MIAMI- This past Saturday, the Lloyd Jones corporate office partnered with Clean Miami Beach, a Miami-based nonprofit, to reduce pollution in the Miami Beach area. The group, which was joined by Florida Sea Turtle Company and Bonefly, removed 1,928 pounds of garbage from the Julia Tuttle Causeway, including more than 600 single-use plastic water bottles.

Clean Miami Beach is a nonprofit organization dedicated to ridding habitats of single-use plastic and other pollutants. It achieves this goal by educating the community, advocating for sustainable business and government practices, and organizing beach/wetland clean-ups. Since its inception, Clean Miami Beach has removed more than 34,000 pounds of trash from the Miami shoreline.

“As a company that’s headquartered in Miami, it feels good to give back to our beaches and community,” said Greishka Campo, vice president of human resources for Lloyd Jones. “I’m grateful to work somewhere where philanthropy is such an integral part of the company culture.”

The clean-up was organized as a part of Lloyd Jones’ established environmental, social, and governance (ESG) programming, Impactful Investing. Impactful Investing remains at the forefront of all Lloyd Jones activities, as the company strives to make a positive impact in the real estate industry through both corporate and on-site programs.

“With many of our Impactful Investing efforts, we’re affecting change on a national scale,” Greishka said, “but this team activity was special because it was right in our own backyard.”

To learn more about Clean Miami Beach, visit: https://cleanmiamibeach.org/.

MIAMI- This past Saturday, the Lloyd Jones corporate office partnered with Clean Miami Beach, a Miami-based nonprofit, to reduce pollution in the Miami Beach area. The group, which was joined by Florida Sea Turtle Company and Bonefly, removed 1,928 pounds of garbage from the Julia Tuttle Causeway, including more than 600 single-use plastic water bottles.

Clean Miami Beach is a nonprofit organization dedicated to ridding habitats of single-use plastic and other pollutants. It achieves this goal by educating the community, advocating for sustainable business and government practices, and organizing beach/wetland clean-ups. Since its inception, Clean Miami Beach has removed more than 34,000 pounds of trash from the Miami shoreline.

“As a company that’s headquartered in Miami, it feels good to give back to our beaches and community,” said Greishka Campo, vice president of human resources for Lloyd Jones. “I’m grateful to work somewhere where philanthropy is such an integral part of the company culture.”

The clean-up was organized as a part of Lloyd Jones’ established environmental, social, and governance (ESG) programming, Impactful Investing. Impactful Investing remains at the forefront of all Lloyd Jones activities, as the company strives to make a positive impact in the real estate industry through both corporate and on-site programs.

“With many of our Impactful Investing efforts, we’re affecting change on a national scale,” Greishka said, “but this team activity was special because it was right in our own backyard.”

To learn more about Clean Miami Beach, visit: https://cleanmiamibeach.org/.

Mandy Doucet is executive vice president of Lloyd Jones Multifamily Management, which has 5,500 apartment units under management throughout Florida, Texas, and the Southeast. Throughout the pandemic, as other property management companies struggled with delinquent rent collection, Lloyd Jones has beaten the national collection averages—consistently collecting at least 95% of rents. Doucet shares a few strategies she and her leadership team implemented to maximize rent collection in the properties managed by Lloyd Jones.

Be understanding

As the pandemic unfolded and residents were faced with unemployment, reduced hours and furloughs, the financial impact was overwhelming. Many residents were embarrassed and anxious about their finances and hesitant to come forward. I met with our leadership team and had each community create a video from the property manager—sent via email—with the message that “We haven’t heard from you, and we want to work with you. We’re here to help.” It was a personal approach that resonated with residents and helped boost our rent collection percentages.

Offer flex payment options

We worked with residents by offering flexible payment options and updated our system to be able to accept partial payments. In addition, we paused any increases on renewals, offered shorter-term leases, if necessary, and didn’t require any break-lease fees. We also let people use part of their deposit as payment, and waived the minimal online processing fee. These measures demonstrated our compassion and empathy for our residents and helped keep people in their apartments.

