NAA Today - June 21, 2013 by National Apartment Association

Friday, June 21

Maintence Mania

TODAY’S SCHEDULE 7 a.m. – 6 p.m.

Registration Open NAA Lobby Open Lobby D

7 a.m. – 5 p.m.

Exhibitor Registration Open Lobby D

7:30 a.m. – 8 a.m. Coffee Break

8 a.m. – 9:30 a.m.

General Session with Erik Wahl Hall C

NAA Rocks the Block

Trillion Dollar Industry

FRIDAY GENERAL SESSION SPEAKER

Portrait Of An Artist: Erik Wahl nternationally recognized graffiti artist Erik Wahl is a different brand of keynote speaker. He paints and motivates, creating unbelievable artworks as a metaphor for the core of his message: Pushing organizations toward profitability through innovation and superior levels of performance—a goal no doubt sought by owners and property managers. Wahl says the key to the best sustainable edge in business is an organization’s ability to differentiate itself, and 2013 NAA Education

9:45 a.m. – 11:15 a.m. Thought Leader: Janine Driver

Breakout Education Sessions

11:15 a.m. – 5 p.m.

NAA & NAAEI Committee Meetings

11:15 a.m. – 5 p.m.

NAA Exposition Open with Lunch (Lunch served 11:15 a.m.–1:15 p.m.) Hall F

12:30 p.m. – 5 p.m.

Lyceum Session (Registered Candidates Only) Room 28DE (Upper Level)

Erik Wahl

2:15 p.m. – 3:45 p.m. Thought Leader: Michael Wood

Breakout Education Sessions

3:30 p.m. – 4 p.m.

Refreshment Break (East Terrace-Upper Level)

4 p.m. – 5:30 p.m. Thought Leader: Janine Driver

Breakout Education Sessions

5:30 p.m. – 6 p.m.

Refreshment Break (East Terrace–Upper Level)

NAA Today Sponsored by Criterion Brock

Conference & Exposition attendees will learn how to achieve greater success through differentiation by pushing their boundaries at 8 a.m. Friday. During the last decade, Wahl has shared this message with clients that include archetypes of creativity like Disney, as well as industry leaders in telecommunications, logistics, energy, finance and higher education, from FedEx and Exxon Mobil to Ernst & Young and the London School of Business. He’s also spoken at previous NAA events, and if the past ovations are any indication of what attendees can expect this year, his presentation is certain to be another hit. Wahl’s drive to approach art differently stems from the frustration experienced during an eight-year career in the corporate arena. He cites the lack of innovative thought

and the corresponding profits as the primary reason he set out to challenge companies to shift their way of thinking while simultaneously pursuing his passion of art. Wahl is well known for the masterpieces he creates onstage, likenesses of the Statue of Liberty, Abraham Lincoln, Albert Einstein and other instantly recognizable figures. He leaves them with the people and companies he speaks to serve as a reminder of his passion for breakthrough thinking. Wahl’s entertaining and practical program— “The Art of Vision” — uncovers ways in which your organization can be more creative, innovative and profitable by helping to understand the need for better storytelling. Oh, and one more thing attendees have to look forward to: Wahl’s “Art Drop.” During the conference, he will be hiding one of his famous artworks valued at more than $10,000 somewhere in the San Diego Convention Center for one lucky treasure-hunting conference attendee to take home as a souvenir and as a reminder from Wahl to “be different.” Sponsored by:

Friday, June 21, 8 a.m. to 9:30 a.m.

Largest NAA Exposition Ever! The NAA Exposition opened yesterday and NAA attendees found thousands of products and services in all areas of property and facility management on display. There are companies here that are ready to develop a strategic partnership with you and propel your business objectives forward, so make sure you visit the NAA Exposition today! The NAA Exposition space is larger than four football fields and features 855 booths and 376 exhibiting companies, making this year’s NAA Exposition the largest ever! The NAA Exposition hours today are: 11:15 a.m. – 5 p.m. (Lunch served 11:15 a.m.–1:15 p.m.)

