Resident Retention

Understanding and communicating with multifamily residents are top challenges for property managers, according to a new report from San Diego-based management software provider Zego.

In addition, there appears to be a disconnect between what owners and managers think renters want and what they really desire.

The report draws from surveys of over 600 multifamily property managers and more than 1,000 renters. On a number of the survey’s questions about the resident experience, managers gave very different answers about what they believed residents valued in their living experience than the residents themselves. 

For instance, while property managers believed renters were predominantly moving due to lifestyle changes, a majority of renters reported their main reason for moving was because rent was too expensive. This option did not rank in even the top 12 of responses for managers, according to Zego.

All of the top five reasons managers cited for renter turnover are considered outside the property’s control — such as life changes or home purchases — while the renters’ top five reasons are within the management’s power to address or change. “This shows us that property managers have much more control over resident turnover than they think,” the report said. 

At the same time, a majority of managers believe that the most important element of apartment living for renters is a tech-enabled lifestyle. Renters instead name maintenance, security and community appearance and cleanliness among their top priorities. 

“While many apartment communities are rightfully providing alluring amenities and perks, it’s important that property managers do not lose focus on their more ‘boring’ offerings,” the report said. “Renters may be drawn to enticing features like pools, smart technology or concierge services. But at the heart of their living experience is the peace of mind that a secure and well-cared-for community brings to residents.”

Residents still value technology for certain tasks in the rental experience, but would rather have the human touch for others. A majority of renters want to perform community surveys, receive updates and alerts and pay rent on a digital platform, but prefer renewing leases, moving in and receiving packages by interacting with a human staff member.

Getting a better sense of renters’ needs and expectations will allow managers to reduce turnover and its associated expenses, which can amount to nearly $4,000 per unit, the report said. It also allows them to take advantage of renewals, which were a driver of income growth in 2023 and 2024, according to the report. 

In order for property managers to better understand their renters, Zego recommends conducting surveys, arranging face-to-face conversations between staff and residents, creating renter advisory groups and instituting reward programs. 

“Engaging with renters face-to-face reaps so many rewards that it’s made many companies utilize automation so their team members have more time for these valuable interactions,” the report reads. “Freeing them from their job’s mundane and repetitive aspects leaves more time for meaningful duties like building relationships with residents.”

As expenses have risen over the past several years, managers have turned to automating and centralizing property operations in order to increase their return on investment. 

However, a firm can only go so far with centralization before customer service suffers from a lack of human interaction. To preserve that benefit, Roberto Martinez, national field operations manager at Denver-based property manager and real estate investor Atlas Real Estate, strives for a balance. He aims to prioritize human touchpoints and communication with residents, both in maintenance and in the front office. 

“Having more hands on what we're doing is the most critical thing,” Martinez told Multifamily Dive. “Having actual people reviewing every work order coming in, being able to talk to residents, talk to property managers, communicate with each of them, be dedicated to a specific market, has changed what we do.”

Here, Martinez talks with Multifamily Dive about creating good tenant experiences, centralized staffing strategies and preventive maintenance as a value proposition for owners.

This interview has been edited for brevity and clarity.

MULTIFAMILY DIVE: How do you strike a balance between reducing costs and creating good experiences for tenants?

ROBERTO MARTINEZ: The complexity of the world we live in has made the day-to-day operations of maintenance, of property management, much more compliance-based and immediate satisfaction-based than it used to be. 

So when we talk about providing great customer service, I would say that 95% of customer service lies within communication, and the last 5% is execution. We're used to immediate gratification, hearing something from someone, calling in and not getting a robot, and that's part of the push of what Atlas is doing in order to make sure that residents always know what's going on at all times. 

We've partnered with great platforms like [property maintenance software provider] Property Meld in order to make sure that our communication channels are crystal clear. 

And the last part is sourcing the maintenance properly and vetting the right vendors and making sure we have the right people we're partnering with. It’s about providing clear communication and making sure that we hear our residents. Sometimes we can't always solve the issue, but making sure they feel understood and heard is probably 95% of our battle.

