Spring 2021 Window Magazine

ON RENTAL HOUSING

SPRING 2021

THIS ISSUE:

2021 WINTER STORM

AAA Water

Delivery

26

PG.

20 Winter Storm Aftermath Lingers 30 Spring Golf at Top Golf 32 Rent Relief 42 Red Cross Disaster Preparedness

T H E O F F I C I A L P U B L I C AT I O N O F T H E

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CONTENTS SPRING 2021 ISSUE

FEATURES 20 Red Cross Disaster Preparedness

Be Red Cross Ready Next Time Disaster Strikes

24 NextGen Selfie

Scavenger Hunt Join Us Next Time

26 Community Connection

Supplier Members Deliver Water to Apartment Communities After the Winter Storm

30 Winter Storm

Aftermath Lingers

By Paul Cauduro, AAA Director of Government Relations

32

Spring Golf at Top Golf This highly anticipated Top Golf tournament on March 25th was our first in-person event of 2021.

38

TAA & NAA Highlights

42 Rent Relief

Apply for Both State & Local

2021 / SPRING /

3

The Official Publication of the

AUS TIN APA RTMENT ASSOCIATION 8620 Burnet Road #475 Austin, TX 78757 512.323.0990 www.austinaptassoc.com

Communications Committee Chairs Danielle Archuleta (844) 433-3824 Stephanie Naylor (512) 335-8138

Executive Editor Emily Blair, CAE

Managing Editor Amber Collins

Association Staff

26

Community Connection Supplier Members Deliver Water to Apartment Communities After the Winter Storm

IN EV E RY I SSUE 5 Letter from the Editor 6 Leadership 7 Calendar 9 Presidents Perspective 10 Market Report

12 Industry Update 16 New Members 46 Education Opportunities 48 Law In Order

Emily Blair, CAE, Executive Vice President, emily@austinaptassoc.com Dana Bolz, CMP, Director of Events/Meetings,

ADVE RTI SE R I N DE X

dana@austinaptassoc.com Paul Cauduro, CAE, Director of Government Relations,

1 A&A Wrecker

paul@austinaptassoc.com

2 Camp Construction

Amber Collins, Director of

8 Century A/C Supply

Marketing & Communications,

13 BG Multifamily

amber@austinaptassoc.com Amy Lydic, CAE, Director of Education amyl@austinaptassoc.com Lisa Sedgwick, Director of Membership Development

lisa@austinaptassoc.com Lynne Williams, Accounting Manager, lynne@austinaptassoc.com Design by Graphic Engine Design Studio

www.GraphicEngine.net

4

IFC Austin Energy

/ W I N D O W O N R E N TA L H O U S I N G

13 Austin Estate Gate

14 Maintenance Supply Headquarters 17 Austin Resource Recovery 17 Ameristar 19 Charter Furniture

35 Guardian Construction 37 InterSolutions Staffing 51 Ameristar IBC Stripe-It-Up OBC Integrity Paving & Coatings

23 Hello Doorstep

Window on Rental Housing by the Austin Apartment Association is a quarterly magazine. The advertising and article submission deadline for the SUMMER 2021 issue of Window on Rental Housing is May 15, 2021. All material submitted is subject to review and approval of the Austin Apartment Association. The publisher assumes no responsibility for care and return of unsolicited material. The Austin Apartment Association is affiliated with the Texas Apartment Association and the National Apartment Association. For questions concerning advertising, articles or subscriptions, call (512) 323-0990.

THE EDITOR Letter from

SPRING HAS SPRUNG We can’t wait to see you Emily Blair, CAE

Executive Vice President / Executive Editor

M

embers,

Never, have we ever, been so excited for Spring. I think with any change in season, that brings an air of excitement, anticipation and energy for something new and renewed. This is particularly true this Spring.

Here we are in 2021, over a year from when the COVID-19 pandemic began, and things are finally looking up. Our industry protocols have gone from anticipating worse, to planning for better. Our properties have made huge strides after having a significant impact from an unprecedednded weather event – to add insult to injury. Our rental housing providers are able to access rental assistance and there is support coming into our community at never-before seen levels.

All of this brings an air of hope. Boy did we need that.

Well we are hopeful at the Association too! Hopeful that we will be able to see your faces – not on a screen, but in person for some of our fun events and

programs coming up.

As we continue to work to come out of this pandemic, we have a renewed appreciation for our members, volunteer leaders, and the industry overall.

We have proved resiliency, and have been made stronger because if it.

Just like any spring season – we still have some cold days and tough moments – isn’t summer sunshine yet!

However, we are looking forward to the NEW that this spring will bring.

Read all about the NEW programs, NEW ways to connect, and enjoy a renewed AAA this spring.

Thank you for all you do.

Emily Blair, CAE

2021 / SPRING /

5

2 020 - 2021 E X ECUTIV E COMMIT TEE

2020 - 2021 BOARD OF DIRECTORS Bill Warren, Warren Law Firm Cecil Domel, CAM, CAPS, Belco Equities, Inc. Chelsea Kneeland, CAS, J Turner Research Christyan Lepiz, CAM, Presidium Property Management Colleen Grahn, Lantower Luxury Living Gus Villegas, Metric Property Management Haydee Scott, BG Multifamily Kelly Blaskowsky, Capstone Real Estate Services

Stephani Park Avenue 5

Christy Sanchez

Rene Flores

Katya Watson

CPM, CAM

Platinum Pool and Spa

CAM

President

Bainbridge Companies

CAS

Greystar

President Elect

Vice President

Secretary/Treasurer

Kelsea Vernon, Roscoe Property Management Kimberly Faulkner, Greystar Kris Burleson, CAS, InterSolutions Staffing Meagan Johnston, CAPS, Avenue 5 Michael Garcia, Roscoe Property Management Missy Sterns, CAPS, LDG Development Paige Russell, CREA Management Renee Zahn, CPM, ARM, CAM, NALP, Greystar Ryan Harmon, CAS, CAMP Construction Shay Mickler, The Liberty Group Stephanie Petersen, Bluebonnet Commercial Management LLC

Shannon Green Weinstein Properties

Lyndsay Hanes

Sandy Eckhardt

CPM

Immediate Past President

VP at Large

Metric Property Management

Terri Needham, CAS, PS Landscapes Theresa Ebner, CAM, CAPS, CPM, LDG Development Toni Rackley, Flooring Warehouse Tracy Slappey-Scott, Cardinal Group Management

VP at Large

AA A PAST PRE SIDENTS John Harrison* (64)

Jim Solt* (76)

Carl E. Beck (88)

Frank Montgomery* (65)

Steve Colella (77)

Kim M. McGregor (89)

Bill Roland, CPM, CCIM (00-01) Tami Martin, NALP, CAMT, CAM, CAPS (01-02) Carol Martine, CPM (02-03) Joy Lamb, CPM (03- 04) John Raper (04-05) Debi Wehmeier, CPM (05-06) Renee Clark, CAM, CAPS (06-07) Sherry Perrin (07-08) Jana Ellis (08-09) Kara Garst, CAPS (09-10) Sarah Thompson, CAM, CAPS

Brooke Mahoney-Livesay CAPS (11-12) Sandy Eckhardt (12-13) Colleen Grahn (13-14) Robbie Robinson, CAM, CAPS, ARM (14-15) Gus Villegas (15-16) Theresa Ebner (16-17) Dwayne Stewart (17-18) Renee Zahn, CAM, NALP, ARM, CPM (18-19) Sandy Eckhardt (19-20)

Jim Eichelberger* (66)

Ted Hendricks* (78)

Beth Holt (90)

Andy Wagner* (67)

Hank Guerrero* (79)

David Stapleton, CPM (91)

Ray Littlefield* (68)

Don Tait (80)

Sheri Gallo (92)

George Nalle* (69)

Ray Head (81)

Gina Roberts (93)

Don Jackson (70)

Ed Norton (82)

Carol Martine, CPM (94)

Gene McGregor* (71)

Bob Benson (83)

Keith Warner (95)

Ed Hamel (72)

Jimmy C. Elliott (84)

Michael R. Hill, CPM* (96)

Barry Gillingwater* (73)

Joe Sharp (85)

Vicki L. Sharp, NALP, CAPS (97)

James Raper (74)

Dick Obenhaus (86)

Kim M. McGregor (98)

Rich Ellmer (75)

Susan Melton (87)

Anna Kelley* (99)

Leadership

Next Gen Committee

Renee Zahn, CPM, ARM, CAM, NALP

Joshua Nichols Ashley Pruden, CAS Tiffany Blankman

Carol Taylor Carrie Thomes Dedra Bouffard, CAM Haydee Scott Josh Nichols Robyn Riley Shannon Minor, CAM, CAS Shay Mickler, CAM, CAS

*indicates deceased

(10-11)

2 020-2021 COMMIT TE E CH AIR PER SONS Austin Supervisors Council

Christine Legg, CAM Meagan Johnston, CAPS Board of Directors, Executive Committee

Stephani Park Budget & Finance Committee (NEW)

Katya Watson, CAM Stephanie Petersen, CAM Communications Committee

Danielle Archuleta Stephanie Naylor, CAS

Community Outreach Committee

Eric Leonard Taryn Merrill Toni Rackley Doc & Gayle Young Food Drive Committee

Terri Needham, CAS Paige Russell Taryn Merrill

Cecil Domel, CAM, CAPS Missy Sterns Membership A-Team (Ambassadors)

Education Advisory Council

Carrie Laso, CAM Robyn Riley

Chelsea Kneeland, CAS Gina Frazza-Stowers

Membership M-Team (Mentors)

Education Foundation

Deborah Ray Vogel Kris Burleson, CAS

Brooke Mahoney-Livesay, CAPS

6

Legislative Committee

/ W I N D O W O N R E N TA L H O U S I N G

Political Action Committee

Theresa Ebner, CAM, CAPS, CPM Gus Villegas Products & Services Council

Rene Flores, CAS, Chair Toni Rackley, Chair-elect Kris Burleson, Vice Chair Ryan Harmon, CAS, Immediate Past Chair PSC Members at Large

Ashley Pruden, CAS

Of Counsel

Bill Warren, Warren Law Firm Texas Apartment Association

512-479-6252 National Apartment Association

703-518-6141

Calendar of APRIL 2021 DATE EVENT

PLACE

TIME

EVENTS

13 Supplier Success

AAA Training Room 9:00 AM - 5:00 PM

6

Fair Housing

Virtual 8:30 AM - 12:00 PM

17 Budget & Finance Committee Meeting

Virtual 11:00 AM - 12:00 PM

7

Community Outreach Meeting

Virtual 10:00 AM - 11:00 AM

18 What’s Your ORA Score

Virtual 10:00 AM - 11:00 AM

7

What’s New in Fair Housing

Virtual 1:00 PM - 2:00 PM

18 NextGen Happy Hour

TBD

19 NextGen Committee Meeting

Virtual 12:00 PM - 1:00 PM AAA Training Room 1:00 PM - 4:00 PM

13 April Food for Thought: How Annual

Assessments Can Save You Money Virtual 12:00 PM - 1:00 PM

4:00 PM -7:00 PM

14 A-Team Committee Meeting

Virtual 9:00 AM - 10:00 AM

19 Strengths-Based Leadership Workshop

19 Budget & Finance

Committee Meeting 2021

Virtual 11:00 AM - 12:00 PM

19 Webinar Wednesday | Simple

Adjustments for a Sizzling Summer Virtual 1:00 PM - 2:00 PM

20 Modern Business Communications Virtual 8:30 AM - 11:30 AM 21 NextGen Committee Meeting

Virtual 12:00 PM - 1:00 PM

21 Spring Maintenance Huddle

Buck’s Backyard in Buda

4:00 PM - 6:00 PM

22 to 23 CPO Pool Certification Course Virtual 8:30 AM - 4:30 PM

20 Community Outreach Meeting

AAA Training Room 10:00 AM - 11:00 AM

20 For the Love of AAA

Welcome Back Bash

Salt Lick 6:00 PM - 10:00 PM

25 Board of Directors Meeting

Virtual 4:00 PM - 5:30 PM

27 Redbook Legal Seminar

Virtual 8:30 AM -4:30 PM

26 Call for Property of the Year Nominations

Virtual

27 to 30 CALP Credential Course

Virtual 8:30 AM - 4:30 PM

JUNE 2021

27 Board of Directors Meeting

Virtual 4:00 PM - 5:30 PM

DATE EVENT

8:00 AM

MAY 2021 DATE EVENT

PLACE

TIME

AAA Training Room 10:00 AM - 2:00 PM

PLACE

TIME

3

EPA Universal 608 Review & Exam

AAA Training Room 9:00 AM - 5:00 PM

8

Property of the Year Nominations Close

Virtual

9

A-Team Committee Meeting

Virtual 9:00 AM - 10:00 AM

9

Time Management and Delegation Virtual 10:00 AM - 11:00 AM

9

June FFT: How To Provide a Proper Landscape RFP

Virtual 12:00 PM -1:00 PM

9

Webinar Wednesday | Balanced by Design: Why “Crazy Busy” Isn’t Sustainable

Virtual 1:00 PM - 2:00 PM

16 NextGen Committee Meeting

Virtual 12:00 PM - 1:00 PM

5:00PM

4

Red Cross Disaster Action Team Training

5

Webinar Wednesday | Overcoming Objection on the YES PATH Virtual 1:00 PM - 2:00 PM