NAA TODAY

FRIDAY

A Split-Second Champion

Sixth Time's the Charm for Wichita's Heenan

is six-year quest for the title is over. After competing in the Maintenance Mania National Championship since 2008, Key Management’s Justin Heenan of Wichita, Kan., was crowned NAA Maintenance Mania Champion at the 7th annual competition yesterday. With an overall time of 1 minute, 23.838 seconds, Heenan earned the top prize, sponsored by HD Supply. He was followed by Billerica, Mass.-based Horizon Realty Management’s Jason Frotten (1:24.627) in second and Indianapolis-based Van Rooy Properties’ Brian Niehaus (1:28.746) in third. “When Jason got second place, I knew I had first—but when they called my name, it was crazy,” said Heenan, who thanked the sponsors for their support in each of the eight events. “This is pretty awesome.”

Also taking home a prize were representatives from the San Diego County Apartment Association, winners of the Spirit Award, who came to support hometown favorite Joel Martinez, Lincoln Military Housing. “It was so much fun to get behind all the contestants and have a fun rivalry with the other associations—it was the best,” said Jeannie Alliss, Director of Advertising and Events for the Apartment Association of Orange County. Other highlights included 18-year-old competitor Wesley Fonseca of Post Properties, Inc., whose parents flew from Atlanta to cheer on their son. “I’ve had the time of my life and I really do appreciate the opportunity to be here,” said Fonseca, who has just one year of experience as a maintenance technician.

Creating Calm

Panelists Share Strategy for Asset Turnover

he 90-day period surrounding the time a management company takes over a new asset can be harrowing— fraught with potential mistakes and miscalculations. By applying the sound advice offered by panelists Barbara Savona, CEO, Sprout Marketing, and Jeffrey Weissman, Executive Vice President, Lynd Company, given during “From Pro Forma to Performance: How to Make Your New Asset Hum in the First 90 Days” yesterday, operators and staff will experience a cleaner, stress-free transition.

You must assume all data is suspect, Savona says. “Errors aren’t necessarily due to malice or mean intentions, it might just be that the data was wrong from the get-go and no one bothered to check and verify it.” Weissman suggests looking deeper into the files. “Don’t only review the last lease transaction or document. Dig deeper.” Proper research as a part of your overall due diligence will pay off. Find an on-the-ground expert who can tell you the “offline” story about the community. Visit that area’s government records to see if any fines might be due or if anything else is outstanding. Visit local community leaders to gain a sense of the background of the area or what its cultural composition is like. Learn some history so you can do things correctly right from the get-go, the panelists say. Shop the comps. “You’d be amazed at how much detail the competition might share about your neighborhood if you ask. Use that to your advantage,” Weismann says. Create a standard due diligence checklist that you use each and every time, with any acquisition, to ensure consistency.

The checklist should cover everything, including the small stuff, Weissman says. Check the computers for compatibility with your software, the passwords, how to reset the router, the security system, and make a personal property checklist. Be sure you know who is monitoring your fire alarms in case those go off, he says. An ideal, typical starting staff should include a Regional Manager, Property Manager, Human Resources professional, Leasing Professional, one or two Assistant Managers and one or two Maintenance Technicians, they say. Make sure the existing onsite team you inherit knows the situation and goals you have as the new management team, and convey this, too, to any current staff you add to this new asset’s onsite team. Weissman says holding a town-hall style meeting with residents initially is effective. “Be prepared by knowing what issues, challenges and complaints might be ongoing, but more importantly, just listen,” he says. “I’m cautious about addressing this by taking a resident survey, unless you know you are going to act on the survey results.” Savona adds, “Do what you say you are going to do for the residents. You don’t have to do it all the first day, but build goodwill be achieving these things little by little.” Just keep in mind, the owner who you are taking over for will expect you to get all of this right from the start. If you re interested in a full recording of this session, email education@naahq.org.

Visit Yardi at NAA Booth #1131

YARDI Voyager 7S™ Our comprehensive property management and accounting platform with full mobility accessible from any major browser

YARDI Marketing Suite™ A single platform for end-to-end property marketing, online leasing, and resident services

YARDI Multifamily Suite™ An extension of the Voyager property management platform with integrated ancillary solutions and unprecedented business intelligence

YARDI Mobile Solutions™ On-the-go access to complete marketing, leasing and management tasks from your mobile device To learn more visit www.yardi.com/multifamily or call 1-800-866-1144

NAA TODAY

FRIDAY

Members Celebrate at Opening Party Thousands of attendees

“rocked the block’’ last night at the NAA Education Conference & Exposition’s Opening Party in San Diego’s historic Gas Lamp Quarter. Proof that NAA members play as hard as they work, everyone enjoyed a beautiful evening under the stars with food, drink and dancing at some of San Diego’s finest establishments.

