Multifamily Success

Have we lost the customer in customer service?

2022-06-18T16:35:00.004-04:00

When I opened my company back up after retiring to return to speaking and training, it was very evident the changes in how we deal with and interact with our residents and customers has been altered significantly. The day of calling a property or company and getting a real live human being are long gone. While some of this has been a gradual change over the years, some of it has also been related to COVID and other excuses, which has in some cases forced us to revert to technology rather than human contact.

Now I’ve been in the industry for more than a couple of decades and have witnessed us going from answering machines and ledger cards to everything being technology driven. Some say this is for the good, while I know having talked to the real humans out there and reviewing comments, reviews, and ratings, the customer or residents for the most part are not happy. This includes those that totally depend on technology being frustrated with their inability to go back to the basics of communicating and a desire for real customer service. People are now being lost in the internet or trapped in a circle of “press this if you want that,” scenarios without any real human interaction.

When I made the decision to go back to doing workshops, seminars, and keynotes, I first made a commitment to build an extensive database of not just associations (both state and local), but also of management companies of all sizes and locations. Let me say, it has been both labor intensive and eye opening. While I have hundreds of contacts in the business through experience, LinkedIn, IREM, NAA, Facebook, and other platforms, I knew there were hundreds and maybe more than a thousand resource contacts out there that were going to take some detective work; and in my case, using some of my military intelligence skills to drill down and tap into and find these resources. This is where my frustration came into light and discovering the frustrations of our residents and even prospects came into play.

I started by using platforms such as Apartments.com to discover not just the primary and larger property management companies, but also wanted to tap into the smaller and mid-size companies that may not have a large training and employee enrichment program and department. I then visited their web sites to identify key contacts, corporate office locations, phone numbers, and the number of apartments and communities if that was available. This is the first trend I was seeing where some management companies did not even have a phone number where someone could contact them on their web site or listed their corporate office physical address. It raised the question, why would they not want that available to the public and what were they afraid of by not disclosing this information. I also found “contact” pages where you could not ask a general question or request a contact, with the only option being to put a property you were interested in could not move forward. There were many sites where unless you were a resident with an apartment number as reference, you were stuck in perpetuity, unable to go any further. I also found that a vast majority of property management companies who had phone numbers listed were on an automated system and you couldn’t even press “0,” to get a human because it circled you back to the original message of pressing numbers or if only you knew the extension of of the person you were calling could you get to the next level. My first statistic was how many companies had a number to press for a dial by name directory, only to find out it was not set up or didn’t work. I found that 57.6% of companies with a dial by name directory didn’t work and took me back to the original message. It reminded me of a video game that unless you eliminated all the adversaries in the game, only then could you get to the next level and if you could not, sorry you were stuck. This raised my desire to look at reviews and ratings on various platforms from Google to Apartmentratings.com and others, to see if residents or others were frustrated and confused by the lack of ability to communicate with someone “up the ladder,” so to speak. What I found was again not only eye opening, but disturbing. I started taking statistics when this pattern emerged and out of 275 management companies contacted, only 11.3% were you able to talk to a human being. This equates to 244 companies out of the 275 where a living, breathing human was involved. It used to be if you pressed zero, you at least got a receptionist or someone to answer the phone. In 87.1% of the cases where I pressed zero, it circled you back to the original message and the endless circle of frustration. WTH?

Postings of reviews from residents on various platforms were showing the same frustration with hundreds and hundreds of notations saying they had the same experience, and comments were emerging from residents saying such things as, “Can’t wait for my lease to expire because you can never get anyone in the corporate or regional offices.” Google searches through BBB and Dunn and Bradstreet listings did result in some numbers, with quite a few of them being older numbers that were disconnected or rang with no one ever answering. I had one company that I was bound and determined to get a corporate contact because if was apparent, they could use someone’s help with resident and guest service. On multiple sites there were reviews and ratings where both residents and guests were frustrated and could not get past the site personnel who would not even give them a phone number at the corporate office. Several times I read, “they were informed not to give it out.” AYSM, is an acronym you can figure out for yourself. As I said, I was determined with this one company. No phone number, no contact page on their web site, nothing and a company that had as they stated 22 communities. I decided to call one of their properties here in Florida and you guessed it, a human did not answer the phone. It did give me the option of leaving a cell number for a return text message (yes, that was how they stated it), or a phone number if I preferred a call or didn’t do text messaging. I clearly stated in the voicemail I was looking for their corporate contact information and why. I chose the latter and waited for the call. About an hour later I get a text message (not what I asked for) asking what size apartment I was inquiring about. Apparently, they didn’t listen to the voice mail or maybe chose to ignore it, because I was very clear as to why I was calling. I did the call again and one more time requested a call and not a text and got the same result (Stupidity is doing the same thing over and over and expecting a different result). This time when the response came back a text message I replied asking if they could please call me. Two days later, I finally get a call and she asked what size apartment I was interested in. Again, maybe you should listen to your voice mail and not just calling someone back. Anyway, I told her I did speaking and training in the apartment industry and asked if she could give me the corporate office phone number. Her response was and I quote, “Can I ask what for?” I repeated myself as to what I did and for a second time asked her for her corporate office number. She replied, “I’m sorry I don’t have that.” I asked, “you’re telling me as the manager of a property you don’t have the number to your corporate office.” She said, “It’s not that I don’t have it (ok you just lied to me), I’m not allowed to give it to you.” You can’t make this stuff up. I then had to reply, “so if I’m a resident and not happy and want to speak to a regional or someone in your corporate office you would not give it to me?” Her response was classic. “In that case I would be happy to relay your message to someone and they would review and call you back if they needed to.” I had to write it down because I was flabbergasted in what I was hearing. On a side note, their rating on of the main review sites was 1.3%. Out of 22 local sites I called for a corporate office number, only 53% of them would give me the number. Again, what are they afraid of?

More trends started showing up when I called corporate numbers (mostly large and a few not large national companies). First, if you were able to leave a message only 6.3% of those companies returned my phone call. At least have the courtesy to call me back and say you’re not interested or thanks for contacting us. Out of the 275 companies I researched on the web, 37% of them didn’t have a “leadership,” tab, and of those that did have one only 38.9% listed other than the president, owners, and top executives and not the boots on the ground type people. Of those that had other than top level executives listed, only 4.6% of those people had an email associated with the person’s picture and bio or a way to send them a message. In researching reviews, I also witnessed “canned” responses from companies and properties not to mention the lack of a response in many cases for both favorable or unfavorable reviews. We complain about negative reviews; however, either don’t know how to or are afraid to rebut or respond leaving those that do their homework on finding a new home asking the question, “Do they really care?”

Call me old fashioned, but I still believe our residents and prospects want human contact and human service, and not artificial intelligence or artificial communication as I call it. This is very apparent in the hundreds and hundreds of reviews and rating comments I witnessed on the various platforms. When COVID hit, I know staffing suddenly was a challenge and it was easier to go to technology than to pay someone to actually answer calls and review messages and emails in detail. I get it that this industry like many were struggling to keep staff because the government was paying them more in unemployment and extra benefits than they were making at work. I understand our industry has evolved and will continue to do so in the future. We went from physical showings to virtual presentations and processes, and the excuse was a virus caused the change; however, I also heard so many of us wanting to return to some sort of “normalcy.” I’m just not sure this new normal is providing the service our residents really want.

You can’t go to McDonalds now and order from a human who might smile and thank you for their order, and are forced in many cases to use a “kiosk,” to place an order. Good luck if you want a special order such as a Big Mac with not middle bun, because there is no where on their system to put it. Basically, you are left to stopping an associate and telling them before they make it or just removing it when you get your sandwich. Try calling customer service at Amazon or any of the hundreds of other companies, or even just finding their phone number and having to resort to submitting a ticket online for help. I had done some traveling recently and decided to visit some apartment communities in the multiple markets and found some properties that don’t show apartments unless you have an appointment. YHGTBKM (yes, figure that one out). I walked into one property where there were no prospects in the office and two associates sitting behind their desk not engaged in other activities and I was informed unless I had an appointment through their web site, they were not allowed to show me an apartment. And by the way, neither of them got up from their desk or came around from the barrier they were behind to welcome me or make me feel welcome. Is this a reflection of the new normal? Is this where I industry is going? Is this how we want our residents to feel that there is no one who cares or no one else they can turn to for help? I hope not.

We are in a very vulnerable position right now with rents raising by double digits and our resident’s income is not increasing at the same rate. We are in a very vulnerable position where home interest rates having been recently raised (largest since the 1980’s as recently reported) causing two conditions. First our owner’s ability to borrow just changed and the NOI and cap rates are going to require even further increases when our residents are having a hard time as it is to meet an owner’s expected return. Home prices have skyrocketed and the average person now can’t afford to buy a home, and can’t afford the rents being asked in many markets. There are only two practical results that are possible and that is our residents will have to alter their lifestyle and go to a lower-level grade apartment where the inventory is not going to change in the near future and the demands will increase, or get a second job so they can afford the lifestyle they desire and have worked for. We are at the tip of a double-edged sword and only those with exceptional resident and guest service will survive because that is the one thing that will at least give them some sense of hope and that we care. We focus on leases when we should be focusing on retention. We give bonuses base on leases, when we should be giving bigger bonuses for retention. We should be focusing on people and not technology (both staff and residents/prospects), because until we are leasing to robots, it all boils down to the human experience and not the ability to use a mouse or a cell phone because it also boils down to how we make people feel. That my friends, will never change.

I continue my research for my contact list I will continue to monitor the statistics; however, don’t expect them to reflect any improvement for our residents and guests. I am afraid not for what I have found, but where we are inevitably going. To an industry that is following technology, and not following what our residents and guest really want.

FOLLOW UP - August 2023

The statistics continue to show decline and I almost get the feeling customer service is lost forever. The return call percentage for my inquiries has dropped to 4.9% as did the other areas such as dial by name directories and calling to only be trapped in an endless circle of press this or press that but never getting a real human being. As I look further, it appears as though we are not teaching conflict resolution (which may be a reason you can't reach anyone) to our team members, and basic resident services skills are in a tailspin. So, I contact a company in Tennessee I had been in direct contact a few months ago who said they were in the planning stages to do a company conference and wanted me to present. I attempt to call the corporate number. The person that answered kept asking me what property I was interested in, and I repeated three times I was attempting to contact the main office. Finally, the person said she was not allowed to give the number out. If this is how we are treating residents today or even someone like myself just trying to get a contact person, lord help us. Again, what do these companies have to be afraid of? Are they afraid they might have to talk to a disgruntled resident and because they haven't been trained in conflict resolution it's just easier to make it impossible for someone to reach them?