6

Cruise & Connect Lady Bird Lake on Lady Bird Lake 4:00 PM - 6:30 PM

7

CAPS Credential Course Instructor Led Live Course

Virtual 1:00 PM - 2:00 PM

11 Education Advisory Council

Meeting

Virtual 9:30 AM - 10:30 AM

16-18 CAMT Credential Course

Virtual 9:00 AM - 4:30 PM

11 M-Team Committee Meeting

Virtual 10:30 AM - 11:30 AM

12 A-Team Committee Meeting

Virtual 9:00 AM - 10:00 AM

17 Community Outreach Meeting

AAA Training Room 10:00 AM - 11:00 AM

12 A-Team Blitz Day

Tacodeli Rosedale

21 Budget & Finance Committee

Meeting 2021

Virtual 11:00 AM - 12:00 PM

23-25 CAMT Credential Course

AAA Training Room 9:00 AM - 4:30 PM

9:30 AM

12 May FFT: Bedbugs in apartments Virtual 1:00 PM - 2:00 PM 12 Webinar Wednesday | Mastering

Maintenance: Keep Your Pool Safe Virtual 1:00 PM - 2:00 PM 12 CIE: Mold Information

for Multifamily

Virtual 2:00 PM - 3:00 PM

23 Webinar Wednesday | Leveraging

Virtual and Self-Guided Tours to

Close More Leases 29 Board of Directors Meeting

1:00 PM - 2:00 PM

Virtual 4:00 PM - 5:30 PM

2021 / SPRING /

7

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President’s

PERSPECTIVE Stephani Park

Avenue 5 2020-2021 AAA President

STRONGER TOGETHER...

When life hands you lemons, make lemonade.

Dear Members,

T

he past year has challenged us like nothing we could have ever imagined! But despite the preverbial roller coaster ride – we persevered. And because we were all in it together, we not only survived, we thrived!

The pandemic redefined normal operations unlike anything we had ever seen before. For the first time in our lifetimes, we were forced to learn how to be together, yet apart. For many of us, social distancing is an enormous challenge, yet through our own resilience and creativity, we were still able to connect, learn, grow, share ideas, and best practices – despite the overwhelming weight the pandemic placed on all our hearts and minds.

2020 certainly put us all through the ringer and just when thought that we had it figured out, 2021 piled it on with Winter Storm Uri. Texas has always been known for its unpredictable weather — you know the euphemism, “don’t like the weather? Just wait 10-minutes and it will change.” But no one could have fathomed the dramatic consequences the prolonged and extreme cold weather this event levied upon us. The unprecedented challenges that impacted our community were extraordinary — leaving what will likely be a long-lasting impression that will affect our lives for decades to come. Yet with every challenge comes an opportunity and I couldn’t be more proud of how you all, pulled TOGETHER once again. Our industry members and supplier partners worked tirelessly to

find solutions for communities and residents in need, even while many had challenges that they were dealing with at their personal residence. It warmed my heart to witness everyone rallying TOGETHER to assist those in need.

And leave it to Texans to make the best of a tough situation! Seeing people skiing and snowboarding on the same roads that on a normal day would be packed with cars and trucks gave us all a reason to smile during a time of great struggle. The phrase, “when life hands you lemons, make lemonade,” comes to mind because it is how we react to tough situations that really counts. It is through this lens that I can truly appreciate being a part of this association, and this community.

I have no doubt that we will continue to be challenged in the months ahead. Between the impacts of the ongoing pandemic and the effects of the winter storm still yet to play themselves out, I am comforted by the notion that we really are “all in this TOGETHER” and TOGETHER, we will prevail.

Sincerely,

Stephani Park

2021 / SPRING /

9

Market REPORT Market Comparison Overview Market: Austin Region, Property Type: Conventional, Affordable Housing, Student Housing, Senior Housing

Overview This report provides a statistical analysis of the specified target area. Included is information on current and historical rent and occupancy rates, unit mix and amenity information per property, current and future construction for the specified area, historical absorption figures and a sales analysis.

Historical Occupancy, Rental Rates & New Units Added Avg. Rent/Mo.

Concession Value

New Units Added**

% Occ

100%

4,500

90%

4,000

80%

3,500

70%

3,000

60%

2,500

50%

2,000

40%

1,500

30% 20%

1,000

10%

500

0%

# OF

# OF

% OF

AVG

AVG

AVG

PROPS

UNITS

UNITS

SIZE

$/SF

$/MO

A

375

90,262

36%

917

$1.69

B

314

82,051

32%

962

$1.44

CLASS

C

1Q21

4Q20

3Q20

2Q20

1Q20

4Q19

3Q19

2Q19

1Q19

4Q18

3Q18

2Q18

1Q18

4Q17

3Q17

2Q17

1Q17

4Q16

3Q16

2Q16

0

ANNUAL CHANGE

%/$

AVG

CONC

OCC %

$1,550

2.8%/ $45

88.8%

-1.60% -0.68%

$1,389

1.4%/ $20

93.1%

0.62% -1.43%

$/PSF

OCC %

419

80,759

32%

770

$1.42

$1,094

1.7%/ $19

92.2%

-2.17% -2.26%

Target Mkt Total

1,108

253,072

100%

885

$1.53

$1,352

2.1%/ $29

91.3%

-0.49% -1.57%

Overall Mkt Total

1,108

253,072

885

$1.53

$1,352

2.1%/ $29

91.3%

-0.49% -1.57%

CONS.

# OF

DECADE

PROPS

# OF

% OF

AVG

AVG

AVG

UNITS

UNITS

SIZE

$/SF

$/MO

%/$ CONC

AVG OCC %

ANNUAL CHANGE $/PSF

OCC %

1960s

47

5,543

2%

742

$1.49

$1,104

1.9%/ $21

92.6%

-3.14%

-4.24%

1970s

110

18,654

7%

760

$1.39

$1,058

1.9%/ $20

91.7%

-3.86%

-2.03%

1980s

211

42,081

17%

731

$1.42

$1,037

1.6%/ $17

92.5%

-2.56%

-2.63%

1990s

97

28,121

11%

919

$1.45

$1,336

1.4%/ $19

92.4%

0.92%

-1.85%

2000s

246

63,836

25%

971

$1.44

$1,400

1.5%/ $21

93.1%

0.48%

-1.40%

2010s

317

78,317

31%

920

$1.69

$1,551

2.1%/ $33

93.4%

-0.83%

0.03%

2020s

80

16,520

7%

908

$1.62

$1,472

5.9%/ $93

68.6%

-2.68%

21.39%

Target Mkt Total

1,108

253,072

100%

885

$1.53

$1,352

2.1%/ $29

91.3%

-0.49%

-1.57%

Overall Mkt Total

1,108

253,072

885

$1.53

$1,352

2.1%/ $29

91.3%

-0.49%

-1.57%

10

/ WThe I N Dinformation O W O N Rcontained E N T A L herein H O U was S I Nobtained G Disclaimer: from our industry sources and other third parties, and we have used commercially reasonable efforts to gather, verify, analyze and report such information. NONETHELESS, WE MAKE NO REPRESENTATIONS OR WARRANTIES OF ANY KIND, INCLUDING ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, WITH RESPECT TO THE INFORMATION CONTAINED HEREIN. All information should be independently verified by the user of this report. Reproduction of this report in whole or part is prohibited without prior written consent of Austin Investor Interests. LLC.

Unit Mix Summary

Overview

UnitBEDROOM(S) Mix SummaryRentable Units

% TARGET

AVG

AVG

AVG

MKT

SIZE

$/SF

$/MO

al, Affordable Housing, Student Housing, Senior Housing 0 9,017 3.6% % TARGET Rentable BEDROOM(S) 1 126,771 50.1% Units MKT 2 92,715 36.6% 3 18,030 7.1% 0 9,017 3.6% 4+ 6,514 2.6% 1 126,771 50.1% Target Mkt Total 253,072 100.0% 2 92,715 36.6% Overall Mkt Total 253,072 3 18,030 7.1% 4+ 6,514 2.6% Amenity Target MktComparison Total 253,072 100.0% Overall Mkt Total 253,072 AMENITY % TARGET MKT

475 AVG

$2.15 AVG $1.65 $/SF $1.40 $1.35 $2.15 $1.76 $1.65 $1.53 $1.40 $1.53 $1.35 $1.76 $1.53 $1.53

715 1,035 1,279 475 1,523 715 885 1,035 885 1,279 1,523 885 885 AMENITY SIZE

0

Annual

1

Change

3

4+

2

3

4+

7.1%

$/MO

0

Annual

$1,021 AVG $1,181 $/MO $1,453 $1,722 $1,021 $2,687 $1,181 $1,352 $1,453 $1,352 $1,722 $2,687 $1,352 $1,352 % TARGET MKT

2

1

-4.22% Change -1.26% 7.1% 36.6% 50.1% 0.29% $/MO 1.62% -4.22% 10.67% -1.26% -0.22% 36.6% 50.1% 0.29% -0.23% 1.62% 10.67% -0.22% -0.23% AMENITY % TARGET MKT

is of the specified target area. Included is information on current and historical rent

nity information per property, current and future construction for the specified area, analysis.

OF

Attached Garages

38%

Mixed Use % Occ Center Business

% TARGET MKT

Media Room

25%

Game Room

38%

7% 71%

Detached Garages Parking Garage

Pool

93%

Attached Garages

Mixed Use

7%

Detached Garages

15% 4,500

#UNITS

4,857

4,000 3,000 5,000

3,000

2,000 4,000

2,500

1,000 3,000 2,0000

2,000

-1,000 1,000

4Q20

1Q21

4Q20

1Q21

3Q20

1Q20

4Q19

3Q19

2Q19

1Q19

4Q18

3Q18

2Q18

1Q18

4Q17

3Q17

2Q17

1Q17

4Q16

-1,000

2Q20

1,500

-2,000 0

1,000

11,416

AVG

AVG

UNITS

SIZE

$/SF

$/MO

36%

917

$1.69

32%

962

AVG $/UNIT

AVG $/SF

$188,731

$215.43

%/$

AVG

OCC %

$1,550

2.8%/ $45

88.8%

$1.44

$1,389

1.4%/ $20

93.1%

3Q20

2Q20

1Q20

4Q19

3Q19

2Q19

0

52

# LISTED FOR SALE

52

ANNUAL CHANGE

TS

**Information is still being gathered for the quarter.

62

Disclaimer: The information contained herein was obtained from our industry sources and other third parties, and we have used commercially reasonable efforts to gather, verify, analyze and report such information. NONETHELESS, WE MAKE NO REPRESENTATIONS OR WARRANTIES OF ANY KIND, INCLUDING ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, WITH RESPECT TO THE INFORMATION CONTAINED HEREIN. All information should be independently verified by the user of this report. Reproduction of this report in whole or part is prohibited without prior written consent of Austin Investor Interests. LLC.

51

CONC

500

# LISTED FOR SALE

1Q21

$215.43

1Q19

4Q18

3Q18

1Q18

4Q17

2Q18

AVG $/SF

4Q20

$188,731

3Q17

2Q17

1Q17

AVG $/UNIT

AVG

*Sales figures are reported for the previous 12 months.

4Q16

-2,000

*Sales figures are reported for the previous 12 months.

43

28%

3,500

#PROJECTS # UNITS **Information is still being gathered for the quarter.

% OF

Net Unit Change**

28% 20%

4,000

3Q20

11,416

Units Absorbed

1Q20

1Q19

Target Area 43 Sales

# UNITS

4Q18

2Q18

1Q18

#PROJECTS

3Q18

*Past 12 mo.