Prize Drawing Winners Ginger Long Director, Marketing & Training CLK Management Indianapolis

Jonathan Cohen Vice President Westminster Management Bedford Heights, Ohio

Brian Baker Regional Manager Cortland Partners Atlanta

NAAEI-Sponsored Military Career Fair Brings Talent to Apartment Industry Carrying strong, advanced technical skill sets and a solid work ethic based on teamwork, more than 175 veterans, transitioning military and military spouses introduced themselves to the apartment industry this week during the first NAAEI Military Career Fair held in conjunction with the 2013 NAA Education Conference & Exposition at the San Diego Convention Center. Some 25 multifamily industry companies participated. Below, a veteran seeking employment in the apartment industry speaks with a hiring company about opportunities. To learn about apartment industry careers, please visit www.apartmentcareerhq.org or www.apartmentcareers.com.

START ACCEPTING CREDIT CARDS

AND LET THEM PAY THE WAY THEY WANT TO PAY

AT ZERO COST TO YOU

Plastiq makes payments easy, efficient and rewarding. Visit plastiq.com to see how you can start accepting credit card payments — one-time and recurring — at no cost to you. plastiq.com

NAA TODAY

FRIDAY

“The Trillion Dollar Apartment Industry”

espite the worst economy in a generation, the combined spending by the apartment industry and its residents generated $1.1 trillion to the national economy and supported 25.7 million jobs in 2011. Through economic highs and lows, the contributions of multifamily rental housing to national, state and local economies have remained a positive, lasting power. University Professor and Director of the Center for Regional Analysis at George Mason University Stephen S. Fuller Ph.D., recently completed research to quantify apartments’ important and sustained economic contributions; the results are featured in the report, “The Trillion Dollar Apartment Industry,” published by NAA and the National Multi Housing Council. Despite the worst economy in a generation, the combined spending by the apartment industry and its residents generated an economic contribution of $1.1 trillion to the national economy and supported 25.7 million jobs in 2011, the most recent year for which data are available.

To put this number in perspective, that means that apartments and the people who live in them contribute, on average, more than $3 billion a day to the economy. In addition to covering the economic impact of new apartment construction, existing apartment operations and apartment resident spending activity on the national and state levels, the report also provides measures of the economic impact of apartment construction and operations in select metro areas. With this information, industry stakeholders and federal, state and local officials can better estimate the substantial, sustained contribution apartments make to their communities and the nation as a whole. Apartment operations spending also created $56.8 billion in personal earnings and supported a total of 2.3 million jobs. Apartment firms directly employed workers in 686,000 onsite positions such as property managers, leasing agents and maintenance workers. Apartment operations also indirectly supported nearly 1.7 million more jobs from companies providing goods and services to apartment firms, as well as the people they employ.

The report’s data also showed other key factors: • Compared with the economic activity generated by new apartment construction, ongoing apartment operations generated four times the dollars for the economy and supported seven times the jobs. • Operating 100 apartment homes generates $352,000 in direct spending and supports 8.5 jobs in operations. • The total impact of just one of the nation’s 17.1 million occupied apartments contributes, on average, $64,327 to the national economy annually.

Four Books That Made A Difference For Me

NAA Chairman of the Board Alexandra Jackiw, CAPS, CPM Managing Director Residential Client Services McKinley, Inc.

The Tipping Point Malcolm Gladwell

The Last Lecture Randy Pausch

It changed the way I think about everything because Gladwell describes certain personality types who are natural pollinators of new ideas and trends. He creates a road map for change and shows how one person with imagination applying a wellplaced lever can move the world.