New Web Site

2022-06-03T22:54:00.005-04:00

My new web site is finally done and even has an audio of one of my NAA presentations I gave on leadership in it. So far retirement has allowed me to complete some honey-due items, and also allowed me to two other things. First, it has provided the time to build a database of contacts in both the apartment industry and the fair and festival industry. What you may not know is that in addition to over 30 years in property management, I have spent the last four years working as the GM for the Osceola County Fair here in Florida. What an exciting new chapter in my life as I managed one of the largest and most successful fairs in the state of Florida. I finished the fair in February 2022 before announcing my retirement, ending on a high note. The fair this year had the highest gate admission revenue and highest carnival revenue for the nonprofit I was running in the 78-year history of the fair. Pretty cool accomplishment and during the last four plus years I have met and become friends with so many wonderful people. Second thing is I now have two industries to service and expand helping others exceed and excel, which is something I have always had a passion for. Being in the fair and festival industry allowed me to present for state associations, and also as a keynote speaker for the International Association of Fairs and Events.

So now as I enter the next chapter in life, I have found new excitement. I return to doing workshops, seminars, and keynotes in the multi-family industry which in my heart I never left and continued to do even as a fair manager, and I have found a new path to travel in the fair industry. Another bonus is, I am able to continue my writing with my fourth novel in the works and a fifth one planned. So, did I really retire? Probably never will and as long as the good Lord allows me, keep moving forward. Reminds me of a book by Charlie Mackesy called "The Boy, the Mole, the Fox, and the Horse and a very relevant quote from it:

I can't see a way through," said the boy.

"Can you see your next step?"

"Yes."

"Just take that," said the horse.

www.wizardryenterprises.com

Retired?...Not.

2022-05-24T11:33:00.003-04:00

As many of you know I have retired from facility and property management and reopened my company called Wizardry Enterprises to continue speaking and training. As my wife says, I'll never fully retire.

My passion for sharing information has always been strong, and I have been so blessed to have the opportunity in helping others excel and exceed over the last 30 years. Even though I have worked with Fortune 500 companies, my primary industries have of course been property management and the fair and facility industry. This has allowed me to speak with organizations such as the National Apartment Association as well as the International Association of Fairs Expositions, having presented for their national conferences and state affiliates. We are finishing up the new web site but for now have a temporary one at https://wizardryenterprises.godaddysites.com.

With new opportunities comes new adventures and I am looking forward to this next one in my life.

Larry

Fateful Voyage is complete and available

2020-08-09T12:59:00.003-04:00

I am so glad book three is done and released. For anyone that is an author, you know the feeling when on that final page you type, "The End." So far sales are going great and hope you enjoy. Please, make sure you write a review after reading.

THE LATEST CHAPTER IN THE WIZARD SERIES JUST RELEASED IN EBOOK AND PAPERBACK

WIZARD – FATEFUL VOYAGE

Here’s what’s been said about the Wizard series:

“AS A FORMER MAGICIAN, I’VE ALWAYS WANTED TO INCLUDE MAGIC IN A STORY. THIS ONE DOES, BIG TIME, PACKED WITH PLENTY OF MENACE AND PERIL, DELIVERING EXACTLY WHAT THRILLER READERS CRAVE.” Steve Berry – NY Times Best Selling Author

“Hard to stop reading once I got into it. Really enjoyable.”

“Magic and illusion save the day again.”

“His commitment to entertaining the reader shows throughout.”

“Would recommend to anyone seeking a fun read.”

“If you like suspense, thrillers, espionage, and spies, you’ll love this series.”

https://www.amazon.com/dp/B08DN9RN1J

Jonathan Barrow is a world-renowned illusionist; however, he holds another secret only known by the President and a few within the Pentagon. Under the President’s Book of Secrets, he follows in the footsteps of other well-known magicians filling the role for decades beginning with Harry Houdini. His code name, Wizard. Fateful Voyage takes the MAGIC team on a mission they never intended to undertake. This next chapter in the Wizard series will lead them on a high seas voyage of intrigue and danger. Organized crime in Venezuela controls most of the country including the government. A crime lord within the country intends on pirating the newest and largest cruise liner in the American fleet, which is scheduled to set sail on its inaugural cruse with a newly formed company called Royal American. This voyage is loaded with celebrities, dignitaries, government officials, actors and actresses, and some of the most influential and wealthiest people in the world. Their goal, take over the massive ship, rob it of the casino cash and guest valuables, then hold the passengers for ransom which could be in the billions. Hired mercenaries, members of the Venezuelan mafia, and electronics experts have what they believe is a foolproof plan. Their goal, to take control of the ship including; getting onboard stinger missile batteries and other sophisticated weapons to make their efforts pay off bigtime. Having the high-end guest list held as hostages and a significant weapons cache onboard, their actions are expected to prevent retaliation or action by the United States military. Jonathan was hired as the entertainment for the Magic of the Seas maiden voyage, and as a reward for previous successful missions Jonathan has invited his team to join him onboard for a relaxing and fun filled excursion. Little do they know; the cruise is about to steer on a course that could end in tragedy. On the other hand, the crime lords have no idea the MAGIC team is onboard, which could totally disrupt their plans if they're successful. The exciting and harrowing ending leads to discoveries about Jonathan, and what real magic he may possess.

Thinking Out Of The Box

2020-05-22T00:32:00.001-04:00

With what has happened over the last few months, creativity is key in resident retention, leasing, and in keeping your staff motivated. Who would have thought this virus would basically stop the world from turning and our country and the apartment industry on its head? Job losses, furloughs (which is basically a temporary job loss), and creating situations which have impacted our teams have complicated operations and how we do business. Virtual apartment showings, dealing with higher delinquency because millions are on unemployment, social distancing, and so much more have created an environment where thinking outside the box is not only prudent, but necessary.

Many of us went through the downturn in 2008 and 2009, and that that was bad. We're now in a situation where it's not economic based; however, it is. We are now faced with challenges we think that are out of our control; however, in some ways they are. This is where creativity meets results or lack of it meets failure. I recently responded to a posting by a property manager who said prospects would only do in person viewings when her company would not allow them. I suggested issuing a satisfaction guarantee, but only if she was confident in her product and her property. She indicated her company was not interested in that after she approached them and her regional said that was a "not financially good idea." I simply shook my head after getting her response thinking closed minded approaches can lead to closed or empty properties.

We cannot be afraid to think outside the box, nor should we be afraid to throw everything on the wall and see what sticks as I like to say. These are challenging and unique times, and for that it demands different and unique approaches to get us through these times. I say don't just think outside of the box, but be prepared to build a new one.

Good luck,

Larry

Changing Leadership Principles

2018-11-11T11:16:00.002-05:00

I was recently interviewed regarding leadership and how it has changed in the last 20 years. Remember the word spider, I’ll explain later. The changes we have seen over the past two generations and have complicated three environments related to leadership and those being the Home, Work, and The Social environments.

We start with the home. So, I’m at thanksgiving dinner around a table of twelve and I see my nephew glancing down occasionally with the random snicker and look up at his sister across the table. She would do the same and realized they are communicated with cryptic messages to a satellite a few hundred miles in space and then back down to earth when they are only four feet away. Social skills are now in tweets and IM’s, and it is getting worse and also transfers to the other environments. Kids spend so much time with a game controller in their hand, which at the touch of a button resets the circumstances and gives them an extra life. I hate to shock these generation but in the real world there are no reset buttons or extra lives. Kids today expect everything right now including their food within minutes of making the call but fail to realize relationships both business and personal take time, effort and real communication and friendship is not an event it is a process. Look at the average of 5-7 hours both before work and after work which used to be called family time. How many can say they are involved with an electronic device rather than thoughtful and constructive communication during that short time together. No, learning Klingon while watching Star Trek is not constructive or meaningful in the real world.

Discipline has been thrown out the window, and God forbid you spank your child for acting like an ass in a public location because within minutes the video will be on Youtube if you give the well-deserved subject a tap on the bottom, as you will be labeled and subject to child cruelty. In my day, if you called the cops because your dad took a switch to you, they would ask if you learned anything. You came home from school, did your homework, went out to play before dinner, had dinner with your entire family and there were no electronic devices or complaints unless mom served broccoli as I hated the stuff, then went back out until dark. And now you have 26 year olds still living in their parents basements, coming home to seclude themselves in the room chatting and playing video games, texting with their friends while sitting on a couch rubbing their fuzzy comfort animal to feel good about life. We have generations failing who lack the social and motivational tools to be productive in society and we wonder why the suicide rate is so high. The they go on the occasional date with a group rather than someone because of the “pack” environment which has been created, sporting the dog or cat hair on their clothing from previously mentioned comfort animal and wonder why they only have 2-3 really good friends. And when they do go out they are threatened with the possibility they could miss the tweet of the century, only to ignore others and constantly check to make sure you have not been unfriended by someone in your social heirachy. And the clincher, everyone gets a reward for participating but God forbid there only is a 1^st and 2^nd place trophy because it will tramatize them to where they need a comfort animal or special food. Sorry people, but in life and business there are no participation awards only winners and losers. Promotions and opportunities are earned, not deserved because you feel they should be. “I just don’t understand why I didn’t get the VP position. I deserved it as an up and coming employee.” “Well, Bob who got the position has closed several contracts and you have not. He has been with the company for 10 years and you have been here three months.” “I can’t believe you said that. My feelings are hurt and you have no right to criticize me. I think I need the rest of the day off and some hot coco.” “Well, you go ahead and take the rest of the day. Come to think of it, why don’t you take forever off as we don’t need that kind of attitude.” “You can’t fire me, I’ll sue you.” “Fine, have your attorney contact our attorney, Hell, Freeze, and Over.”

The home environment has changed and impacted the work environment, which is the second spider in the equation. My first job at 14 was working on a rabbit farm, and you can guess what I cleaned up for 75 cents an hour and was glad to get it. Wages have increased in the last ten years more than the previous 30 together combined and these entitled people are not happy with it. Now, someone gets upset they retaliate with a gun and shoot up an office. When I grew up many of us in the winter had a shotgun in our vehicle and hunted after school. We all carried knives and no one got shot or was stabbed. Today if you walk into a school with a baseball bat you have to lock it up in the school safe instead of being able to take it in the classroom because it’s not a sports item, it’s a weapon. People work from home, missing the interaction with others. They hold video meetings to earn your business dressed in a shirt and tie, but because of the camera view you don’t seem them in their underwear. In 1984 the first cell phone was released and were called the “brick.” If you ever saw or had one of these you understand and they weighed over two pounds. It cost $3,900 and had a talk time of 30-40 minutes. With today’s phones and cameras, these younger generations fail to realize that lude photo you took at a frat party in college now can be found on the web by a potential employer.

