NOVEMBER DECEMBER 2009
Bigger Profits With
“No Risk” By Tim Zehring
The task of owning and managing an apartment building can seem overwhelming at times. A feeling of fear can be caused by the thought of all the things that could possibly go wrong with ownership of an apartment building. There are many risks associated with apartment buildings, and those risks can reduce or wipe out your profits! Eliminating your risks is one way to ensure bigger profits.
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roper preventative maintenance and management can prevent most problems before they arise. This is especially true when it comes to the risks associated with criminal activity. A Corpus Christi, TX woman was raped in her apartment and she sued, receiving a $17.1 million dollar judgment. A former mayor of Beverly Hills, CA was sued because of a shooting at his apartment community. The Wall Street Journal reported a $12.6 million dollar judgment on that case. Recently, Apartments.com conducted a poll, asking apartment dwellers to share their thoughts about crime. Does it surprise you that 97% of the people who took the survey said that when they look for an apartment, crime plays a significant part in where they choose to live? Many surveys have been conducted over the years, and a simple Internet search shows that crime has been the number one concern in our country for many years. All across the United States, people are being robbed, raped, assaulted, murdered, battered, shot, stabbed, and maimed. The average arrest clearance rate for these offenses is about 26%, a number
that is not very encouraging. If criminals are not caught and jailed, they will usually continue to commit crimes. Crime knows no address and no one is immune from the numerous types of crime risks, but the presence of crime is not something most apartment owners or property managers are comfortable talking about with their residents. Ignoring the risk of crime will not make it go away. In fact, it is not uncommon to see criminal activity is increased when the awareness of crime is decreased. A quick scan of recent news stories on the Internet reveals that in Austin, Texas neighbors are saying, “Crime riddled apartments need a clean up.” In Virginia, residents living near a Virginia Beach apartment community were shaken by a police standoff at a neighboring apartment community. In Bethesda, Maryland a protest petition was signed by more than 40 local property owners who feared that a proposed rental housing development would depreciate their property values and bring crime into the neighborhood. This recent Apartments.com survey reported that apartments are eighty-five percent more likely to be victimized by burglaries
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