Embracing the Personality of Residents

IRVINE, CA—Finding what makes residents unique is the key to creating truly distinct apartment communities, MVE + Partners principal Matt McLarand tells GlobeSt.com. We spoke exclusively with McLarand, along with Kevin Mulhern, SVP, investment properties, multifamily, for CBRE; Michael Weiser, president of GFI Realty Services LLC; John Dix, a principal in the Washington, DC, office of Trammell Crow Co.; Philip Martin, VP of market research at Waterton; Julie Johnson, SVP and director of management services at Draper and Kramer Inc.; Mitch Paskover, managing partner at Trion Properties; and Tim Lee, VP of corporate development and legal affairs for Olive Hill Group, about the types of amenities that distinguish one apartment building from another.

GlobeSt.com What types of amenities distinguish one apartment building from another?

McLarand: Before we start designing an apartment community, we first think about the potential residents and identify their needs. With this narrative in mind, we can create environments that fit the preferences and aspirations of the future residents.

Each development we design embraces the personality of its residents. For example, MVE designed the two Spring Street towers for Holland Partner Group, which are currently under construction in the Historic Core of Downtown LA. We developed unique identities for each tower that could appeal to various renters, while allowing residents the opportunity to enjoy shared amenities between the two buildings. The tower at 732 Spring St. is designed with a more energetic vibe, a club-like pool and engaging spaces for socializing. Meanwhile, the 755 Spring St. tower has a more temperate personality with outdoor living spaces designed for entertainment, and gardens and areas for meditation. Our overall goal for amenity design is to create places where residents can engage, socialize, relax and build communities.

Mulhern: Elaborate fitness centers that are like private clubs are still the number-one amenity. Also, having community Wi-Fi and many smaller spaces where people can gather in small groups is very important. Indoor/outdoor space with club rooms that open to the outdoors is also quite popular these days.

Weiser: In terms of attracting residents, the most important factor is creating the sorts of spaces that turn apartment buildings into communities.

Dix: The flight to quality has been a huge factor in apartment leasing. Shared amenities like community rooms, yoga studios, business centers, lounges, courtyards and pools are becoming an increasingly important factor when renters are choosing an apartment. For us, these amenities should accomplish a few things:

1. Meet or exceed the market. Amenities spaces should be areas where residents are enticed to use those spaces, be it through free Wi-Fi, large flat-screen TVs, bocce or cornhole, fire pits, printers and the like. To be competitive, we constantly take inventory of what's currently offered in the market, research what is and isn't working and try and fill any voids or gaps

2. Encourage community or interaction. Renters today don't punch in and out at 8 a.m. and 5 p.m.—instead, many of our renters are always plugged in and value a sense of community. Communal spaces with cappuccino machines and multiple large, flat-screen TVs and patios with grills and tables, outdoor games and rooftop pools with lounge seating can help foster a sense of togetherness and place.  Additionally, the ability to work from your home continues to be a major driver in the design of our common areas. This means more than just a click café, but meeting rooms, breakout work areas and technology provided to the same level one would have in an office.

How sleek, modern and technologically advanced (and nicely furnished) your building is will help distinguish it from a competitor's.

Martin: This can vary tremendously, certainly market by market, and greatly impact relative apartment rental-rate pricing. For apartment developers/owners, much thought should go into due diligence surrounding the demographic makeup of the market, unmet demand, competitive housing supply and so on, so as to not “over-” or “under-amenitize” an apartment community.

Amenities could relate to common areas or in-unit features and finishes. Common-area amenities include pools, health clubs, activity rooms/lounges, business centers, outdoor spaces/parks, and bike rooms, as well as pet services and stations, a doorman, concierge and security. “In-unit” amenities would include such things as washers/dryers, patios/balconies, high ceilings, appliance/flooring/cabinet options, etc.

Johnson: If you can dream it up, someone is probably installing it in a new apartment building right now. Outdoor spaces continue to be a priority, specifically rooftops with pool decks that also include deluxe outdoor kitchens, private cabanas, fire pits, green spaces and even pet areas. We recently renovated the outdoor pool deck at Grand Plaza, one of our rental buildings in Chicago's River North neighborhood, and included not only reservable cabanas and a grassy area for lounging, but also two grilling kitchens with bar seating for up to 15. The emphasis is really on creating areas for hosting friends as well as a great social atmosphere for residents.