Which takes us to the next spider on the web being the social environment, which has connections to the other two environments being work and home. Now you can see why I mentioned the word spider because each of these is cross connected with the others on the web of life,. If you dislike someone there probably was no direct personal interaction outside of social media and it’s easier to just unfriend them, even though you have known them for years and don’t want the possible controversy associated with whatever it is. Violence and destruction and protesting is not the answer. Mix in politics and you have what I call the circle of strife versus the circle of life. Webster’s definition of strife is the bitter disagreement over fundamental issues. Sound familiar? When did it change the individual rights of some to enjoy a meal or go shopping should include shouting and cursing of others in a public setting and believes their rights are more important than someone’s else’s and condemning what a person does rather than who the person is. Try at work saying no person can use their cell phone during work time or be on Facebook/Twitter, realizing you are there to work not for the entertainment within your social life. Lord forbid you did that as you might traumatize an employee who now needs additional comfort time because their behavior was unacceptable and it couldn’t be their fault because they have been taught there are no winners or losers, just participants. They will tell you this is not fair and you have hurt their feelings and they have to bring their comfort animal to work with them in order to cope with the hostile work environment. Get a life people. This is business and there are no rewinds or comfort foods, no participation trophies or someone else to blame. Because of the work and home environment changes, social environments have changed and we speak in metaphors, GIF’s, and symbols and bits of information instead of a full dialog. Today you may be someone’s mother but you may be downgraded from BFF for someone else because you took their phone away when they were not doing what they should have been doing. It’s more important to be liked on social media, as that status is more about what how people “feel”, than who you are. Get over it cupcakes, your feelings will not bring you great success or happiness in the end. Who you "choose" to associate with becomes you. Who you choose associate with can dictate your life. And last and most important, who you choose as friends and associate with limits your perspective on life as being liked become more important than being you. You can pick your nose and you can pick your friends. Both can lead to unsanitary life conditions you allow to be created.

I am positive some reading this who are in or on the cusp of some of the younger generations are at this time unfriending me or cursing me out because how dare I challenge their generation to bring back values such as respect, earning what you get, contributing to society instead of making up your own society, telling them their feelings are irrelevant, or calling them out for who they are and how they act. If that’s the case, I have made my point and so be it. Everyone of these environments (spiders) is inter-webbed with the others. Everything is connected between these three environments and the exponent of 3 is 27 meaning there are 27 different interconnections. Leadership has changed, but the core principals of effective leadership have been successful for generations until recently. Now we face generations who demand or feel they deserve a different approach, just because they “feel” they are different. Once again, hate to shock them but you’re not special, your feelings are not in play, and a comfort hedgehog will not replace personal interaction and make the world better for you as we are all the same….people in an ever changing world.

Workshops for 2019

2018-10-12T12:14:00.001-04:00

Really excited about the lineup for 2019 and the workshops I am presenting. Seems I have received quite a few inquiries regarding my emergency preparedness workshop in light of the recent hurricane to hit the southeast. Had one company say, "We should have contacted you months ago." Just remember disaster doesn't have to be in the event of a hurricane but can be a winter storm, summer storm, tornado, fire, flood, or even that major crime event that makes the news.

Please contact me regarding how I can assist you with your education and training needs, or maybe just that keynote for your corporate conference (or both).

LEADERSHIP – FINDING THE LEADER IN YOU

Everything boils down to leadership, period end. Leadership is not a born trait, but one learned and many times governed by those that have led us as well as those we emulate. This workshop helps others find the leader in them, identify key leadership characteristics of success, and discover leadership is not a title with anyone having the ability to act as a leader. Learn what your leadership style is and what it means through this interactive and participative workshop. This award-winning presentation will provide leadership development tools and provide key aspects of leadership skills I learned at Disney.

HOW TO SELL A BUDGET

Budgets can be intimidating as can the financial reporting that goes along with it. Truth is, it doesn’t have to be this scary process managers dread. Revealed will be tips and tricks to take the fear out of budget time which also will develop skills associated with monthly analysis of financials and reporting. Included are templates to assist in the budget process, as well as critical techniques and tools to provide a more confident a approach and take fear and intimidation out of the equation so you get a better budget which can be sold.

EXPECT THE UNEXPECTED – EMERGENCY PREPAREDNESS

Disasters can occur at any time and in many shapes. Tornado’s, floods, winter and summer storms, hurricanes, fire, earthquake, are just a few events which can have an impact on a property manager, owner, and company. How will you or your team handle an emergency and are they ready for the unexpected. This workshop provides the templates and knowledge to be prepared when the unexpected hits and guides the attendees in formulating a plan for preparedness.

MAINTENANCE FOR MANAGERS – New for 2019

This workshop was developed with the intent of informing and educating not just managers, but your entire support team. Service is such a critical part of the success of any site. Having a better understanding of the service side of the business benefits your employees in gaining a better perspective of the services maintenance performs, preparing them for the next level of advancement with a higher knowledge base, and reinforcing what they must do in support to the overall service mission. Studies still show the biggest reason residents leave is because of lack of or poor service, not their rent. What are you doing to maximize resident retention and in support of your service teams when it relates to maintenance?

EXCITEMENT TO CREATE EXCELLENCE – A Magical Experience

Created and designed to cover two key areas which are critical to improving NOI. The first area deals with our employees and team members, who are the foundation to your organizations success. What can we do regarding training, communication, and creating inspiration that makes them want to do their job not because they have to…but because they want to? How do we create excitement in the workplace so it inspires excellence? Second, what can we do to create excellence for our residents so the last thing on their mind is giving you a notice to vacate? What do your residents really want when it comes to amenities, activities, communication, and feeling they are part of a community? How do we create excellence while dealing with things like rent collection, lease enforcement, the renewal process, and service? How can excellence through excitement be transferred to your brand identity, marketing, and reputation within your market?

*LET US CUSTOMIZE A MESSAGE FOR YOUR CONFERENCE OR EVENT

New Processes - Old Principles

2018-09-26T11:47:00.004-04:00

The property management industry has changed in so many ways over the years, yet some things have not. Rent optimizer systems now tell us what we should be charging for rent and renewals, marketing algorithms direct what is happening with our advertising and how productive they are, computers have replaced ledger cards, maintenance techs get new service requests in the field versus coming in the office to see what their next task is, residents no longer use a key to access their community or their home, print publications have all but gone the way of the dinosaur, and communication with residents and prospects is now only a tweet or mouse click away and takes seconds for updates to reach millions.

What we think of as processes making our business easier, has in fact made it substantially more complicated and in some aspects scary. Here are a few examples:

In days gone by we printed newsletters and delivered them in nice plastic bags on every apartment door. This process was time consuming in developing the medium, folding it, placing it in the bags, and of course taking the time and manpower to deliver. Today we can use a template with populated information and post the information on our web site or deliver electronically in a matter of hours and not days. So you ask, what has made it more complex. Today we are inundated with hundreds of pieces of communication in our social sites or emails. We get so many pieces of communication we now filter what we are reading and if the last issue was not deemed important, relevant, or beneficial, the next one is simply deleted by operand or instrumental conditioning. The new process has made it easy for us to develop these communication mediums; however, also complicated matters in the ease of not even glancing at the information to see if the next issue is something they should consider to read. Before if the print version sat in the apartment home long enough the resident might at least give it a cursory view, where now, it's just another communication in hundreds we receive and is deleted without consideration.
Electronic advertising is here to stay and we will never go back to print. We now can reach thousands every day who might be interested in a new apartment home with photo's, bullet points, and data to create interest. What a fantastic age we live in, except! Prospects can search hundreds of communities on multiple web sites in search of an apartment home making our business much more competitive and complicated. But isn't this much easier you ask? With so many more options including multiple web sites which our prospects do look on, so much data can become overwhelming and complicated. Before, a prospect would pick up a guide of some type, dog ear pages they found interest in, and plan their attack looking for a new home. Today a prospect looks, closes the browser to do something else, only to come back to it again days later and basically begin the search all over again because it is so easy to find what they are looking for. The other side of this is, if one site is not easier to navigate than another site they have looked on, they simply don't go on that site which may be the location your advertising is on. It also is more challenging because there are so many sites, unless you have a very large budget you can't be in all of them. Before you had a choice of two or three publications and now you have dozens including one in NY called Nakedapartments.com. Have to admit, it's a catchy name.
Twenty to thirty years ago if a resident was unhappy they may have told a handful of people and it disappeared quickly in an uncomplicated world. Today, current or former residents who are "unhappy campers," as I call them can now tell millions with a mouse click. Complicating matters, they can make you seem like the worst landlord in the world when in fact they just didn't pay their rent and were being evicted and you have little recourse. You can respond to the situation, but your rating will not change nor the fact someone looking for a new home will seek out the bad information and for some reason not read the good reviews of hundreds who are happy living with you. Welcome to the computer age.

There are so many more examples and one could probably write a book on the changes in this industry over the years. What has not changed is the human factor. In 2002 I wrote my best selling book, Complex - A Guide to Apartment Management with over 11,000 copies sold worldwide. In it I mentioned handling a new prospect with a video call and making it a more personable experience through technology. Today, that vision has come true and companies are reviewing Skype and other means to use as a leasing tool. For some reason was have added technology but taken the human and personable side out of what we do. We have replaced talking with someone for tweeting or emailing and have been conditioned to believe this is the easier and better way. We have replaced dealing with challenges in a direct and personable way, to indirect and non-personable methods.

We are teaching our leasing and community teams how to deal with software and technology; however, neglected to teach them how to deal with people. We have taught how to develop our people to be managers, but neglected to teach them how to be effective leaders. We have emphasized the importance of closing, but neglected to teach them how to be open with our prospects and residents. We are so tied up with the feelings of people, we have forgotten how to feel.

Larry is an award winning regional manager and President of Wizardry Enterprises, LLC, a company which provides training and education in the multifamily industry to apartment associations and management companies all over the country. He is an accomplished author with four publications in print, and has successfully led hundreds of teams with a passion for leadership. Contact us at lawrenceberry@verizon.net about how we can help in your education and training needs and provide excellence to exceed..

Two new exciting workshops being offered

2018-07-27T15:18:00.002-04:00

I am excited to announce the creation of two new interactive workshops at Wizardry Enterprises in addition to my other educational presentations.

“Excitement to Create Excellence,” is designed to cover two key areas critical to improving NOI. The first area deals with our employees and team members, who are the foundation to your organizations success. What can we do regarding training, communication, and creating inspiration that makes them want to do their job not because they have to…but because they want to? How do we create excitement in the workplace so it inspires excellence? How can you set goals and make those goals something your employees strive to reach? I believe in the concept of treating our employees as number one, and they will in turn treat our residents as number one. Second, what can you do to create excellence for our residents so the last thing on their mind is giving a notice to vacate? What do your residents really want when it comes to amenities, activities, communication, and what will provide them with a true feeling they are part of a community? How do we create excellence while dealing with things like rent collection, lease enforcement, the renewal process, and service? How can excellence through excitement be transferred to your brand identity, marketing, and reputation within your market? These are just a few of the areas we will touch on in “Excitement to Create Excellence.”

“Maintenance for Managers,” is a workshop with the intent on informing and educating not just managers, but your entire office support team. Service is such a critical part of the success of any site. Having a better understanding of the service side of the business benefits your employees in gaining a better perspective of the service maintenance performs, preparing them for the next level of advancement with a higher knowledge base, and reinforcing what they must do in support to the overall service mission. What should we be asking every resident when they call or come in the office to request service? How does preventive maintenance play a factor in keeping residents, and what strategies can you provide in support to make it a simpler, more efficient, and effective process? What is your resident’s perception when they make a request for service, and is it one of inconvenience or appreciation? How can leasing and the move-in experience contribute to service through a proactive approach? How easy do you make it for residents to request service, and are you using the latest techniques and processes available? Studies still show the biggest reason residents leave is because of lack of or poor service, not their rent. What are you doing to maximize resident retention and in support of your service team when as it relates to maintenance?

