Today’s renters expect more options when they rent. A list of 10 common amenities they want, as compiled by About.com, includes such extras as stainless steel appliances and off-street parking. But as an apartment owner, there is little to be gained by simply adding amenities – just to add them. These amenities must add to your bottom line by improving resident retention. But which amenities will pay off for you?
The most successful amenities are unique to your local market. For example, a luxury rental building owner in New York, realized renters wanted a shuttle service to drop them off at train and subway stations. By providing this free service, the complex was able to meet a need – stand out from their competition – and add to their bottom line.
Some renters want a place that enhances their overall lifestyle. In the Sun Sentinel article Perk package: Renters enjoy upscale amenities reporter Paul Owers notes:
Many retirees find that they’d rather rent than be tied down to a house, while homeowners hammered by the housing collapse either don’t want or can’t get a mortgage. Both groups are willing to pay a little more for an upscale experience not commonly associated with renting.
Apartment owners who have embraced the needs of this market have been successful with luxury items like dog parks, vegetable gardening space, wine-tasting events and high-quality exercise centers.
But, the goal of these property owners was the same as the New York property owner; give the consumer what they want. Owners in the upscale market capitalized on the fact that people were willing to pay more if the unit offered enough extra benefits and social interaction.
For a St. Paul Minnesota landlord it was much simpler – improve the community laundry room. This innovative owner spent $3,700 for a renovation that created a more home-like environment with its large-screen TV and granite folding counters. But the real money-maker in the renovation was a pair of programmable extra-capacity washers and dryers. These programmable machines allowed the owner to curb gas usage – and to pass the cost of increase gas usage (for hot water) to the individual using it – not the community as a whole.
We’re making more money using these four machines than we did when we had 12 machines in our old community laundry room,” says Robin Hall, Manager of Plaza Apartments.
The list of amenities you can offer is endless, but the profitable ones are those that appeal to your specific local market.
