“What matters is consistency and continuous improvement – do a hundred little things well each day, and they mutually enhance one another. The result is a superior living environment for residents.” – Jim Marfuggi, Managing Director, NOI Capital Partners
Houston, TX (PRWEB) April 12, 2011
The Texas apartment rental market strengthened during the last three months, but did not keep pace with assets managed by NOI Capital Partners. The Texas property management company raised net effective rents by $25.00 a month, which is 33% more than rents increased at competing properties. NOI’s occupancy levels were number one as well, at 96.6%. These differences add up to big dollars – the average NOI-managed asset collects yearly revenue that beats competitors by $142,000. Best of all, net operating income for the first quarter of 2011 has soared by 23% compared to first quarter 2010.
NOI Capital Partners believes that successful property management in Houston, other Texas cities, or elsewhere has consistent themes. Says Jim Marfuggi, Managing Director: “Stay customer-focused, on creating perceived value. Except in frothy rental markets (which you won’t find often in 2011), tenant retention is critical. Spend money to enhance visual appeal and good service. Don’t skimp on marketing, but monitor its effectiveness closely. Know what you want your leasing agents to say, and make sure they say it. What matters is consistency and continuous improvement – do a hundred little things well each day, and they mutually enhance one another. The result is a superior living environment for residents.”
Because of this culture of continuous improvement, NOI has become an industry leader in re-engineering the work of property management. It is removing routine administrative tasks from the property level, and better applying technology, centralization, and outsourcing to gain efficiency. Personnel with greater financial and accounting acumen are being located on-site, to reduce bureaucratic redundancies in financial reporting. The end result – NOI does it cheaper, AND it does it better. Over the last year, NOI cut average property expenses by 8.2%, while pulling still further ahead of competitors in both rental and occupancy rates.
NOI is outperforming other Texas property management companies despite industry-wide impediments to strong performance. Richard Wagner, fellow director of NOI, observed: “Somewhere along the line, property management services got a reputation for being unable to improve financial performance at the properties. That led investors to hire management companies solely on the basis of price, and it’s become a race to the bottom. That penalizes companies like NOI Capital Partners, where the culture is all about asset performance. It delights us to report quarter after quarter that our assets have the highest rental and occupancy rates. I joke with investors that NOI is the best bargain in Texas. We really are. Our clients know it, and that’s very gratifying.”
For more information about NOI Capital Partners and its Texas property management services, visit http://www.noiamerica.com or call 210-568-0469.