Newunit Units Added* 10,093 *Net change is the change in rentable units due to new units added, down units or property type change Units Absorbed* 6,022 *New units added include additions from new development *Past 12 mo. *Information is still being gathered for the units quarter. *Net unit change is the change in rentable due to new units added, down units or property type change *New units added include additions from new development Target Area Sales *Information is still being gathered for the quarter.

Net Unit Change**

4Q19

#UNITS

Proposed 11,051 Submitted 32,375 Under Construction 33,729 _Approved _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _4,857 _____ Net Unit Change* 10,770 Proposed 11,051 New Units Added* 10,093 Under Construction 33,729 ___________________________________ Units Absorbed* 6,022 Net Unit Change* 10,770

Units Absorbed

3Q16

STATUS

32,375

2Q16

Approved

5,000

2Q16

Submitted Target Area Construction

15%

% TARGET MKT

3Q19

STATUS

20%

AMENITY

3Q16

Added** 80%

Target Area Construction

4Q17

Parking Garage

93%

AMENITY

Game Room FitnessNew CenterUnits

% TARGET MKT

71%

Pool

2Q19

on Value

AMENITY

Business Center

2Q20

Amenity FitnessComparison Center 80% ates & New Units Added Media Room 25%

$/PSF

OCC %

-1.60% -0.68%

0.62% -1.43% Date Produced: 06-Apr-2021

59

Disclaimer: The information contained herein was obtained from our industry sources and other third parties, and we have used commercially reasonable efforts to gather, Pageanalyze 2 of 2and report such information. NONETHELESS, www.apartmenttrends.com

by Austin Investor Interests, 512-261-0100 | Copyright © 2021 verify, WE MAKE NO REPRESENTATIONS OR WARRANTIES OF ANY KIND,LLC INCLUDING ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, WITH RESPECT TO THE INFORMATION CONTAINED HEREIN. All information should be independently verified by the user of this report. Reproduction of this report in whole or part is prohibited without prior written consent of Austin Investor Interests. LLC.

32%

770

$1.42

$1,094

1.7%/ $19

92.2%

-2.17% -2.26%

72

100%

885

$1.53

$1,352

2.1%/ $29

91.3%

Date Produced: 06-Apr-2021 -0.49% -1.57%

HOUSING AFFORDABILITY IS A CONSTANT PRIORITY

By Paul Cauduro, AAA Director of Government Relations

H

The NAA found that physical, administrative and regulatory barriers contribute to the rising cost of development and can halt the delivery of quality affordable rental housing.

ousing affordability is constantly in the news and an ever-present priority. Locally, the inventory of existing home for sale has reach all-time lows, while median price of a new home for the five-county Austin metro area stretching from Georgetown to San Marcos stands at $395,000. This represents a 22.5% increase from the year prior.

Nationally, in 2020, sales of previously owned U.S. homes surged to their highest level in 14 years, and many economists forecast sales to rise again this year. While there has not been as dramatic increase in year-over-year rent rates, the surge in home buying and lack of homes to purchase has kept rents buoyant despite the pandemic related vacancies and related impact.

The supply of homes for sale is just one of many factors affecting housing affordability. Clearly it is a complex issue driven by diverse factors including income levels, land availability and job growth. The federation that is the National Apartment Association (NAA) believes that to remedy these issues lawmakers at all levels of government must prioritize solutions that increase the sup-

ply and availability of rental housing at all price-points.

One of the root causes of the lack of available rental housing is simply the regulatory barriers to multifamily housing development. As an example, in an effort to impede apartment development the City of Leander recently enacted a requirement that garages be included in all multifamily

communities. In a national survey to better understand these factors and what constraints they place on the supply of rental housing, the NAA found that physical, administrative and regulatory barriers contribute to the rising cost of development and can halt the delivery of quality affordable rental housing.

In our nation’s Capital the apart-

Read about AAA’s current advocacy issues at www.austinaptassoc.com/news/advocacy-in-action

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shutterstock

Industry UPDATE

ment industry has been strongly urging members of Congress to support reintroduction of bipartisan legislation – the Yes in My Backyard Act or YIMBY Act – which encourages localities to eliminate discriminatory land-use policies, increase thoughtful and inclusive development practices, and make federal funding contingent on periodical reports of local efforts to reduce barriers to development.

The legislation was First introduced in the 116th Congress as H.R. 4351 and S. 1919, this legislation passed the House in 2019 with overwhelming bipartisan support. This legislation is expected to be reintroduced in the Senate and House.

In addition to reducing barriers to development, the NAA is asking that lawmakers prioritize enhancements to the Section 8 Housing Choice Voucher (HCV) Program. The program is funded by the U.S. Department of Housing and Urban Development (HUD) and administered by local public housing authorities (PHAs) and provides subsidized rents for qualifying low-income families in private rental housing, including apartments. This program has long served as America’s primary method of rental assistance. The local HCV Program is effectively operated in Austin by the Housing Authority of the City of Austin (HACA), and all AAA members are encouraged to discuss the program with HACA administrators.

However, in the big picture, this public-private partnership that is the HCV Program has the potential to be the nation’s most effective, shortterm solution to address the housing affordability crisis, but only if the red tape associated with the program can be reduced or eliminated. In areas where the program is not well managed many rental housing providers experience significant challenges that create uncertainty in their operations and often undermine the ability of owners to properly manage risk.

Any improvements to the Section 8 HCV Program that streamline the leasing process and make it compara-

ble to a standard leasing transaction would increase voluntary participation by rental housing providers. This would, in turn, increase choice and access to quality housing opportunities for voucher holders, considerably benefiting low- and moderate-income families.

Legislation will soon be introduced to assist the Section 8 HCV Program reach its full potential as the most effective, long-term solution to the housing affordability crisis. This legislation will take important steps to streamline and revitalize the program and encourage greater voluntary participation by rental housing providers.

Actions Taken by Apartments During Winter Storm Examined In March the Austin City Council passed a resolution to examine the actions taken by apartment owners and managers to help tenants impacted by the winter storm and freezing temperatures. The resolution states that “more sustainable action is required to address health and safety emergencies experienced by our city’s renters” and calls for the development of more tools and resources for tenant assistance.

As per the resolution, the City manager is now tasked with writing a report detailing actions taken to protect renters as a result of storm’s aftermath. The report is to include documentations of the health and safety violations where residents reported to the 3-1-1 system that they are enduring unsafe and non-compliant conditions, the habitability of units at properties that experienced water damage and long power outages, and details from Austin Code about apartment broken pipe repair plans, timelines and progress.

Also included in the resolution were directives to expand the 3-1-1 hotline to include more multilingual dispatchers, and increases the funding for community-based legal services and tenants’ rights clinics.

The City Manager is asked to provide a full report to Council by June 1.

To discuss this report and the actions taken by Austin City Council contact paul@austinaptassoc.com

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A&A WRECKER & RECOVERY Tasha Mora

CAMP CONSTRUCTION Ryan Harmon, CAS

CONTRACTORS INC Joshua Nichols, CAS

GUARDIAN CONSTRUCTION Preston Sams

CENTURY HVAC DISTRIBUTING Travis Fowler, CAS

CORT Shannon Minor

HIRE PRIORITY Danielle Berryann

INTEGRITY PAVING & COATINGS Bill Holmes

Thank You 2021 Diamond SPONSORS

New MEMBERS AAA welcomes these new members who joined the association between January 1, 2021 and March 31, 2021. When deciding where to make your next purchase for your property, please consider an AAA supplier member.

N E W IN DUST RY M EM BER S Barkley Houses LLC Medora Barkley Austin, TX 78705 29 units Bian Properties Stephen Bian Bloomfield Township, MI 48302 5 units

Eugene Burger Management Corp Andre Subia Rohnert Park, CA 94928 14 units Foundation Homes Christopher Barrow Kentfield, CA 94903 1 unit

Ben Garza Investments Peter Jancik Austin, TX 78758 6 units

Gary Green Grantor’s Trust Anne Beckmann Llano, TX 78643 4 units

Cameron Villas LLC Omid Kalantari Austin, TX 78704 27 units

KML, Inc. Tahir Walji Dallas, TX 75229 149 units

Casata Corp Noah Pollack Austin, TX 78749 66 units

The Lynd Company Veronica Schults San Antonio, TX 78230 777 units

Chaiken Properties Kenneth Chaiken Plano, TX 75024 2 units

Magellan Property Management LLC Ben Treutler Chicago, IL 60601 331 units

need screens?

Marriott Properties Helena Marriott Austin, TX 78729 5 units

Premium Properties LLC Denise Hogan Austin, TX 78731 1 unit

Monarch Apartments LLC Cassidy Anderson San Marcos, TX 78666 24 units

Prodigy Real Estate Group John May Oak Brook, IL 60523 0 units

Monroe Group, Ltd. Chad Asarch Denver, CO 80224 1 unit

Roberts Resorts and Roberts Communities Nicole Roberts San Rafael, CA 94901 350 units

Norton Properties Daniel Norton Austin, TX 78753 1 unit Our Lady’s Maronite Catholic Church Don Sawyer Austin, TX 78723 1 unit

TGP Property Management David Rottman Santa Barbara, CA 93108 251 units

Pinkowski Properties Jade Pinkowski Florence, TX 76527 1 unit

Threadgill Properties LLC James Threadgill Austin, TX 78734 4 units

Polydactyl Holdings, LLC Sounthaly Outhavong Austin, TX 78741 2 units

Webb Rentals Ben Webb Austin, TX 78752 2 units

Call About our FREE Custom Measure Screen Inventory Program

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Seldin Company Jen Spielman Omaha, NE 68144 56 units

Recycling Tips For Your Residents From Remind residents:

Austin Resource Recovery

To flatten cardboard boxes What materials are recyclable To donate reusable items About bulk pickup options

Learn more at

austintexas.gov/URO

N E W SU PPL IER M EM BER S Attorneys

Pressure Washing

Roofs-Contractors

Trash Valet Pick Up

Brown Law Firm Robert Brown 2021 Guadalupe Street, Suite 260 Austin, TX 78705 www.rbrownlawfirm.com

JOBS-AMST Alyssa Wise 7777 Parnell Street Houston, Texas 77021 www.jobs-amst.com

Texas True Roofing Cody Proctor 5541 McNeil Dr Unit D Austin, TX 78729 elevate@txtrueroofing.com

Hello Doorstep Heath Hallada 15511 Hwy 71 West Ste 110-123 Bee Cave, TX 78738 www.hello-doorstep.com

Credit Reporting Agencies

Property Management Software

Rent Dynamics Andrew Jankowski 91 East 700 South Logan, Utah 84321 andy@rentdynamics.com

AppFolio Graham Davis 50 Castilian Drive Goleta, CA 93117 www.appfolio.com

Insurance

Resident Supportive Services

LeaseLock Ian McIntosh 480 Washington Boulevard Marina del Rey, CA 90292 events@leaselock.com

Avanti Resident Services, Inc. Laura Irwin 8500 Shoal Creek Blvd.

Bldg. 4, Ste. 208 Austin, TX 78757 www.avanti-resident.com

Sound Systems & Equipment

Pliteq Inc. Travis Mayor 131 Royal Group Crescent Vaughn, Ontario www.pliteq.com

Total Cleaning and Renovation Services Michelle Lettieri 7929 Brookriver Drive, Suite 115 Dallas, TX 75247 mlettieri@ totalcleaningservices.com Waste Logic, LLC Jake Sanders PO Box 1883 Leander, TX 7864 www.wastelogicllc.com

2021 / SPRING /

17

Committee

CHAT

Cecil Domel, CAM, CAPS

LEGISLATIVE COMMITTEE Cecil Domel, CAM, CAPS with Belco Equities, Inc. Missy Sterns, CAPS with LDG Development

THIS MONTH, WE FEATURE THE LEGISLATIVE COMMITTEE (AKA: LEDGE) This committee is open only to AAA property managers, owners, supervisors, onsite maintenance personnel and other appointed members. Ideal for those who like to stay informed about how the government affects business.

LEGISLATIVE IS LED BY:

Cecil Domel, CAM, CAPS with Belco Equities, Inc. Missy Sterns, CAPS with LDG Development Tell us about where you work and how long you’ve been there?

CD: Belco Equities 15 years MS: I am Regional Asset Manager for LDG Development based out of Louisville, KY. Oversee 10 Affordable Multi-family sites From Houston to Austin. I have worked for LDG for 6 years.

What do you love most about your job?