A dying professor recently diagnosed with terminal cancer talks about the importance of overcoming obstacles, of enabling the dreams of others, and of seizing every moment. Reading this wonderful book made me think about what I want to leave as my legacy after I am gone.

hen I woke up yesterday morning, my head full of “Anchorman” quotes and my purse full of complimentary dinner mints, I was excited to get our first full conference day underway. As an Education Conference & Exposition vet (it’s my fourth year, so I know people), I’ve heard a lot of great speakers, attended many informative education sessions and eaten my body weight in potstickers at various networking receptions. And

Extraordinary, Ordinary People Condoleeza Rice It’s an absolutely wonderful story about the grit and determination of a family living in racially charged Birmingham, Ala., and how Condoleeza was able to thrive and achieve everything she ultimately did. I couldn’t help but admire how two exceptional parents, an extended family and a community made all the difference in the life of a little girl trying to find her place in a hostile world.

I can say that yesterday was one the best conference days to date. Thought Leader and former combat pilot Vernice “FlyGirl” Armour was, well, pretty fly, and energized attendees first thing in the morning. I left with an inspired heart and a head now full of “Top Gun” quotes. After flying myself on over to a coffee station, I saddled up for a second Thought Leader presentation by Chuck Martin. Flip phone in hand, I listened to his message of “A World Gone Mobile.” I almost left the convention center to go and buy a smartphone. Almost. Instead, I dipped into every nook and cranny near the General Session in the hope of spotting Moderator Bill Rancic, preferably with son Duke in a Baby Bjorn. No such luck, but I was able to admire him from afar during a captivating discussion with Sir Richard Branson. We made eye contact at one point, and I'm fairly confident I’ll be invited to Necker Island for a long weekend.

Travels with Charley John Steinbeck I love Steinbeck’s tale about taking off in his camper truck with his pet poodle, Charley, to travel across the United States and learn about this great country and its people. It made me want to travel and truly embrace the unique differences in America and learn about how people contribute to making this country so unique.

Next, it was time for the NAA Exposition Grand Opening, followed by the Maintenance Mania National Championship. There's a flickering light bulb that has made my apartment one glow stick short of a rave scene for the past four months, so I have a lot of respect for people who are skilled in such maintenance tasks. Congratulations to Justin Heenan, who is welcome to change that light Lauren Boston APTly Spoken Blog bulb anytime. The night ended with NAA’s Opening Party in the Gaslamp Quarter, where more potstickers were had. Today, I woke up energized (OK, tired) and ready for another fun day. Stay classy, NAA.

NAA TODAY

FRIDAY

First-Time Attendee Impressions

Cara Hafner District Manager Nolan Real Estate Services Kansas City

Cindy Garcia Office Manager Ayala Properties Central Valley, Calif.

Paul Cooper Owner North Valley Property Management Chico, Calif.

Seanlai Cochrane CEO Platinum Construction Oklahoma City, Okla.

“I’m so glad to finally be here. My colleagues have told me that when you come you will gain all this information and discover great ideas for your property. Sure enough, the session information is clean and concise, and organized and understandable. It’s just what you need. This first day, I’m just absorbing it all. And [Thursday night] I will take in all the excitement.”

“My boss has been coming for years and he’s always wanted to bring some of his staff. Having the conference here is perfect, since our office is in California. I love the lineup of sessions to go to and things to do—there are so many options! I’m here with three others from my company. We’re excited about going to the exhibit hall because we’ve heard so many great things about it.”

“Sir Richard Branson is a beast. I loved him. We just joined NAA at the local level and I wanted to check it out. I had no expectations, but so far everything has been great. I had no idea that the kick-off reception would be so fun, and all the free food and drinks that came with it.”

“We just learned about the conference two weeks ago and a couple of people said we had to attend. We just got into property management, so it made sense. The education sessions were fantastic because the panel encouraged questions and they gave great answers. Love all the prizes and fun.”

