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Tucson rising Peace, Love & the AMA 2016 Tucson Reverse Trade Show is huge success NEWS & HAPPENINGS Alliance Residential awarded top company to work for AUGUST/SEPTEMBER 2016
Economic expansion continues multihousing momentum
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Strong connections in Tucson
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very trip I take to Tucson, I’m discovering more about this remarkable Arizona city. Home to renowned cultural destinations, the home of Raytheon and other major companies, and of course the base of University of Arizona, Tucson attracts people who want a small town experience in a city that thrives on its unique character. Last year, the AMA added Lauren Romero as our Tucson area Association Executive, and we have seen incredible results for our members in just one year. Our members are filling events so quickly that we have wait lists. Annual competitions like Maintenance Mania and the golf tournaments sold out and Tucson members enjoy strong connections to each other and member companies in a market that is growing. Many of the leaders of this organization, including our board chair Chris Evans, exemplify how invested Tucson members are in the success of our industry in Arizona. At the local and state level, these members engage and get results that improve our businesses. We wanted to focus this issue on the success and opportunities that exist in Tucson. Lauren and her members are building the local Coalitions which create stronger, safer communities. Raising a Reader is growing in this market and there are opportunities to grow the Smoke-free movement in southern Arizona. Get involved in Tucson’s AMA! — Tom Simplot, President and CEO Arizona Multihousing Association
Make your voices heard
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olitical signs now clutter our street corners and we can’t escape the pending TV commercials, but in a presidential election year, the stakes are even higher.
For me, it’s a time to focus on the AMA’s advocacy work. Courtney LeVinus and Jake Hinman work at the local and state level to ensure that our members and our operations are treated fairly in the regulatory environment, and Jaime Gutierrez ensures we have a seat at the table in Tucson. They do so much for us and we don’t often hear about their efforts on our behalf. In a time when the state and cities look for incremental revenue sources, our industry has often been the target. Many of our members don’t realize the implication these regulations could have on business. Five years ago, the AMA created our own Better Government Fund and refocused on our Political Action Committee (PAC). Today, our AMAPAC and BGF have grown strong and influential across Arizona. In addition, we have become active with the NAA’s Better Government Fund and NAAPAC which leverage our dollars and invests them in targeted federal races and voter education campaigns, including those in Arizona. Companies are encouraged to invest in the AMA BFG or the NAA BGF. Working together with our national association, we can work to elect those who understand our industry and its economic impact, the challenges we face, and act fairly. Thanks to John Carlson, the AMA Government Affairs Chair, and David Kotin, our PAC chair, for their work on these initiatives. I hope you will also use our candidate endorsements as a guide in your education about the upcoming elections! — Chris Evans, AMA Board Chair HSL Asset Management
AMA Office: 818 N. 1st St., Phoenix, AZ 85004; 602-296-6200; Fax:602-296-6178 Tom Simplot President & CEO tsimplot@azmultihousing.org Erika Kowalski Director of Operations ekowalski@azmultihousing.org Phone: 602-296-6210 Michelle Rill Director of Membership, Events & Education mrill@azmultihousing.org Phone: 602-296-6205
Lauren Romero Tucson Area Association Executive lromero@azmultihousing.org Phone: 520-323-0643 Fax: 520-447-7747
Sharon Hosfeld Manager of Community Outreach & Smoke-Free Community Coordinator shosfeld@azmultihousing.org Phone: 602-296-6214
Deanna Jordan Manager of Membership and Business Development djordan@azmultihousing.org Phone: 602-296-6212
Kristina Fleischer Community Outreach Coordinator kfleischer@azmultihousing.org Phone: 602-296-6204
Stephanie Garcia Events and Education Assistant sgarcia@azmultihousing.org Phone: 602-296-6202
Michael Rohn Member Services Administrator mrohn@azmultihousing.org Phone: 602-296-6208
Kyle Simplot Accounting & Operations Administrator kyles@azmultihousing.org Phone: 602-296-6207 Todd Bradford Membership Benefit Services Manager tbradford@azmultihousing.org Phone: 602-377-2553 Cassidy Campana Apartment News Editor & Communications Consultant ccampana@azmultihousing.org Phone: 602-770-6014
Interested in serving on the AMA Board of Directors? Nominations are now open! The Leadership Development Committee meets annually to nominate members for the AMA Board. There are three-year seats for Regular members and one-year seats for Associate members. Please send your letter of interest no later than Friday, September 30, 2016 to Leadership Development Committee, c/o Tom Simplot, President/CEO, tsimplot@azmultihousing.org.