CD: The people. I like interacting with our employee’s and residents and vendors and the all the people at the Apartment Association.

MS: Results! I love just about everything: the people, opportunity for learning, and growth, and flexibility.

WHEN and HOW did you get involved with the association?

CD: My girlfriend at the time, wife of 14 years now, convinced one day to make a career change back in 2008. Since I didn’t know anything about the apartment industry, the Austin Apartment Association has been a guiding light in

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my rise through to Regional Supervisor. The education opportunities and industry certifications have been invaluable to my career. I really enjoyed being a spectator at the Legislative meetings and about a year ago Emily and Paul reached out and offered an opportunity to be on the board and join some sub committees.

MS: Back when I was an onsite manager in 2006-2007, attending property of the year and attended my first outreach community (when we had them at Waterloo).

What do you like most about AAA? CD: The support members receive whether it be through education or a kind word.

MS: The events, education courses, outreach opportunities, and the people you meet.

What do you like most about being a committee chair?

CD: The thing I like most about being a committee chair is being apart something that could change policies in our industry for the better.

MS: It definitely can feel like pressure, but in a good way. Learning and knowing others rely on me to provide them with to date information.

Missy Sterns, CAM, CAPS

What was your first job?

CD: My first job was TCBY. MS: Bill Miller Bar B Q What inspires you?

CD: Positive people MS: Helping others accomplish their goals. I am result-driven, meeting goals and or surpassing them.

Who are your role models and mentors?

CD: My role models are the people who work at Belco. They inspire me to be the best Supervisor I can be for them. My mentors are the people on the board of directors and committee chairs.

MS: This is a tricky question because I don’t have one role model. I have so many people I admire, from professional stance or personal. I believe there is something we admire of others, and if I find that within the people I encounter, I then have them on my role model list. An example could be as simple as mothers who are crafty or women in our industry who speak up.

What is your leadership style?

CD: I enjoy leading from the front with a strong team next to me learning as we go.

MS: I am transformational leadership.

Which is liaises between a company’s mission and an employee’s investment.

I like to reward employees, help with goals, or see the bigger picture.

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What do you do in your free time?

CD: Golf and hunting MS: Hang out with family, working out, or whatever my two girls want to do.

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What is your favorite AAA Event?

CD: Any golf event MS: Vegas night

Which movie or TV character are you most like?

CD: I like to consider myself one of kind.

MS: Ha… lol! Wonder Woman

What would people be surprised to know about me?

CD: I love cats.

MS: I am a sensitive person and scared of heights.

What is your favorite Drink?

CD: Dr. Pepper MS: Bourbon… oh, non-alcoholic Lime Topo Chico

What professional accomplishment are you most proud of?

CD: Being selected to the board of directors MS: Promotion to Regional Asset Manager.

Where were you born?

CD: Georgetown, Texas MS: Austin! Go unicorns!

If someone wrote a biography about you, what do you think the title would be?

CD: “A Blessed Life” MS: “Missy the Fixer”

What is your favorite family tradition?

CD: Playing basketball with my niece and nephew MS: I don’t really have a tradition, but I am around my family very often.

What is your favorite Austin restaurant?

CD: Franklins BBQ MS: Turf N Surf

675

$

What are your favorite industry websites, books, or other resources?

CD: My favorite industry resource is the AAA website.

MS: Think Like a Monk, Dale Carnegie’s “How To Win Friends and Influence People”, NAA website

MORE ABOUT LEGISLATIVE When do they meet?

Meets the first Tuesday of every month from 9:30 a.m. to 10:30 a.m.

Who can join?

Open only to AAA property managers, owners, supervisors, onsite maintenance personnel and other appointed members.

How to join?

Contact the Committee Chairs or Paul Caduro to obtain the meeting schedule.

Eligible members may join anytime throughout the year.

Staff Liaison: Paul Cauduro, Director of Government Relations, paul@austinaptassoc.com, 512-323-2286

To find out more, contact Amy Lydic at amyl@austinaptassoc.com

2021 / SPRING /

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When it’s time to call the

RED CROSS: Disaster Preparedness During a Disaster the American Red Cross is ready to help. Generally during an apartment fire, the Incident Commander will make a call to the Red Cross and ask for assistance. From there the Red Cross will call upon their Disaster Action Team to respond and get caseworkers ready to help those affected in the fire who may be affected or displaced some immediate assistance.

I

n the meantime, there are some things the apartments managers can do to help save time and assist the Red Cross.

Below are some helpful tips: • Stay Calm • Find a meeting point for residents like the club house or main office • Delegate a staff member to print out a list of units affected with occupants’ name, total number occupying the unit along with contact information. Do a call down to ensure everyone is accounted for.

• Delegate a staff member to work on identifying what units are available or are make ready and identify sister properties that have available units available as well.

• Be proactive have on hand shower curtains and hooks, air mattress and pumps, and toilet paper ready in the event of a disaster and units are needed immediately.

• Think about ordering pizzas or making a food run for those who are waiting around for the fire dept to declare it safe to return or to relocate units.

• Ask other tenants to bring in clean/gently used towels, clothes, linens (this may be for the upcoming days to help residents get back on their feet)

Red Cross in the meantime, will help determine how many folks are needing a place to stay. This may mean opening a shelter or provide lodging with immediate financial assistance for those who qualify. This is to help offset immediate needs such as diapers, a pair of clothes, dog food etc. Red Cross assistance is not meant to be long term however we help find area agencies that can assist with additional needs.

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How can you help? Be a part of the AAA Disaster Action Team Next Disaster Action Team Training: May 4, 2021 (see ad to the right) This upcoming training course is a great resource for our apartment community members to know exactly how to react in a time of crisis and how you can help – and benefit from – the Red Cross.

When disaster strikes a fellow apartment community, you can be a part of the Red Cross team to respond. If you already attended the Red Cross disaster response training at AAA, or are interested in taking advantage of upcoming training, your next step is to register with the Red Cross. They have a direct link unique for our association members to sign up to volunteer in times of disaster at multi-family rental properties.

All AAA members should be excited by the idea of how BIG an impact our organization could have when it comes to volunteer response to disasters at multifamily rental properties. To get on the volunteer roster, you must first create a Red Cross ID here: https://bit.ly/RedCross-DAT-Training. This url is unique to our association and will allow the Red Cross to track our member engagement. If you do decide to sign up as a volunteer, you can designate the areas you’d like to serve when called on to go to a disaster site. Or volunteer for everywhere! The decision is yours.

Disaster Action Team (DAT) Training MAY 4, 2021 • 10AM-2PM This Red Cross Disaster Action Team (DAT) training event will help you become “Red Cross Ready” when the next disaster hits the Austin rental housing industry.

There are THREE Levels of Training available through the American Red Cross and we are covering #1 below and one Training Session from #2 below (out of 8 that you will need to complete on your own, virtually): LEVEL 1 Preparedness for Community Managers including a checklist of items to always have on hand (this will be covered in the course) LEVEL 2 Disaster Action Team Orientation and Training – local, personal disasters like home fires (1 out of 8 trainings will be covered in the course ) LEVEL 3 Mass Care Training - Hurricanes or Flooding Events (to be completed on your own in a virtual setting through the American Red Cross)

This is a hybrid presentation and includes a break for lunch (to be provided by theAAA).

FREE FOR AAA MEMBERS | MUST PRE-REGISTER WITH AAA & RED CROSS

AustinAptAssoc.com/Events/Red-Cross-DAT-Training bit.ly/Red-Cross-DAT-Training

Questions???

Contact Amber Collins Marketing Director (737) 300-1101 direct amber@austinaptassoc.com

The in-person session at the Austin Apartment Association office on May 4th will be on a first come, first served basis for a MAX of 30 members. If you would like to attend in person, please REGISTER through the AAA website to get your slot (URL below). If you would like to attend virtually or if there are no more in-person slots available, please REGISTER for the virtual option.

2021 / SPRING /

21

Register Review Realize

REDBOOK Legal Seminar

Did you miss Redbook in 2020? Have new staff or need a refresher yourself? Join us on May 27 for the Virtual REDBOOK Legal Seminar!

VIRTUAL Thursday, May 27, 2021 8:30 AM - 4:30 PM Attorney Bill Warren, Warren Law Firm, will be on hand to answer your questions while the presentation is running!

• • • • • • •

ALL DAY VIRTUAL SESSION 8:30 a.m. - 4:30 p.m.

Member Price: $234 Non-member Price: $354 5 CECs This legal seminar is geared to all levels of the industry.

Recommended for on-site personnel or those with fewer than three years experience in Texas.

Sharpen your knowledge of your legal rights and responsibilities as a rental housing owner or manager. Redbook Legal Seminar is being offered in a full-day intensive seminar covering legal, leasing and liability issues from the perspective of onsite apartment managers, assistant managers and leasing agents. Seminars emphasize changes in management practices required by new laws passed during the last legislative session and updates on key regulatory issues that affect property management.

REGISTER: www.AustinAptAssoc.com/events/redbook All AAA Education: www.AustinAptAssoc.com/events/education

2021 / SPRING /

23

NextGen

Selfie

S C AV E N G E R H U N T A P R I L 1, 2 0 2 1

T

he NextGen Committee hosted their Selfie Scavenger Hunt on Thursday April 1, 2021 from the Domain and Rainey Street. Members were divided into small teams of 3-4 for the competition and sent on their way to creatively complete a list of wacky scavenger hunt items. Check out the photos on the NextGen Austin Facebook page!

Keep an eye out for other upcoming NextGen events! You can join the committee to become a part of the future of multifamily professionals on the AAA website under Members > Get Involved.

Team 2: Congratulations to our WINNING TEAM: Toni Rackley (Flooring Warehouse), Loa Hemati (Hire Priority Staffing), Daniela Delgado (Hire Priority Staffing), Celia Fajardo (Penn Apartment Staffing)

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Robyn Riley, Valor Fire Protection, Leo Vallejo, Penn Apartment Staffing, Steven Feinman, Hoobird Apartment Home Security, Danielle Berryann, Hire Priority Staffing

Team 3: Rosa Montes, Penn Apartment Staffing, Miranda McArthur, Roscoe Property Management, Lauren Tuma, Sherwin Williams

Team 8:

Team 9:

Kayti Smith, Dixie Carpet Installation, Jason Armstrong, Camp Construction, Kelly Bradenburg, Dixie Carpet Installation

Jamie Price, Greystar, Chris Romeo, Dixie Carpet Installation, Jarrett Isbell, Contractors Inc

2021 / SPRING /

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Winter Storm WATER DELIVERY BE SUPPORTED

February 22-26, 2021

#AAARiseTogether #MultifamilyStrong

W

hen people are in need, our members truly RISE to the occasion. Suppliers, Community Outreach and A-team collaborated to secure 38 pallets of water to deliver to 26 member apartment communities who were without after the February winter storm.

A giant shoutout and thank you to all those who volunteered their time – making phone calls, driving trucks and loading and unloading at the properties.

A giant AAA virtual hug coming at ya!

Above, left to right: Eric Leonard, We Do Trash; Stephanie Naylor, Flooring Warehouse; Carol Taylor, Centex Construction; Toni Rackley, Flooring Warehouse; Lisa Sedgwick, AAA; Amy Lydic, AAA; Terri Needham, CAS, PS Landscapes

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SPECI A L T H A NK S to our water sponsors!

Ashley Pruden - Apartmentdata.com Carol Taylor - Centex Construction Carrie Laso - Rasa Floors Eric Leonard - We Do Trash Hunter Hicks - Cotton Commercial Josh Nichols - Contractors Inc Kris Burleson - InterSolutions Staffing Lauren Hudler - FIDUS Construction Services Rene Flores - Platinum Pool and Spa Robbie Robinson - Berkshire Communities Ryan Harmon - Camp Construction Sam Levassar - Camp Construction Shannon Minor - CORT Terri Needham - PS Landscapes Tiffany Stuart - Under Pressure Power Washing Toni Rackley - Flooring Warehouse Tasha Mora - A&A Wrecker and Recovery Travis Fowler - Century HVAC Distributing

2021 / SPRING /

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BE RECOGNIZED WWW.AUSTINAPTASSOC.COM/EVENTS/2021-POTY

Winter Storm AFTERMATH Lingers

By Paul Cauduro, AAA Director of Government Relations

Disaster events reveal much about our best laid plans and the ability to quickly move toward a collective recovery. When it comes to the February Texas winter storm unofficially named “Uri”, the collective recovery is well on its way, but the impact left behind is a wide swath of lessons learned and new best laid plans to be created.