Does Atlas make use of centralized staffing strategies in any parts of its business?

We do. Our property management is located within each market we're actually in, so we're not remote market managing from really far away. We have professionals that are market experts. 

On the maintenance standpoint, we do have our national vendor manager and our maintenance coordination team lead. They're both leading that team. One is in Colorado Springs, the other one is in Mexico City. So they work with us out of Mexico and contract with us. 

And then you have our national vendor manager that's stateside. You have myself, so you have a handful of people that are working in both markets and making everything work. But that centralized staffing that we use out of Mexico City is pretty critical. They're part of our Atlas team. 

How has this strategy impacted the business?

We used to have maybe one or two people doing this, and now we realize the need to have a person per market, a person per property manager, and those touchpoints are where we were able to create a connection with residents. People forget that maintenance typically has more touchpoints in customer service than your property manager does. 

Four or five times a year you see maintenance. Your property management office you see maybe once or twice, when you move in and move out. 

So we have a huge opportunity to not just impact what we're doing on a maintenance level, but impact how people choose to renew with Atlas, if they want to stay with us. 

How do you implement tech into your operations?

Most of the systems are usually either partially automated or fully automated. We have people monitoring those and using them. If you message us directly, you're going to get a person. You call us directly, you're going to get a person. 

If it's after hours, we partner with EZ Repair Hotline, and they're going to get a person who's going to be able to answer that. 

Critical to what we do are those partnerships with Property Meld and EZ Repair Hotline that give us all the data, information and workflows that we use in order to mitigate a lot of issues for residents. A lot of times we don't need to send somebody out, but maybe we just need to provide the right information, and that resident can handle it as quickly as we could get to it ourselves. 

Artificial intelligence has also changed the way we do things. It's provided an extra tool in our arsenal for our maintenance coordination team to use to try and solve problems for residents and really up our resident satisfaction score.

What is your approach to preventive maintenance?

Being on top of things, making sure that they're being repaired and maintained properly is going to save you an astronomical amount of money in the long run. We always say a small fix now prevents a big fix later. 

We give a nice chart to an owner, and then we also provide bullet points that show, hey, these are all the issues that can happen if you do not repair this at this time. And we put costs there, and it's kind of eye opening to say, oh my goodness, those are a lot of costs that can happen if I don't take care of this home or do this right now. 

It’s easy to delay and say, I'll do it next year, or I'll do it in six months, or I'll do it when the resident moves out. But making sure that we're educating owners and preventing those issues from happening is going to save thousands of dollars and far exceeds the value of the original repair at least 75% of the time.

What are your biggest challenges?

Right now, the whole country feels the challenge to find vendor sourcing. Manual labor jobs, they've gone down. Even when you do find skilled work, it's hard to find skilled work that works faster and is available. 

So sourcing the right people, having the right partnerships, is really challenging to do, and you see different maintenance sectors where people are building out their own plumbing teams and their own electrical teams or cleaning teams, and that's becoming the new norm. 

We look at that with open eyes and say, maybe that's the change we need to make down the line. But what we do is we make our vendors and our partners feel like parts of Atlas. They're an extension of our team, and they're an extension of what we do and how they treat our residents reflects on us, and so we want those partnerships to be valuable.

Correction: Atlas Real Estate partners with property maintenance software provider Property Meld for its operations.

Sponsored content

By Parcel Pending by Quadient

One truth stands out in the ever-evolving landscape of multifamily housing: happy residents are the cornerstone of thriving communities. That’s because resident satisfaction isn’t just good for your residents — it’s also great for your business.

The 2024 Renter Preferences Survey, conducted by the National Multifamily Housing Council (NMHC) and Grace Hill, reveals a stunning statistic: a whopping 85% of residents either agreed or strongly agreed with the statement, “I enjoy living in my community.”¹ These happy residents stay longer, build word-of-mouth buzz, post favorably on review sites and social media, increase referrals, and act as brand ambassadors promoting your properties.

This blog post will explore the impact of resident loyalty and will also share how to craft experiences that cement loyalty with your residents.