TABLE OF CONTENTS
> August/September 2016 > www.azmultihousing.org
Valleywide Service
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ALL PHASES OF PEST CONTROL
14 COVER STORY: Tucson rising Economic expansion continues to power multihousing momentum
• Monthly Pest Control Programs
Peace, Love & the AMA
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• Termite Specialists/ FREE Est. • Termite Warranties Available
2016 Tucson Reverse Trade Show is huge success
DEPARTMENTS 6 News & Happenings 9 Legislative Update 11 Legally Speaking 12 AMC Meeting Recap 18 On the Scene 20 Best Practices 21 Events & Education 22 Thank You Patron Members
Commercial
• Bed Bugs • Bee Service/ Emergency • Beehive Removal • Roach Control/ Programs
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Residential
• Scorpion Control • Rodents, Gophers, Wasps
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• Pigeon Control
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• Weed Control
Reasonable Rates Phone Quotes
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AMA NEWS & HAPPENINGS NAA taps 2 Arizona executives to board of directors
Alliance Residential awarded top company to work for in Arizona
The National Apartment Association selected two Arizona multifamily executives for its board of directors. Mike Clow, executive director of real estate services for the Western United States for Greystar, has been named as the NAA Treasurer and a member of the Executive Committee. Amy Smith, managing partner of Bella Investment Group LLC, will serve the NAA Board of Directors as the Region VII, Vice President.
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rizona based Alliance Residential was recently recognized as one of the Top Companies to Work for in Arizona, in the large company category. The statewide program sponsored by Republic Media and the Arizona Commerce Authority reviews workplace practices. Alliance earned high scores in employee satisfaction. Their employees receive special discounts on apartments. The company developed Alliance University for training and career development. Alliance also plans team building events and supports local charities including Toys for Tots. Alliance employs more than 500 in Arizona and nearly 2,500 in the United States.
Rohn joins AMA team Michael Rohn recently joined the AMA team as the new Membership Administrator. Most recently, Michael worked in leasing with Alliance Residential and brings a strong background in customer service and sales from his time there and in banking. Rohn is a Phoenix native with a passion for the growth and development of his home town.
USSBA names CPLCs’ Prestamos CDFI as the 2016 Microlender of the Year
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he U.S. Small Business Administration (SBA) named Prestamos CDFI, the lending division of Chicanos Por La Causa, Inc. (CPLC), the 2016 Micro Lender of the Year for the State of Arizona. “We are proud of our Prestamos team for their success in
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advancing the dreams of entrepreneurs seeking to launch or grow their businesses,” said David Adame, President and CEO of CPLC.” We understand that small businesses are vital to the economic growth of local communities. We are honored to receive this outstanding
Apartment News > August/September 2016
recognition that validates our commitment to serving the needs of small businesses.” Prestamos has provided over $43.8 million in loans to small businesses in the last five years creating more than 1,900 jobs. In 1992, Prestamos acquired the SBA Microloan Pilot
Program and became Arizona’s first SBA Micro Lender. Prestamos CDFI, LLC successfully promotes business and community development and provides technical assistance, business capital, and commercial real estate loans throughout Arizona and Nevada. www.azmultihousing.org
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LEGISLATIVE UPDATE CITY OF PHOENIX Debra Stark (City Council, District 3)
CITY OF GLENDALE Jerry Weiers (Mayor) Sammy Chavira (City Council, Yucca District)
CITY OF SCOTTSDALE W.J. “Jim” Lane (Mayor) Suzanne Klapp (City Council) Virginia Korte (City Council)
AMAPAC announces 2016 candidate endorsements By Courtney LeVinus & Jake Hinman
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he Arizona Multihousing Association Political Action Committee (AMAPAC) has endorsed candidates seeking election in the state’s legislature and various municipalities in the Valley. AMAPAC made the endorsements based upon the candidates’ track record in office and/or their participation in a candidate interview process. “These were difficult choices since many of the candidates certainly seemed qualified for the job. However, we were charged with identifying candidates that will be receptive to the issues of the apartment industry, we feel these candidates fit that bill,” said AMAPAC Chair David
www.azmultihousing.org
Kotin, designated broker for Kay-Kay Realty. Apartment rental housing provides safe affordable housing choices for over a third of Arizonans. “It is critical for our industry to have elected leaders who understand the issues that impact our industry. The decisions they make not only impact property owners, but also the residents that live in apartments in communities throughout Arizona,” said Kotin. The Arizona Multihousing Association strongly recommends that members consider AMAPAC endorsed elections when heading to the polls. These endorsements will also be posted to the AMA’s website, www.azmultihousing.org.