O

n February 15, at the peak of the winter storm, the average temperature across Texas was just 12° and most Texas cities set new records for continuous hours below freezing temperature. For the first time on record the National Weather Service issued a winter storm warning for all 254 counties in the state. Brutal cold, accompanied by ice and snow crept its way behind walls and under roofs to freeze water pipes. The lack of reliable heat due to the rolling power outages issued by the state’s energy grid operators added to the problem. Despite the best practices and efforts taken by many property managers and onsite professionals, such as proactively turning off the water or letting faucets drip slowly, it was no match for the prolonged cold due to lack of heat and power.

The physical impacts of the winter storm are jarring. Insurance modelers and market research organizations claim the storm damage could approach $20 billion. For comparison, the losses associated with Hurricane Harvey caused about $19 billion in insured losses in Texas. Some estimate the winter storm losses will be higher as claims for mold damage are added to the list as well as the “business interruption” claims by properties with insurance policies that include such coverage.

It is still early in the year, and hurricane season has yet to start, but there is little doubt that the triple whammy of homeowner, commercial property and automobile winter storm damage insur-

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ance claims could mean that the apartment industry will again face insurance rate hike increases on top of what was already an eye-popping jump in rates in recent years.

Austin Apartment Association member Ben George, CLCS with Higginbotham Insurance says “With this being the largest winter storm loss in U.S. history, we fully anticipate a direct impact on the insurance market’s profitability moving forward. As a result of this unexpected event, it is reasonable to predict Apartment/Habitational risks throughout Texas will face further scrutiny from insurance underwriters. Rate increases, higher deductibles, and tighter terms and conditions are likely as the winter storm will keep us in a ‘hard’ insurance market. We were hopeful that in 2021 there would be light at the end of the tunnel and that rates would level off, but with this significant loss event, repercussions will be felt in the insurance the marketplace.“ George went on to add, “Needless to say, when an event like this occurs, it reinforces why rental property owners must have proper risk management policies and procedures in place to mitigate against future loss – including maintenance, property upgrades and a comprehensive insurance program with adequate coverage and updated insured values.”

The level of insurance claims and the corresponding rise in policy rate impacts will certainly be watched, but the public focus of the post-storm “lessons learned” analysis will be directed toward the breakdowns of the electric grid. The days spent below freezing cause a demand for energy and heat that, for a wide vari-

2021 BUSINESS

BUSINESS EXCHANGE DETAILS Wednesday, July 21, 2021 1:30 PM - 4:30 PM

MEANINGFUL CONNECTIONS MADE

$350 per supplier attendee - max 2 No walk-ins day of event.

E XCHANGE PUT YOUR NAME IN THE HAT Suppliers interested in attending must enter the drawing via the link below between May 10 - May 31, 2021. Drawing is for option to purchase two tickets.

ARE YOU FEELING LUCKY? Lottery drawing for supplier member registration spots held at 11:00 am, June 3 on Zoom. Everyone is welcome to attend.

Norris Conference Center 2525 West Anderson Lane Austin, TX 78757

SECOND CHANCE LIVE AUCTION FOR TWO REGISTRATIONS Virtual auction immediately following the June 3 lottery drawing via Zoom.

Everyone is welcome to attend.

YOU WIN! NOW WHAT? Companies drawn in the lottery will have option to purchase UP TO two tickets to the in-person Business Exchange at $350 per attendee. Payment is due within 48 hrs of win confirmation from AAA.

www.AustinAptAssoc.com/Events/Business-Exchange Questions? Email Dana@austinaptassoc.com

ety of reasons, the Texas electric grid failed to meet. The failures forced rolling blackouts aimed at shedding demand. At one point 4.8 million Texas residents were without power, and, sadly, by some counts nearly 200 deaths have been attributed to the weather event – 18 of which were in the Austin area.

The brutal effects of the long power outages ordered by Electric Reliability Council of Texas (ERCOT) took aim at water pipes and fire sprinkler systems running in unconditioned attic spaces. It is obvious that had the electric grid operated without fail, and the rolling blackouts not occurred, the freeze damage would have been far less. Since the storm occurred during the Texas Legislative Session, the lawmakers wasted little time in crafting legislation aimed at preventing similar situations in the future. Legislation that overhauls the agencies that regulate the energy supply and distribution system will help ensure that the energy infrastructure is hardened and winterized, and a new warning system will help alert residents about pending blackouts will be implemented. Other changes will be directed toward ensuring extra power resources can be quickly dispatched and that the price of that power does not cripple consumers.

As the insurance impacts are tallied and electric grid lessons learned are analyzed, it is important to recognize the disaster plans that did go according to plan, and the fast corrective actions taken to meet the needs of residents. Behind the scenes of those pipe-bursting images are property maintenance professionals and property managers driving on icy roads to arrive on site to mitigate

damage, seek resources for residents, dispatch restoration efforts to damaged units and prioritize repairs. The AAA played a role in assisting the city in their efforts to distribute water, and with the generous actions of vendor members the AAA itself distributed more than 35,000 bottles of water to apartment communities stranded without water.

Winter Storm Uri underscores that the demands placed on the apartment industry in times of crisis are enormous. Every apartment property wants damage repaired and everyday lives restored quickly, but the actions taken by apartment professionals to resolve a crisis on property are not typically taken while hundreds of properties are taking the exact same actions and competing for the same resources and assistance. Despite the immediate actions taken by property managers to mitigate damage and help residents, the City of Austin has requested a report that examines the inactions taken by apartment properties to help residents and repair their damaged units in a timely manner.

The city report will likely reveal that very, very few situations occurred where apartment residents and damage to units were not handled properly. Meanwhile, although very little can be done to prevent insurance rates from rising, the electric grid failures may spur new energy options for apartments including onsite battery power storage, the creation of more microgrids even micro-turbine power generation and distribution systems for apartment buildings.

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A A A Spring GOlf TOP GOLF AUSTIN

S

2021

MARCH 25, 2021

pring Golf at Top Golf was one for the record books. It was our first in-person event of 2021 post-pandemic. It was a great afternoon of golf, food, drinks and camaraderie at one of Austin’s coolest hangout spots.… and it was so wonderful to be back together in person again after more than a year! Thanks to AAA member support of this highly anticipated event, AAA was able to make a sizeable donation to the Political Action Committee coffers at the local, state and national levels.

Cheers to Top Golf in 2022!

Platinum Sponsors Holly Storz, Integrity Paving & Coatings; Terri Needham, CAS, PS Landscapes; Carol Taylor, Centex Construction; Robyn Riley, Valor Fire Protection

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at Top Golf

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Gold Sponsors Travis Fowler, Century HVAC Distributing; Carrie Thomes Laso, CAM, Rasa Floors; Corey Brown, Texas Materials; Ashley Pruden, CAS, Apartment Data; Jason Armstrong, CAMP Construction

Silver Sponsors

(not pictured)

AZ Partsmaster, Flooring Warehouse, Impact Floors, MSHQ/Lowe’s Pro Supply, WASH Multifamily Laundry Systems, LLC

First Place Team: Individual Team 1—Johnny Atkinson, Krista Dorn, Ashley Pruden, Cindi Reed, Chris Rhodes and John Wade

Second Place Team: Centex Construction

Third Place Team: Sherwin Williams

Best Individual Score: Cory Brown, Texas Materials

Longest Drive: Kris Burleson, InterSolutions Staffing

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s n o t a l u t a r g n o C CLASS OF 2020

Sarah Aldridge, CAM The Whitley, Greystar Danielle Archuleta, CAS Fetch Package Yahaira Barrios, CAM, CAPS Foundation Communities

2021 Now s n o i t a c i l p Ap Accepted!

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nt Apt Austin -Developme ship Leader

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Industry Ad_AAA_FNL.qxp_Layout 1 5/7/20 3:04 PM Page 1

HELLO GORGEOUS Have you created your NEW LOGIN on the NEW Member Compass?

WWW.AUSTINAPTASSOC.COM/LOGIN 2021 / SPRING /

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TAA-&-NAA HIGHLIGHTS

Texas Apartment Association Winter Board of Directors Meeting – February 2021

TAA Board and committee meetings were held at the Gaylord Texan Resort & Convention Center in Grapevine, with options to attend meetings virtually via Zoom. This was the first in-person meeting of the Board and committees since February 2020.

Recognized the five Olin Steele Lifetime Achievement Award finalists including Austin Apartment Association member Deborah Vogel, CAS of Arbor Contract Carpet. Other finalists are Jackie Cagle, CAS, Rasa Floors; Nora Mireles, Rasa Floors; Charles Stroud, CAS, Stroud Consulting Group; and Tina White, MFI-McMahan Flooring, Inc. TAA announced the seven nominees for the Mike Clark Supplier Partner Company of the Year Award, of which 3 are AAA members! We are so proud of these AAAmazing supplier partners: • AAA Plumbing • Camp Construction • Flooring Warehouse • FSI Construction • Gemstar Construction • Lowe’s Pro • The Liberty Group

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The Texas Apartment Association hosted its Winter Board and governance meetings February 3-5, 2021.

HIGHLIGHTS FROM THE TEXAS APARTMENT ASSOCIATION HYBRID BOARD OF DIRECTORS MEETING FEBRUARY 3-5:

TAA’S LEADERSHIP INITIATIVE CHAIR MARK HURLEY, CAPS IS LEADING THE TAA LEADERSHIP INITIATIVE

Four workgroups have been formed to address: (1) job design and assessment; (2) recruitment and selection; (3) orientation and training; and (4) rewards and recognition. Workgroups will meet over the next 6-8 weeks with a goal of presenting a program for approval by the Board in July.

TAA CLICK & LEASE The Board met and discussed the overhaul of the apartment lease contract, and progress on the data initiative and pricing alternatives put in place January 1. Other items discussed included potential de-

velopment of a public housing lease, and issues related to credit card fees.

TAA EDUCATION FOUNDATION Find resources to help grow your apartment hiring talent pool. The Foundation relaunched the Room to Grow resource center! TAAEF developed materials to help spread the word that careers in the apartment industry have Room to Grow!

Visit www.roomtogrowtx.org/resources; password = roomtogrow Tune into “Hints from HR,” TAAEF’s Facebook Live program offering important tips for employers and prospective employees on all things recruiting and hiring.

Episodes air Wednesday at 12:15 p.m. on TAAEF’s Facebook page: https://www. facebook.com/TAAEducationFoundation.

BRAD WILLIAMS (1949 – 2021)

TAA lost one of its most influential leaders in March, with the passing of Brad Williams.

Brad was with Lincoln Property Group for over 35 years, and was wise counsel for the industry, being heavily involved with TAA and NAA. His passion for the federation was legislative advocacy and the PAC. For memorial contributions, his family has designated Lincoln Charities: https://www.lincolncharities.com/.

NATIONAL APARTMENT ASSOCIATION ASSEMBLY OF DELEGATES MARCH 2021

The National Apartment Association hosted a virtual Board Meeting and governance meetings in March 0f 2021. Delegates from around the country dialed in via zoom for important industry discussion.

• On March 8, NAA’s annual advocacy conference, Advocate, brought together apartment housing leaders from across the country to meet with their elected officials on issues impacting the industry. Held in a virtual format in 2021, Advocate featured journalist Chris Wallace as the keynote speaker, education sessions and the issues briefing.

• NAA governance and committee meetings took place March 23 through 25, followed by the Spring Board of Directors Meeting on March 31st.

OTHER UPDATES FROM NAA

NAA/NMHC RELEASE FEDERAL POLICY PRIORITIES FOR 2021 The National Apartment Association (NAA) and National Multifamily Housing Council (NMHC) have released the apartment industry’s 2021 policy priorities, focused on issues that reduce operational risk and enable efficient operations, preserve housing affordability and ensure the continued viability of rental housing providers for the long term. In

the short-term, we are dedicated to alleviating the housing crisis created by the pandemic and maintaining the stability and competitiveness of the industry.

NAA HITS THE AIRWAVES

• As the industry grapples with the ongoing economic impact of COVID-19, and the detrimental political policies enacted in response to the pandemic, NAA is continuing its aggressive advocacy and PR campaigns.

PARTICIPATE IN 2021 INCOME & EXPENSES SURVEY

• Don’t miss your chance to receive a FREE copy of the 2021 NAA Income & Expenses Survey (IES) by participating. Your participation will provide crucial information about apartment market trends, budgeting benchmarks and income and expense data on the local and national levels. Deadline to participate is April 30.