The financial impact of empty units

Property operators face a daunting financial challenge in today’s highly competitive rental market. The potential cost of a vacant apartment home ranges from $1,000 to a staggering $5,000. The financial loss includes:

1. Cleaning costs: Every departing resident leaves a unit requiring thorough cleaning.

2. Repair bills: Getting a unit ready for new residents can be a significant expense, from minor touch-ups to major overhauls.

3. Utility drain: Empty units still rack up utility bills, eating into your bottom line.

4. Lost rental income: Every day a unit sits vacant is a day of lost revenue.

5. Advertising/Marketing fees: Reaching potential new residents requires investment in multiple marketing channels.

Translating brand awareness into resident retention

Leading multifamily operators recognize that brand awareness and loyalty translate into long-term resident occupancy.

Greystar, the largest apartment owner in the country with 108,000 managed units, focuses on building its brand as a path to building loyalty. “Developing a strong, recognizable brand can foster a sense of trust and loyalty among residents,” Scott Berka, Senior Managing Director of Brand and Customer Experience at Greystar, explains. “We aim to create a brand that residents immediately recognize and associate with positive experiences.”²

Another innovation that Greystar offers, by virtue of its scale, is the ability to transfer leases for residents effortlessly. Residents can select a new unit within the same community or even in a different state without completing a new application!

Harnessing AI and data to address issues quickly and proactively

Cortland, a top 10 multifamily unit owner, employs AI to scan emails quickly to determine common issues. Combining AI with other data points, such as focus groups and reviews, allows the company to become proactive rather than reactive in addressing problems. Mike Gomes, Chief Experience Officer at Cortland, says: “We’ve embedded within [a single platform] all communications—text, email, phone—allowing us to serve the customer faster and more personalized.”³ The significant benefit is that residents who receive responses within 24 hours are nearly 30% more likely to renew.

Residents demand safety and security

According to a 2024 National Business Research Institute (NBRI) survey of apartment residents, two of the top four factors driving resident satisfaction are amenities and enhanced security measures.⁴ A substantial 69% of residents further emphasize the importance of parcel security, highlighting the growing significance of this feature in multi-residential communities.

The NBRI survey also saw smart lockers, an amenity that ensures community safety and security, solidify their position as a top amenity for residents for the second consecutive year. The preference for parcel lockers is underscored by 78% of respondents ranking them as their preferred package delivery method. This amenity stands out for its universal appeal and frequent use, with nearly 90% of residents utilizing lockers in their buildings– 73% of residents are receiving 1-3 deliveries weekly. In contrast, other amenities such as EV charging stations, resident activities, and dog parks have declined in popularity.

It should come as no surprise, then, that smart lockers can increase lease renewals by up to 40%. Given the continued growth of online shopping and deliveries, the convenience and security they afford is a significant motivator of resident satisfaction.

Recognize and retain: 9 effective strategies to reward resident loyalty

Here are nine strategies that reward loyalty to retain residents.

1. Cash rewards

Cash remains the most attractive reward. 52% of residents prefer cash or spendable incentives.⁵

2. Temporary rent reduction

Limited-time discounts, typically for three months, are effective. The 26-35 age group is most responsive to this incentive.

3. Parking perks

Depending on the location, free, discounted, or covered parking can be a valuable incentive.

4. Complimentary cleaning service

With hybrid work models, offering a one-time deep clean or limited-time cleaning service is appealing.

5. Subscription gift boxes

Capitalize on the booming subscription market by offering boxes tailored to resident interests (e.g., food, meal kits, razors, coffee, make-up).

6. Renewal menu

Provide various options including upgrades, gift certificates, or event tickets, allowing residents to choose their preferred incentive.

7. Bundled internet & TV discounts

Pass on corporate discounts to residents for these essential services.

8. Resident referral program

Implement an easy-to-understand rewards system for quality resident referrals, offering cash or gift cards.