Please contact me at lawrenceberry@verizon.net so we can discuss how I can provide support to your educational needs.

INSPECT WHAT YOU EXPECT

2018-07-11T13:35:00.002-04:00

I wrote an article for UNITS magazine some years back titled "Communicate, Don't Complain" talking about this as it relates to vendors and service providers; however, the topic includes other areas. Inspecting what you expect also relates to our team members and the job they are doing. Let's start with the basics.

Site inspections for any regional or district manager are part of the position. First, any site visit should not feel intimidating but in support of the overall goals and objectives of a company or property. Making a site visit feel more like a treasure hunt and a learning platform is a skill, and is a leadership characteristic which supports the team approach and can be motivational versus intimidating. When I visited my sites, they knew I wasn't there to find faults but to find opportunities. The old adage you don't see the forest for the trees applies; however I like to look at it as you don't see the trees for the forest. Think about it and you'll understand what I mean. After all, it's the details which make the difference and support both resident services and leasing as well as building effective teams. They need to know, and more importantly feel, you're there in support of the operation.

Vendors and suppliers are needed in most operations such as painting, cleaning, carpet cleaning, and providing services outside of the abilities or scope of the team. Which is why I encourage and require the team to adopt certain behaviors that can lead to getting what is expected:

(1) Have written specifications on what the task is expected to provide. As an example, do your cleaning specifications call for edge cleaning along baseboards, air and return air vents, fixtures such as lighting and globes, appliance details, cabinets and drawers, payment for services, reporting conditions which management needs to be aware of, and the fact you will be conducting inspections? I asked in a recent seminar I was conducting who had these processes and only one in the room of over 30 property managers could say they had them. You should have the same type of specifications for carpet cleaning, carpet and tile installation, painting, pest control, pool maintenance, or any services you contract out.

(2) Everyone on a team needs to know the expectation by service providers and support and understand these specifications. I will say it again, you can't hit a target if you can't see it. Walk apartment turns with the team so they understand what a quality product looks like. Ask them to inspect with you, reviewing and covering any areas which could be improved on. Make it a treasure hunt not an inspection.

(3) Actually perform inspections and at times walk apartments with your service providers and the team. It all starts when you hire them with setting the expectation and insuring there are clear expectations. I'm willing to pay a little more if I know a service provider gives me a quality product, and it will show in the bottom line with satisfied prospects and residents.

(4) Inspecting the services we provide is so critical to success. I can tell you the number one reason residents leave is lack of or poor service, not rent. We spend ten time more on leasing than we do on resident retention, which in my opinion is backwards. Do you have an effective program for resident satisfaction and do you take action and respond to the resident if there are deficiencies? What percentage of service requests do you follow up on? If you have electronic satisfaction formats is it easy for your residents to complete and do you have both acknowledge and a reward for contributing. I suggested in a recent workshop they consider having a monthly drawing for anyone completing a satisfaction survey. Just in the past week, I received an email from a property manager saying she had offered a $50 rent rebate with anyone participating eligible for their drawing. Her communication informed me it was a huge success in the first two months of offering. Another side to this coin is identifying employees or services which were substandard and needed correction or coaching. Remember the "don't see the trees for the forest" statement.

(5) Do you listen to phone calls if you have that option (and you do have that opportunity even if not electronically by listening to the calls your office staff are on), and do you coach for success and developing to create an environment of excellence? Do you survey visitor traffic to see how good of a job your leasing team is doing?

It used to be that an unhappy resident told a handful of people about their poor experience. With the advent of the Internet, now they have a platform to tell millions. Management is helping others climb the ladder of success. Leadership is making sure they're on the right wall. Coaching, training, supporting, and yes inspecting what you or your residents expect leads to a cohesive environment and helping others exceed and excel. Communication is also so important when dealing with this topic so your team understands the reason behind what is being done and what success feels like in meeting objectives. Let them know the method to the madness. This also goes with sharing successes and letting the team and team members know when they have met the excellence goal. Now, go lead.

Taking Risks

2018-06-20T23:48:00.001-04:00

"You cannot live life based on what might happen, otherwise you will miss the things in life that can happen."

As I prepare for my workshop in Savannah, GA with the Coastal Georgia Apartment Association, I was reflecting on my leadership presentation after talking with a friend. Life is full of risks, and sometimes taking them leads to life changing moments. As my friends and family know, I am a professional Dive Master and love diving...especially with sharks. I remember my first scuba dive with these amazing creatures and was shortly after getting my certification. Standing on the back platform of the boat I looked down into the crystal clear water of the Florida Keys and seeing 10 - 15 sharks swimming below me. My heart was pounding and I thought, what the hell am I doing and is my life insurance paid up. I gained my courage and took the giant stride into shark infested waters and headed to the bottom which as about 35 feet below. After getting on the bottom sharks were coming around me and acting like puppy dogs wanting attention. I soon learned they were not there to eat me and came up from the dive saying, "Can we do it again?" which we did. I can say I was hooked and came to appreciate these awesome and majestic creatures. I later went on dives with hammerheads, tiger sharks (largest one was 16 feet), lemons, reef sharks, black tips, sand tigers, and the list goes on and never at any time felt threatened. I have ran my hand down the side of a 14 foot tiger shark, who came back around several times as if to say, "Please rub me again." People say to me all the time, "Aren't you afraid of sharks?" To which I reply, "Have you met some of the residents I have had to deal with?" Everything is relevant.

I have para sailed, bungee jumped (which I will never do again), dropped out of an airplane at 10,000 feet, rock climbed, swam with sharks, and even raced a car at over 130 miles an hour. Life must be lived and fears overcome to make the most of life. I remember a quote by Richard Cardinal Cushing:

Every day sends to their graves obscure men who in all probability would have gone to great lengths in their career of fame. The truth is you cannot stand back back thinking of the cold and danger, but jump in and scramble through as best you can.

Live life to the fullest and find your sharks. For life it to short and you never know what new adventure will be your career of fame.

Improving NOI - Focus on Expenses

2018-01-20T15:07:00.004-05:00

Income is only one part of the equation when it comes to improving NOI, with the second part being on the income side. It's no secret the biggest way income can be improved is through resident retention. This key component also has a dramatic impact on the expense side...but there is more. Many of the factors of minimizing expenses we understand, but you may not have practices in place to fully reap the rewards. Others involve capital improvements to lower expenses which we will also cover. So what are the greatest aspects of controlling expenses?

Employee Turnover: Turnover of your team members can be costly in more ways than one. In addition to the cost of advertising, hiring search firms, having testing in place, placing a team member in a position at a higher salary than the previous person, background and credit checks and other expenses, the training piece can also be costly in both time and finances. This is where consistent training as a motivational tool can play a positive roll in keeping great team members, not to mention making them more productive which also impacts the bottom line. There is a hidden factor we don't always think about and it is familiarity. Your residents get to know the staff, feel confident in them, and if we build relationships as we should will leave to them feeling they are in a stable environment. A revolving door of team members does not instill that confidence and can have an impact on resident retention.

Inventory Management: I cannot count how many shops or offices I have seen while either managing or consulting which gave the appearance of disorganization. With disorganization comes ineffective ordering and maintaining inventory levels. Having shelves with labeling showing what is there and displaying PAR numbers to reflect what stock should be on hand is something few properties practice. Only maintaining stock of any item for immediate needs through a PAR system keeps ordering to a minimum and organized. If there are boxes of unopened inventory or items just thrown on shelves haphazardly, how do you know what you really need. If you also have a system of maintaining proper inventories you won't run out of an item. This means your team won't be scrambling to one of the big box stores or the local hardware wasting time and money to get something needed to take care of a service request or turn. Having the items needed for quick repair or replacement also leads to higher resident satisfaction because the request is being handled timely and efficiently. Inventory management is not restricted to the shop but also to the office. Office supplies should also be organized with PAR levels established. If an item goes below PAR, you know you need to order. I have an inventory spreadsheet I developed which will automatically flag when an item is below PAR and should be ordered. Taking a physical inventory twice a month will keep appropriate levels and remind the team when something needs to be ordered.

Inspect What You Expect and Training Contractors: I wrote an entire article on this for Units Magazine entitled "Communicate, Don't Complain." Replacing contractors is a pain and time consuming, not to mention expensive and in more ways than one. You hired the painter, cleaner, carpet cleaner and it's a quick turn for a new resident with not a lot of time between the old resident leaving and the new one coming in. They finish and the next day is when the new resident is arriving so you send someone to inspect. Paint is not the best and cleaning isn't detailed. The edges on the carpet got missed and to top it all off the new resident arrives at ten AM in the morning...not good. There are several components to what could have and should have been done to prevent or minimize the challenges. First, anytime a new vendor is used you physically show them what the expectation is and what areas are commonly missed. I am betting very few management companies have this practice in place. Second, you inspect what you expected. Every team member including the groundskeeper or porter should have a unique understanding of what is a quality product and what is not so anyone can be used for inspections. Especially with a new contractor you do spot inspections and always do the first service they have done for you in detail with them. Hold them accountable just as our residents hold us accountable.

Improvements Which Impact Expenses: I get owners cringing when I bring this subject up until they are sold on the result. Just like selling a budget which is one of my favorite seminars I like presenting, selling an improvement for a future reward is the only way you will get an owner or upper management to see the light. Perform a cost benefit analysis on changing carpet out with laminate or tile. I guarantee you if presented properly with real numbers and facts it will make sense, but only if you show a real return on investment. Let's just say you are paying $1,300 for a two bedroom apartment with a basic carpet including pad and installation and the average covered area in the apartment is 800 square feet. You decide to look into laminate and can do for $2. Two components to this scenario as well. First, who follows up and tracks to verify warranty for stains and wear consistently, then actually holds the installer and manufacturer responsible for what they tell us? Second, plain and simple, our residents don't treat the apartment like if they owned it. Third, I don't care what they tell you the carpet never has the life expectancy they tout (No offense to those carpet companies I have worked with over the years). Ten year stain resistant and wear warranty...right! If we held them to the warranty they would soon be out of business, at least in our business. If I can show an owner where in less than two cycles the laminate pays for itself and the facts be what they are, I'm installing laminate. Guest what, you also don't have to clean the carpet at turn or need to offer as a renewal incentive. Last there is the "puppy factor," as I call it. Don't think I need to go much further on that one.

How about inspecting each and every apartment home before renewal. How will this save on expenses? Please tell me you're not actually asking this question. Trust me, I have seen my share of apartments you went into and thought, "OMG, they live here." And yes, they are doing it to your asset! Do you not think their general upkeep also doesn't haven an impact on how they treat your dishwasher, tile, refrigerator, HVAC, and other features?

