Five Critical Ingredients For Successful Multifamily Asset Management During A Pandemic
The Covid-19 epidemic had a devastating impact on businesses, including travel, hospitality, and food. While government initiatives mitigated some of these consequences, the suffering firms and workers experienced was real. Pandemic-related difficulties impeded multifamily housing owners and operators. Throughout this, the truth emerged that those impacted would find themselves in desperate need of homes. Don’t worry! PaydayChampion is always here and may help you with the money you need.
Income sources drying up had a significant impact on the multifamily housing market. However, early detection of impending difficulties enabled swift response, which resulted in at least a partial reduction of negative consequences.
As soon as the epidemic began to spread among the general population, it became clear to my business that no geographic region in the United States would be immune. All strata of society would be touched, as would our over $600 million asset portfolio. In keeping with our unique investor-centric emphasis, we owe it to our investors to avoid or minimize risk to their investments or trust in us.
Our activities were many but uniform across all of our assets, regardless of region. These processes were communicated to on-site managers, and we had a weekly meeting to verify that all tasks were executed accurately and on schedule. Additionally, investors were kept informed of these measures and related matters through pre-established communication methods such as emails, newsletters, and the like. We are still here two years later.
Our success was attributed to the following five strategies:
1. Data Collection
Our first and most crucial worry was identifying the delinquencies that would result from job loss. Fortunately, all of our assets had previously standardized collecting information on people’s present and previous employment. Using this data, it was feasible to predict the amount of delinquency we may anticipate with a reasonable degree of precision and accuracy. For instance, one of our properties employed a sizable number of workers in the food business, and hence our prediction was adjusted correspondingly.
2. Setting a Priority for Actionable Messaging
We constantly monitored congressional legislation, such as the Paycheck Protection Program and stimulus payment schemes. We disseminated pertinent information to people (some of whom had already been laid off) and directed them to sources of government help. By creating a sympathetic and proactive communications strategy, we guaranteed that when benefits were received, paying rent took precedence. Thus, the rise in delinquency at all of our properties was kept to a minimum.
3. Implementing Preventative Health Measures
We implemented many health regimens concurrently with data collecting. All CDC and municipal health regulations were followed. Signs promoting social distancing, handwashing, and other health-related topics were displayed. Access to locations designated for community use was restricted. Health authority standards routinely cleaned these locations.
As scientific knowledge of the pandemic grew, the CDC’s health warnings were closely reviewed and new measures implemented. Vaccine information, including testing and vaccination locations, was widely posted or emailed to each home. Additionally, we requested residents report any illnesses, and these units were isolated to the most significant degree feasible. Additionally, assistance was offered in shopping and, in a few instances, meals. All of our assets are operated under the mantra “we care,” and these acts are an extension of that. My organization is persuaded that these measures improve resident retention and referrals.
4. Continual Monitoring of Government Assistance Programs
The US and state governments recognized they were confronted with a potentially disastrous scenario. Regardless of party affiliation, the government collaborated on multiple loans and stimulus packages, including forgiven loans, direct payments, tax credits, grants, and enhanced jobless benefits, to keep the economy afloat. These measures had a sizeable beneficial influence on the overall economy. We watched and requested every available aid to guarantee our ability to continue hiring workers and limit delinquency losses.
5. Placing a premium on employee well-being
Our personnel was vital during these trying times. They, too, faced obstacles, such as homeschooling, childcare, family illness, and solitude. Our personnel overcame these and every other conceivable challenge with grit and flair. They were, in our opinion, actual “frontline” employees, and we treated them as such. There is no “one-size-fits-all” answer to tragedies, but we worked tirelessly to aid in their recovery. Minor changes may go a long way toward ensuring that your workforce acts as advocates in protecting and growing your asset. Never underestimate your management’s responsibilities toward them, and always lead with a human-centered mindset.
It’s been a challenging moment for everyone, including my firm. However, we demonstrated that barriers could be overcome with the appropriate mindset and tolerance. Future crises will undoubtedly need similar balances of rapid thought and thorough preparation. You take your firm to a new level by achieving this equilibrium, benefiting locals, employees, and investors alike. They are deserving.