PARTICIPATE TODAY ACCESS THE COVID-19 RENTAL HOUSING SUPPORT RESOURCES

• As part of the COVID-19 Rental Housing Support Initiative, the following resources are now available to help you, your employees and your residents survive and thrive during the pandemic and beyond: Mental Health Resource Library like isolation and resiliency; Industry facts like the Myth Quiz to test your knowledge and 6 Smart Reasons to Rent; Liability Resource Library like maintenance, business continuity and business reopening; and e-book on Employer’s Guide to COVID-19 and Emerging Workplace Issues.

Access Library at covidinitiative. rentalhousingindustry.org/about

UPCOMING TEXAS APARTMENT ASSOCIATION MEETINGS, EVENTS: July 14-16, 2021 TAA SUMMER BOARD MEETING

Grapevine, Texas

MAKE PLANS TO ATTEND!

APARTMENTALIZE NEW DATES, SAME GREAT EXPERIENCE

In-person meetings, travel and fun are all making a comeback in 2021 and to accomplish all of that, we are postponing the 2021 Apartmentalize to August 31 – September 2, 2021. With an extra 2 ½ months, we know even more of you will be able to reconnect, restart and reenergize at the largest gathering in the rental housing industry. NAA is excited to announce that Viola Davis – actor, producer and philanthropist – will be our Closing General Session Speaker!

Register Today at naahq.org/ 2021-Apartmentalize/registration

NAA INSURANCE CENTER

• Give your employees access to the care they need. NAA’s newest program, NAA Insurance Center, provides both industry and supplier members with quality healthcare solutions. Learn more and request a quote today for offerings like customized medical, dental and vision plans.

Learn More at naahq.org/insurance

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Subscribe & save.

ACE YOUR EDUCATION ALL YEAR! UNLIMITED SEMINARS. UNLIMITED STAFF. ONE LOW PRICE. Is your company part of AAA’s Annual Career Education Subscription Program?

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Most seminars are presented in half day sessions, eliminating significant time away from the workplace. All classes are held virtually or in the AAA Classroom at 8620 Burnet Road, Suite 475. AAA guarantees a minimum of 60 hours (20 seminars) each year.

UNLIMITED STAFF

The Apartment Career Education (ACE) Subscription Program has been designed to be affordable and valuable to our apartment community members. With an annual ACE subscription, an unlimited number of your community personnel may attend any ACE-eligible seminar... all for one price.

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Single class fees are typically $80 per attendee. Subscribers who enroll in the NAAAEI Designation Program will receive a 10% discount. The program is based on a calendar year and will be prorated for the year based on the sign up date.

APARTMENT COMMUNITY SUBSCRIPTION PLAN PRICING # OF RENTALS 0-24 25-49 50-99 100-199 200-299 300-499 500+

ANNUAL PRICE $280 $420 $630 $700 $840 $910 $1050

Questions? Contact Amy Lydic at 512-323-0990 or amyl@austinaptassoc.com.

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ASS

IS T

Support for LANDLORDS and TENANTS:

ANCE

U P

TAL N E RR O U N D

5

WAYS

BY EMILY BL A IR , C A E

From the onset of the COVID-19 pandemic, it was clear that everyone would be impacted in some way. Whether it was a job loss, reduction in work and hours, contracting COVID-19, or just the isolation and challenges of home becoming the center of our lives. It was also clear from the early days of the pandemic, that the apartment and rental housing industry would also be at the center of the pandemic. Not only because the majority of residents in greater Austin started the pandemic by sheltering-in-place in their apartment homes, but the majority of public policy makers and decisions also seemed to target the rental housing industry.

E

arly into the pandemic, it was clear that solutions would be needed for many residents who had been impacted – and at levels never seen before. The Payment Plan Agreement was the most sought-after form from the TAA Click and Lease program, and the most provided resource from our organization in early stages. Managers and their residents worked together to try to bridge the gap and find a solution to get their renters through this to the other side.

As the pandemic lingered however, the circle of those experiencing loss and experiencing economic impact widened. As this hardship grew, so did the impact on rental housing providers as well. The payment plans that were once crafted as a solution, were still coming up short.

It was clear the rental housing provider and the renter could not solve this challenge on their own.

Assistance arrived.

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Almost exactly a year ago, the first wave of federal relief hit the community with a round of stimulus checks. “The checks, worth $1,200 for individuals with adjusted gross income below $75,000 and $2,400 for couples earning below $150,000, are part of the federal government’s response to unprecedented unemployment levels a nd f inancial strain caused by Covid-19.” – CNBC, April 13, 2020.

In the midst of that, the City of Austin also made funds available in the first and second iteration of RENT (Relief of Emergency Needs for Tenants), totaling just shy of $14M in assistance.

There were also two waves of the City of Austin the RISE (Relief in State of Emergency) funding, amounting to $35 Million of support to households in Austin via 20+ local nonprofits.

In these early rounds, navigating the programs such as the RISE funding was challenging due to the fragmented distribution. Information was power in getting results – and AAA

bolstered information not only going to the landlords, but direct to renters as well.

Fast forward to December of 2020 and the second round of federal stimulus was sent to households, at half-strength of the first; $600 for individuals, and $1,200 for families – with the same income limits.

Finally, now in April 2021, the third wave of stimulus has begun trickling out to bank accounts with the passage of the $1.9T COVID-19 Relief Bill. Qualifying income levels were lowered, and maximum payouts are $1,400 for those individuals with less than $75,000, or head of households with $112,500 or less income. The stimulus also included $1,400 for each dependent – no age restriction.

But let us take a step back to December of 2020. The Coronavirus Relief Bill not only put forth a second round of stimulus, but it also included a very important $25 Billion in emergency rental assistance.

The Federal program had a few important distinctions, and is the structure by which the active state, county and local programs are administering rental assistance. Key elements were: • 90% of funds were to be used for rent payments, rent arrears, utility payments and other pandemic-related housing expenses.

• Assistance can be provided for up to 15 months.

• Eligible households are those with household income below 80% AMI, with a demonstrable risk of experiencing homelessness or housing instability; and who have one or more household members who qualify for unemployment benefits or experienced financial hardship due to the pandemic.

• Applications can be submitted either by renters or by the housing provider.

This last distinction was of crucial importance for the industry in the Treasury funded program.

From there, States, or local governments with a population greater than 200,000 could apply to the Department of Treasury for the funds. This resulted in the following grantees administering funds here in Central Texas: • State of Texas: $1.3 billion • Travis County: $10.6 million • Hays County: $6.9 million • City of Austin: $29.6 million

By February, the first of the funds were available for application, with the February 15 launch of the Texas Rent Relief (TRR) program.

Below is a summary of each of the programs available for rental housing providers and renters to apply to, in the AAA 11-county jurisdiction.

1 Texas Rent Relief

Administered by Texas Department of Housing & Community Affairs (TDHCA) • Direct link to program, information: TexasRentRelief.com • For Information, Call Toll-Free or Email: 1-833-9TX-RENT • 1-833989-7368 • info@texasrentrelief.com Monday-Saturday • 8

a.m. - 6 p.m. CST • Help is available in multiple languages.

• What costs does the program cover? The Texas Rent Relief Program can help renters with the following costs starting as far back as March 13, 2020: o Past due, current and up to 3 months of expected rent costs o Past due, current and up to 3 months of expected utility and home energy expenses o After the initial 3 months of forward assistance, you can apply for 3 additional months of assistance if funds are still available.

• Deadlines? The application portal opened 2/15/21 at 8am and will remain open until all funds are committed.

• Who is eligible?

1) Renter household must have an income of no more than 80% of the area median income (AMI), AND 2) attest in writing that they have either: a. qualified for unemployment benefits, OR b. due to or during the pandemic: i. experienced a reduction in income, ii. incurred significant costs, or iii. experienced other financial hardship 3) AND, one or more individuals within the household must demonstrate they: a. are at risk of experiencing homelessness or housing instability, which may include a past due utility or rent notice or eviction notice, or b. live in unsafe or unhealthy housing conditions.

• What about late fees? Waive any fees or penalties not covered by rental assistance from TRR (ex. of fees not covered: returned check, missed appointment fee or lease modification fee). Late fees for nonpayment of rent may be covered

by TRR as long as they are reasonable (maxed at 12% of monthly rent for 1-4 units, maxed at 10% of monthly rent for 5+ units) and pursuant to the lease.

• How does this affect the eviction* process? Landlord cannot evict the tenant for any reason that predates the acceptance of the funds or for any reason related to rent or fees during the time period covered by the funds, and will not evict the tenant for a nonmonetary default during the time period covered by the rental assistance actually received, except for actions or breaches of the lease that are related to criminal activity, property damage or physical harm to others.

See Landlord Certification at TexasRentRelief.com, click “Forms & Resources.” bit.ly/TexasRentRelief_Landlord

2 Texas Emergency Rental Assistance Program (TERAP) Administered by Texas Department of Housing & Community Affairs (TDHCA) • Direct link to program, information: https://www.tdhca.state.tx.us/CDBG-CARES.htm • What costs does the program cover? The program can pay up to six months of an eligible household’s rent, including rental arrears, with at least one of those months covering a month of future rent. As a set-aside within the program, 10% of

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• •

•

•

funds are specifically earmarked to provide the Texas Eviction Diversion Program (TEDP) which provides rental assistance to tenants who have been sued for eviction, providing the landlord and tenant an alternative to eviction.

Contract rent for the household assisted may not exceed the TDHCA maximum limits (enter your zip code or county as applicable on the Rent Limit Calculator at https:// www.tdhca.state.tx.us/CDBG-CARES.htm for the limits) Deadlines? Applications are open, funds will be obligated by 7/31/2021 Who is eligible? o Household income below 80% of Area Median Income (AMI)* o Household has been financially affected by COVID-19 pandemic o Tenants are INELIGIBLE if they are receiving tenant-based voucher assistance, are in a unit receiving project-based assistance, or are in public housing What about late fees? Waive any fees or penalties not covered by rental assistance from TERAP (ex. of fees not covered: returned check, missed appointment fee or lease modification fee). Late fees for nonpayment of rent may be covered

by TERAP as long as they are reasonable (maxed at 12% of monthly rent for 1-4 units, maxed at 10% of monthly rent for 5+ units) and pursuant to the lease.

How does this affect the eviction process? Landlord cannot evict the tenant for any reason that predates the acceptance of the funds or for any reason related to rent or fees during the time period covered by the funds and will not evict the tenant for a nonmonetary default during the time period covered by the rental assistance actually received, except for actions or breaches of the lease that are related to criminal activity, property damage or physical harm to others.

3 Texas Eviction Diversion Program (TEDP)

Administered by Texas Department of Housing & Community Affairs (TDHCA) • Direct link to program, information: https://www.txcourts.gov/ programs-services/eviction-diversion-program/ • What costs does the program cover? Up to 6 months of rental assistance (dating back to 3/13/2020), can be used towards rent and utility.

• Deadlines? Applications re-opened 2/15/2021 • Who is eligible? *Note: Only applicable to households that have already been sued for eviction. o Contract rent must not exceed TDHCA max limits, see calculator: https://www.tdhca.s tate.tx.us/CDBGCARES.htm o Household has been sued for eviction from primary residence o Renter household must have an income of no more than 80% of the area median income (AMI) o attest in writing that they have either:

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o qualified for unemployment benefits, OR o due to or during the pandemic: · experienced a reduction in income, · incurred significant costs, or · experienced other financial hardship o AND, one or more individuals within the household must demonstrate they: · are at risk of experiencing homelessness or housing instability, which may include a past due utility or rent notice or eviction notice, or · live in unsafe or unhealthy housing conditions.

• What about late fees? Late fees for nonpayment of rent may be covered as long as they are reasonable (maxed at 12% of monthly rent for 1-4 units, maxed at 10% of monthly rent for 5+ units) and pursuant to the lease.

• How does this affect the eviction process? Eviction case will be abated for 60 days. The landlord may file a motion to reinstate the eviction case at any time during the 60-day abatement period. If the landlord files a motion to reinstate then the court will set the case for trial and inform the parties how to proceed. If landlord does not file motion to reinstate the eviction case within the 60-day period, then the judge will dismiss the case with prejudice.

4 Travis County

Administered by Travis County Emergency Rental Assistance Program (ERAP) / Administered by Travis County • Direct link to program, information: TravisCountyTX.gov/apply • What costs does the program cover? If applicants qualify, they may receive one or more forms of the following assistance: • Rental fees (up to 15 months) • Late fees • Relocation expenses • Security Deposits • Application Fees • Other rental related expenses • Deadlines? Applications will be accepted until September 1, 2021 or until all funds have been obligated, whichever is sooner.