CITY OF CHANDLER Nora Ellen (City Council)
ARIZONA LEGISLATURE District 1, Senate: Karen Fann District 1, House: Noel Campbell, Arlo “Chip” Davis District 2, House: John Ackerley District 5, House: Regina Cobb District 6, Senate: Sylvia Allen District 6, House: Brenda Barton, Robert Thorpe District 8, Senate: Frank Pratt District 8, House: David Cook, TJ Shope District 9, Senate: Steve Farley District 10, Senate: David Bradley District 11, Senate: Steve Smith District 11, House: Mark Finchem, Vince Leach District 12, Senate: Warren Petersen District 12, House: Eddie Farnsworth District 13, House: Darin Mitchell, Don Shooter District 13, Senate: Steven Montenegro District 14, Senate: Gail Griffin District 14, House: Drew John, Becky Ann Nutt District 15, Senate: Nancy Barto District 15, House: John Allen, Heather Carter District 16, Senate: David Farnsworth District 16, House: Doug Coleman, Kelly Townsend District 17, Senate:
Steve Yarbrough District 17, House: JD Mesnard, Jeff Weninger District 18, Senate: Jeff Dial District 18, House: Jill Norgaard, Bob Robson District 19, Senate: Lupe Contreras District 19, House: Mark Cardenas District 20, Senate: Kimberly Yee District 20, House: Paul Boyer, Anthony Kern District 21, Senate: Debbie Lesko District 21, House: Kevin Payne, Tony Rivero District 22, Senate: Judy Burges District 22, House: David Livingston, Phil Lovas District 23, Senate: John Kavanagh District 23, House: Jay Lawrence, Michele Ugenti District 24, Senate: Katie Hobbs District 24, House: Lela Alston District 25, Senate: Robert Worsley District 25, House: Rusty Bowers District 26, House: Celeste Plumlee District 27, Senate: Catherine Miranda District 27, House: Reginold Bolding, Rebecca Rios District 28, Senate: Kate Brophy McGee District 28, House: Mary Hamway, Maria Syms District 29, Senate: Martin Quezada District 30, Senate: Robert Meza District 30, House: Jonathan Larkin Courtney LeVinus is a principal with Capitol Consulting and Jake Hinman leads legislative affairs for the firm. They can be reached at 602-712-1121.
Apartment News > August/September 2016
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LEGALLY SPEAKING property to verify the condition. These should be individuals that would also be available at the end of the lease to walk the property and compare the condition. >> With bedbugs being a hot issue, it is recommended that you have your pest control company verify the day before the tenants are to move in that there is no evidence of any bed bugs or any infestation in the rental property. The court will then look at the length of the lease, the number of occupants and/or pets, and what would be normal wear and tear based on above. For instance, a tenant that has been in the property for four years may get much more normal wear and tear than the tenant that has been in the property for only a year. Carpet and paint should be depreciated based on the age and condition at move-in and the condition at move-out.
Understanding security deposit litigation What landlords should do to protect themselves By Andrew M. Hull, Esq.
Andy M. Hull is the principal of Hull, Holliday and Holliday, PLC. He can be reached at 602-230-0088.
The views expressed here are generalized advice or information. Fact-specific questions should always be referred to legal counsel. Statements and opinions expressed in these legal columns are solely those of the author or authors. This advice does not necessarily represent the views or opinions of the Arizona Multihousing Association.