9. Flexible lease terms

78% of residents would stay if offered shorter renewal periods without increased payments.⁶

Implementing a mix of these strategies can significantly boost resident satisfaction and loyalty. The key is to offer a diverse range of incentives that cater to different preferences and needs. By investing in high-impact amenities like smart lockers, delivering a seamless living experience, and offering tangible rewards, property managers can create a community that residents are reluctant to leave.

---

Want to learn more about how our smart locker solutions can support your resident retention goals? Speak to a Parcel Pending by Quadient representative today.

Sources:

1. _{National Multifamily Housing Council, Grace Hill. 2024 NMHC and Grace Hill Renter Preferences Survey Report. www.nmhc.org. November 7, 2023.  https://www.nmhc.org/research-insight/research-report/nmhc-grace-hill-renter-preferences-survey-report/}
 
2. _{Multifamily Executive. How Branding and Data are Shaping the Resident Experiences. www.multifamilyexecutive.com. July 1, 2024. https://www.multifamilyexecutive.com/property-management/resident-life/how-branding-and-data-are-shaping-the-resident-experiences_o}
3. _Ibid.
4. _{Parcel Pending by Quadient. 2024 Resident Preferences Report. www.parcelpending.com. August 2, 2024. https://www.parcelpending.com/en-us/resources/2024-resident-preferences-report/}
5. _{Zillow. 5 Budget-Friendly Resident Renewal Incentives. www.zillow.com. n.d. https://www.zillow.com/multifamily-knowledge-center/property-management/five-resident-renewal-incentives/}
6. _{Serlin, Christine. Assurant Study Looks at Renters’ Changing Priorities. www.multifamilyexecutive.com. April 16, 2021. https://www.multifamilyexecutive.com/property-management/apartment-trends/assurant-study-looks-at-renters-changing-priorities_o}

Walk-in closets, natural light and fresh air ventilation are the top three amenity priorities for renters in Greystar’s 2024 Design Survey Report, according to a press release shared with Multifamily Dive.

Leading a list of over 50 amenities, a full 88% of the 90,000 residents surveyed at properties owned and operated by Charleston, South Carolina-based Greystar expressed interest in walk-in closets. Thirty-seven percent said they wouldn’t rent an apartment without one. They were especially important to renters in Dallas, according to the report, released last month.

Natural light and large windows came in close behind with 86% of residents showing a strong preference and 31% requiring them in their homes, with the strongest preferences in Miami, Los Angeles and San Francisco. 

While Greystar has conducted the survey since 2017, the company revamped its question structure starting with the 2023 survey, adding new questions about sustainability and smart home technology, according to Quinn Eddins, managing director of research and analytics services at Greystar. The full report is available only to Greystar personnel and clients.

These new questions have revealed how much renters value sustainable features and technology in their homes, Eddins told Multifamily Dive. Out of these new choices, fresh air ventilation and high-efficiency appliances saw the most interest from renters — 86% and 83% respectively, with 17% and 11% unwilling to go without.

He said he was surprised by how popular these features were with residents.

“Four of the top 10 most-preferred attributes were related to sustainability,” Eddins said. “A number of them had a large percentage of respondents who said they wouldn't rent without them.”

Regional preferences

Technology and security features were especially important for renters in the Northeast, particularly keyless smart locks, according to the release. Walkability and proximity to grocery stores were also important in this area, and over 80% of New York City residents showed interest in modular closets.

Renters in the South prioritized outdoor amenities, including green spaces, barbecue grills and community spaces. Reserved parking and covered garages were also high on the list of priorities in Atlanta, Dallas and Charlotte, North Carolina.

In California, private outdoor spaces were most important, particularly balconies or patios. Pools and fitness centers were a priority in the Sun Belt, while Midwest renters value in-unit laundry and indoor co-working spaces.

Over the past year, Multifamily Dive has talked to more than 20 apartment executives to understand how the industry views centralization and how companies are adopting it. For the sixth installment, we’re looking at the balancing act between in-person and centralization services. Click here for the fifth installment.

Allyson McKay, managing director and executive vice president of management services at San Antonio-based Embrey Partners, doesn’t need to be convinced that chatbots can help property managers gain leases.

