The Demand Solutions Blog

The Quickest Way to Reduce Vacancy Loss As Much As 75bps

Posted by Donald Davidoff on May 21, 2018 2:00:00 PM

I was recently reviewing detailed lease data for a large metropolitan market for one of my clients and saw something that absolutely fascinated me. Fully one-third of the leases had synchronized expirations at the end of the month rather than exactly one-year leases.

This harkened back to the days of 1999 when, at Talus Solutions (the company I worked for back then), we were doing analysis and simulation for Archstone in the work that would eventually lead to the creation of LRO, the industry’s first automated pricing and revenue management system.

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Topics: Longstanding Vacant Units

3 Strategies to Fill Your Long-Standing Vacant Apartments

Posted by Donald Davidoff on Aug 24, 2016 12:00:00 PM

Vacancy loss is the bane of all multifamily housing operators. Once an apartment is empty, that revenue opportunity is lost forever. So it’s not surprising that all sorts of methods (and madness) have evolved to deal with units that have been vacant for a long while—the so-called “long-standing vacant” (LSV).

Over the past 10 years, multifamily housing (MFH) has seen rapid adoption of automated pricing and revenue management (PRM) systems. By now, I’m guessing more than half of professionally managed multifamily units are priced using some form of automated PRM system.

Yet, there are still many business practices that affect optimizing revenue for all MFH operators, whether on an automated system or not. Among the most critical of those is dealing with LSVs.

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Topics: pricing and revenue management, Longstanding Vacant Units, Long Standing Vacant