Use creativity

Because of COVID-19, residents were apprehensive about letting maintenance crew into their apartments for small repairs, so we encouraged managers to create DIY guides to common repairs (accessible through the online resident portal). The guides provided instructions on basic maintenance issues such as the proper way to plunge a toilet, giving residents the option to make the repair themselves. Of course, maintenance was always available if the resident requested service. The residents appreciated our concern for their safety.

Share information about resources

Through their online resident portals, our communities let residents know about resources available to them, whether through local charities, or government agencies. We also had several properties conduct their own food drives, so residents could stop by the office for pantry essentials. And in some cases, where residents were intimidated by the complexity of applications for federal funds, we helped complete the paperwork for them.

Kindness goes a long way

Keeping our residents and our teams safe was one of our first priorities, and we were among the first property management firms to install plexiglass in managers’ offices, institute virtual tours, and make the investment in electrostatic sprayers to be able to sanitize quickly. These measures conveyed our care and concern and helped build a relationship of trust and good faith with our residents.

While there isn’t a single silver bullet to improve rent collection during a crisis, these strategies and tactics reflect our core values as a company: passion, compassion, and optimism. Our goal is always to make lives better and create communities where people feel truly at home.

Mandy Doucet has been in the real estate management business since 1995, and has a diverse background in marketing, training and resident services. In her role as EVP, she directs property operations and training development for Lloyd Jones Multifamily Management. Mandy is a CPM and holds CAPS, ARM, HCCP and C3p designations.

Asset Managers Bridge the Gap Between Multifamily Investors and On-Site Teams

A Q&A with Stuart Keller, SVP of asset management for Lloyd Jones, in which he shares insights on the role of an in-house asset manager, and how an asset manager can effectively bridge the gap between multifamily owners/investors and property operations teams.

Keller leads owner/operator Lloyd Jones’ asset management group, which monitors the strategic plans for each multifamily property to ensure business goals are being met. The team studies market trends and demographics while keeping an eye on the financial performance and capital improvement efforts throughout the life of each asset. Finally, the team helps determine the right time for asset disposition.

 

What are the benefits to real estate investors of having an in-house asset manager?

It’s being able to provide context and clarity to the day-to-day operations, and how that’s going to be reflected in the financials. An in-house asset manager can speak to the on-site team and get real-time answers about performance. This adds a layer of understanding to the financial reporting and its impact to the investors’ returns. We can track adherence to the business plan and make suggestions as to adjustments, or even course-correct when necessary. Knowing the ins and outs of the operation piece, plus being able to have that open conversation, is a real advantage. Investors really wouldn’t have that with a third-party operator.

 

What are the key differences between an asset manager and property manager?

The analogy that I like to use is that the asset manager puts the recipe together and the business manager cooks. The asset manager will develop the business plan, come up with the financial goals and what the end results need to be in terms of property performance. And it’s up to the operations team to execute the strategy and report any deviations or variances and provide feedback to the asset manager, who will then turn around and provide feedback to our investment partners. The asset managers are the financial planners and strategists for the asset, and operations teams are the “doers.”

 

How do you interact with the property management and its on-site teams?

Typically, interactions with operations are conducted through the regional managers. It’s up to the regional leadership to deliver or adjust any sort of directions to the property. But from a site visit, the asset manager can see firsthand the needs, the wants, and the critical items of the on-site teams and really be able to get that real-time feedback as to what’s working and what’s not working. And we can make adjustments.

 

How do you help make on-site teams understand the importance of their role of protecting and improving a multimillion-dollar asset?

We start by calling our team business managers rather than property managers to encourage them to treat the asset like a business. We do that by educating the on-site teams on the true impact of value to an asset when we ask them to decrease expenses or increase revenue, and how those dollars will later be reinvested into the property.

 

How has your experience as a regional vice president helped shape how you work with on-site teams as an asset manager today?