“The chatbots answer questions,” McKay said. “We can see an ongoing dialogue with the chatbot. They are able to answer prospects’ questions and then send them to somebody to set an appointment, or they can even follow up.”

But is McKay ready to turn over her leasing operation to a chatbot army? Not quite.

“The key is trying to figure out how to leverage technology with the needs of the properties to help drive net operating income without losing customer service,” McKay said. 

Relying too much on chatbots risks losing the human element key to that customer experience. “A benchmark of our company is how we serve our residents and our associates,” she said.

The question that McKay is grappling with is challenging management companies around the country. Saving money and finding efficiencies is important, but operating apartments is a people business. Veering too far into automation can turn off residents and hurt retention. 

Many apartment operators have found that specific tasks can be automated, but having people on site is still the key to success. 

Meeting customers where they are

When asked why they’re looking to centralize processes ranging from leasing to bookkeeping to renewal management, most apartment operators point to serving the customer. 

For instance, in its customer relationship management system, Houston-based REIT Camden Property Trust can now easily track interactions with residents and prospects, including calls, texts and emails, helping it fine-tune its interactions. “The whole focus on centralization was a result of us wanting to provide a better customer experience,” said Laurie Baker, chief operating officer at Camden.

Like centralization, automation is helping some managers adapt to customer demand. 

The theory goes that today’s core renters, in their 20s and 30s, grew up in a connected world where communication migrated from a phone call to an email and now to a text message or an app. By adopting technology where renters can file a maintenance claim or shop for a studio apartment via a chatbot, the industry is simply meeting these customers where they are.

“We’re going as a society toward a self-serve economy,” said Yakov Belousov, executive director of operations for Alpharetta, Georgia-based property manager Pegasus Residential. “So I don’t think this is going away.”

Take self-guided tours, for instance. Not all prospects want to interact with leasing agents when they’re apartment shopping. 

“You do have those that don't want to talk to us or that want to look in the middle of the night because of their job demands or whatever else they may be doing,” McKay said. “They don't have that time.”

Don’t push too far

Not everyone wants to go through an apartment without a leasing agent present, however. 

“There are going to be people that still want to work with someone in person guiding them through,” said Cindy Clare, chief operating officer for Greensboro, North Carolina-based owner and manager Bell Partners. “So I think it's finding that balance and being able to look for efficiencies and ways to enhance the customer experience.”

Even operators who are open to centralizing tasks admit that people need to be on site in many situations, specifically with new construction.

“We just built a $150 million asset, and we want leadership on that property,” Baker said. “Think about the exposure. You don't want to walk into a beautiful 450-unit community that you've just spent that kind of money on, and there's no leadership on site. That's a scary thing for us.”

Embrey’s McKay also points to lease-ups and customer service in luxury buildings as places where the human touch is essential. 

“You need boots on the ground,” she said. “There's so much going on with the timing of people coming in, the availability of units and the expectation at the price point. How much service can you pull back and still expect to receive the high dollar rent?”

The human touch

If you put REITs like Denver-based UDR at one end of the spectrum as one of the most aggressive adopters of centralization with its stafferless properties, Diane Batayeh, CEO of Southfield, Michigan-based apartment manager Village Green, might be near the other end.

Batayeh can’t imagine a scenario where an apartment community — whether a lease-up or many years old — doesn’t have a dedicated manager. “Your property managers are essentially the CEO of that property,” she said. “They have the insight into a property’s unique characteristics, history, challenges and upside potential, and are trained to understand the investment goals of the owner.”

Batayeh isn’t opposed to adopting technology, but she doesn’t think functions that require human contact can be centralized.

“Take payables, for example,” Batayeh said. “You can streamline the process and have an automated system, but it requires a human being's review and approval to validate an expense prior to processing payment. Otherwise, it's subject to potential errors or makes it difficult to proactively manage costs.”

While many firms are pushing their renewal to centralized service, Batayeh thinks personal, on-site relationships are a key to retention.