• Who is eligible?

• Resides within the boundaries of Travis County, Texas (persons in other states or counties are expressly excluded); • Qualifies for unemployment or has experienced a reduction in household income, incurred significant costs, or experienced a financial hardship due to COVID-19; • Demonstrates a risk of experiencing homelessness or housing instability; AND • Has a household income at or below 80% of the area median income (AMI) • High need residents will be prioritized for application review, in accordance with federal guidelines • What about late fees? Yes, let fees will be covered.

• How does this affect the eviction process?This program will help alleviate some of the financial burden felt by renters and landlords during the eviction mortarium. By addressing rental arrears, the program aims to better situate residents of Travis County should the mortarium be lifted.

5 City of Austin

RENT (Relief of Emergency Needs for Tenants) Administered by the Housing Authority of the City of Austin (HACA) and the City of Austin Housing and Planning Department • Direct link to program, information: : http://austintexas.gov/rent • What costs does the program cover? The Relief of Emergency Needs for Tenants (RENT) Assistance Program provides $25 million of direct rent assistance for Austin renters making a low income and have been impacted by COVID-19.

• Deadlines? To apply for RENT, visit the R ENT Application Portal during the open application period which starts Monday, March 15 a nd continues until program funds are spent. Applications can be submitted 24 hours a day, seven days a week, from any smartphone, mobile device, or computer with Internet access. A n email address is required to submit an application.

• Who is eligible? o Renter household must have an income of no more than 80% of the area median income (AMI). The table below shows the income limits for Austin, by number of persons living in the home:

o Household has one or more members of the household has either: · qualified for unemployment benefits, OR · due to or during the pandemic: · experienced a reduction in income, · incurred significant costs, OR · experienced other financial hardship o AND, one or more individuals within the household

must demonstrate they: · are at risk of experiencing homelessness or housing instability, which may include a past due utility or rent notice or eviction notice, OR · live in unsafe or unhealthy housing conditions. o AND, live within Austin’s full-purpose jurisdiction (To verify, enter the address in the searchable City of Austin Jurisdictional Boundaries map). The address on the application must be the primary residence.

• How does this affect the eviction process? o In response to the COVID-19 pandemic, Mayor Steve Adler issued Order No. 20210330-028 (PDF) t hat prohibits landlords from issuing notices to vacate except in certain circumstances, locking out renters, and removing property. This ordinance expires on May 1, 2021. o In addition, the Texas Supreme Court has ruled that all eviction filings must include a U.S. Centers for Disease Control and Prevention (CDC) form where renters swear that they earn less than $99,000 a year (for individuals), would be homeless if evicted and have tried to pay rent. The CDC issued an eviction halt t hat took effect on September 4, and renters who sign the CDC form cannot be evicted through the end of June 2021.

It is important to note rental relief programs are continually changing. Additionally, the forms such as the landlord certifications are subject to change as well. Please refer to each program directly and the administering agency for the latest updates.

The Austin Apartment Association has links and program information on the COVID-19 Resource page at https://www. austinaptassoc.com/covid19-resources. Click on “Member Resources” to find direct links and the latest details of these rental assistance programs.

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Education

EDUCATION TRACK LEGEND:

OPPORTUNITIES YOUR CHANCE TO GROW AND LEARN Visit austinaptassoc.com/events/education for more class info and to register. Questions? Contact AAA, Director of Education Amy Lydic, CAE at (512) 323-0990.

CALP (Certified Apartment Leasing Professional) Credential Course APRIL 27-30, 2021

Course good for Education Tracks:

8:30 a.m. – 4:30 p.m.

Presented by: Sue Weston, CAM, CAPS, The Susan Weston Company AAA – 8620 Burnet Rd., #475 $415 per AAA member10% discount for ACE subscribers Leasing professionals are the first people prospective residents meet, and often their only gauge of the property staff. This course is designed to teach these professionals skills to help them become top producers.

CAPS Credential Course (Live Instructor Led Virtual Course) MAY 11, 18, 26, 27

Course good for Education Tracks:

Orientation and Review days will be 1 hour from 1:00 p.m. – 2:00 p.m.

Class days will be 4 hours from 1:00 p.m. – 5:00 p.m.

Presented by Sue Weston, CAM, CAPS, The Susan Weston Company Virtual – Link to Login will be sent after registration $1,475 per AAA member 10% discount for ACE subscribers The Certified Apartment Portfolio Supervisor (CAPS) program is an indepth review of property management principles and techniques as used by the professional supervisor. This course helps the professional make the connection between knowledge and on-the-job performance.

Supplier Success MAY 13, 2021

Course good for Education Tracks:

8:30 a.m. – 4:30 p.m.

Presented by Stephanie Naylor, CAS, NAAEI Faculty, Flooring Warehouse AAA – 8620 Burnet Rd., #475 $200 per AAA member- (FREE if you took 2021 CAS Credential Course with AAA) CECs: 6 This course is one of the three components necessary to achieve your CAS credential. The CAS curriculum, the Supplier Success program and passing the online CAS exam along with meeting an industry employment requirement will satisfy the requirements for this credential.

Strength-Based Leadership MAY 19, 2021

Course good for Education Tracks:

8:30 a.m. – 11:30 a.m.

Presented by Stephanie Puryear Helling Virtual – Link to Login will be sent after Registration $99.99 per AAA member (includes $19.99 Assessment Fee) $19.99 for ACE subscribers (only pay for $19.99 Assessment Fee) CECs: 3 A strengths-based approach can benefit your leadership and your team’s performance in several ways. Our strengths define who we are. They make us unique.

The surprising part is many people do not know their strengths and others do not effectively use them. Each attendee will complete a strengths assessment prior to the class and instructor use the

Q U E S T I O N S ? Contact AAA at amyl@austinaptassoc.com or (512) 323-0990.

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assessment results to provide insights to the group.

Virtual REDBOOK Multi-Family Rental Housing Legal Seminar – Mid-Year Update MAY 27, 2021

Course good for Education Tracks:

9:00 a.m. – 4:00 p.m.

Presented by Bill Warren, Warren Law Firm Virtual – Link to Login will be sent after registration $234 per AAA member CECs: 5 If you missed Redbook Training in 2020, take advantage of this mid-year offering of the course. Sharpen your knowledge of your legal rights and responsibilities as a rental housing owner or manager.

EPA Universal 608 Review & Exam JUNE 3, 2021

Course good for Education Tracks:

9:30 a.m. – 5:00 p.m.

Presented by Century HVAC Distributing AAA – 8620 Burnet Rd., #475 $130.00 per AAA member (includes book and exam) The Federal Clean Air Act, Section 608, requires anyone who performs service, maintain, repair, or dispose of appliances and equipment that contains regulated refrigerants be certified in proper refrigerant handling techniques. The EPA also restricts the sale of regulated refrigerants to certified technicians only.

Technicians who violate these provisions

New in 2021! Multifamily Insiders introduce Webinar Wednesday Keynote! These specially indicated sessions are available to your entire onsite staff for one low price of $99.99 (plus a discount if you use the AAA Discount code “16AAA”). Look for the keynote logo and register today!

APRIL 7

MAY 5

MAY 19

What’s New in Fair Housing

Overcoming Objection on the YES PATH

Simple Adjustments for a Sizzling Summer

APRIL 21

Sales Psychology: Inspiring Prospects to Take Action Without Offering Free Rent

MAY 12

Mastering Maintenance: Keep Your Pool Safe, Clean, and Running All Summer Long

All Webinars are conducted by www.multifamilyinsiders.com.

1:00 p.m. – 2:00 p.m. CT Cost $29.99 Enter the code “16AAA” in the coupon field when registering for a discount!

may be required to appear in Federal Court and are subject to fines and lose their certification.

This will be a review course in the morning followed by the universal exam after lunch break. Advance study of the materials is encouraged.

to run a cost-effective maintenance program.

This program is recommended for maintenance technicians, porters, housekeepers and other technical service personnel who are interested in advancing their career by earning a nationally recognized certificate.

CAMT (Certificate for Apartment Maintenance Technician) JUNE 16-18 (VIRTUAL) AND JUNE 23-25 (IN-PERSON) Course good for Education Tracks:

9:00 a.m. – 4:30 p.m. each day Presented by Julio Herrera, NAAEI Faculty Part I will be held virtually and Part 2 will be in-person at AAA – 8620 Burnet Rd., #475 $1,050.00 per AAA member Maintenance expenses are the single largest controllable element in any operating budget. This course acts as an introduction for new maintenance professionals or as a refresher for the veteran employee, teaching what it takes

May Food For Thought: Bed Bugs in Apartments – How to Defend Your Community and Bite Back!

JUNE 9 -

Balanced by Design: Why “Crazy Busy” Isn’t Sustainable JUNE 23

Leveraging Virtual and SelfGuided Tours to Close More Leases

what every property manager should know about bed bugs: How to identify bed bugs, how bed bugs spread between apartments, what are the multi-family industry best practices for bed bugs in occupied and vacant apartments?

June Food For Thought: How to Provide a Proper Landscape RFP

June 9, 2021 12:00 p.m. – 1:00 p.m.

Presented by Chris Rhodes, Yellowstone Landscape Free for AAA Members CECs: 1 This Food for Thought will discuss how to put together an inclusive RFP to get the best bids, including what instructions to give bidders and how to eliminate non-qualified bidders. Also how to award and start contracts once a decision has been made.

May 12, 2021 12:00 p.m. – 1:00 p.m.

Presented by Jon Polenz, Ecoteam Free for AAA Members CECs: 1 This Food for Thought will discuss

Be sure to check out the Education Calendar (link to: https://www.austinaptassoc.com/events/education) for the most up-to-date schedule of education.

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LAW IN ORDER

The Warren Report WEATHERING THE INEVITABLE WHACK

By William S. Warren, Warren Law Firm

F

Our scenario in this article is the winter storm which damaged dwellings and forced landlords and tenants to think outside the box.

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ebruary 2021 brought Texas a siege of five extreme winter storms in seven days. These delivered multiple rounds of snow and ice and smashed sustained low temperature records.

Electricity and water were lost, pipes froze and burst, and chaos ensued.

To paraphrase the great philosopher, Geraldo Rivera, eventually Mother Nature is going to come around and whack you. She certainly did.

Our scenario in this article is the frenetic stretch of snow, ice, and cold which damaged dwellings, handcuffed plumbers, and electricians, and forced landlords and tenants to think outside the box to get warm and dry out. While many had no access to running water, many others had unwelcome water invasions from pipes of all types.

Neither landlords nor tenants were spared the wrath of Mother Nature.

Yet there seemed to be immediate finger pointing. The prevailing mentality

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called for significnt blame shifting. It was difficult, it seemed, for many people to accept the fact that not every situation is someone else’s fault.

This Warren Report will discuss some legal and contractual responses to tenants who took the position that their landlords owed them something as compensation for their loss and inconvenience. Two main sources for this discussion exist: one is the Lease and the other is the Texas Property Code (TPC). Although certainly not the only lease in the land, contractual references in this Law in Order will be to the TAA lease. This article will also focus on the Repair and Remedy statute contained in TPC Sections 92.051 through 92.062.

The Lease. Paragraph 24.4 states that unless otherwise required by law, the owner is not liable to any resident, guest, or occupant for damage or loss of personal property from causes including water leaks, interruption

William S. Warren, Warren Law Firm

of utilities and pipe leaks. The key phrase, to be discussed below, is “unless otherwise required by law.”

Paragraph eight of the Lease advises the tenant that even if they are not required by paragraph eight to buy and maintain renter’s or liability insurance, they are urged to get their own insurance for losses due to water, pipe leaks, and similar occurrences. In most situations, the box in paragraph eight requiring the tenant to have insurance is checked.

Unless otherwise required by law.

This phrase, from paragraph 24.4 of the Lease, is pivotal, for it will determine what remedies, if any, a tenant may have available when faced with our scenario described above. TPC Section 92.056(b) emphasizes the important cornerstone of landlord liability with these words: “… a landlord is liable to a tenant as provided by this subchapter IF….” Stated another way, landlord liability is not automatic. It has prerequisites which must be satisfied before owner liability will exist.

TPC Section 92.056 goes on to detail those prerequisites. They include the tenant giving notice to the landlord in a particular manner. They also include the requirement that the condition to be repaired or remedied must materially affect the physical health or safety

of an ordinary tenant.