That experience gave me insight as to what actions and events can make an impact at the property level. I understand the people side of the business, and that a 300-unit property is home to 300 families, where kids and families live. I also know the day-to-day challenges of the on-site staff. For instance, unit readiness is probably the single leading cause of poor performance, because when units aren’t ready you don’t have the product on the shelf to sell. So I understand that it might be necessary to call in additional staff to help the maintenance team get the job done.

 

What should real estate investors look for when considering a real estate investment firm?

In addition to the firm’s strength in multifamily and its experience as an owner/operator, investors should ask about the investment firm’s approach to asset management. Is the asset management team in-house or outsourced? What’s their relationship to the property management team? An in-house asset management team brings value to any partnership by committing more time, energy, and local expertise to an investment.

 

Stuart Keller has a diverse background in asset management, financial analysis, and property operations. In his role as SVP of asset management, Stuart is responsible for working with property management teams to implement business-plan objectives and to maximize net operating income through enhanced revenue management strategies and cost-saving initiatives.

On January 20, 2021, Lloyd Jones hosted its first annual Excellence Awards. Held virtually, the awards ceremony honored exceptional performance among individual employees and entire onsite teams within its multifamily and senior housing communities. After calling for nominations in a multitude of categories, a committee reviewed the nominees and selected the winners, who were announced during the awards ceremony.

The winners are listed below:

Property of the Year (Multifamily)
Vero Green Apartments, Vero Beach, FL

Property of the Year (Senior Living)
Meetinghouse at Collins Cove, Jacksonville, FL

Manager of the Year
Erin Balta
Ventura Pointe Apartments, Pembroke Pines, FL

Assistant Manager of the Year
Sandra Plappert
Waters Edge at Harbison, Columbia, SC

Maintenance Supervisor of the Year
James Rendon
The Granite at Tuscany Hills, San Antonio, TX

Leasing Consultant of the Year
Carmen Lopez
Fountains at Forestwood, Fort Myers, FL

Maintenance Tech of the Year
Uldarico Haeckmann
Carlyle Court Apartments, Orlando, FL

Maintenance Associate of the Year
Lugene Haynes
The Westcott Apartments, Tallahassee, FL

Most Essential Worker
Tammy Weaver
The Granite at Thirty-Fourth, Amarillo, TX

Most Essential Worker (Senior Living)
Debra Richmond
Meetinghouse at Daytona, Daytona Beach, FL

Helping Hand Award
Ventura Pointe Apartments, Pembroke Pines, FL

O.W.L. (Outstanding Wisdom Leadership)
Elizabeth Fisher-Bishop
Meetinghouse at Bartow, Bartow, FL

Social Media Award
Shamrock of Sunrise, Sunrise, FL

Rising Star Award
Vero Green Apartments, Vero Green, FL

Brightest Star Award
Shamrock of Sunrise, Sunrise, FL

WOW Customer Experience Award
Ventura Pointe Apartments, Pembroke Pines, FL

The Finlay Award
Kelly Thomason
Vero Green Apartments, Vero Beach, FL

Dedication Award
Yasmany Lopez
Meetinghouse at Bartow, Bartow, FL

Most Improved Property Year over Year
Lake Forest Apartments, Daytona Beach, FL

Lloyd Jones’ multifamily and senior housing management leaders were thoroughly impressed with the nominations they received in each category. “Choosing just one winner for each award was a very tough decision,” said Mandy Doucet, EVP of Operations for Lloyd Jones Multifamily Management. “And, while we couldn’t present the awards in person this year, we’re so glad to have created an opportunity to recognize our onsite team members who’ve gone above and beyond to serve their communities.”

Waters Edge at Harbison in Columbia, SC is a 204-unit garden-style apartment community acquired by Lloyd Jones in 2016.

The Columbia multifamily market as a whole suffered a challenging period in summer 2017, when one of the area’s largest employers, V.C. Summer, suddenly shut down production of its nuclear power facility. More than 5,000 local jobs were lost virtually overnight.

Nearly three years later, Waters Edge has come back stronger than ever—and even six months into the pandemic is currently pre-leased at 99.02%. Forward-thinking approaches, exceptional customer service and innovative technology have all contributed to the community’s success.