“The centralization of lease renewals may work in situations that don’t require human interaction, such as when a resident is renewing based only on their desire or ability to accept the proposed rent increase,” Batayeh said. “There are many instances, however, when a resident is undecided and needs convincing. Someone at the corporate office of a management company who doesn't have a relationship with or know the sensitivities of that resident won’t be as effective at convincing that person of the value proposition of renewing.”

Seeking community

Apartment operators spend a lot of money trying to boost retention by building a sense of community and establishing bonds between residents. Having staffers on site is central to that mission, many managers say.

“These are people's homes, and that's very personal,” said Woody Stone, president of Dallas-based operator Cushman & Wakefield Multifamily Asset Services. “I think walking up to a kiosk or not having a relationship with people managing your home is not for most. We're betting that people want relationships and community.”

If apartment operators decide to rely too much on technology without remembering the human component, resident satisfaction and retention can suffer. 

“The residents want to interact,” McKay said. “They want to know who’s in the office. The teams are the ones that are putting on the community events that we want the residents to come to. We want to connect the residents with the rest of the resident profile so that they stay longer.”

Click here to sign up to receive multifamily and apartment news like this article in your inbox every weekday.

The number of renters of single-family homes in the U.S. is on the rise, up from 14 million in 2020 to 14.2 million in 2023, according to Minnesota-based data provider IPUMS.

High home prices, fluctuating mortgage rates and limited availability of for-sale homes have contributed to this home rental boom, as homeownership is out of reach for many who would like to live in a single-family home. In this environment, single-family rentals have “become the new starter home,” according to a report by Point2 Homes, a division of Yardi. 

Over the same period of time, the number of new single-family build-to-rent units has skyrocketed — up from 7,676 new deliveries in 2020 to 27,495 in 2023 — as developers aim to meet this demand. Another 45,400 single-family rentals are under construction, and 2024’s deliveries are set to surpass last year’s, according to Point2.

In a survey of 1,509 respondents — 1,020 who already rented a home and just under 500 more from potential renters — Point2 found that the top three reasons renters choose homes over apartments are more privacy, more space and having a yard or garden. Rent was the most influential factor on which homes renters chose, followed by house size, pet policy and the condition of the home. 

More than 59% of current renters said they were satisfied with their home, while 27.4% are neutral. However, over half of respondents — 51% — still say that they plan to buy a house in the near future. Only 18.9% say they foresee renting homes long-term.

While renting means residents can’t modify homes to their liking the way an owner can, more than 41% of respondents said they weren’t bothered by this restriction. In fact, 4% preferred it, choosing instead to personalize their spaces with their own items.

When asked what they could change if they could, 20.9% expressed a desire for an upgraded kitchen. Additional storage space and improved energy efficiency were other popular preferences. 

Unconventional features that could convince renters to switch homes were a sundeck, a workshop or craft room, or an area to garden. When asked which amenities might justify an increase in rent, the majority — 45.1% — cited utilities included in rent, followed by a swimming pool and upgraded kitchen appliances. 

Pets take top priority

Almost 69% of the survey’s respondents had pets, according to Point2. More than 13% said their pet was their main reason for renting a home over renting an apartment — a larger share than the 11.3% of house renters looking to accommodate a growing family.

For more than 23% of home renters, whether or not a property allows pets is a crucial deciding factor in whether or not they rent a home there. Close to 6% say that pet friendliness would justify an increase in rent. 

House renters in Generation Z also showed a particular preference for sustainability. Over 44% say that sustainability is an important deciding factor in their home choice, and an additional 7.3% say it is extremely important.

“By zeroing in on what matters most to single-family renters — like pet-friendly policies, privacy, space and sustainability — property managers and developers can tap into fresh opportunities and reshape the rental landscape,” the report said.

Mary Cook is the president and founder of design firm Mary Cook Associates. Opinions are the author’s own.

While the topic of personal fitness continues to top New Year’s resolutions, multifamily owners and designers should resolve to offer fitness amenities and programming using a research-backed approach that considers the preferences of their specific residents.