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ext to evictions, lawsuits brought by tenants for the return of their security deposit, or disputing the deductions from the deposit, constitute the bulk of potential lawsuits that the landlord can get into with their former tenant after move out. The standard used by the courts is that any deduction that is something beyond normal wear and tear, and caused by the tenant, will result in the tenant being obligated to pay that or have that deducted from their security deposit. In order to avoid lawsuits being found in favor of the tenant and against the landlord, which can result in triple damages of the security deposit to the tenant, plus their attorney’s fees and costs, there are certain things that are recommended that the landlord do.
First steps First, you want to document the condition of the property at move-in. In addition to walking the property with the tenant, and filling out the movein inspection form, the landlord may want to consider the following: >> Taking photographs or videos of the rental property’s interior and exterior so that you establish evidence of the condition at move-in. >> It is also recommended that you have one or two additional individuals inspect the rental
Apartment News > August/September 2016
Move-out inspection At the end of the lease, the landlord should always honor a tenant’s request to do a move-out inspection. The landlord should video tape and photograph the property at move-out so that the photographs can be compared to the move-in photographs. Again, it would be recommended that the landlord have several individuals present that have seen the property at move-in and that can now compare the condition at move-out. The landlord can keep actual pieces of evidence, such as a section of carpet cut out that shows pet urine or other damages if there are damages to the interior of the home that the landlord feels are the tenant’s responsibility, such as stains in carpet, Crayola marks on walls, etc. If it is the tenant’s responsibility to change HVAC filters, you may want to keep a very filthy air filter. These items can be used at court and can be very persuasive so that the judge can see the extent of the damages. Finally, the landlord should get an itemization of all charges sent to the tenant’s last known address by first class mail within fourteen (14) business days after the lease has ended, the tenant has returned keys and removed all their property, and the tenant has made a demand for his/her deposit. The statute does not state that the demand has to be in writing, but can be considered verbal. Also keep in mind that many security deposit cases are filed in small claims court by the tenants. The landlord does have the option of transferring the case out of small claims court and into the regular justice court calendar so they can use their attorney.
www.azmultihousing.org
Legal Q&A Q: I am a senior citizen on a fixed income (Social
Security) renting a HUD or tax credit property. I was told this is a 55+ or 62+ only property. After reading the lengthy lease, which is not given until you are committed as a resident, I realized many violations against the lease by both the property manager and other tenants. Soon after I moved in, residents not of senior “If living in a age have become residents, including senior community teenagers. What, if is important to anything, can I do? you, you may
want to meet with the landlord and discuss terminating your lease.”
A: The terms of the lease are binding on both the landlord and the tenant. If you are renting a tax credit property, there are specific rules that dictate who qualifies to live there and how much they are required to pay. If living in a senior community is important to you, you may want to meet with the landlord and discuss terminating your lease. Many communities in Arizona are specifically designated as 55+ communities. As for any violations being committed by the landlord, consult the Arizona Residential Landlord Tenant Act for guidance on what your rights are and how to send the proper notice to the landlord to invoke those rights.
— Denise Holliday Hull, Holliday & Holliday, PLC
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AMC experiences Verde Dimora’s new lifestyle
By Adam Greco, AMC Chairman Local homebuilder Dan Kauffman, owner of Kauffman Homes headquartered in Fountain Hills, recently debuted a totally new, green lifestyle in his first multifamily development in Mesa. For the AMC’s most recent gathering at Verde Dimora, the developer and builder of the community joined us and shared his vision for a new kind of apartment community. Adopting the best of sustainable technologies and programs, residents enjoy a wide range of amenities that enhance their lifestyle and minimize their carbon footprint. Humidity sensors in the bathrooms, lighting sensors, and charging stations throughout the homes protect residents and save dollars on energy. Solar panels cover the carports, electric car charging stations sit in the parking areas and recycling is offered throughout the community. The community’s second phase will add more amenities for relaxation and connection. Soon residents will enjoy a sustainable stream with live plants and fish surrounded by a meditation garden.