I could go on further and cover other areas but you get the hint. It's not rocket science and but it is common sense. I believe they should change the phrase from common sense to "occasional sense," as that is more appropriate. Each year we are asked for the NOI to improve and that fact is never going to change. We work in a business and for owners and investors. The reality is, it is our obligation and the expectation so we might as well face it and not complain each budget season or be surprised when we are asked to show improvement in the coming year.

Now go lead.

YOUR ACTIONS DEFINE YOU

2018-01-18T15:31:00.000-05:00

It continues to amaze me how some that call themselves leaders have no concept of true leadership. I speak from experience having had the owner of a company actually think criticizing someone before their peers and subordinates on a conference call and telling them they should not be in the position was acceptable. The sad part is, he didn't do this just once, but multiple times and to different team members. This is the same person he promoted into the position without guidance and direction. This employee had never been in a leadership role before and had never been responsible for an entire department; however, he was expected to succeed not given the support and guidance of how to be an effective leader. And he wondered why he failed when in fact the owner failed the employee.

Actions such as this has a ripple effect throughout an organization. Actions such as this create a fear factor for everyone, not allowing for upward and outward thinking but holding back those that would normally be thinking outside the box. I had one employee call me one time about a truck which had broken down about 100 miles from the corporate office. The employee called me asking what he should do. I informed he had only one choice and that was to tow the truck. Now I was not responsible for corporate vehicles but was not afraid to assist and give guidance because that is what leaders do. He then proceeded to say he didn't know to have a towing company from Orlando bring the truck to the corporate office or have one in their area go down and get it. When I mentioned it didn't make a difference as the company was going to charge for a round trip no matter who he used, I got the response, "Oh, never thought of that." When I asked why he was calling me as the only option he had was to have the vehicle towed back to the corporate office he said, "Because when people have made decisions like this in the past they have gotten fired." Yes, those were his exact words. The fear in the corporate office around the owner of this company was so severe, employees were afraid to make even the most common sense and basic decisions.

I had not been with the organization but for a short time and knew there were issues within the company when I asked the HR person what the employee turnover was. Her response was and I again quote, "You don't want to know." I soon found out employee turnover in a two years period was almost 100% and basically positions were being filled by revolving door. Why would you ask I take this position knowing there were great challenges in the organization? Because I believed and was confident in my ability to make a difference. Problem was no matter how many discovery questions I asked in the interview and the research I performed could have made me aware as to how deep they were. The company had great people, it just had ineffective leadership and an owner who would not allow others to do their job because he was afraid to relinquish power. This was after telling me in my first meeting with him he was stepping back and letting the new VP of Operations and myself run the operations, which never happened.

Fear is not condusive to great leadership and will stymie greatness and limit the ability of others to reach their potential. Fear will never allow greatness and has ruined many organizations. Even after a discussion with this owner about some of the issues I witnessed and him telling me he would "change," it never happened and continues to this day as does the revolving door. Needless to say, I am not with that organization and pray for those within it. Stupidity is doing the same thing over and over and expecting a different result.

Now go lead!

You can lead a horse to water, but you can't make them drink!

2017-12-03T22:04:00.004-05:00

It amazes me when I run into people with absolutely closed minds. Individuals who are either afraid of the truth, or just refuse to see it will never been effective and efficient leaders. When I wrote my book on leadership, it included a section I titled "Not being afraid to admit when they were wrong." This characteristic is one which can be very difficult to recognize and to admit because we are human. I also had written about other leadership characteristics such as willing to empower others but now wielding power, willing to accept critique and contrary ideas, and many others. All of them extremely important to being a true leader.

Some people are great at management, but quite frankly suck at leadership. The CEO who is not open to new ideas and can't see there may be another or better way will quickly loose respect. A person who criticizes in public versus private will not only loose respect of their people, but also loose great people. They often find it easier for them to belittle someone or to even go to the extent of firing them because they lack confidence to lead them. This is where they cannot comprehend the difference between management and leadership, which in the truest meaning is the ability to get others to follow...and that means willingly follow.

I remember consulting for a Fortune 500 company and meeting with the President of the company. He said he perceived challenges within the leadership chain and a lack of "cohesiveness." Well, he was right, with some of the problems being with how his upper leadership looked at him. There was fear of not doing the right thing, fear of consequences, and the lack of trust. I had two hats made up with one embroidered "President" and one "Leader." After my analysis I met in his office and gave him my findings and the hats. I asked him to put on his President hat and asked him what that meant and how he felt. I then followed with asking him to place the Leader hat on and tell me what that meant. We talked for almost an hour and with each concern that came from upper and middle leadership his answers would change when I asked him to place on the Leader hat. At the end he looked at me and said, "Maybe some of the problems I thought with the team were problems with me." My reply was, "No sir they are not problems with you, they are opportunities." I went back about three months after the visit expecting to meet with him in his office. Instead I was directed to a large room with every department head in it along with the President of the company. I received a standing ovation and the President of the company came and handed me the hat which had "President " on it and said, "I won't be needing this anymore." What a profound moment and one that almost brought tears to my eyes. We talked in an open forum for about two hours, and you could tell the atmosphere changed from individuals to a team. At the end, their "leader" stood before them and gave a short speech on he meeting we had in the office and the story of the hats. He went on to explain learning that leadership was more important than being perceived as "the boss" and why it was more important to be respected than liked. I was shocked to see what happened next. The entire management team took out hats which had the word "Leader" written on them and placed them on their heads.

Simple things can lead to great results, but anyone in a position of power must be willing to see the opportunities with effective leadership and admit their own shortcomings. If they are not willing to do this, the same result will continue. As the saying goes, ignorance is doing the same thing over and over and expecting a different result. None of us is perfect, however, we all have the same chance to learn if we open our minds and our hearts.

Now go lead!

Secrets to Higher Occupancy

2017-07-26T12:44:00.001-04:00

Being a magician I am often asked, "Do you have a wand?" Apparently some people are too caught up in the Harry Potter phenomenon to understand you don't need a wand to create magic, especially when it comes to occupancy. There are of course two parts to this equation with the first and most important being resident retention and the second being the leasing side of it. At this time we continue to enjoy high occupancy in most of the major markets, however, as reports show new construction permits are rising and as our industry is cyclical there will come a time when markets will loosen up. As expected because the average market occupancy is high so are the expectations for you to remain at or above those statistics. It's a never ending and evolving industry, which is why many of us love this business. No two days or months are ever the same.

Why is it over seventy percent of marketing budgets are dedicated to bringing in new residents when it is a fact it costs seven times more to replace a resident than to keep them? The national average cost of a resident leaving you is high, and you might be surprised to see what it actually is. Depending on your market and your price points, the actual cost of losing a resident can easily be three thousand dollars and in many cases more. This includes lost rent, marketing costs, turn costs (paint, cleaning, damage repair, upgrades, floor covering, marketing, and one of the factors most of us forget...time and personnel resources). Which leads us to the age old question, "How do I keep my residents and prevent them from moving out?" Here are just a few of the key elements to higher resident retention with the list being a lot more than what we will cover here:

Realizing that renewals are not an event but a process and the retention process starts from the day they walk in your office to rent an apartment home.
Understanding what residents want which can include simple things like method of communication, expectation of services, to be treated with respect, to solve their challenges related to their apartment home, and the list goes on.
A friendly team that makes them feel special and recognizes them as individuals. Do you great them by name when they come in the door? Do you follow up even when follow up is not anticipated? Does your team provide a cohesive service presence making it feel like they live in a home and not an apartment?
Do you provide services other communities do not setting the bar to a higher standard? This can include one night a week an office and a service person staying until seven or eight PM just for them and not for leasing. Maybe they have access from a secondary door and you have beverages and pastries for them to come and enjoy giving your team a chance to get to truly know their residents and provide personal time to get to know them.
Does you maintenance team go by the rule when performing a service request or preventative maintenance of finding at least one thing else you could do in their apartment home and letting the resident know they did it.
Do you perform renewal visits in their home and not yours. Two things happen here with the first being on their turf taking away the office environment and giving us a chance to see if you really want to renew them or not or if their might be things that can be taken care of at renewal. Trust me, I have seen more than my fair share of resident homes who should not have been renewed because they were destroying or not taking care of my asset. If they are doing that, what kind of neighbors are they?
Does your team know how to handle resident complaints or challenges? We train them to lease but for some reason we fail to train them on how to handle a difficult resident or situation which in more cases than not leads to a resident leaving. You have heard it we have one chance to make a good first impression. Sorry, but that is bull hockey sticks as the saying goes. Every day, every interaction, and every interaction we have the opportunity to loose a residents confidence in us, the team, and the management company. We should be reinforcing this but hardly anyone does.
Does your community provide services others properties do not? Some time back I recommended putting in a type of mini market supplied with items of necessity at property. This included toilet paper, hair care and hygiene products, paper towels, dish and dishwasher soap, non perishable goods, etc. I got a look like a deer caught in headlights and objections such as having to get a retail license, state taxes, etc. Once they looked into this and discovered it was not difficult to over come these they tried it and the success was beyond their expectations and the residents loved it. I recently talked to the manager of this site and their regional and they said sales have averaged well over a thousand dollars each month and with the markup have added another income source for other revenue and resident retention is up and surveys say the residents love this amenity. Now with Amazon Prime it is even easier, less time consuming, and more profitable to have items delivered to the office door of your community. These are items your resident can't wait for Amazon to deliver in a day or two and discover they are out when they come home from work and don't want to venture back out. Hotels do this, why not us? Do you have a laminated community identification card and agreement with local vendors for discounts only available for your residents in exchange for their brochures and or information available at your concierge desk? Which raises the questions, do you have concierge services or are you just a leasing office?
Do you make contact with a new renewal and thank them for choosing to stay with you, knowing they do have a choice.
Do you have special renewal events for those renewing the previous month including food, beverages, and maybe even a drawing for gift or gift card donated by a local merchant for them attending the event?

The next part of the equation is of course leasing and it begins with the right people, the right leadership, and the right training and expectations.

T - Train for success for your team, your individuals, your community, and your company.

R - Recognize potential of the individuals and any areas of needed improvement

A - Adopt a training plan and plan your training

I - Instill motivation through training, leading by example, and having clear expectations.

N - Never assume training is understood and ask questions to verify the message is clear

Here are some additional key factors related to the leasing process:

Perform observations related to leasing and do not depend on shops alone.
Provide critique and not criticism to coach for a higher level of performance
Never let technology get in the way of having a personal touch. There are times that technology is great and others when we need to personalize.
The listening and analysis aspect of a guest visit should never be overlooked but often is.
Does each member of your team know how to recognize the "moment of truth" when it is time to ask for the lease or to possibly identify we need to change our approach?
I personally dislike a leasing agent being behind a desk and having that barrier between them and the prospect. New concepts such as pod systems and mobile lobby devices versus computers are gaining success. Imagine sitting at the couch or out by the pool with an IPad and doing the initial interview (both of them and of you) from a relaxed environment or maybe even on the way to the model. Being able to jot down notes while interacting with the guest, asking and documenting discovery questions and responses, and expediting the leasing process with it being mobile. Come on people, get with the current times.
Is there a forty-five point checklist in the apartment being shown or in their apartment on move-in day showing the lengths we go to in making sure their new home is the best it can be?