In the early phases for new projects, developers often tell our design team that they want an emphasis on fitness. But what does this really mean? The concept of fitness can be vague and broad, often representing something different for various age groups and even geographic locations.

Here are some key insights into the nuances of target audience preferences to best inform the design of fitness spaces that will attract, engage and keep residents coming back.

Boomers keep moving

While fitness and exercise was seen as a chore by many baby boomers in earlier years, they’re now motivated to keep moving to stay healthy and boost longevity. Fitness programs designed especially for this demographic, such as those that build strength, foster bone density, improve balance and coordination and increase overall vitality for activities of daily living, appeal to boomers who want to age well.

Boomers also enjoy group activities that provide opportunities to socialize and connect over shared interests. Pickleball, tennis, golf, organized group walks, bicycle rides and hikes invite residents to actively engage with each other and the outdoors.

Exercising in conjunction with a weight loss program, including activities that foster healthy eating and cooking, provides additional fitness opportunities that are also social. Swimming and water aerobics are also very popular with this age group.

To cap off any workout, boomers love soaking up heat therapy in saunas, steam rooms and hot tubs. These fitness add-ons are in constant use in 55+ communities.

Gen X sets goals

Gen X straddles millennials and baby boomers when it comes to wellness habits, sometimes adopting preferences from each cohort. 

This generation values staying active and fit with great emphasis on stress relief. They appreciate time-saving routines that deliver results. 

They often rely on wearables and apps to track progress and comfortably integrate technology into their workouts. Gen X also recognizes the value of social and community aspects in their fitness routines, such as group fitness classes, team sports and fitness challenges, which provide opportunities for social interaction and camaraderie.

Millennials, Gen Z fully integrate fitness

Millennials and members of Generation Z are wellness-minded and incorporate fitness into their identities and everyday lives. As digital natives, they utilize digital tools to track activity, monitor progress and train smarter with data analytics. In particular, biohacking — making small behavior changes to improve health— has surged in popularity due to its blend of technology and ability for users to customize and self-direct their wellness and fitness routines.

These renters also capitalize on social apps to make fitness a shared experience by posting pictures, videos, stats and updates with friends and family. Apps like Strava, Zwift and Nike Training Club effectively keep users motivated and engaged so it’s critical that fitness centers are wired and designed for socialized workouts. 

The more aesthetic and impactful the backgrounds, lighting and design of fitness spaces, the more likely it is that the workout will be shared on social media — delivering your property’s branding to a wider audience. 

Fitness trends that imitate natural healing properties continue to gain popularity with Millennials in particular. Red light therapy, which uses non-UV red light lamps to instill rejuvenation and promote muscle toning, is increasingly offered at commercial fitness centers. Including this offering on-site will keep residents from leaving the building for their fitness needs.

Access to outdoor open lawn areas with privacy for grounding — the practice of walking barefoot on natural surfaces to connect to the earth's electrical charge —  Pulsed Electro Magnetic Field mats, meditation, yoga or even a cold plunge add a competitive edge to fitness offerings.

Beautiful spaces enhance wellness

Despite their differences, renters of any age enjoy beautiful surroundings for their workouts.

Everyone knows exercise boosts endorphins. But neuroscientists, such as Semir Zeki, are proving that experiencing beauty stimulates production of the same kind of feel-good hormones. So, when a fitness center is designed with specific aesthetics in mind, high-performing fitness equipment gets more use. Workouts simply feel better with an interesting and engaging backdrop.

Nostalgia-minded gyms are increasingly popping up with the appeal of beautifully designed fitness equipment and the classic, branded feel of an elite club. The 87 at Notre Dame, a recently opened off-campus student housing community in South Bend, Indiana, draws residents into its fitness center and adjacent lounge with nostalgic athletic memorabilia that celebrates the university’s rich athletic legacy. 

Photographs, sporting equipment, pennants and flags, and other design elements including trim on the ceiling that mimics Notre Dame’s infamous football field end-zone graphics, invite residents to interact with the past within a relevant, connected, hip and authentic setting.