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For those interested in gardening, there will be community garden plots for resident to plant and harvest. Juli Duran, Verde Dimora’s Community Manager and the mother of a Marine, shared the early story behind the community’s Veteran’s Center. Kauffman focused on creating an integrated Veteran’s Center by working with the veteran’s liaison from Mesa Community College. Their residents and community members can take part in the Packages from Home program to support those serving in the military. Verde Dimora also offers veterans and active service members’ special rental rates. Families with children will soon be able to take advantage of another unique amenity, a Sunrise Preschool, on site. Kauffman worked with the school’s owner to build a preschool as part of their clubhouse that will serve Verde Dimora and the larger neighborhood. Kauffman Homes partners with local businesses for their home developments to connect their buyers to services and support their local community. MCC students and employees of local companies
Apartment News > August/September 2016
will receive special discounts on rent in the community. Our members heard from Cheryl Davis, Senior Regional Portfolio Director for Shelton-Cook Real Estate Services, the hosts of the meeting. Today, SheltonCook represents more than 21,000 units across Arizona, New Mexico, Colorado, Texas and Florida; and they are continuing to expand. Verde Dimora is the company’s first ecologically minded property for Shelton-Cook and it’s their first smoke-free community. Cheryl highlighted another special benefit for AMA Associate members, special rental rates in this community! David Paul from FSEC, Fire, Security, Electronics and Communities Inc., won the AMC lunch with Tom Shelton. On behalf of the attendees of this very special AMC meeting, I want to say a special thank you to the Verde Dimora team for their handmade food for our gathering. Adam Greco is the commercial sales manager of Burns Pest Elimination. He can be reached at (602) 971-4782 and adamg@ burnspestelimination.com.
www.azmultihousing.org
Vince Alfaro – Green Living Magazine
TURN UP THE HEAT By Trevor Koskovich, Colliers International
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he Tucson multifamily market is setting some impressive records in 2016, demonstrating its postrecession strength in a variety of ways. Tightening vacancies, rising rental rates and a growing employment base provide the signs to attract an expanding buyer pool from across the country. Market momentum is being driven by economic expansion in the Tucson area. Employers have added more than 10,000 jobs to the area in the past 12 months and payrolls have expanded in five of the last six quarters. The financial activities sector is expanding at a rapid pace, surging by more than 15 percent in the past year. Education and health services sectors added 3,000 jobs in the past year and have plans for more expansion. Community
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Tucson’s economic expansion continues multifamily momentum
Health Systems, Northwest Medical Center and Tucson Medical Centers have announced plans to add hundreds of workers. Most recently, Tucson landed the regional headquarters of Caterpillar. The construction and mining equipment manufacturer will bring more than 600 jobs to the area in the next five years, many of which will be six-figure salary positions.
Record-breaking numbers Tucson’s multifamily market began 2016 with a record-breaking quarter in vacancy reduction as the city’s economic expansion translated into demand for apartments. The area posted below 7 percent vacancy for the first time since 2007. That marks a 170 basis point decline from a year ago. Vacancy has been declining over the past few years at a gradual pace, but the first quarter brought acceleration in leasing due to employment growth and higher demand. Declines in vacancy were particularly strong in the large
Apartment News > August/September 2016
Class B and Class C segments of the market. Both of these categories dropped 200 basis points year over year, ending first quarter 2016 with 6.3 percent and 8.2 percent vacancy respectively. Vacancy decreases naturally lead to rising rental rates, which is the trend we have experienced since the second half of last year. Average asking rents advanced 1.8 percent in the first three months of 2016, reaching $669 per month. During the past 12 months rose by 4 percent and are expected to gain 4.5 percent during 2016. The strongest rent increases are being recorded in the Class A segment of the market where rates spiked by 8.5 percent in the past 12 months, posting an end of first quarter average of $962 per month, or $1.03 per square foot per month. Rent
www.azmultihousing.org
TUCSON’S AMA OFFICE: ONE YEAR LATER
we could see 2016 mark one of the most active years on record for Tucson. The growing strength of underlying property fundamentals have supported rising prices and compressed cap rates. Cap rates inched lower during the first quarter, dipping approximately 20 basis points to approximately 6.6 percent. Interest rates also fell during the first quarter. growth in the Class A segment is twice as steep as the overall market average.