Waters Edge offers flexible deposit options: the standard security deposit, to be refunded at the end of the lease; $125 non-refundable deposit; and for those renters who don’t qualify due to a low credit score or inadequate rental history, Liberty Rent—a provider of rental guarantee contracts—which acts as a guarantor for their first year of rent. “Helping all applicants become paying residents, especially those who need a second chance, has definitely contributed to our high occupancy, despite the financial impact of COVID-19,” said Joei Lemacks, business manager at Waters Edge. “And because we know that building a credit score is one of the most important tools to personal financial health, we also offer RentPlus, a service that reports their rent to credit agencies. We even had one resident who increased her credit score enough to become a homebuyer.”

Other factors that helped Waters Edge gain a competitive edge this year were shifting to self-guided tours almost immediately, and purchasing electrostatic sprayers, which allows for quicker, more complete sanitizing of public areas and amenities. “Implementing these procedures helped give us more time to focus on leasing,” said Joei. “We also added the Knock CRM, a leasing tool that enables our team to respond and follow up on inquiries from prospective residents more quickly.”

Personally connecting with residents, whether at lease renewal time or working through challenging times, is another area where Waters Edge excels. Earlier this year, in anticipation of residents who may be faced with financial struggles due to job loss or furloughs, the staff recorded personal video messages for the residents, asking them to reach out to the office if they expected difficulty in paying their rent. “It was a sincere touch that I think went a long way to let our residents know we genuinely care about them, versus simply sending an email reminder about rent being due,” said Joei.

Waters Edge prides itself on exceptional customer service, which contributes to a high renewal rate among residents. “We have an outstanding team in place at Waters Edge,” said Mandy Doucet, executive vice president of property management for Lloyd Jones, LLC.

“Everything we do reflects the Lloyd Jones core values of Passion, Compassion and Optimism, and it shows in our work, our attitudes, and how we interact with our residents. And it’s putting these principles in action that ultimately benefits our investors.”

For renters, the economic uncertainty of the pandemic has meant that homeownership plans have been put on hold. According to a recent study from Yardi’s RENTCafé, due to unforeseeable nature of current events, 43% of renters report that they plan to delay homeownership for five years or longer. The survey, which ran at the end of May 2020, asked 7,000 renters about their housing plans before and after the coronavirus hit. Financial worry is cited as the main reason why 21% of the renters surveyed plan to postpone buying a home for at least five years, while nearly one-quarter of renters said they would never be able to purchase a home.

As renters look forward, they are choosing the housing options that gives them the most financial stability until they have the confidence to undertake bigger financial transactions. Homeownership comes with additional—and often unpredictable expenses—including interest, property taxes, insurance and maintenance. Apartment living, with its consistent monthly rent and one-time deposit, is more appealing to renters than home buying right now. And, in more than half (59%) of housing markets nationwide — 442 of 755 U.S. counties — renting a three-bedroom property is now more affordable than buying a median-priced home.

“We’re seeing higher renewal rates across our portfolio as tenants remained in their apartments during the lockdown,” said Chris Finlay, founder and chairman of Lloyd Jones, LLC. “Those properties that were well-positioned before the pandemic will continue to perform well, with above-average income growth and property price appreciation.”

Across demographics, while younger generations like millennials are more likely to want to own a home—even if it’s five years or more down the road—half of baby boomers said they wouldn’t purchase a home again. The less costly, more convenient apartment lifestyle may play a role. With renter households over 60 increasing considerably in the past decade, boomers seem to be getting more and more comfortable with renting.

“Tenants who move to buy a home is one of the main reason for vacancies,” said Finlay. “Considering the current market conditions, renting appears to remain the lifestyle of choice for many, including a growing market of seniors. There continues to be a tremendous demand for affordable, highly amenitized rental communities for seniors to age in place, and we believe is this an excellent investment opportunity that offers lower risks and excellent returns.”

