I have seen a number of discussion group postings lately about ideas for the Halloween season – things to do for residents.  Being the contrarian that I am, please take a look at the scary idea I have for property teams during the season (actually year-round).  Sorry for the following!  My thoughts might be viewed as contrarian ideas, but the foundation of the points are backed up by findings from well over a million surveys residents have completed with us.  That said, here's a scary idea for Halloween season...

Did you know that the number one thing that negatively impacts renewal likelihood is the staff not promptly returning/responding to resident calls and emails?  Yes, it’s true – nothing negatively impacts retention more than this.  And the SatisFacts Index and other studies we have conducted show that there is great room for improvement in these areas.  Fortunately our clients’ scores have been consistently improving, which certainly has had a positive impact on reducing costly turnover.

Instead of having the office and leasing staff spend a bunch of time planning Halloween parties and events, why don't you have leasing staffs freak out residents and prospects…and return their calls and emails the same day?  And write eerily detailed work orders so techs can go to a unit with the right tools and parts the first time, and get the work done fast and right the first time?

Messing with you a bit here, of course, but I am trying to shake up things and get folks more focused on what really matters to residents and retention.  Good customer service is infinitely more important than any marketing fluff.

The goal is performance, not having fun.  Sorry to sound so harsh, but when banks are reviewing financials as a property’s loan is coming up for renewal - NOI alone, not social activities, drives asset values .  NOI is driven by reducing costly turnover and increasing leasing results.  Growing NOI can help erase a property being upside down due to increased cap rates.  All of this increases the ability to refinance or renew financing at a time when it is estimated that $11.5 billion in multifamily notes are in a distressed position.

The owner's goal is having the most apartments leased/occupied and maximum NOI - not making sure the leasing staff is having fun planning events that have next to no impact on turnover or leasing.  Fluff is fine…only when caring customer service is consistently delivered.

Hey, it not a “bah humbug” – nobody has better Halloween decorations than I do at my house (coffins, fog machines, strobe lights, skeletons, scary music, etc.) – but we must keep in mind that priority #1 is growing NOI and asset value for clients/owners.

How about this idea for fun?  Plan a celebration for the staff when you have improved the property’s performance over last year and made the owner/client even more satisfied by growing asset value!  This starts with making sure every resident and prospect request is taken care of promptly and properly the first time.

Now, that wasn’t scary was it?

Doug Miller - President, SatisFacts Research