Rising demand Rising demand and lower vacancies have fueled new construction in the multifamily market. Developers delivered approximately 700 apartment units in the past 12 months. New construction has averaged roughly 1,000 units per year since 2012. Nearly 750 units are under construction and scheduled for delivery in 2016, which will represent a 1.3 percent increase to metro-wide inventory. Permitting activity was mixed during the first quarter of this year. Multifamily permitting was up by approximately 10 percent during the first quarter of 2015, but was nearly identical this year for first quarter 2016. Tracking the pace of new construction, we believe the market will absorb the new units in a healthy manner, maintaining current vacancy rates even with the addition of inventory. Tucson took a slower pace recovering from the recession with somewhat sluggish job growth from 2011-2014. The city now has reached its post-recession recovery stride and is gaining momentum. The economic expansion, vacancy and rental rate trends are attracting investors from throughout the country who are looking for opportunity. More than half of the properties sold in Tucson during the first three months of 2016 were acquired by out-of-state buyers. Sales velocity in Tucson during the first half of 2016 is up 35 percent compared to the first half of 2015. The median price year-to-date is an impressive $42,500 per unit, compared to $32,100 in 2015. Setting this pace,
www.azmultihousing.org
By Lauren Romero, AMA
Positioned for the future Investors see opportunity throughout the Tucson market, but are especially attracted to the Class B and Class C properties that offer value-add options. An example of this is The Apple complex. This 336-unit project was constructed south of the military base in 1988. Currently on the market for sale, this asset offers investors the opportunity to update an older property situated in a great location.
Modernization and repositioning will help raise rents and offer appreciation to the buyer. The Tucson multifamily market is positioned for an incredible remainder of 2016 with strong fundamental improvement. The city has gained traction and is clearly in an expansion period. Sales velocity is off to a great start at the midyear point and shows promise of continuing as the city has sufficient inventory of multifamily buildings for sale and an expanding buyer pool. Since Tucson was fairly late entering its stride into the recovery, the city should benefit from a longer period of expansion to come.
The past year was an exciting year for the AMA in Tucson, and it isn’t slowing down. We experienced record numbers at all of our events, and had several sold-out well before the event date. Attendance at networking events, dinner meetings, and major events continues to grow, and we see new faces from both associate members and regular members. Our local Membership Drive — Tucson Force Awakens — placed first in our AMA competition bringing in many new local companies to further grow our region. Our Big Hearts Tucson committee raised more than $45,000 for local Tucson charities last year, and the giving and community involvement have already passed 2015 benchmarks as they explore other ways of giving back through the annual Make A Difference Day. Our Tuscon members have also committed their proportionate share to the creation of the Julie Hurst Scholarship Fund, which is poised to issue scholarships in 2017. Our communities have created and joined coalitions throughout the Tucson Area, working together with their local First Responders to create safer communities, and the Project SAFE events doubled in numbers from those held in 2015. Our local Maintenance Mania Competition winner was a national finalist and the AMA took home the national spirit award. There are great things happening in Tucson, and our members are leading the way through their involvement in the AMA, their leadership in their industry and generosity to their community. I am excited to be a part of our association, and look forward to the next year.
Apartment News > August/September 2016
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TUCSON RISING
AMA leaders focus on the Old Pueblo
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MA Leaders Kimberly Fitch, Owner/President of Nicolosi & Fitch; Melanie Morrison, Principal at MEB Management Service; Chris Evans, Executive Vice President at HSL Asset Management shared their thoughts concerning the growth and opportunities in Tucson’s multihousing scene.
Q: What do you see ahead for the Tucson market in 2020? Kim Fitch: Tucson’s market continues to improve. Occupancies are climbing and we’re able to peel off some of the move-in concessions and renewal concessions that had been rampant in the past 8 years. One of our clients purchased two apartment communities in
Tucson since the beginning of 2016 and we’re not seeing a curbing of that activity. Melanie Morrison: We are feeling positive about the Tucson market through 2020. Tucson was slower to recover from the downturn than Phoenix, but the pace of recovery is picking up as the job picture continues to improve. Economic development efforts are starting to pay off with the re-location of Caterpillar, the new HomeGoods location, and bio-tech activity in the northwest. Chris Evans: Job growth continues to be a key driver to the Tucson economy.
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Tucson is on track to see almost a 2% job growth this year, with a continued increase in wages. Tucson is leading the way in high tech aerospace, medical research, bioscience and trade. Our location and relationship with Mexico will only serve to increase trade routes and exports. These factors will be key to the future of Tucson financial success. The future of Davis Monthan Air Force Base is in question, but recently supported through the efforts of Senator John McCain and Congresswoman Martha McSally, as the A-10 mission was extended to 2022.
