Updated: Mar 7
Being an owner and operator of thousands of multifamily doors, I can tell you that multifamily has always been a competitive space, and with the impact of the pandemic the heat has certainly been turned up. My company, Blue Lake Capital, focuses on Class B properties in Texas, Florida, and Georgia and our go-to strategy is what’s known as value-add. This means we secure the properties and identify steps we can implement to drive up the overall profitability of the investment by either increasing income, reducing expenses, or both. Now, an obvious key to this is, of course, tenants and occupancy.
One unique challenge for attracting tenants is amenities, and these are now even more important, as COVID has significantly increased the number of people working remotely and spending more time in their homes than ever before. With the impact of COVID some amenities, which earlier in the year were considered innovative and a powerful value-add for tenants, have been forced to adapt. What were these leading amenities and how have they now adapted to the impacts of COVID and social distancing?
Here are the top 7 innovative adaptations of multifamily amenities due to COVID:
7. High-speed Broadband Internet
Due to the pandemic, access to high-speed broadband internet is a top demand and expectation of tenants. The need for reliable internet services, rather for remote work or remote schooling, is now more critical than ever before. There have been many reports of the lack of reliable internet access causing tremendous difficulties for those in rural communities, to the point that this is now escalating to a legislative level. In turn, this drives tenants to re-locate, even in the middle of a pandemic. Prior to COVID, this amenity was a luxury. Now, it’s an absolute demand.
6. Dedicated Workspaces - Nooks
While shared working spaces became increasingly popular in 2019 and into 2020, COVID shifted the trend. Pre-COVID shared workspaces were all the rage; however, post-COVID, spaces like this now represent too great a risk. Instead, one of the features more and more tenants are attracted to are “nooks”, which can be used as dedicated workplaces within their homes. Being that an increasing number of people are now, and for the foreseeable future, working remotely, nooks are becoming a coveted feature in apartment layouts.
5. Extensive Outdoor Amenities