panel practically dismissed this “amenity” with a disinterested wave of the hand. Video game play is about gathering with friends in their space, not a common area. Panelist said the same goes for movie rooms. Besides, as one panelist pointed out, sometimes it is better to trash talk a 13-year old online in private while playing Gears of War and not in public

Verdict: Overrated

Tanning Beds Get a Cold Reception

Besides the extra effort to clean and maintain tanning beds, not mention adhering to health codes, the controls are typically located in the leasing center and can only be controlled by staff. That means tanning beds are only available during regular leasing office hours and not when it’s convenient for the resident. One panelist offered up an alternative to tanning beds: spray tanning.

Verdict: Overrated

Fitness Centers Shouldn’t Feel Confined

If you’re going to sell your fitness center to Generation Y, bring your A game. Don’t place a few elliptical machines and treadmills in a room the size of a small dining room and expect Millennials to be impressed. Also, you must have modern equipment. You need personal TV screens and the ability to plug in iPods and other media devices.

Panelists were keen on flexible spaces. Because many Millennials are willing to live in smaller units to save money, they don’t have room for activities such as Yoga or Tae Bow. By having flex spaces at your community, you allow residents more choice in the activities they can do. One panelist went so far as to suggest that property managers contract with a local gym provider and allow them to run a fitness center.

Verdict: Essential, but with conditions

Premium Parking Can Pay Off with Millennials

While Millennials may not be willing to pay extra for green amenities, they might pay for convenient parking. One panelist said she would be willing to pay $75 to $100 more per month just to be closer to the elevator. Two other panelists pointed out that while there is a trend towards walkability, even in urban areas, and using alternative means of transportation such as light rail, bus, and even ZipCar, parking is essential.

Verdict: Essential

It’s not that these amenities are unimportant. Keep in mind that this is only the opinion from a small group of Millennials who also happen to be professionals in the apartment industry. Take these opinions with a grain of salt, test them at your own properties, and adjust your marketing messages according to the results of your research.

What are you experiencing at your properties? From the Millennial perspective, what amenities are essential and what are over rated?

 

Source:  Property Management Insider

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Making A Workplace Pet Friendly

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Pets do everything from soothing stress to providing comic relief at the workplace. In fact, pets are becoming such a part of our professional lives that many big companies now offer dog-friendly workplace policies and perks, like pet health insurance in their benefits packages.

Making a workplace safe for pets is important – after all, our furry friends aren’t eligible for workers’ compensation. Here’s how to make sure your facility won’t place pets in peril.

Before allowing tenants to bring best friends into the office, be sure to clear all areas of anything that could tempt dogs to chew, and keep things like fans, paper cutters, and printers up high and away from the ends of tables, where they could be knocked over onto unsuspecting pets. Dogs can suffer burns to the mouth, paws, and face from chewing on cables, so keep dangling cords out of paws’ reach.

Cake, candy, and other office treats should never be left out on countertops when pets are on the clock. No one wants to share a cubicle with a pet in intestinal distress – but more importantly, human foods like coffee and chocolate can actually poison pets. Provide plenty of tall trash cans with locking lids, and remind workers to discard their leftover lunches.

Doors that lead to parking lots, loading docks, and busy streets can be gateways to disaster for roaming dogs. Provide crates, gates, and leash tethers to keep four-legged friends secured in the doghouse. Remember that pets’ paws can easily be punctured by high heels if someone makes a misstep, and rolling chairs can crush toes or tails in close quarters. Really think about whether there’s enough space to accommodate pets before inviting them to work.

Finally, keep toys, treats, and anything pets might compete over out of common areas, and establish an outside-only rule for play. Just as coworkers can sometimes clash, dogs don’t always play well together. Little squabbles here and there are normal, but it’s best to adopt a zero-tolerance policy when it comes to a truly aggressive pet.

When welcoming pets into an office building, it is a good idea to have pet parents sign an official pet policy that clearly spells out all of the rules. Put safety first and set boundaries and you’ll reap the many benefits of a pet-friendly workplace.

 

Source:  Buildings

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Older Renters To Drive Demand In Next Decade

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Younger renters have long been the prized demographic for apartment owners, but there’s some indication that an older demographic is going to be an increasingly important segment for landlords in the coming decade, according to a research note published recently by the National Multi Housing Council. That is, the aging baby boom demographic might make itself felt in the rental market as its members downsize from home ownership.