Does your team send photographs along with the thank you email showing those things we identified as desirable or necessary features to emphasize we have what they want?

The list goes on and I could talk on this subject for hours, which I do when conducting seminars on the subject. I believe you get the drift and the message of what we can do to improved occupancy and the bottom line, no magic wand required just some magical services. Now go out and create your own magic and you will no doubt find the incantation to greater success and an awesome team.

What's your leadership style?

2017-06-02T11:48:00.000-04:00

As human beings we are all different. While leadership has many basic characteristics, the combination and ability to use those characteristics makes leaders different. If I ask you what makes a great leader we often hear a variety of answers. You may think of someone that was open, decisive, strong, leads by example, ethical, able to gain respect, or a whole list of descriptions. Many times we look at qualities of leadership based on those we have worked with or maybe even a parent. Both of those examples have molded who I am today as a leader. In leading a leadership conference for a management company I ask the attendees who they admired and followed with the question, "why?" Many of them found it easy to identify who they admired as a leader, however, some struggled as to why they were thought of for leadership qualities. I also got quite a few that identified with historical leaders such as John F. Kennedy, Martin Luther King, and even a few sports stars.

In my book "Finding the Leader in You" available on Amazon, I list a few of what I consider to be specific leadership characteristics essential to a leadership. This is not an all inclusive list, merely some of those qualities that I believe are the basis for creating an environment where others will want to follow. After all, that is the truest definition of leadership.

One aspect I have also presented is that a great leader needs to identify with their primary characteristics and just as important those traits we need to strengthen. Great leaders are not only always looking to develop others but also being open to themselves and always seeking to better oneself. One of the most difficult challenges is self reflection, as we are human and being objective about ourselves is not something we do well. As an example, how do you make your employees feel about you. You may feel you are great at leadership because your operation runs smoothly. The question you must ask is, is your operation running as efficient as possible. How your team feels about you is often how well they accept your leadership and perform. Remember, we always need to be looking at how we can improve. Just as time, teams, and practices change if we are going to evolve as both a team and an industry we must adapt. A great quote by a great author said this, "People won't always remember what you said and they won't always remember what you did. They will always remember how you made them feel." That author and poet was Maya Angelou and is very true. If you can find out how you make your team feel, you also in all probability can identify what what you are doing well and what you need to improve on.

As an example I remember one time the company made some operational changes we knew would be a hard pill for the employees to follow (you notice I did not say swallow as change should not be looked as something we force down our employees throats). A couple of days after the new process was incorporated I asked one of the managers about the change and did not just ask what they thought, but how they felt about the change. It opened up a whole new perspective on how the change was communicated as well as what their true concerns were and helped me formulate a strategy which included providing more details as to the why in addition to the what.

Developing ourselves and others are both important. Sometimes as we find ways to develop and improve ourselves, it also allows us to improve others without even knowing it.

Now go lead.

LLHL - Ok, what does it mean?

2017-03-19T00:58:00.001-04:00

Watching TV the other night Newt Gingrich was describing something he remembered when he was in the military. When I was in intel school many years ago, I remember an instructor telling us about the exact same thing Newt was describing. Must be a military thing but believe it really applies to leadership and how we should look at leadership in general.

LISTEN
The first "L" and is what I call the first step. Listening includes observing, paying attention to your surroundings, keeping your ear to the ground related to feedback, and of course paying attention to your subliminal messages in your operation. Observe before making changes and know what impact decisions may have on an operation. Understanding through observation can provide direction for needed training, for insight into efficiency, and for how the human factor plays a part in reaching goals and objectives. Listening with your eyes includes your surroundings which can include more than just the immediate operational area. As an example in property management we also need to be aware of the competitive market as well as the tertiary market.

Listen to feedback from your team. Some of the greatest leaders in time would have never made successful decisions without consulting others or at least asking for their input. Maybe the right decision is yours, but components of input from others makes it a better solution. Who knows, maybe yours was not the best at all and someone did actually have a better solution. Leaders should never be afraid to accept critique or the possibility someone else actually had a better answer.

Subliminal messages can include issues related to morale within a team, higher than normal costs, excessive call out's, or increased turnover. Sometimes listening with your eyes can be just as important as listening with your ears.

LEARN
All is for naught if we do not learn from the first "L" and from our mistakes. Don't forget we can also learn from our successes and we should always be asking "How can we do it better next time." Learning can also be related to us constantly learning or expanding our knowledge base. As an example I am a sponge when it comes to articles or books on leadership and enhancing productivity within a team environment. When we stop learning, we stop growing as leaders. Learning also means evaluating throughout a process of operational change to see if adjustments, corrections, or sometimes even new directions are needed. Sharing what is learned with your team and those leaders working with you is equally important as a part of open communication and development of from an educational standpoint.

HELP
This step is critical and involves more than what you might think. Help can be in the form of training and education. It can mean providing the tools or knowledge so that others want to and have the ability to exceed and excel. Sometimes help can come from outside sources such as consultants and teachers. I remember one time doing a consulting job where the company said they knew what needed to be implemented, just needed direction as to the best course to take. When I asked the Director of Property Management why she felt it was the best solution she responded by saying she thought a new approach from someone outside of the organization might be better received. We can observe and learn, however, if we don't implement a plan into action that will be received by those needing the direction it will become more difficult to achieve the intended result. Part of my plan was also doing team meetings to ascertain what they perceived the problems were and asking for their input. I found this went a long way and they felt more involved and not just the receiver of a directive.

LEAD
So what is the true definition of leadership? After all, leading means you get others to follow you. With leadership comes great responsibility. Leadership is being decisive, is developing others, allowing empowerment, is not being afraid to admit when they are wrong, and so many other qualities you have seem me write about before. It is also the Listening, Learning, and Helping that develops others to be the best they can be. If your operation runs as successfully when you are absent as when you are there, that my friends is when you know you have been an effective leader.

Now go lead!

When life gives you lemons

2017-02-10T22:43:00.003-05:00

Just about everyone has had ups and I am sure experienced downs. With each challenge I have faced throughout my career I have always tried to find the positive and learned from each and every opportunity. I remember when they eliminated my position less than three years after accepting the regional here in Florida. This was back in 2009 after the market tanked and companies were looking at what ever they could do to cut costs. Now this was a hard pill to swallow knowing my region was one of the top occupancy and producing regions in the company. Making over six figures with my bonus they called the layoff a "downsizing," while I called it an "up profiting." I could have easily put my tail between my legs and done what many others had done in my position by collecting unemployment and riding the coat tail of the government. Sorry, that just wasn't me. I started speaking and training again and took a job not paying much working for the mouse. While it didn't pay well, I was working and bringing in a weekly check and on top of it pretty much the coolest job at Disney. My job you ask, well here's a picture.

Yes, I was a scuba diver and the safety coordinator for Mickey Mouse when he would dive in the Living Seas at Epcot. I was responsible for the big eared one's safety (as we called him "the boss") and even wrote the operating guidelines for character diving at Disney. Even though my pay was poultry compared to what I was making before, I always gave it 100% and would volunteer for projects and always willing to take on additional responsibility. It was that initiative that led me to the next level as a manager at Disney. Safety has always been something I had a passion for in addition to leadership. In 2013 the aquarium was getting ready for their five year accreditation with the American Zoo and Aquarium Association. This was a huge deal as the facility and our dive team were being evaluated by a team of professionals from all over the world. The AZA is the independent accrediting organization for the best zoos and aquariums in America and the world, assuring the public that when they visit an AZA accredited facility, it meets the highest standards. Less than 10 percent of the 2,800 wildlife exhibitors licensed by the United States Department of Agriculture meet the comprehensive standards of AZA accreditation. My supervisor and the aquarium curator came to me and asked if I would take responsibility for safety documentation and reporting for the upcoming inspection. During the inspection one of the AZA advisory members commented that the safety portion of the inspection was "the best and easiest inspection they had ever had for an aquarium ever."

With my head held high, I began applying for leadership positions within the organization. Then one day after telling my supervisor I had an interview later that week I was informed I did not need to go to the interview. For a second, I thought "oh crap what is wrong." The aquarium curator and the Dive Safety Officer called me to their office to inform me I had been nominated and accepted into Disney's Emerging Leader Program. They told me that out of 65,000 cast members only 35 are selected for this prestigious program. So a few weeks later I entered Disney University on my journey as a Disney leader. Disney is known throughout the world for developing exceptional leaders and providing extraordinary guest service. Fortune 500 companies send their employees to Disney for their leadership programs because of how the Disney brand is perceived. My next step was as a manager at a four diamond deluxe resort responsible for a team of cast members and later lead the concierge services for the Kilimanjaro Club at Animal Kingdom Lodge.

While I truly miss property management and hope to someday return, being in a leadership position and using the skills I have learned along my journey to help others exceed and excel have been so positive in my continued development. When we quit learning, we do ourselves and those working with us a disservice. Walt Disney said, "All our dreams can come true, if we have the courage to pursue them." He also said, "We keep moving forward, opening new doors, and doing new things, because we're curious and curiosity keeps leading us down new paths."

So when life give you lemons, don't' just make lemonade...open a lemonade stand and share it with the world. I hope I have been an inspiration for others and don't forget, "Inspiration comes along with perspiration to be successful." Now as I have said so many times in my postings...Go Lead!

Accomplishing Results

2016-09-09T23:32:00.001-04:00

I have enjoyed my many years in leadership and in sharing information. From managing large apartment community portfolios to leading a team at a four diamond resort one thing is constant...the importance of effective leadership. To the thousands who read my blog and the hundreds that have worked with me over the years, you also know how much I cherish sharing information with the intent of assisting others to exceed and excel.

Management is accomplishing results and meeting objectives through other peoples actions. Leadership is allowing others to have the ability and empowering them to accomplish these results. It means not only leading by example but more importantly leading so others want to follow, hence the true definition of leadership. The basic philosophy shows the transition from management to leadership has some distinct characteristics. In a management position your direction and interaction with those that work with you is more "hands on" by a relation of 70% to 30%. As you transition to leader you will find this reverses if you hire the right people and lead through empowerment. This comes with training, allowing people to make mistakes, support and review of decisions, and effective communication. You have heard me talk in both my leadership book and my best seller in property management how the PDSA system is an effective tool in leadership and in making decisions. What is PDSA you ask? It basically means formulating a PLAN, Do what you planned, STUDY the results and efficacy in reaching the goal or objective, and ACT to make adjustments to stay on task and in reaching the intended goal. Lee Iacocca once was asked how he was able to turn the Chrysler Corporation around and out of bankruptcy and what led to his success. He responded by saying, "I did not do it! We did it! I simply identified the successful people that could get the job done and empowered them to do it!"