Inside, renters continue to want spaces where they can gather and hang out, but there's also an emphasis on practical amenities. Package acceptance and delivery is one of the most important amenities to renters, thanks to the continued explosion in popularity of Amazon Prime and even fresh meal and grocery delivery services like Blue Apron, so apartment developers are continuing to look at ways to enhance this amenity service in new buildings. It's also been interesting to see that business centers remain very popular among residents, even though technology makes it easy for people to really work wherever they like.

What we find is that residents like the convenience of having somewhere to print and make copies without having to take up space for a printer in their apartment. Plus, for those who regularly work from home, a business center is a nice change of scenery and a chance to be around other people. That's why we tend to give our business centers more of an open, lounge feel rather than creating closed-off work spaces.

Paskover: Today's renters are demanding competitive amenity packages that cultivate a certain lifestyle or experience. A typical suburban apartment will have standard amenities such as a pool and gym, whereas urban-core multifamily communities will offer additional features such as a concierge service, grocery pick-up services, keyless access to units and Wi-Fi throughout the entire property, among others.

The key differentiator is the degree of technological integration. New buildings will often include keyless door entries, smart locks, and nest thermostats. For example, we integrate the latest in high-tech amenities that appeal to the Millennial demographic and even offer services such as Uber concessions and arcade games in the common areas. These additional products and services enhance the resident experience and ultimately add value to our properties.

Lee: Community spaces are more important than ever. As corporate offices have shifted towards open floorplans with more focus on communal spaces, we're seeing the same thing in multifamily amenities. While the finishes within each unit will always be a key selling point, we're seeing strong demand for community spaces and an engaged management team that serve as the social directors for the community.

The days of the building “super” being your nemesis has evolved to today where building management need to think themselves more as social directors than simply a maintenance function. When residents come home, they're no longer going straight into their apartments and locking the door. Now, they're eager to venture into the community spaces and engage with their fellow residents or host events. The social “culture” of a building is something that potential residents look at when they consider where to rent.

Steady gains in the US economy have resulted in net positives for the multifamily sector—will this wave continue for the foreseeable future? What's driving development and capital flows? Join us at RealShare Apartments on October 19 & 20 for impactful information from the leaders in the National multifamily space. Learn more.

IRVINE, CA—Finding what makes residents unique is the key to creating truly distinct apartment communities, MVE + Partners principal Matt McLarand tells GlobeSt.com. We spoke exclusively with McLarand, along with Kevin Mulhern, SVP, investment properties, multifamily, for CBRE; Michael Weiser, president of GFI Realty Services LLC; John Dix, a principal in the Washington, DC, office of Trammell Crow Co.; Philip Martin, VP of market research at Waterton; Julie Johnson, SVP and director of management services at Draper and Kramer Inc.; Mitch Paskover, managing partner at Trion Properties; and Tim Lee, VP of corporate development and legal affairs for Olive Hill Group, about the types of amenities that distinguish one apartment building from another.

GlobeSt.com What types of amenities distinguish one apartment building from another?

McLarand: Before we start designing an apartment community, we first think about the potential residents and identify their needs. With this narrative in mind, we can create environments that fit the preferences and aspirations of the future residents.

Each development we design embraces the personality of its residents. For example, MVE designed the two Spring Street towers for Holland Partner Group, which are currently under construction in the Historic Core of Downtown LA. We developed unique identities for each tower that could appeal to various renters, while allowing residents the opportunity to enjoy shared amenities between the two buildings. The tower at 732 Spring St. is designed with a more energetic vibe, a club-like pool and engaging spaces for socializing. Meanwhile, the 755 Spring St. tower has a more temperate personality with outdoor living spaces designed for entertainment, and gardens and areas for meditation. Our overall goal for amenity design is to create places where residents can engage, socialize, relax and build communities.

Mulhern: Elaborate fitness centers that are like private clubs are still the number-one amenity. Also, having community Wi-Fi and many smaller spaces where people can gather in small groups is very important. Indoor/outdoor space with club rooms that open to the outdoors is also quite popular these days.

Weiser: In terms of attracting residents, the most important factor is creating the sorts of spaces that turn apartment buildings into communities.

