The worlds of hospitality andmultifamily are becoming more intertwined. Multifamily owners areincorporating more amenities and services into properties to driveoccupancy and rents. Today, people are renting later into life andwant a high-end living experience. These services include conciergeservices, furnished units and short-term rentals.

“The labor market and America's workforce is still in recoverymode. As such, more people continue to rent than buy and manyrenters prefer to live close to a metropolitan area,” GidiCohen, founder and CEO of CGI Strategies,tells GlobeSt.com. “Many current renters were once homeownersaffected by the Recession and these discerning tenants are used toa certain neighborhood lifestyle that exists beyond apartmentwalls. Getting to know their neighbors, enjoying a neighborhoodpark, cafe or movie theatre are all vital parts of suburban life.Where multifamily developments were once nothing more than isolatedapartments, today they are seen as vertical neighborhoods, bringingsuburbia to the city.”

Millennials are one of the largest segments of renters for thisproduct. This demographic lived through the recession and hasgravitated toward rental housing and smaller living spaces. As aresult, the merger of hospitality and multifamily and become a newnormal for the asset class. “Developers who understand this shiftin real estate consumer psychology are adding hospitality featuresinto their development plans from day one,” says Cohen. “These caninclude partnering with third-party vendors, re-inventing onsiteamenities, and hosting events and activities that bring residentstogether for a common goal.”