Building Community is Good for the Soul and the Bottom Line - Pete Kelly of Apartment Life
Photo by Aro Ha
The two biggest issues multifamily owners face are turnover and resident satisfaction. If a property is not at full occupancy, your bottom line takes a significant hit. How can you address both of these issues and create a community in your apartments that makes residents want to stay, even if the rents go up?
Pete Kelly is the CEO of Apartment Life, a faith-based nonprofit motivated by a commitment to building relationships and community. Apartment Life serves the multifamily industry, redefining the resident experience in order to increase retention, improve tenant satisfaction, and enhance the community’s online reputation.
Pete sits down with me to share his background in the nonprofit world, explaining the basics of Apartment Life as an organization. He discusses the research around loneliness and public health, customer engagement and brand loyalty, and the economic impact of the CARES Program. Pete offers the specifics of what the CARES and Workforce Housing teams do to engage residents and how the faith-based roots of the organization impact their mission. Listen in for Pete’s insight on building a community that is good for the human soul AND the bottom line.
KEY TAKEAWAYS
Pete’s background in the nonprofit world
24 years with organization serving young people
Two years as CEO of Apartment Life
The fundamentals of Apartment Life
Relationships good for soul AND bottom line
Friendships increase chances of staying
Team hosts events, creates ‘sticky community’
The research around loneliness and public health
26% more likely to die if feel lonely
As bad as smoking, obesity
The business research around connection and engagement
Emotionally connected customer 52% more valuable
Spend more money more often, loyal to brand
How friendships affect a resident’s willingness to stay
Seven friends in complex = twice as likely to renew
Neighbors themselves are amenity
The financial benefits of the CARES Program
$138K annual value to owner
3 renewals/month
What the Apartment Life teams do
Usually husband/wife team that lives on-site
Events to connect residents
Opportunities to care (e.g.: baby gift, ride to airport)
Visit tenants 90 days before lease renewal
Build positive online presence for community
The cost of the CARES Program for owners
Provide 2BR/2BA unit for CARES Team
Management fee of $650 to Apartment Life
Budget for events ($2/door)
Best for A/B Class properties, at least 250-units
The alternative Workforce Housing Program
Class C properties in lower income communities
Team lives off-site, paid hourly
Manages requirements for LIHTC
The faith-based element of Apartment Life
‘Love thy neighbor’
Recruit teams from local churches
Follow Fair Housing Act guidelines
The mission of Apartment Life
Dramatic impact on residents’ lives