Dix: The flight to quality has been a huge factor in apartment leasing. Shared amenities like community rooms, yoga studios, business centers, lounges, courtyards and pools are becoming an increasingly important factor when renters are choosing an apartment. For us, these amenities should accomplish a few things:

1. Meet or exceed the market. Amenities spaces should be areas where residents are enticed to use those spaces, be it through free Wi-Fi, large flat-screen TVs, bocce or cornhole, fire pits, printers and the like. To be competitive, we constantly take inventory of what's currently offered in the market, research what is and isn't working and try and fill any voids or gaps

2. Encourage community or interaction. Renters today don't punch in and out at 8 a.m. and 5 p.m.—instead, many of our renters are always plugged in and value a sense of community. Communal spaces with cappuccino machines and multiple large, flat-screen TVs and patios with grills and tables, outdoor games and rooftop pools with lounge seating can help foster a sense of togetherness and place.  Additionally, the ability to work from your home continues to be a major driver in the design of our common areas. This means more than just a click café, but meeting rooms, breakout work areas and technology provided to the same level one would have in an office.

How sleek, modern and technologically advanced (and nicely furnished) your building is will help distinguish it from a competitor's.

Martin: This can vary tremendously, certainly market by market, and greatly impact relative apartment rental-rate pricing. For apartment developers/owners, much thought should go into due diligence surrounding the demographic makeup of the market, unmet demand, competitive housing supply and so on, so as to not “over-” or “under-amenitize” an apartment community.

Amenities could relate to common areas or in-unit features and finishes. Common-area amenities include pools, health clubs, activity rooms/lounges, business centers, outdoor spaces/parks, and bike rooms, as well as pet services and stations, a doorman, concierge and security. “In-unit” amenities would include such things as washers/dryers, patios/balconies, high ceilings, appliance/flooring/cabinet options, etc.

Johnson: If you can dream it up, someone is probably installing it in a new apartment building right now. Outdoor spaces continue to be a priority, specifically rooftops with pool decks that also include deluxe outdoor kitchens, private cabanas, fire pits, green spaces and even pet areas. We recently renovated the outdoor pool deck at Grand Plaza, one of our rental buildings in Chicago's River North neighborhood, and included not only reservable cabanas and a grassy area for lounging, but also two grilling kitchens with bar seating for up to 15. The emphasis is really on creating areas for hosting friends as well as a great social atmosphere for residents.

Inside, renters continue to want spaces where they can gather and hang out, but there's also an emphasis on practical amenities. Package acceptance and delivery is one of the most important amenities to renters, thanks to the continued explosion in popularity of Amazon Prime and even fresh meal and grocery delivery services like Blue Apron, so apartment developers are continuing to look at ways to enhance this amenity service in new buildings. It's also been interesting to see that business centers remain very popular among residents, even though technology makes it easy for people to really work wherever they like.

What we find is that residents like the convenience of having somewhere to print and make copies without having to take up space for a printer in their apartment. Plus, for those who regularly work from home, a business center is a nice change of scenery and a chance to be around other people. That's why we tend to give our business centers more of an open, lounge feel rather than creating closed-off work spaces.

Paskover: Today's renters are demanding competitive amenity packages that cultivate a certain lifestyle or experience. A typical suburban apartment will have standard amenities such as a pool and gym, whereas urban-core multifamily communities will offer additional features such as a concierge service, grocery pick-up services, keyless access to units and Wi-Fi throughout the entire property, among others.

The key differentiator is the degree of technological integration. New buildings will often include keyless door entries, smart locks, and nest thermostats. For example, we integrate the latest in high-tech amenities that appeal to the Millennial demographic and even offer services such as Uber concessions and arcade games in the common areas. These additional products and services enhance the resident experience and ultimately add value to our properties.

Lee: Community spaces are more important than ever. As corporate offices have shifted towards open floorplans with more focus on communal spaces, we're seeing the same thing in multifamily amenities. While the finishes within each unit will always be a key selling point, we're seeing strong demand for community spaces and an engaged management team that serve as the social directors for the community.

The days of the building “super” being your nemesis has evolved to today where building management need to think themselves more as social directors than simply a maintenance function. When residents come home, they're no longer going straight into their apartments and locking the door. Now, they're eager to venture into the community spaces and engage with their fellow residents or host events. The social “culture” of a building is something that potential residents look at when they consider where to rent.

Steady gains in the US economy have resulted in net positives for the multifamily sector—will this wave continue for the foreseeable future? What's driving development and capital flows? Join us at RealShare Apartments on October 19 & 20 for impactful information from the leaders in the National multifamily space. Learn more.