The New Age of Multifamily: The property managers guide to the modern renter
Multifamily residences are increasing in popularity, as people young and old move from buying a home to renting. As the renters’ market grows, property managers compete to fill their vacancies. This is typically done by adding amenities that attract different clientele who will pay a premium for those specific amenities — for instance, a room to store a bicycle, a gym, or concierge services. Many amenities are an expense for building management, which is then passed on to the residents. This can turn multifamily buildings into “luxury” homes, places the middle classes can’t afford.
Below, we take a look at the modern multifamily market to understand who is renting, why parcel volumes are increasing at multifamily properties, and the all-inclusive amenity needed to provide convenience to residents while cutting costs and saving property managers' valuable time.
Who is renting?
The renter housing market has come roaring back in the US, with the number of renters increasing to a record 4.8 percent in the third quarter of 2021. Rental vacancies have also dropped, with renter households at 44 million in the third quarter of 2021, an increase of almost 900,000 from the first quarter of the same year. This means rental vacancies have decreased at a rate of 5.8 percent, the lowest it has been since the 1980s.
Following the pandemic, buying a home has become more competitive, which is the main reason for the increase in renters versus homeowners. In addition, renting gives more flexibility and convenience, as renters can have their pick of amenities and a choice of home locations to meet their changing needs. This is a desire felt not only by millennials or Gen Z, but also by empty-nesters and retirees.
Why are parcel volumes on the rise?
No matter where you live, the convenience of online shopping continues to rise. The U.S. Census Bureau reported that US retail e-commerce sales for the fourth quarter of 2021 were $218.5 billion, an increase of 1.7 percent from the third quarter of 2021. Total e-commerce sales were estimated at $870.8 billion, an increase of 14.2 percent from 2020. Given the increased desire for multifamily properties we know that many of those sales were delivered to lobbies and mailrooms, putting an unwelcome burden on staff.
In the article, Solving an Ongoing Management Issue: Unwrapping Package Management, Steve Boyack, Senior Managing Director at Greystar is quoted as saying, “Office management spent two to three minutes per package on handling time. When that’s multiplied times 200 per day, then factor in [a special promotion] like Amazon Prime Day—the property managers get crushed. Plus, about 40% of all packages go back. You have to add that volume in as well.”
What is the best solution to solve package build up?
To help mitigate increased parcel volumes, multifamily properties are turning to parcel lockers as they offer a cost-effective solution for building management, and a convenient, automated process for residents. In addition, parcel lockers can be used outside of package delivery and collection, for things like key distribution, document retrieval and collection, and to deliver property maintenance items between workers, employees, and residents.
Parcel Pending by Quadient and you
Parcel Pending by Quadient Lockers provide a seamless process for parcel management by removing constraints from high volumes of deliveries and returns, as well as by facilitating day-to-day property activities.
Contact us today to learn more on how a Parcel Pending Locker Solution will benefit your property.
Download a complimentary copy of our new ebook “Parcel Lockers: More Than an Amenity for Multifamily Residences” for an in-depth look at parcel lockers for multifamily properties.