Next come two very critical statutory requirements. First, the landlord must have had a reasonable time to repair or remedy the condition after the landlord received the tenant’s notice.

Second, ONLY IF the landlord has not made a diligent effort to repair or remedy the condition, following receipt of the tenant’s notice, will liability follow.

There is one more significant element in the liability analysis. TPC Section 92.056 requires that the tenant not be delinquent in the payment of rent at the time he or she gives the landlord notice to repair or remedy a condition required by this statute.

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Inaction is the key to landlord liability. The mere existence of an adverse condition does not create landlord liability. That adverse condition must not only exist, but it must also be of a certain type. In addition, it must be properly reported to the owner, and then the owner must fail or refuse to make a diligent effort to repair or remedy that condition. Absent satisfaction of all these prerequisites, it is extremely unlikely that a landlord will be found liable to a tenant.

Tenant remedies contingent upon landlord liability. TPC Section 92.056(e) sets forth certain remedies which may be available to a tenant to whom a landlord is liable as discussed above. Who gets to determine whether that landlord liability exists? (1) Is it the tenant, who simply interprets the facts and makes a unilateral conclusion that the owner must pay? (2) Is it the property owner? Does the landlord have the right to conclude that it is not liable under the facts and is therefore justified to reject the

resident’s demands? (3) Or must the courts become involved to first determine whether landlord liability exists, and if it does, decide whether the owner’s conduct caused damages for which specific remedies may now be available to the tenant?

Of those three options, the third is most applicable. A finding of liability will depend upon the interpretation of facts in a particular manner. Going back to the requirements of the condition itself, it may easily be a disputed fact question whether the condition materially affects the physical health or safety of an ordinary tenant. The

landlord’s and the tenant’s positions on this can be strikingly different.

Other disputable fact questions include whether the landlord has made a diligent effort to repair or remedy a condition, and whether the landlord has done that within a reasonable period of time. Again, the landlord’s and the tenant’s positions on this can vary significantly. That is where the Courts come in.

For the courts to get involved a lawsuit must be filed. Whether the litigation alleges a breach of contract by the owner, misrepresentation of some

type, or a violation of the repair and remedy statute, those claims must be presented to the factfinder (judge or jury) in the context of a lawsuit. Those deciding the outcome will do so based upon properly presented, competent evidence. Based upon that, the trier of fact will make legal conclusions and findings of fact. Once that is done, a judgment will result. The relief available, depending on the claim asserted, is governed by the law, not the whims of the litigating parties.

Possible tenant remedies under the Property Code. Sections 92.056 and 92.0561 set forth relief which a tenant may recover if statutory liability is established. Place the emphasis on the word “may.” The available remedies are neither automatic, nor are they the same in all circumstances. As the foregoing discussion illustrates, unless there is cooperation and reasonableness, immediate or even prompt resolution of a dispute will not occur. COVID-19 has had the resolution of many disputes in a deep freeze for over a year.

One of the most common demands tenants make to their landlords, aside from a plea for quick restoration of basic services, is compensation of some type.

Controversial tenant demands. One of the most common demands tenants make to their landlords, aside from a plea for quick restoration of basic services, is compensation of some type. Frequently a resident will demand rent abatement. Multiple variations of this demand may be used. Some tenants allege a breach of the Lease by the landlord. Others contend there has been a breach of an implied warranty of habitability. Still others make the claim that, simply because Mother Nature’s wrath temporarily cost them something they were used to having, they should be allowed to pay less to the

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What about lease termination by the tenant? It is not uncommon in a scenario like the one we are discussing for tenants to state they have terminated their lease and suggest there is nothing the owner can do about it. Many tenants erroneously believe they have an automatic right to vacate early and end their financial responsibilities under the lease without penalty or repercussion. True, lease termination is one of the remedies which a tenant may recover under TPC Section 92.056(e)(1). Often overlooked, however, is the fact that unilateral lease termination by a resident is only available when the landlord is liable under the repair and remedy

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statute to the tenant. As our winter storm analysis has shown, one follows an icy and slippery slope to resolution of this often-disputed inquiry concerning liability. A preferred alternative is cooperation and reasonableness.

What about a landlord’s termination of the lease? Lease paragraph 26.5 enables the owner to terminate the lease upon seven days written notice provided the landlord believes that catastrophic damage is substantial, or that performance of needed repairs poses a danger to the tenant. The sometimes-knee-jerk reaction is that if

the lease gets terminated by the landlord, the tenant must move. Contractually they must. Practically, if they live in the City of Austin or the County of Travis, they do not.

If you terminate the lease of the tenant, and they remain in the premises, they become a holdover tenant.

Thanks to COVID-19, we have local ordinances in Travis County and the City of Austin which currently prohibit the issuance of notices to vacate to a holdover tenant. In the local ordinances, they are treated similarly, for the most part, to a resident who does not pay his or her rent. To terminate

the lease under paragraph 26.5 in our weather driven scenario, therefore, may be harmful to you.

Remember, it is the Lease which creates the obligations of the tenant concerning such essentials as the obligation to pay rent and the ability of the owner to regain possession (eventually) by exercising the landlord’s rights in the event of an act of default. The Lease also spells out what conduct, whether monetary or not, will be a default under the Lease. If you terminate the Lease, and eliminate those clearly stated obligations, you enter the Wild West of Leasing. Do not go there unless you are forced to.

What about a tenant’s contentions of breach of contract? Lease paragraph 31.1 sets forth the owner’s responsibilities.

Pertinent to this discussion is 31.1(d), requiring a landlord to act with customary diligence to make all reasonable repairs.

Earlier in this discussion, you read the word diligence. The repair and remedy statute enables the owner, in many situations, to avoid liability if that owner is making a diligent effort to repair and remediate the adverse condition which the tenant complained of. Terminating the lease will not, therefore, enable you to dodge your duty of diligence. Both the lease and the law require diligence.

Depending upon the magnitude of the problem which our weather-related scenario created at your community, you should have a rather wide variety of options to appease a resident’s frustration and offer them a resident satisfaction solution. As you evaluate what you can offer, do your best to understand an individual resident’s financial situation.

Insurance will play a key role. Earlier it was pointed out how paragraph eight of the Lease typically requires

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It is not up to the owner to initiate a claim under a tenant’s insurance policy.

landlord for rent than they agreed to.

Some residents make it easy and present a simple formula: “since I was denied something in my residence for a given number of days, I should not have to pay rent for that number of days.” Since such claims are rooted in frustration and anger, they are seldom reasonable.

The Lease only provides for rent abatement under paragraph 17.1(A). This paragraph is entitled “delay of occupancy.” It contemplates the owner being unable to deliver possession of the premises at the agreed-upon time due to delays caused by things like construction and a previous resident’s holding over.

That scenario, however, was not presented in our consideration of February 2021 events.

Paragraph 26.4, likewise, states that unless required by statute after a casualty loss, or during equipment repair, your rent will not abate in whole or in part. Once again, we see the significance of the phrase “unless required by statute” discussed above. Resolution under that standard does not happen quickly.

It requires a great deal of effort and often avoids compromise.

the resident to carry renter’s or liability insurance. If the provisions of Lease paragraph eight are emphasized during the application process, it will be clarified prior to lease inception that the multifamily community’s own insurance will rarely directly benefit the individual resident in their unit.

In fact, lease paragraph eight is very clear in its immediate disclaimer: “our insurance doesn’t cover the loss of or damage to your personal property.”

Curiously, in this February 2021 weather-induced debacle, many residents had insurance but did not want to make a claim under their own policy. Why? They paid for the insurance, and they should avail themselves of the maximum benefits it may offer.

True, many renter’s insurance policies may have multiple exclusions and limitations of liability. But that cannot be a deterrent to making a claim. It is certainly worthwhile for every resident who has insurance to pursue their claims fully and promptly. Encourage this.

It is not up to the owner, however, to initiate a claim under a tenant’s insurance policy. Renter’s or liability insurance establishes a contractual relationship between the insurer and the tenant. Even though the owner may be a beneficiary under such a policy, or at least a party entitled to notice, the duties of the insurer are primarily to its insured, the resident.

Lease paragraph 13.1 addresses damage in the apartment and whether a resident may have liability to pay for all or part of such damage. Reference to this paragraph of the Lease is not a suggestion that you attempt to blame a resident for weather-induced losses in their unit. Rather, you can suggest to your resident how they can tell their insurer that provisions of their Lease make it unlikely the landlord will be compelled to reimburse them for their losses. That bit of perhaps unwelcome advice may at least motivate your

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resident to aggressively pursue insurance coverage under their own insurance policy.

In the insurance context, it helps a tenant to be aware of paragraphs 24.4 and 13.1 of their leases. With a straightforward and non-accusatory approach, you can assist your resident to overcome any intimidation they have from their confusingly written insurance policy, motivating them to aggressively pursue a rightful claim against their own carrier. Be willing to nudge their toboggan down the Snow Hill of Coverage.

Exclusive remedies are afforded under the Property Code. The earlier discussion mentioned some of the ways in which residents try to shift blame onto their landlord by arguing the owner has engaged in conduct like breach of contract, breach of warranty, misrepresentation of tenant rights, and things of that nature. TPC Section 92.061 may be especially useful when that occurs. It unquestionably attempts to steer repair and remedy claims of the tenant against a landlord into the Property Code sections referenced above.

To do that, it states that the duties of a landlord and the remedies of the tenant are in lieu of the existing

common law and other statutory law warranties and duties of landlords for maintenance, repair and habitability, and remedies of tenants for violation of those warranties and duties. That is a lot of legalese; but to paraphrase, it directs the focus on whether, under the Property Code, liability of the landlord to a tenant exists. If it exists under the facts, that liability should be as clear as a ski jump platform. No curves, just a straight, downward path to the result.

Conclusion. Anger and frustration impair a person’s ability to reach a fair, agreed resolution. They do not, however, make that impossible. By knowing your rights, afforded under the Lease and the law, you will be in a much better position to reach resident satisfaction solutions which are acceptable and appropriate. Mother Nature will likely smile when landlords and tenants work together to resolve the consequences of her recent activity. Put in the work. If we know one thing from the February 2021 winter storms, Mother Nature can be a formidable wreaker-of-havoc when she wants to be.

By knowing your rights you will be in a much better position to reach resident satisfaction solutions.

The year 2021 marks BILL WARREN’s 41st year of practicing law. His law practice focuses on a variety of issues and cases, the majority of which address the concerns of those active in the multi-family industry. He founded and manages Warren Law Firm. In addition, he serves as Of Counsel for the Texas Apartment Association and as Legal Counsel of the Austin Apartment Association. Bill is also a Credentialed Mediator in Texas. He writes and speaks regularly, and as author of Law In Order: The Warren Report he has had over 120 articles published. His topics cover all nature of issues pertaining to rental housing, from onsite to the boardroom to the courtroom. Bill has been Board Certified in Civil Trial Law by the Texas Board of Legal Specialization for 30 years, and is also a Fellow of the College of the State Bar of Texas. He can be reached at Warren Law Firm, 1011 Westlake Drive, Austin, Texas 78746, (512) 347-8777, or through his firm’s website at www.WLFtexas.com.

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for the love of AAA

WELCOME BACK BASH Thursday, May 20, 2021 6PM - 10PM

at Salt Lick

Salt Lick Pavilion | 18300 Ranch to Market Road 150 | Driftwood, TX

Please remember to carpool and designate a driver.

Salt Lick BBQ Buffet Cash Bar S’mores

$55 per person LIMITED NUMBER OF TICKETS First Come, First Served

NO WALK-INS

MUST Pre-Register

Music Corn Hole TOURNAMENT Benefitting Food Drive

REGISTER HERE:

AustinAptAssoc.com/Events/Welcome-Back • A health screening will be given to each attendee upon entrance to event. To ensure the safety of all attendees, this event is being held at an indoor/outdoor venue, but please note MASKS ARE REQUIRED when not seated at the table eating and drinking.

• Payment in full is due prior to the event. No refunds or cancellations will be permitted within 10 days of an event for attendee registrations and within 90 days for a sponsorship.

• By participating in this event, you consent to your photograph/video recording being used for promotional purposes including but not limited to AAA promotional material, website and social media.

CALL FOR A FREE QUOTE (512) 893 - 5420

2021 / SPRING /

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PRST STD U.S. Postage PAID Permit No. 3123 Austin, TX Austin Apartment Association 8620 Burnet Rd. #475 Austin, TX 78757

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