Nowadays, a dull clubroom and a lonely treadmill in a fitness center don’t cut it for many renters.

on investment either through rent increases or higher occupancy rates. But it also gives the rest of Apartment living has changed in us a sense of what’s popular in recent years. Gone are the days of apartment living these days. shag carpeting and laminate counWhat NAA found is that half of tertops. Now renters demand hard- the top 10 community amenities wood floors and high-end finishes involve bringing people together, similar to what they would find in the community aspect of aparta single-family home. ment living. Clubhouses and com-

They also want a wide range mon areas for socializing made of amenities in their buildings. the top five, as did fitness centers, Before, an owner might have gotbusiness centers and pet-friendly ten away with a treadmill or two amenities. You see this trend playin a fitness center. These days, ing out in apartment buildings tenants are willing to pay top dol- where the units are smaller and lar for doggy grooming spas, fullthe common areas are larger and time concierge services, indoor designed for gatherings. basketball courts and electric car “When you think about the new charging stations. product that was built 20 years

Amenities are a hot topic in the ago, even 25 years ago, you put apartment housing industry. In in a pool, maybe you put in a fitsome competitive markets, an arms ness center and you might have a race of sorts appears to be breakclubroom. That was pretty much ing out as buildings try to outdo it,” said Cindy Clare, chairman of one another with lavish features. the board of directors at NAA and

To get an idea of what’s hot and president of Kettler Management what’s not in the industry, the in McLean, Virginia. “Now we are National Apartment Association, much more focused on a lifestyle, an Arlington, Virginia-based orga- what’s going to work for our resnization, recently surveyed its idents. Our clubrooms are much members across the country, as more open and multipurpose, well as nonmembers, about ame- and they get used. It’s rare now nities added or upgraded between when I go into one of our build- January 2014 and September 2016. ings where someone isn’t in one The results, which covered 100,000 of the amenity spaces versus when individual units in 35 states, were I first started in this business and intended to provide guidance to it was rare to see someone in the owners and operators on which amenity spaces.” amenities offered the most return Fitness centers ranked first among community amenities in $66.93 per unit per month prethe NAA survey, which was no mium for it. In Colorado, only 13 surprise to Clare. percent of the properties had a fit

“People say, ‘Do we really need ness center, and owners charged a fitness center? There’s a gym $22.04 extra in rent for it. right down the street,’” she said. The survey has its limitations, “But you do. I always say 100 per- including a lack of market covercent of your residents think they age in a few major metropolitan are going to use the fitness center, areas. Much of the data relies on only 10 percent will, but every- participants’ subjective opinions. body thinks they are.” But its findings are nonetheless

The top in-unit amenities worth noting. As the homeownincluded washer, dryers, highership rate falls to near 50-year end kitchen appliances and hard- lows, the trend toward apartment wood floors. Pet-friendly ameniliving is growing. More people are ties had the greatest impact on choosing to live in an apartment rent increases, with the lowest and are demanding certain amecost to implement. nities. With more than half of the

The NAA compared its results to rental housing stock built before a study done by J Turner Research, 1980, owners and operators are which asked renters what they looking to update their properwanted in amenities. Fitness classes ties and wondering what makes and walking trails ranked top three the most sense. in their survey, but 16th and 13th “In many cases with apartment place in NAA’s results. The differ- communities, people do have ences between the two studies high- choices,” Clare said. “We have to light the mismatch that sometimes look at ... what are the things that occurs between what residents will residents are willing to pay for and pay for and what owners provide. where you should spend your dol

The survey also found differences lars if you are looking at renovain popularity among amenities tions, what’s going to make your across different markets. What is property more desirable. popular in one city may barely get “We think we’re building these noticed in another. Using Enodo things that people want, but this Score data, NAA broke down by research helps really know what amenity its frequency in a market they want instead of just assumas well as the average rent premium ing we know,” Clare said. it garnered. In Boston, 25 percent To read more about the study, of the properties had a fitness cengo to naahq.org/news-publicater, allowing owners to charge a tions/value-add-amenities.