Q: It appears that fundamentals in the market are strong and projected to be stable and growing. What opportunities are there ahead for multifamily operators and associate companies? KF: When the market was soft, capital projects were put off until funds were more readily available. The fun thing we’re experiencing now, across the board, is capital improvements such as pool resurfacing, exterior painting, resealing asphalt. At this time, we’re also exploring upgrades within the apartments as well. MM: We’ll continue to see more sales activity and focus on value-add opportunities for investors. We think Tucson will become more of a focus for institutional investors as our economic development continues to improve. CE: We continue to see development opportunities in the greater Tucson area, as the region grows. This includes the revitalized downtown, as the need for urban housing continues. Aging assets will be redeveloped and add to the quality of living that Tucson has to offer.
Apartment News > August/September 2016
Q: What are some of the key challenges that our industry faces in southern Arizona? MM: As the political outlier, Pima County sometimes gets left out of key decisions on a statewide basis. We’ll continue to have to fight that battle, but progress is being made. CE: After 10 years of flat rental growth in Tucson, now it’s up a bit and we need to continue on that trajectory and work with local governments to bring jobs to Tucson.
Q: What impact can/does the AMA have on our industry in Tucson? What are the opportunities for the AMA to do more there? KF: AMA in Tucson has been instrumental in opening the doors with Section 8 by coordinating quarterly meetings with the administrators of the program here in Southern Arizona. The Big Hearts Committee is VERY ACTIVE in Tucson and this committee is looking into additional recipients for the strong fundraising efforts that occur throughout the year that benefit AMCF.
www.azmultihousing.org
Tucson Reverse Trade Show Celebrates ‘Peace Love & the AMA’
MM: We are making great progress in improving the disparity in eviction judgments in Tucson as well. AMA is a key player in making sure that Southern Arizona’s voice gets heard at the state level. AMA keeps regular and associate members connected and communicating. CE: The AMA brings us together politically. Working on water rates, legislation, tax issues, and preventive work on issues impacting the multifamily industry, we are supporting and protecting the businesses in our membership. Jaime Gutierrez’s expertise on the advocacy front continues to make an important impact for AMA members in southern Arizona. We work with a President/CEO that understands this statewide approach and has made a major impact on Tucson’s influence locally and regionally. The addition of Lauren and the growth of the AMA here put us on the right track. The networking and development and growth of our business connections within our membership also helps us to grow.
www.azmultihousing.org
The 2016 Tucson Reverse Trade Show, presented by ATI Restoration featured a popular theme this year — “Peace, Love and the AMA” — and marked another huge success with many of our local management companies coming out to meet their associate member partners. In addition to the “speed dating” trade show floor, we shook things up this year, creating a breakout panel where attendees got to hear from local representatives on their companies and how to do business with them. Congratulations to these members for Best Use of Theme: >> 1st place — Scotia Group >> 2nd Place — Villas at San Dorado >> 3rd Place — MEB Management
A SPECIAL THANK YOU TO ALL OF OUR SPONSORS:
Mark your calendars for our next AMCF Fundraiser — the Trade Show After Party, benefiting AMCF Tucson on Sept. 16, immediately following the Tucson Trade Show.
Diamond — ATI Emerald — FSI Construction, Law Office of James R. Vaughn, Law Office of Scott M. Clark Ruby — Carpenter, Hazlewood, Delgado & Bolen, PLC, Koglmeier Law Group, PPG Paints, Prairie Concrete, Inc., Valley Wide Security, Delta Mechanical Turquoise — AMA Smoke Free Living, Apartments.com, Belfor USA, Fitlogistix, Rite Way Heating, Cooling & Vent, Sunland Asphalt, Tucson Appliance, Waste Management, Westcoat Specialty Coating Systems, NuFlow Phoenix
Apartment News > August/September 2016
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ON THE SCENE RECENT AMA EVENTS TUCSON NETWORKING “CLICKS” AT THE BILLIARDS TOURNAMENT
Congratulations to Alan Keown, Palm Shadows (NFI) and Darryl Humbles, For Rent, this year’s winners of the annual AMA billiards tournament in Tucson.
