Why Amenities are Critical for Preventing Tenant Turnover

Multi-family housing developers, owners, and operators understand that in order to attract the right tenants and keep long-term renters happy, they need to include desirable amenities to their residents. Apartment communities are often in direct competition with one another, vying to offer more desirable amenities than their competition. But the number of amenities that are included in a multi-family community aren’t what’s important: Rather, it’s the quality of the amenities provided and their alignment with tenants’ values that matter most.

Why are Amenities Important for Apartment Communities?

Offering unique amenities to tenants is one of the main ways that apartment communities are able to remain competitive. Not only do up-to-date amenities help attract new residents, but incorporating new amenities can also help apartment managers:

  • Increase Rates: According to some studies, 57% of renters would pay at least $20 more per month for high-tech amenities such as smart locks or building-wide Wi-Fi.
  • Improve Revenue: Just by integrating high-ROI amenities in their communities, property owners stand to increase their annual revenue by an average $21,000.
  • Reduce Vacancies: Apartment communities that invest in new amenities have seen a 59% increase in renewal rates over those that ignored amenity upgrade needs.

Which Amenities are Most Important to Tenants?

When considering the different types of amenities to include, it’s important to understand that there are two main types of amenities that apartment communities can offer: convenience amenities and community amenities. Convenience amenities (also referred to as in-unit amenities) are those that are included within the residential units themselves while community amenities are offered building-wide for all residents to use.

Top 5 Community Amenities for 2022

1. Outdoor Spaces

With more people working from home more than ever before, residents long for outdoor spaces at their apartments where they can go to relax and enjoy some fresh air. As such, apartment communities should aim to include the following:

  • Outdoor kitchens and dining areas
  • Rooftop lounges
  • Community gardens
  • 2. Pet Amenities

    Pet ownership is at an all-time high in the United States, forcing many apartment communities to rethink their “no pet” policies. Demand for pet-friendly units is increasingly high, and so too are the need for pet amenities, including:

  • Dog parks or running areas
  • Pet washing stations
  • Pet concierge services
  • 3. Smart Access

    Smart home technology integration is one of the simplest and most effective ways to improve residential safety and security while providing a modern living experience. By installing a smart access control system in your building, you’ll give residents an easier, more secure method for allowing themselves into their homes. For the best experience, consider a system that includes:

  • Smartphone app controls
  • Video intercom capabilities
  • Keypad front entry
  • 4. Package Delivery

    In today’s shop-from-home society, residents don’t just want 24/7 access to pick up their packages — they expect it. According to the National Apartment Association, 31% of renters would pay $10 more per month just for easier access to package delivery. Improving your apartment community’s package delivery system might include:

  • Automated package delivery alerts for tenants
  • Designated 24/7 courier rooms
  • Upgraded delivery room security
  • 5. Parking Amenities

    Whether your apartment is in a bustling city or nestled in idyllic suburbia, providing parking and transportation amenities to residents is a must. While reserved parking spaces have long been the standard for such community amenities, today’s tenants expect more from their transportation accommodations. Such amenities might include:

  • Bike storage and on-site repair stations
  • Ride-sharing programs or discounts
  • Designated ride-share pick-up and drop-off areas
  • Electric Vehicle charging stations
  • Top 5 Convenience Amenities for 2022

    1. Smart Locks

    Gone are the days of physical keys: Smart locks are becoming the standard for multi-family communities all over the United States. With smart locks, residents no longer need to worry about getting locked out of their apartments. These high-tech systems empower tenants to lock and unlock their units all from their smartphone device. Smart locks can even be installed in shared amenity spaces for enhanced safety and security. Some smart lock devices even feature a digital key, which allows tenants to send visitors a special access code.

    2. Smart Thermostats

    Residents love the enhanced comfort control gained by incorporating smart thermostats in their units. Not only that, but smart thermostats offer greater energy-efficiency for more affordable energy spending. Property managers will also benefit from having a smart thermostat in place as it can help reduce energy consumption in vacancies to save money on their monthly energy expenses.

    3. High-speed Internet

    With the remote worker economy growing each day, the need for in-unit high-speed internet connectivity has never been higher. If your property doesn’t already offer in-unit Wi-Fi connectivity, now is the time to make the change you need to keep residents happy and stay ahead of your competition.

    4. Luxury Fixtures

    Whether it’s an electric fireplace, in-unit laundry solutions, or all-new kitchen appliances, residents desire more from their living spaces. Incorporating luxury fixtures not only allows tenants to enjoy a more comfortable and convenient living experience, but it also provides the opportunity for property owners to raise rates in accordance with the quality they’re able to offer.

    5. Personal Balcony/Patio

    Outdoor community areas are great, but tenants also desire personal outdoor spaces that they can enjoy in the privacy of their own homes. Incorporating balconies or patios for ground-level residents is a great way to provide them with the outdoor access they desire. It’s also an added bonus for pet owners that need quick access to the outdoors when their furry friends need to go to the bathroom (hint: that means less damage control for your team due to pet stains!).

    By taking the time to include the amenities that matter most to tenants, apartment developers and owners can dramatically improve leasing efficiency and revenue while preventing against resident turnover. Consider making a needed change to your community and convenience amenities this year so you can remain competitive and profitable!