The baby boom generation remains the demographic bulge that it’s been since U.S. birth rates, which dropped precipitously during the Depression in the 1930s, spiked during the prosperity of the 1950s. After another trough in the 1970s, the number of U.S. births has roughly stabilized at around 4 million a year.

Thus, the number of births has varied much less in the past 25 years than it has in the prior 50 years, which means that—projecting forward—the number of young people entering the housing market, which usually means as renters, should vary little over the next 20 years. By contrast, the size of the baby boom generation (the youngest of which are about the turn 50) carries with it the potential for a large number of people transitioning to rental housing.

Sheer generational size, however, isn’t the only variable. Household formation is critical. The number of U.S. households increased by 11.2 million between 2003 and 2013; more than half (58 percent) of that increase came among householders from 55-64 years of age. Over the next 10 years, however, that age group will make up only 12 percent of the increase in households.

The bulk (72 percent) of the increase in households from 2013-2023 will instead occur among householders in the two oldest groups combined (65-74 and over 75 years of age), estimates the NMHC research note. The share of household growth among the youngest two age groups (15-24 and 25-34 years of age) will be slightly higher in the next 10 years than in the previous decade, but both shares will remain relatively small.

How many of these new, older households will be renters? Based on the 2013 Current Population Survey rentership rates, the 25-34 age group will make up 31 percent of the renter increase going forward, the largest of any single age group. However, the 65-74 and over 75 groups will make up a combined 52 percent of the growth in renter households. By contrast, the growth in renter households in the 55-64 age group will be slightly more than offset by the decline in renters in the 45-54 age group between 2013 and 2023.

In short, a relatively large number of a relatively large demographic group will become renters in the next 10 years. Younger renters will remain important, but it will probably be their elders who provide some oomph to the demand for apartments over the next decade.

 

Source:  MHN

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Incandescent Bulb Phase-Out Myths Debunked

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The New Year brought big changes to the lighting industry.

The final step of the Energy Independence and Security Act took effect January 1, 2014, which means that incandescent 40- and 60-watt bulbs can no longer be manufactured. According to Osram Sylvania’s Socket Survey, only four out of ten Americans are aware of these changes.

Facility managers have dealt with light bulb phase-outs before with the 100-watt in 2012 and the 75-watt in 2013.
See tips for dealing with lighting phase outs.

According to Lowe’s, here are five things you need to know about the change:

1. You Can Keep Your Current Bulbs
According to the legislation, consumers can still use their existing incandescent light bulbs and retailers are allowed to sell bulbs they have on their shelves and in stock. Manufacturers are simply required to stop producing non-compliant products. Some specialty types of incandescent light bulbs, such as reflectors, three-way, appliance, and some decorative bulbs, are exceptions to the law and can still be manufactured.

2. You Won’t Notice A Major Difference
Halogen light bulbs are a popular pick by interior designers because of their crisp, white light and welcoming ambiance. For customers who love the look and feel of incandescent light bulbs, there is no need to worry. Manufacturers have developed halogen light bulbs that both meet the new efficiency standards and offer the characteristics of traditional bulbs. While these bulbs may cost more up front, they pay off in the long run by saving 28% in energy costs over the life of the product.

3. You Won’t Replace Your Bulb Until Your Baby Graduates From College
It’s a great time to upgrade to LED light bulbs as prices have steadily decreased while performance and appearance have improved. According to Lowe’s manufacturers, an average LED bulb will last more than 22 years (based on three hours of usage per day), and over its lifetime will cost about $30 to operate, whereas an incandescent bulb will cost $165 over the same period of time. Lowe’s carries a wide variety of LED bulbs for almost every household application with prices starting under $10.

4. These Aren’t The CFLs Of Years Past
CFLs, one of the most popular replacements for incandescent bulbs, have changed dramatically with recent technological improvements. Manufacturers have addressed common customer feedback so that these bulbs now create better light output and turn on faster when you flip a switch. Once considered a safety concern because of mercury content, today’s CFLs contain less mercury than a common household thermometer.

5. There’s A Full Light Spectrum For Different Applications
Light bulbs are available in a variety of color temperatures and should be selected based on application and personal preference.

 

Source: Buildings.com

 

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