Duncan was one of about 100 multifamily finance professionals who responded to Apartment Finance Today’s annual CFO Survey.
“I think we’re keeping our eye on certain markets as the supply really starts to deliver into the market during the second half of this year and how that will impact our traction to raise rents,” he said.
Build, Buy and Operate
And as job growth and optimism grow across the nation, demand will absorb the apartments in the current pipeline. “It may not be as robust though as over the last 18 months,” Duncan said.
As demand grows, competition to attract and retain tenants grow fierce in booming markets. Creative solutions to offer something extra, while boosting net operating income, are being added to communities.
For instance, pets have been and will continue to bring money into owner’s pockets as grooming stations, dog parks and specialized fees are added to communities.
“Somewhere between 25 and 35 percent of our tenants have a pet,” Duncan said. “We think that’s something that they value.”
Managers are also exploring options for those residents who don’t have pets. That’s where free wifi and cell phone towers come into play alongside utilities being paid by the residents.