The Four Benefits of Branding a Multifamily Property

Creating a brand is a long, challenging process, but one that can pay off in the long run. Property owners might not think it is worth the effort to brand a property. People move to neighborhoods, not buildings, right? But, when it comes to multifamily properties, there are multiple benefits to creating a strong brand.

PRICE PREMIUM

The first, most obvious reason for branding a residential building is to be able to charge a premium in rent. Well-branded properties cater to a particular market segment, allowing them to offer features and amenities that help them differentiate themselves from other buildings in the area and to command a premium price.

The first step in building a multifamily brand is understanding the market. This means segmenting renters into categories. Three broad categories often used to divide the rental market are young professionals, families, and empty nesters. Each has their own wants and needs when it comes to their residences.

THE BENEFITS OF BRANDING GROW WITH PORTFOLIO SIZE

Large multifamily brands with properties in different metros are able to utilize their brand loyalty when former residents are relocating. This is especially true when prospects are not able to tour properties in person, something that is becoming more common with the growth of virtual tours.

 Traditionally, multifamily communities haven’t had a brand strategy. Now, however, many multifamily operators are taking a page from hospitality providers.

 Sentral operates a network of 13 connected communities in 9 different cities, including Miami, Chicago, Austin, and Nashville, to name a few. Lisa Yeh, Chief Operating Officer at Sentral says branding offers an opportunity for apartment owners to differentiate themselves.

 “Our brand is the cool one,” Yeh said. “It encourages flexibility and services.” 

RETENTION AND VACANCY

Another important reason to brand a property is to increase the resident retention and therefore reduce vacancy. Turnover of residents results in an increase in costs and risks for landlords. A well-branded property can create a “stickier” product, one that causes residents to stay longer, connecting with a resident enough to make them want to stay.

Multifamily owners should have a good idea of what makes their communities stand out after doing the work of gathering data and establishing a brand. The next step is to sum it all up in the value proposition. This supports making an emotional connection with residents.

 AMENITY ACTIVATION

A lesser-considered benefit of a branded property is the way it activates its amenities. Any multifamily operator knows how little amenity spaces like gyms and movie rooms actually get used. One of the most impactful ways that companies are branding properties is by organizing and facilitating events and activities. These activities turn an unused space into a perceived benefit to the resident.

Modernize your property with secure mobile access and smart amenities to attract and retain residents. Access control data from space usage is the missing link in building a brand strategy. Knowing what spaces residents are using helps build a brand.

Resident experience is the number one concern for multifamily owners in today’s market. They want memorable experiences in the places they live, work, and play. By using a sophisticated access control system, building managers are able to identify not just how much an amenity is being used, but who is using it and when.