PLACE AT PRESIDIO TRAILS WELCOMES AMC
Special thanks to our gracious hosts, MC Companies and The Place at Presidio Trails, for hosting the recent Tucson AMC meeting. Greg Flatt, asset manager with MC Companies, spoke to the group while guests enjoyed margaritas. The AMC lunch was sponsored by Sunland Asphalt, Distinctive Carpets and MC Companies.
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solidifying relationships with clients, as well as with industry partners; and maintaining the highest standards for customer service.
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have a technical services division which provides total solutions for electronic equipment or systems damaged by water, fire or smoke.
Q: What are some of the newer technologies that you offer that some clients may not be aware of? ATI offers is our microbiologic decontamination methods for infection control typically used in health care settings; but, it can be used during a biohazard cleanup of highly infectious material. We also offer nuisance and construction dust control barriers that we can offer to properties that are performing construction while the buildings and units are still occupied. It minimizes the dust and disruption in occupied areas.
Q: Does ATI operate from a guiding principle? AZDPS Lic. No. 1003178
ATI’s guiding principle is to act with a sense of integrity in everything we do. This means adhering to a standard of
behavior that is based on excellence, honesty and fairness. We treat all people, including our clients, staff, vendors and industry peers with dignity remembering that behind every job is a human story that deserves our understanding and respect.
Q: How has your partnership with the AMA impacted your operations? ATI’s partnership with AMA has allowed us to build relationships with clients and potential clients. We are dedicated members of AMA and through our involvement I think our clients know that we’re a company they can trust and depend on during their unfortunate time of need. We stand by our services; we stand by our company and we take pride in our work and our reputation. We enjoy and appreciate our partnership with AMA it has definitely opened up doors with clients that otherwise might have been closed.
EVENTS & EDUCATION AZMULTIHOUSING.ORG
Phoenix
Classes held at the AMA Office, 818 N. 1st St., Phoenix 85004
LUNCH & LEARN BLUE MOON
LANDLORD TENANT CLASS
Aug. 2, 11 a.m.-1 p.m.
Sept. 13, 9 a.m.-noon Knowing how to use and comply with state law that governs all rental housing operations can save time, make you money and minimize legal difficulties. Instructed by Mark Zinman of Williams, Zinman & Parham.
PHOENIX FAIR HOUSING AUGUST Aug. 10, 9 a.m.-noon Instructed by Denise Holliday of Hull, Holliday & Holliday
NALP Sept. 8, 22; Oct. 6, 20; Nov. 10, 9 a.m.-5 p.m. Leasing professionals are the first people prospective residents meet and often their only gauge of the property staff. Help your leasing professionals become top producers! Attendance is mandatory for all five class sessions.
PHOENIX DINNER MEETING Sept. 14, 5-8 p.m. Phoenix Country Club, 2901 North 7th St., Phoenix
PERSPECTIVES & PROJECTIONS CONFERENCE Sept. 23, 7 a.m. -11:30 a.m. Hyatt Regency Hotel, 122 North 2nd St. Phoenix
AMA VENDOR FAIR HOUSING CLASS Oct. 5, 9 a.m.-noon Associate members, did you know that you must comply with all Fair Housing Laws once you step on a community? Attend this class and learn how to avoid serious consequences of incorrect responses. Instructed by Denise Holliday of Hull, Holliday & Holliday.
PHOENIX AMA/COX COMMUNICATIONS GOLF TOURNAMENT Oct. 21, 6:30 a.m.-4 p.m. Starfire Golf Club, 11500 N. Hayden Road, Scottsdale
Tucson “CHEERS TO THE NEXT 50!� Sept. 16 Tucson Education Conference & Trade Show presented by Koglmeier Law Group, $99 full day/$29 exhibits only
TUCSON DINNER MEETING & “BEST OF� PROJECT SAFE AWARDS Oct. 13, 5-8 p.m. $49 ($69 non-members)
TUCSON NETWORKING FALL FAMILY FESTIVAL & CHILI COOK OFF Oct. 27, 5-7:30 p.m.
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Enjoy all of the benefits of membership, apply online at azmultihousing.org FOR MORE INFORMATION ON HOW TO BECOME A PATRON MEMBER OF AMA, PLEASE CONTACT MICHELLE RILL, 602-296-6205 OR MRILL@AZMULTIHOUSING.ORG
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