On August 12, 2020, Lloyd Jones Multifamily Management communities across the country celebrated Apartment Onsite Teams Day. The holiday, created by the National Apartment Association (NAA), was designed to honor the dedication and sacrifice that property management teams have made to keep our communities running smoothly and our residents safe during the unprecedented COVID-19 pandemic.

“The apartment industry does not stop in a crisis,” said Mandy Doucet, EVP/COO of Lloyd Jones Multifamily Management. “Lloyd Jones’ onsite team members have worked tirelessly since the onset of the pandemic to maintain occupancy through virtual leasing efforts, collect rent by working one-on-one with residents struggling with financial difficulties due to COVID-19, and uphold a positive attitude despite these new challenges, all the while keeping residents safe and informed.”

Lloyd Jones was pleased to participate in NAA’s Apartment Onsite Teams Day alongside property management firms across the U.S. The company encouraged property management staff to share photos of their teams on their communities’ social media pages using the campaign’s hashtag, #APTeamsDay.

The Lloyd Jones’ property management teams’ core values are Passion, Compassion, and Optimism. Careers in property management require a servant’s heart, as our role is to provide quality housing to all our residents.

Volunteering is just one way our staff shows their compassion for others, and we love hearing stories of our onsite teams taking the initiative to give back to their community.

Ventura Pointe Apartments in Pembroke Pines, FL recently spent the morning volunteering at Feeding South Florida, the leading nonprofit food bank in Broward and Palm Beach counties. Ventura Pointe’s front office and maintenance teams helped pack boxes for local food deliveries as part of their community service efforts.

“I truly feel like giving is actually receiving,” said Erin Balta, Business Manager of Ventura Pointe. Erin added that she hopes to pair up with another nearby Lloyd Jones property, Shamrock of Sunrise, for their next volunteer outing.

By executing a value-add strategy, many investors have been able to increase returns on their multifamily investments. Value-add investments generally target assets that have existing cash flow, but also offer the upside potential of increasing that cash flow through repositioning and implementing improvements to the property. As a result, the property can command higher rents, attract quality tenants, increase tenant satisfaction/retention as well as increase operating efficiencies.

According to the Yardi Matrix report, U.S. multifamily rents grew 3.2% year-over-year from May 2018 to May 2019. Multifamily operators typically increase rents, but in addition they can achieve an even higher rent premium in assets that have room for improvements.

In multifamily real estate, there are many ways an operator can reposition the property and create value. These includes adding value in the form of interior renovations, exterior improvements to the property, and amenities to achieve higher marketability and resident comfort. Strategic improvements can turn an under-performing asset into a high-performing asset. Such enhancements include interior unit renovations with upgraded appliances, cabinets, flooring, lighting and plumbing fixtures, depending upon the market and level of upgrades warranted. Upgraded community amenities often include an expanded fitness center, outdoor entertainment areas , and clubhouse modernization. Once the operator has successfully executed the value-add program, the property should yield a rent premium in addition to the standard rent growth in the market. Successful value-add opportunities offer cash flow throughout the hold period and capital appreciation at sale.

Lloyd Jones’ top three recommendations can be grouped into: interior renovations, curb appeal, and upgraded amenities
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1. Interior renovations: Upgrading the units themselves typically involves new cabinetry or appliances and perhaps better flooring. This adds value while aiding in keeping turnover low because these changes directly enhance the quality of life of each resident. At the same time, these energy efficient, maintenance-reducing improvements often decrease the operating expenses of the property.

2. Curb appeal: Not only could improving the landscape of the building please the tenants, but it is likely to catch the attention of potential new residents as well.

3. Upgraded amenities: This can result from enhancing existing amenities such as pools or gyms, or creating new amenities like a dog park or Amazon package locker system. Such changes will offer residents benefits that are typically difficult to access in other types of housing.

Renters often oppose rent hikes. They have many choices in multifamily housing so it is crucial for operators to implement strategies that provide unique or in-demand amenities for which residents are willing to pay premium rents. Without resident satisfaction, there are no fruitful yields for the investment.