Best Turnaround - Tiger Lodge

SHB INNOVATOR AWARDS 2017

Best Turnaround Project Tiger Lodge

BACKGROUND Tiger Lodge is a 756-bed purpose built student housing community in Auburn, AL. The community sits about 3 miles from the center of Auburn University. It features 2, 3, and 4 bedroom apartments all with bed/bath parity. Residents enjoy amenities such as a resort-style pool, 24-hour fitness center, sand volleyball court, business center, basketball court, among other things.

Cardinal Group Management, in partnership with Soundview Residential, assumed management of Tiger Lodge in October of 2015.

THE CHALLENGE

When Cardinal Group assumed management of Tiger Lodge it was clear there was a perception that it was a very unsafe community.There was good reason for this perception as there were three shootings, two of which were fatal, within 2 years of the date of management takeover.

That doesn’t include numerous other violent and drug related crimes that happened at the community.

THERE HAVE BEEN 3 FATAL SHOOTINGS ON THE GROUNDS WITHIN THE LAST 2 YEARS. The neighborhood is not too safe. The management hired “security” to make residents feel safer, but they’re a complete joke (60+ old men walking around with a flashlight). All security does is harass the residents and their friends, mainly people of color.

- GOOGLE REVIEW | PRIOR TO CGM TAKEOVER

THE CHALLENGE

AT THE TIME CARDINAL GROUP TOOK OVER THE COMMUNITY IT WAS OCCUPIED AT A MERE 55%.

This poor starting point would be a major obstacle in the turn around effort. Fewer current residents meant a much smaller pool to renew from, meaning we had to renew a higher than average percentage of residents along with grabbing more new leases than our competitors. That’s not to mention fewer mouthpieces to spread the word about the new and improved Tiger Lodge. A hurculean effort on the marketing front was needed to overcome this obstacle.

THE GAME PLAN In order to overcome the major challenges the community presented we focused heavily on operational and marketing practices.

Fixing the security issues and the perceptions that surround them was of paramount importance. Without fixing the security and then repairing the perception of the community, none of our marketing initiatives would take hold. Once we provided this safe haven we would unleash a marketing plan that hit students on multiple platforms with multiple messages.

TAKING SECURITY SERIOUSLY Patrol Service & Courtesy Officer

Increased Gate Security

Zero Tolerance & Penalties

Nightly watch provided

by RealCo - Security logs are shared in a meeting with the community manager on a biweekly basis. Crimes must be immediately reported.

A new gate security software is put in place.

Only current residents are provided a distinct code or “Tiger Tag”.

Gates are monitored 24 hrs a day by a camera system.

Established Zero Tolerance policies. All residents are held responsible for guests.

Including: Noise complaints, drug use/possession, underage consumption of alcohol, felony or misdemenor occuring on/off site.

MARKETING

Online Reputation

Unit Renovations

Pick a Key, Live for Free

ONLINE REPUTATION

WITH THE OVERHAULED SECURITY PLAN IN PLACE, WE WANTED TO SHOW THAT THE GUARD HAD CHANGED. - BOBBY CHILD | PORTFOLIO MANAGER | SOUNDVIEW RESIDENTIAL Our team solicited resident reviews online in conjunction with Modern Message and JTurner Research tools.

Over time, the results showed that our efforts were paying off.

BEFORE

AFTER

ONLINE REPUTATION

PRIOR TO TAKE OVER Five Star Ratings: 1 Review

Four Star Ratings: 1 Review

AFTER TAKE OVER Five Star Ratings: 16 Reviews

Four Star Ratings: 10 Reviews

UNIT RENOVATION WE RENOVATED 54 UNITS AFTER TAKE OVER In addition to signaling a shift in the community via online reputation we wanted to provide a more physical and tangible change as well. These renovations, along withour new online reputation, gave us fresh strengths to build upon.

NEW STAINLESS STEEL APPLIANCES

REFACED CABINETRY

NEW FURNITURE

NEW LIGHT FIXTURES

RESURFACED COUNTERTOPS

NEW LVT WOOD FLOORING

NEW PLUMBING FIXTURES

RENOVATIONS COMPLETED

AFTER

BEFORE

AFTER

BEFORE

PICK A KEY, LIVE FOR FREE. After establishing a new online reputation and renovating our model unit, it was time to start driving traffic to the community and proving things were completely different than in years past. In order to drive as much traffic as possible we created a promotion called "Pick A Key, Live For Free".

During this promotion we handed out keys (or distributed digital keys online) to perspective residents. These keys drove them to the leasing office for their chance to win. During their tour they would try and unlock a door for a chance to win free rent for a year!

CAMPAIGN: PICK A KEY, LIVE FOR FREE

LUCKY KEY

LUCKY KEY lives for free

lives for free

Tour between Mar. 21-Apr. 25 and you could win

FREE RENT FOR A YEAR If your key opens our special door during your tour, you win!

LiveTigerLodge.com | 334.502.7300 | 202 W. Longleaf Dr.

*SEE LEASING OFFICE FOR FULL RULES

Tour between Mar. 21-Apr. 25 and you could win

FREE RENT FOR A YEAR If your key opens our special door during your tour, you win!

LUCKY KEY lives for free

Tour between Mar. 21-Apr. 25 and you could win

FREE RENT FOR A YEAR SEE LEASING OFFICE FOR FULL RULES

LiveTigerLodge.com | 334.502.7300 | 202 W. Longleaf Dr. Tour between Mar. 21-Apr. 25 and you could

WIN FREE RENT for one year SEE LEASING OFFICE FOR FULL RULES

*SEE LEASING OFFICE FOR FULL RULES

DISTRIBUTION CHANNELS: SOCIAL MEDIA ADS, GOOGLE PPC, FLYERS, GUERILLA MARKETING, TABLING, WEBSITE, ILSs

THE RESULTS: NOI 08/2015 - 07/2016 NOI

ON PACE TO INCREASE NOI BY 2,066% 08/2016 - 07/2017 NOI

THE RESULTS: REVENUE 08/2015 - 07/2016 REVENUE

ON PACE TO INCREASE REVENUE BY 161% 08/2016 - 07/2017 REVENUE

THE RESULTS: OCCUPANCY 55% TAKEOVER OCCUPANCY %

93% CURRENT OCCUPANCY %

6.9% 02/2016 PRE-LEASE %

32.5% 02/2017 PRE-LEASE %

THE RESULTS: LEASING INCENTIVES 08/2015 - 07/2016 INCENTIVES 08/2016 - 07/2017 INCENTIVES

PROJECTED TO DECREASE INCENTIVES BY 51%

ABOUT US

MANAGEMENT Cardinal Group Management (“CGM”) is a full service real estate management firm. CGM has a specialized platform that allows them to handle all facets of real estate management throughout the United States.

CGM leverages their culture, unique company structure, accountability, focus on top-line revenue and high regard of technology to deliver superior results and reporting to its clients.

PORTFOLIO Cardinal Group Management oversees a portfolio of 20,000+ student housing beds as well as a portfolio of conventional multi-family housing around the country. In addition, Cardinal Group advises on a $3 billion mixed-use urban redevelopment in Denver, CO.

C O N TAC T U S

FOR MORE INFORMATION, CONTACT: DEL DE WINDT, CEO CARDINAL GROUP COMPANIES 303.407.4500 DEL@CARDINALGROUP.COM