LRO is a true 'revenue-optimized' model focused more on maximizing rental income rather than just occupancy
Atlanta, GA (PRWEB) July 21, 2009
The Rainmaker Group, the world leader in automated revenue management software and services to the multifamily housing industry for total property profitability, announced seven operators recently selected the LRO lease rent options system. The new implementations across a wide range of communities send a clear message that the industry is increasing its reliance on rent optimization technology in the current economic climate. Rainmaker's LRO is the most widely installed multifamily housing revenue management system with a total of 29 companies using the system to optimize lease-rents.
Multifamily companies implementing and pilot testing Rainmaker LRO include:
- Apogee New Dawn
- BH Management Services, Inc.
- Centennial Holdings
- Continental Properties
- The JBG Companies
- Korman Residential
- Weidner Investment Services
Lease-Rent Optimization Not Just for High-Demand Times
"Rainmaker has proven that LRO is a valuable tool for optimizing rents in both up and down economies," said Bruce Barfield, president of The Rainmaker Group. "This is the second down market for many LRO users, and operators today continue to have confidence that automated pricing software produces optimal prices based on all the variables under review." Barfield underlined that state-of-the-art lease-rent optimization technology is essential to optimize revenue in every economic climate. "As we implement LRO for new clients, our team provides a wide range of valuable insights gained from over eight years of experience installing multifamily revenue management. This is Rainmaker's area of specialization, and it enables our users, and the industry, to be more successful."
Rainmaker's LRO optimizes pricing for over 500,000 multifamily housing units and delivers rent lifts of 3 to 5 percent for many of the largest companies.
A True Revenue-Optimized Model
"LRO is a true 'revenue-optimized' model focused more on maximizing rental income rather than just occupancy," said Steve Donohue, president for BH Management Services, Inc. "We did an evaluation of the other provider and determined that its model generated more occupancy but didn't generate the rent growth we would have expected, thus the reason for BH choosing LRO as our preferred provider for yield management."
A Better Handle on Rates and Demand Forecasts
The LRO system develops optimized pricing recommendations for dozens of unit types based on hundreds of factors that influence rate setting, including:
- Competitive influences and historical demand
- Current and historical lease activity
- Guest cards, lease duration
- Move-in dates and other metrics
The system also produces accurate enterprise-wide demand forecasts by measuring and analyzing thousands of historical and current market metrics and performing calculations necessary for occupancy predictions and across dozens of unit types, offering dynamically updated rate recommendations as market conditions change.
About Rainmaker Group:
The Rainmaker Group is a software and services company that provides the LRO profit optimization solution that enables multifamily housing operators to maximize revenue from apartment leases. LRO is used by more than 60 percent of the companies deploying revenue management systems in the industry and, uniquely, LRO's lease/rent revenue optimization success has been verified by independent third party consulting firms. For more than seven years LRO has delivered optimized leasing rates to the largest operators in the industry including Archstone, Equity Residential, Post Properties, Laramar Group, Home Properties, Simpson Housing, Mid-America Apartment Communities, Carmel Partners and other leading multifamily housing companies.
The Rainmaker Group also provides revenue management for more than 80,000 rooms in the gaming hospitality industry. Rainmaker implements and supports the revolution product suite, which maximizes total property profitability for operators of casino hotels and other hospitality enterprises. The company enables clients to identify and maintain availability for their most profitable revenue sources through revenue management implementations. The Rainmaker Group helps casino hotels increase profitability through the accurate, instantaneous ability to determine the minimum acceptable value of each guest. This increases client profitability by securing the most profitable customers and developing more effective business processes. Hospitality clients include Boyd Gaming, Harrah's Entertainment, Omni Hotels, MGM MIRAGE, Trump Entertainment Resorts and other leading hotel companies.
The Rainmaker Group
Bruce Barfield, President
5755 North Point Parkway
Alpharetta, GA 30022
Julie Keyser-Squires, APR
180 River Springs Drive NW
Atlanta, GA 30328