Boosting NOI can be as simple as renovating a vacant unit before the next resident moves in to increase its rental value, but there are other unique ways to promote NOI growth and set your community apart from competitors. It’s important to have various streams of NOI at your multifamily properties to escalate your cash flow and nurture your community’s performance. With service based amenities and other fees in place, your community can add new streams of NOI in no time. Ready for an NOI upgrade?
Here are three additional NOI streams to consider:
Your community’s amenity offerings are really what will set you apart in your local market. The more amenities, the better. Diversifying your amenities can lead to more NOI, higher resident retention and better experience economy overall. Unique amenities might be direct-to-door package delivery, for which residents will pay an additional monthly fee for the convenience of scheduling all of their deliveries right to their door. Residents even have the opportunity to get large items delivered at their convenience, like furniture or tires. Other unique amenities to consider are smart home features like door locks residents can control through an app or a smart AC/heating system that adjusts by feeling out the amount of people in the unit at once. By adding creative amenities that work to make residents’ lives easier and more accommodating to their schedules, your community is setting itself up for success! Residents will recognize your community offers something special that they just can’t miss out on, and the community can add in more revenue streams.
Additional ‘fun’ fees
There are so many ways to go about additional fees at your community, and adding on additional “fun” fees are a great way to boost NOI subtly, and at the same time give residents the freedom to spend a little extra if they choose to. For example, perhaps your community has an instructor from a local workout facility come to your workout room bi-weekly and residents can pay a fee to do a class on-site. Maybe your community has a movie room and there are monthly movie nights with popcorn and reserved seating for residents who sign up for a fee. If your community has common areas that are always in demand, allow residents to pay a fee to rent out the roof grilling area for personal events or the movie room for a private movie night with their friends. Maybe fees for additional perks like a vending machine or a coffee station are more appealing. Whatever direction you decide to take with additional fees, remember not to overdo it and still offer residents other amenities factored into their rental price. But having “fun” fees that enhance and customize the resident experience are a great source of NOI throughout their lease term.
Offering services at your community is a sure-fire way to increase your NOI, as many residents are looking for communities that offer specific services to alleviate daily stressors during the workweek or free up their weekends. Consider services that show your community appeals to its residents’ needs. This can range from a valet trash service so residents don’t have to bring their garbage down five flights of stairs to the trash room or it could be a dog walking service that works with your community when residents don’t have enough time in the day to walk their furry friends. When the leasing office is closed but residents still have packages to pick up, off-site package management is going to be your residents’ best friend. With off-site package management, residents can have their packages delivered at any time – even when the community office is closed and on-site teams are off duty. Better yet, residents get their packages right on their doorstep by simply scheduling deliveries ahead of time – a service that accommodates residents’ busy schedules. By factoring in service fees into leases as needed, communities will see additional NOI benefits in no time.
Although there are many routes your community can take to snowball its revenue streams and optimize NOI, partnering with Fetch and utilizing an off-site package management solution fast-tracks your community’s NOI boost. Find out how here.