Life is good® Founder to Speak at Awards Breakfast

hough it’s the final day of the conference, there’s still plenty of excitement to share on Saturday. Attendees are encouraged attend the NAA Awards Celebration Breakfast at 8:45 a.m. in Hall C. There, the NAA PARAGON Award winners will be announced, including the 2013 NAA PARAGON Community of the Year. The PARAGONS recognize the industry’s top national communities, associations and talent. NAA Education Institute also will present its Apartment Career Education (ACE) awards. A list of recipients appears on pages 49-50 of the Conference Program Guide. Following will be an inspiring presentation by Bert Jacobs, co-founder with brother John of Life is good®. Jacobs is a successful businessman with an innovative outlook on life,

who will entertain and inspire. Jacobs got his start in Boston in 1989 selling t-shirts out of the back of a van at fairs and colleges along the Eastern seaboard. They admittedly knew little about the t-shirt business. Five years later, they nearly folded the company following a less-than-successful sales tour. Searching for answers to keep their dream alive and, whether by a twist of fate, luck or coincidence, the solution turned out to be hanging on the living room wall of their apartment. That was 1994 — sales of Life is good® now annually eclipse $100 million. Jacobs defines branding as “knowing who you are and acting like it,” and ensuring that each business decision reflects an acute understanding of the organization’s brand and its values.

NAA TODAY

QUESTION OF THE DAY

What's Your Best Find on the Expo Floor?

Michael Baker Regional Vice President, East Coast BH Management Washington, D.C.

Rachael Kish Marketing & Staffing Development Midas Capital Glendale, Ariz.

“I saw a great fence built with artificial materials that was low-maintenance and had a 20-year warranty. It was easy to wash; you can rinse graffiti right off of it. It's more expensive, but it's appealing for us to use as either around our Dumpsters or as a sound barrier.”

“One software company’s products are built to the needs of younger employees and residents. It is mobile-based, which is great because residents today search for apartments with their cell phones. It uses training videos instead of big, printed instruction manuals.”

Steve Harvey Regional Vice President Ambling Valdosta, Ga.

“I saw some great fitness equipment that would be great for residents of any age—youngsters to elderly. I got a real workout. You run around and touch lighted buttons. It makes physical fitness fun. It would appeal to all kinds of our residents.”

FRIDAY

NAA TODAY

JUNE 21

Mobile Marketing Insights: Top Trends to Watch in 2013

he importance of Mobile Marketing to multifamily owners and managers is growing every day. There are now 2.4 billion Internet users around the world1, and the total continues to grow. Mobile usage is expanding at lightning speed, and the shifting online landscape has become more social and content rich, with expanded use of photos, video and audio. And now with more than one billion smartphones2 in consumer’s hands in 2013 to date, mobile is driving a second Internet revolution creating new value for consumers and businesses.

Increasingly you are seeing more “green” airline travelers using their smartphones for boarding passes and tickets, and mobile-savvy shoppers pulling up websites or store emails displaying the hot coupon for the week. You can even receive receipts for purchases via your smartphone if preferred. “Mobile is a behavior, not a technology. It’s about accessing content wherever you are. It’s really the use that is mobile, not the device,” Anna Bager, VP and GM, Interactive Advertising Bureau’s Mobile Marketing Center of Excellence, said in an interview with ClickZ.3

Changing Behavior As the number of mobile devices has amplified over the past few years, user engagement on these platforms has increased significantly. Driving this mobile shift is immediacy and convenience, which has combined to alter people’s behavior. Consumers are changing their normal routines and behavior by using these devices while shopping, banking, and traveling to name a few. They do research at the store, check bank balances or deposit a check anywhere, and they’d be lost traveling without their smartphone’s GPS. Consequently, mobile phones have replaced cameras, maps, cash registers, TV remotes, and portable gaming devices.

There’s an App for That With the ever-increasing usage of mobile devices, first-to-market Apartment Guide is one company that has focused considerable resources on the mobile apartment search experience and launched the industry’s first mobile applications for all major platforms. AG’s Sr. Product Manager Brian Lee recommends, “Users expect an app that is both simple to use and offers advanced capabilities, and mobile apps that allow users to save their favorites are more desirable. Additionally, offering the ability to search via an interactive map has grown in popularity in the past couple of years.” Brian adds that his company has seen an increase in the number of “casual apartment

NAA: REMOVING BARRIERS EXPANDING MARKETS “As the real estate sector becomes much more global, the need to equip our members in this global economy has grown,” says NAA International Task Force Chair Rick Graf, President and CEO, Pinnacle. Possibilities are endless for those joining the task force. It was formed to support members seeking to expand their business operations into foreign markets, as well as to facilitate the flow of foreign investment to multifamily housing into the United States. New relationships and opportunities are being forged year-round by NAA, which participates in significant real estate professional gatherings worldwide in areas such as South America, Germany and Mexico. The events provide U.S.-based owners and supplier companies a platform to explore business opportunities in foreign markets and to establish relationships with influential organizations abroad.