As an example in property management we emphasize management of our communities...without guiding others as leaders and wonder why we do not have more true leaders in the ranks. We give you the responsibility for a multi-million dollar investment without showing you how empowerment all the way down the line of positions makes everyone more accountable. You basically act as chief financial officer, facility manager, public relations director, customer service manager, marketing and development manager, and occasionally therapist and dog catcher. We teach you and support training for you to address all these areas, and unfortunately forget to teach you to be mayor or a true leader of your community and team. Managers will often say, "If I want it done right, I will do it myself." Leaders say, "If I want it done right I will find and train the right person.

There are several truths of ineffective leaders or those that do not incorporate leadership and empowerment into their leadership style.

We cannot do it all ourselves and if you try, you will burn yourself out.
We avoid allowing others the sense of accomplishment because we do not understand the true benefits of empowerment.
We eliminate the potential for a motivational environment. People want to feel they are a part of something and can hold their heads high when there is a successful endeavor.
We don't always have the best answer or know the best way of doing something. By not realizing this it narrows how a task can be completed and does not allow for a motivational environment.

Leadership is not how successful your operation is when you are there. Successful leadership is empowering others so that goals are met even if you are a thousand miles away. I will repeat the poem in my book which hundreds have said inspired them and for which I truly believe

I saw them tearing a building down, a gang of men in my hometown.
With a heave and a ho and a yes, yes yell, they swung at a beam and a sidewall fell
I asked the foreman if these men were skilled, the same needed if you had to build
He said oh no indeed, the most common laborer is all I need
For you see I can tear down in a day or two, what it took others years to do
Now I asked myself as I walked away, which of these roles am I willing to play
Am I one who is tearing down, as I carelessly make my way around.
Or am I one who builds with care, so my team and those around me are better because I had been there.

Now go lead.

Making the Move-In an experience...not an event.

2016-06-16T12:59:00.002-04:00

I have been asked throughout my career when do we start the renewal process. Unfortunately most site teams do not understand renewal is not an event, it is a process and starts with the first time you meet a new resident/guest. Like the renewal process we should not look at move-ins as an event but more as an experience and a part of the renewal process.

Having worked for Walt Disney for over six years it is clear we need to make interactions with our residents "experiences" not events. To have the pleasure of working with an organization that is known throughout the world for creating magic and guest satisfaction has been extremely rewarding, even though I am really looking forward to getting back into property management. The experience and tools given to me I know have given me a new insight into resident/guest satisfaction and delivering services that exceed and excel.

Imagine this, your new resident is moving in today and we all know this can be a very stressful transition for them. What can you do to make it a memorable experience? They may have traveled, dealt with packing and handling a moving truck, worried about change of address and utilities, and there is always the "renters remorse" in wondering if they have made the right choice at your community.

1. You provided them with a move-in package with their signing the application which provides a step-by-step process in making preparations for their move. This includes utility numbers and web site contact information (link to new customer page), moving truck rental locations, local storage facilities, pizza establishments for those move-in day munchie needs, change of address cards from the post office and where the local post office and UPS stores are located, local contacts for companies that provide labor for unloading, a short welcome letter including what they can expect on moving day at your community when they arrive (any last minute things that need to be processed including inviting them to sign their lease in advance), a property map showing their new home location and where to is the best place to park their truck for unloading, after hours number for maintenance, close home improvement store address, and even a checklist for all the things they need to do in leaving their current location and getting ready for their new home. It takes a little preparation, but packets can be made up in advance on those rainy slow days so you are always ready to provide one to a new resident.

2. You make several calls and/or emails prior to move-in checking to see if we can be of further assistance or if they need any additional information. With each contact you thank them for choosing your community, remembering they do have choices.

3. Your team has checked and double checked the their new home to insure EVERYTHING is the best it can be. You do this at least two days out from the arrival experience, giving enough time to insure any corrections can be made. You then inspect the day of move-in to insure some critter has not crawled up the drain, found its way through a door sweep, and expired somewhere for your resident to fine them as a move-in surprise. This is where an apartment move-in checklist comes in handy to insure everything from the maintenance and operation to the A/C filter and general conditions are perfect.

4. You have placed a "Welcome Home" amenity package in their home with a personalized tent card with ALL the new residents listed (including children and pets). This could include for very little cost a couple of carnations and some babies breath in a small vase on the kitchen counter, several bottles of water in the refrigerator, coupons for local food establishments, a welcome home banner across the refrigerator, a small jar of touch up paint, a copy of the inspection checklist to show what all has been inspected, coloring pages and crayons for the kids (gives them something to do while mom and dad are moving), and maybe even a coupon for Red Box.

5. You walk the resident to the apartment after they receive the keys, completing the checklist and walking the apartment with them. You provide information regarding which outlets are controlled by which switches (I like putting a small sticky dot you can get from an office supply store on the outlet or having maintenance turn that outlet upside down so it is easy to distinguish), what your garbage disposal can and cannot take (often missed), where fire extinguishers are located, etc. You ask them if there is anything else we can do to assist, shaking their hands (including children), and thanking them for choosing your community.

6. You make a follow-up call the day after move-in, just to check in on them to insure everything went well and everything is OK. You do the same one week after, following up on the process and their experience.

We have so many opportunities to make this a great experience, and also so many opportunities for failure or not meeting expectations. My question is, what can you do to not just meet their expectations, but to exceed them? Make it a celebration, and experience, and most of all the best move-in they will or have ever had.

Are you prepared?

2016-03-28T13:10:00.003-04:00

Winter is over (at least for most of us), and warmer weather is on the way. We can put away our snow shovels and ice melt at the sites, and for many better conditions are on the way. No matter where you live, property managers must always be ready for the inevitable. Ice and snow storms may be over, however, now we face springs storms, tornado's, hurricanes, and of course those disasters that can strike no matter what time of the year it is.

Property managers can never avoid risks. What we can do as responsible property managers is minimize and be prepared for them. Whether fire, flood, hurricane, tornado, winter storm, or other event, being prepared and knowing what to do in case we are faced with disaster is critical to resident safety and protection of the asset.

In conducting an emergency preparedness seminar in Michigan for an apartment association I asked those that had a preparedness plan to raise their hands. With a full room before me, no one could acknowledge having a plan in place. I followed with the question as to how many had a emergency preparedness kit, knowing all too well what the answer was going to be.

The first step when developing an emergency response plan is to conduct a risk assessment to identify potential emergency scenarios. An understanding of what possibly could happen will enable you to determine resource requirements and to develop plans and procedures. Unfortunately the types of emergencies are probably greater than you think. We know the obvious as mentioned above related to mother nature and those such as fire and flood. Some emergencies can be related to geography, which will be identified with any full assessment. These events can include hurricanes along the eastern coast and earthquakes in our western states. Those in New Jersey and New York have learned over the years that hurricanes are not limited to the southeast, and in fact more major storms have hit the northeast than in the south over the last couple of years.

Now for those emergencies that we may not think about but are events that can have an impact on life and property and in today's world seem to be increasing. This includes an emergency situation where someone enters your office threatening to do harm or God forbid dangerous substances are found in one of your apartment homes. Safety training of what to do when someone threatens to do bodily harm or is brandishing a weapon is part of the world we live in. Most everyone has heard the term "flight or fight." Safety professionals now have expanded it to "flight, hide, fight." There are a few options you have, and something everyone on your team needs to know. First, if possible lock the subject out. This is followed by getting everyone in a secure location inside away from doors and windows and immediately calling 911. If the subject cannot be locked out, "taking cover" as it is called is the next step. Getting everyone into a room that can be locked or barricaded can save lives. Third, if there is a secondary exit out of the building, take it and get away from the scene while calling 911. Last but only to be used if there are no other options is the "fight" scenario. Never place yourself or others in danger, however, it may be your only recourse. This part of the emergency plan called “protective actions for life safety” and includes building evacuation, sheltering from severe weather such as tornadoes, “shelter-in-place” from an exterior airborne hazard such as a chemical release, and lock down. Lock down is protective action when faced with an act of violence. The other scenario is related to finding dangerous materials. Let's say your service technician is investigating a water leak and in the course of the investigation finds suspected dangerous materials. What should they do? First course of action is to notify the authorities. Second course is to leave the premises and get any residents out of the building for their safety and protection. The advent of meth labs and terrorist activity have brought a whole new light into dangerous activity we face today.

A comprehensive emergency preparedness action plan addresses any and all threats and is critical to protecting life and assets. The second component is having a disaster preparedness kit with essentials to protect your residents, your team, and the asset. Hurricane Fran hit North Carolina in 1996 and made a beeline from Wilmington, North Carolina right up through Raleigh and later into Virginia. Several of my communities had significant damage including one property that had trees uprooted or major limbs down on 117 trees. We had limbs crushing cars, buildings, and even water lines broken because the roots severed lines. One of my sites was without power for almost five days and the area looked like a war zone. I can tell you because my team was prepared and knew how to professional and quickly deal with the situation, recovery went extremely smooth. Having a plan and knowing what to do prevented panic by the team, reduced panic by our residents because they witnessed a professional acting team, and minimized damage to the assets because we had the equipment and tools to act accordingly.

Are your sites ready to face a disaster or situation? How will your team react to whatever threat they may face? Do you have a plan in place? Do you have a preparedness kit in place? Basically are you and your teams prepared?

Who's number one?

2016-02-01T13:42:00.003-05:00

I have written at length about the story of who is number one. I am a believer and advocate of treating our employees as number one, and by doing so they will treat our residents and guests as number one. There are two parts to the Number One equation, with the second part being equally as important. That second part is simple; treat our residents as number one and they will be less likely to leave.

Our industry has recovered nicely from the doldrums of the housing industry challenges beginning around 2008 and 2009 , lasting several years. Rents are on the rise, property values are on the rise, and we are witnessing the re-birth of new development of apartments in many markets. Several factors have been at play assisting in the multifamily rebound including the increase of foreclosures providing more of a demand for apartments, some recovery of the employment markets even though national wages have declined, and a decrease until the last couple of years in the construction and development of new homes and sub-divisions. The metrics continue to be positive with rent growth still above 4% (a decline from the 5% we saw up most of last year and until October 2015 where it dipped below 5% after strong first, second, and third quarters). Occupancy has also been strong remaining around 94-95% for since mid-2012.

So everything is coming up roses, right? Not so fast buckaroo, we all know our industry is cyclical as are financial markets overall, and we also have variables in our future that may turn that cycle around much faster than it took to recover. Think of it, in 2016 we have a major election. Markets have dropped and risen just on who is in the White House and who controls the houses of Congress. Additionally, while we have had hundreds of thousands of homes under foreclosure purchased and flipped or in some cases turned into rental income homes, there are hundreds of thousands the banks are holding on to and if the housing market begins to signs of declination may create instability in both the financial and physical sides of the market. We also work and live in an increasingly relevant world market. Who would have thought twenty years ago China may have more of an influence on the stock and real estate market than what is going on within our own boundaries. This is why we must never loose focus of what I consider will always be the two most important factors in successful management and leadership, being taking care of our teams and our residents.