by Kate Silva

shoppers” using mobile devices to look at properties outside of their normal shopping experience. Some of the Top Trends for 2013 — “The Year of Connected Brands on Mobile”5 In regards to the impact mobile continues to have, here are a few interesting trends to watch: • “Responsive design” offers brands a customer-centric approach to create a consistent and optimized experience across screens, however, it is neither cheap nor easy to implement.2 • Mobile platforms will be the catalyst for next-generation connected experiences. Biggest trend is “Everywhere Computing” such as wearables [e.g. Google glasses], drivables, flyables, scanables — and faster than the typical 10-year cycle. • Mobile “digital wallets” will emerge and go beyond payments by adding receipts, vouchers, and loyalty services.2 • “Augmented reality” (AR) is where Marketers can create AR applications that let customers point their mobile cameras at products to obtain relevant information about the products, such as reviews and discounts.4

• Mobile requires a total shift in marketing approach; Marketers will move from “We have mobile” to “Mobile helps us differentiate ourselves from our competition.” • Tablets will be the biggest short-term disruptors; tablets are more a PC replacement than a mobile phone. • Marketers who use mobile effectively will find that it is a game changer and that it truly allows you to have a direct relationship with your customers. Looking forward to seeing what is next. NOTES: 1. Source: Kleiner Perkins Caulfield & Byers, KPCB Internet Trends 2013 Report, May 29, 2013 2. Source: Forrester® Research, 2013 Mobile Trends for Marketers, Thomas Husson and Julie A. Ask, February 13, 2013 3. Source: Marketing Sherpa BLOG, 2013 Mobile Marketing Trends: 2 key data points to help you understand this growing behavior, Daniel Burstein, February 12, 2013. 4. Source: CMO.com, 6 Mobile Marketing Trends of 2013, Jessica Davis, March 15, 2013 5. Source: greatfinds.icrossing.com, 8 Mobile Marketing Trends for 2013, Rachel Pasqua, January 10, 2013.

Look Who’s Joining Us at the NAA Advocacy Lounge! Have your picture taken with President and First Lady Obama with the Oval Office in the background! Your photo op with these cardboard cutouts of the President and First Lady will be one of many activities going on in the NAA Advocacy Lounge, located near the Registration Desk through Friday. Since education is the key to being an effective advocate for the apartment industry, the NAA Advocacy Lounge will be THE place to be! Join us to: • Learn how the new public relations campaign website – www.WeAreApartments.org – can be your “go-to” place for building the case for apartments in your community. The site navigates users through an interactive experience showing how communities grow stronger through apartment jobs, dollars and residents. The site also features an interactive map of apartment information for all 50 states along with a one-of-akind calculator to determine the potential economic contribution of any apartment development to a particular state. • Find out about the new PR campaign, which includes print, digital and radio ads that have been running in Politico and major Washington, D.C.-based news radio stations. NAA affiliated associations and member companies are encouraged to use the campaign in their communities.

• Advocate for the industry at the Legislative Action Center. Use the economic impact data from www.WeAreApartments.org to tell your Senators how apartments strengthen the economy in your state. • Win an original Erik Wahl masterpiece. Guess the number of pennies in the jar in this Wahl to Wall Advocacy campaign and you could win your own painting. The winner will be announced at the NAA Assembly of Delegates meeting! Thank you to Azuma Leasing for donating this masterpiece! • Contribute to the iDonate to iWin iRaffle. Join your peers as an apartment industry advocate for your chance to win an Apple suite of products valued at $1,500. Your contribution to the NAAPAC or the NAA Better Government Fund makes you eligible to win. Envelopes will be available at Thursday’s General Session and dropped off at the NAA Advocacy Lounge. The winner will be announced at Saturday’s NAA Awards Celebration with Bert Jacobs. You do not need to be present to win. Thank you to Valet Waste for this great opportunity! • Be one of the first 500 people at the NAA Advocacy Lounge and you can receive a flashing LED bracelet that says “Apartment Advocate.”

We hope to see you there!