This is not rocket surgery or brain science...or is that the other way around. It is going back to basics. Motivational factors with our employees and teams want to know they are appreciated and acknowledged for good behavior and performance. This is true even more true with generational studies, and a greater influence on the younger generations impacting the job trends of today. Training and education will continue to be a motivator, giving our employees hope there is a path up the corporate ladder. Communication has influenced job satisfaction with enhancements in the ability to communicate in multiple mediums. Skype instead of a phone call adds a personal aspect and visual cues to a meeting or project briefing. Shared folders for easy access of updated data including resources and trends allow for open and transparent team review. Last but not least, just showing we care. Nothing, and I repeat, nothing says I care like showing you care.

And finally our residents. They are very similar in some our employee motivational factors, with the most important influence being on service and communication being a motivator to stay. I years ago before it was a trend set up a requirement at my sites to call back every service request thanking them for allowing us to serve them and insuring resident satisfaction. At first when my idea was presented they said things like they won't have time for this, saying our residents really didn't care, and this will only create more work. After providing the "why" behind the program and the "reward," they became more favorable. What the clincher was when they actually heard guests saying no other community the lived at did this and thought it was a nice touch followed by improved resident retention, they were not only believers but followers. At the time some companies were doing a percentage of call backs, while most were not doing any at all. How much effort, energy, and finances does it take to keep a resident versus finding a new one? I am guessing if I surveyed most management companies and communities we would find a handful that call or email every resident as a follow up to service. Think of how this would look in a marketing campaign? Our residents want to feel wanted and appreciated. They want to feel they are part of the community. They want to know they are heard and not just a number in building 200.

The lesson here is two fold. Do not get complacent in where we or your community is in the market, and second never under estimate the power of our people and our residents. The more things change, the more they stay the same. We have all heard this quote and when it comes to our industry we may witness significant changes with our technology, profile, and resources, but the true constant we often forget is simple...people.

What does Fair Housing look like...or discrimination for that matter?

2015-12-12T21:06:00.002-05:00

This is a difficult post to make, however, one that needs to be made. Can any of us look at someone and tell if they are biased or would not discriminate against another individual or group of people? Probably not! Having taught Fair Housing for over fifteen years and coached hundreds of my own team members in my career, none of us can say we know who might discriminate! After watching what is happening in the news and hearing some of the comments, something touched me last night in a news story and really made me think about how I was brought up and even some things about my family I am today ashamed of. This from someone who has never looked at the color of a persons skin, their sex, or national origin (just to name a few) as how I judged them or thought about them. I hope each of you that read this do so in learning as well as reflecting and about the question I originally asked. This is not easy, and I understand this can be a touchy subject for some people, even though I believe it we talked about it more there might be less issues such as what we are seeing. Anyway, here goes.

I grew up in a mid-western town in Central Illinois surrounded by farm communities. I went to school not being around people of other colors or nationalities, and in fact the first person of color I met in was in my Sophomore year of high school when they bused several African-Americans to attend as part of a desegregation program. You might guest I am not young, and you would be right. Even though this was the late 60's and early 70's, our country was still going through challenges understanding the concept, "All men are created equal." I definitely owe my upbringing to my father and mother. My father was someone who was admired by all no matter who they were, and had many friends that were of other nationalities and ethnic groups. I never heard him use disparaging words against anyone, unless you cut him off in traffic and then he didn't care who you were just what you did. I was brought up to believe we are all equal and have the same opportunities in this country if we choose to find them.

So where is this going and how does it relate to knowing if someone chooses not to follow the value of equality? Let me start by saying growing up I always though my Grandfather on my Mothers side was the most loving and caring person in the world. In no way would I have ever imagined him as anyone other than someone who had a kind sole. He was active in his church and a respected elder, appeared to be an upstanding member of his community, and served in World War I for our country. I watched him one time take a baby bird that had fallen from a nest and carefully climb a tree to return it to so it could be cared for by its parents. He took food to those in need, and it was not uncommon to hear he had helped a neighbor or others in the community financially. In my eyes, he was a wonderful person. It was not until after his death a dark side was revealed. Now my grandparents lived in a very small community with the entire county population at around 24,000, and the small town around 10,000. After his death my Mother was helping my Grandmother clean out some of his personal belongings. She opened a bottom drawer and found a large sheet with a hood attached to it. My Mother asked my Grandmother what this was and she made a comment, "You weren't supposed to see that." I'm sure you can guess what it was! My Mother did not have any idea he was this kind of person. This was Central Illinois, not the deep south. This was a small community in the Land of Lincoln, not somewhere south of the Mason/Dixon line. This was someone you never would have imagined could be associated with an organization I grew up understanding was not about freedom, liberty, and fairness.

What does discrimination look like? There is no description and it can be anyone. Our industry has set many trends and standards in anti-discrimination leadership through teaching and leading others to believe we all have the same rights. What we are seeing in Chicago, Baltimore, Missouri, and other areas is unfortunate and appears to be led by a few and not by the many who see this country for what it is and can be. I pray we can find peace and a way for all of us to live together. We all need to come together, let our justice system take its course, and find some way to understand one another not divide us. We do not know who may may or may not believe in fairness, but I do believe the vast majority of Americans do not follow discriminatory behavior. No society is perfect but having visited 28 different countries in my lifetime I can saw we have an awesome country with the opportunity for any of us to choose the right course and to reach their goals. Many of us have skeletons in our family closet, some will never be known. I am proud of the industry I have worked in for over twenty years, and for what it stands for. So the next time you think of fair housing simply remember, it does not have a face or a color or a name. It simply means everyone matters.

Release of my novel: Wizard - Dirty Secrets

2015-11-21T13:53:00.002-05:00

After seven months writing, two months in editing and formatting it is finally complete and released. First let me thank my wife for putting up with the long nights, rants when I got writers block, and support in the publication. Being an independent author has many challenges, with the first finding ways to share my passion for both reading and writing. I have written two other publications, those being reference books with one being within the property management industry. This is my first venture at a novel and I wanted to combine two subjects I am knowledgeable in, those being military intelligence and magic/illusion. I am a former member of the US Navy, and have been a member of the Academy of Magical Arts as a professional magician. The characters and team bring the two areas together making it credible and relevant. Here is a brief synopsis:

What do you get when you cross James Bond with David Copperfield? You get Jonathan Barrow, master illusionist and secret agent for the organization M.A.G.I.C. or Military Assisted Global Intelligence Command. His code name is Wizard. The job of his team is to make national and international threats simply "disappear." Only the President and the a few people in the Pentagon are even aware of the organizations existence. Dirty Secrets is about a terrorist group obtaining radioactive material with plans on detonating three dirty bombs in the US all on the same day in three different locations, making it a logistical nightmare for the team. Using movie magic, illusion, misdirection, and a cunning crew they attempt to avert a national catastrophe along the eastern seaboard of the United States.

http://amazon.com/dp/B017PWPSYI

https://www.goodreads.com/book/show/27822337-wizard

http://www.barnesandnoble.com/w/wizard-dirty-secrets-lawrence-berry/1122924477?ean=2940156674152

At only $3.99, less than a cup of Starbucks Coffee, it's a bargain. Don't have a Kindle or Nook, not a problem as there is a viewing app for PC, tablet, or phone. If you love to read, please at least check out Wizard - Dirty Secrets. Don't have a Kindle or Nook. Not to worry as both have apps for reading on your computer, tablet, and phone. Thank you and please share with your reading friends or book clubs.

How to Sell A Budget - Part 2

2015-10-19T21:22:00.002-04:00

Let me first say the direction of this content you would think is for my property management friends, however, most of the principles I discuss are boilerplate for any general business or organization where you are in a leadership role or preparing a budget for someone else. We discussed in general how we can make budgets less intimidating with my last blog. So, much easier said than done! Actually it is not all that difficult to sell a budget if you've done your homework, checked and double checked your calculations, provide a professional presentation, and supported your theories and projections with solid and relevant data. Encourage them to prepare throughout the entire year for the next budget. Budgeting should not be an event; it should be a process. I recommend setting up a 2017 budget file right after the posting of the 2016 budget. There are usually things you may have not gotten approved, however, you know will be necessary in the coming year. Having a copy of scopes and RFP's, taking pictures as the months go by of capital project ideas for the coming year, and anything that could help when the next budget period is upon them. Part of the intimidation process we have conditioned our managers to face is we all of a sudden give them this crunch period (usually a couple...maybe three weeks), or in some cases coral everyone into a hotel conference room with eight managers over a two day period to produce budgets. As they graze (sorry that's feast) on the customary chips and high sugar energy drinks, dozens of cookies, and over rated sub sandwiches that are a "one size fits all," you expect them to miracurasouly turn from a property manager into a financial genious, construction estimator, and part gypsy who can fortell the future overnight. We need to set them up for success, and your ultimate success.

I remember a manager who attached a copy of an email related to a project disallowed in the preceding budget. The email was from ownership saying they understood the importance, and would approve in the next budget year. Having that in the package made it very challenging for the owners to disallow. She was also able to show the archive photos submitted in her budget package from the previous year, and how the condition had gotten worsened in just one year. Even though it was a very large financial investment, the information and details "sold" the project. You have to understand, in this case ownership prior to starting the next budgeting cycle communicated with their regional (yes that's me) their intent to wait another year, and defer the project again. I simply guided the manager in a teachable moment to focus on putting her sales cap and selling the project and not just presenting it, Trust me there is a difference between the two aforementioned approaches. She provided comments from an apartment rating site where on five postings, a former resident mentioned the condition of the drive areas playing a factor on whether they would renew or not. Her icing on the cake was showing an Excel spreadsheet on how just the turnover costs (with 4 of the 5 requiring carpet replacement, customary turn costs including paint, marketing costs, lost rent, and ancillary costs) totaled $18,175. When she put that in terms of a capitalization rate and how it impacts the net worth of the property by $279,000, their hearts and minds began to follow. The last thing she said and simply left as a closing question; How many residents or customers did we lose for this same reason, who simply left because it was the final issue. If it was even ten residents that would give you a property decrease in value of almost a million dollars. The project by the way, was going to cost around $300K.

I previously mentioned their need to understand the goal, as it is impossible to hit a target if they can't see it. If the goal is 5% revenue growth while maintaining controllable expenses, managers and those preparing the budgets need to know that. I found if this was communicated, the chances of getting a budget at or near that goal has a better chance of being achieved. Another key point is making sure we provide the guidance and confidence through direction and education, and letting the team know you are there to support. Nothing I enjoy more than to secretly fist-bump the manager under the table at a budget meeting after hearing the owner say as he looked up her, "You had me at the net worth." He then turned to me and said, "Are all your budgets and managers like this? If they are I may be in trouble!" I think there might have also been an, "OH YAH!" under my breath, but I could be mistaken.

We train our managers how to stay within fair housing, how to do reports, how to be safe, how to read a financial, and a whole host of other topics. I believe there are two courses of importance outside the norm most management companies and associations offer we are missing the boat in providing. Those courses (not just classes) being leadership and budgets/fiscal responsibility, two areas which build confidence, make them better employees, and provide for our next generation of leaders. Now go lead and create leaders!

PS: Don't forget my novel is just about to be released. We'll keep you posted.