tiaa cref rfp response - laramar
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BISHOP’S VIEW//
MANAGEMENT SERVICES PRESENTATION
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1.0 CORPORATE OVERVIEW……………………………………………………………………04
2.0 EXPERIENCE…………..………………………………………………………………………23
3.0 SOFTWARE, MARKET DATA AND REPORTING……………………………………….29
4.0 COMPLIANCE……………………………………….…………………………………………33
5.0 PROJECT TEAM………………………………………………………………………………..36
6.0 TAKEOVER AND PROPERTY PERFORMANCE…………………………………………48
7.0 MARKETING STRATEGY……………………………………………………………………53
8.0 PRICING AND CLIENT REFERENCES…………………………………………………….64
REPORTING SUPPLEMENTOperations Loss Prevention Checklist
Standard Property Charges
Market Survey
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February 10, 2015
Ms. Kathy Clark
TIAA-CREF Asset Management
1 Financial Plaza, 19th Floor
Hartford, CT 06103
Re: Request for Proposal Property Management/Leasing Services; Bishop’s View, Cherry Hill, NJ
Dear Kathy:
Thank you for the opportunity to work with you. We are pleased to present the following information to you for property management of
Bishop’s View in Cherry Hill, NJ. We are confident that once you review the information provided, you will agree that Laramar is a strong
choice for these assignments.
Everyone at Laramar is excited about this opportunity. Our goal is to exceed your expectations on these assignments and continue to grow
our relationship. If you have any questions on any aspect of this presentation, please let me know and we can discuss in detail.
Sincerely,
Steve Boyack
Senior Vice President
Asset Management
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1.0 CORPORATE OVERVIEW
SUMMARY OF FIRM // LEVERAGING TECHNOLOGY // NATIONAL OPERATING PLATFORM //
QUALITY PROGRAMS
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Founded in 1989, Laramar has grown from a small real
estate investment company to a vertically integrated and
distinguished national real estate investment and property
management corporation with a multi-billion dollar
portfolio. However, we haven’t forgotten the basic
reason for our success: our people and the relationships
they nurture. Our foundation is built upon a highly
experienced, well-trained management team of real estate
professionals who love their work and honor their
commitment to both our clients and our residents. From
acquisitions to accounting, property management to
finance, each team member executes their role with
strong dedication. The result is a team that is diligent and
focused, understanding the needs of its clients and
residents, and working tirelessly to build positive
relationships and exceed expectations on every front.
For over 25 years, Laramar has delivered an unparalleled
level of service to the real estate industry. We have a large
national platform that provides a comprehensive suite of
both investment and asset management services,
including: multifamily property management,
development consulting, sustainability consulting, third-
party revenue management, construction management
and due diligence.
Laramar has specialized in managing and acquiring
multifamily properties throughout its entire company
history. Our success with these properties is achieved
through the application of our Operating Platform or
strategic re-positioning of assets through value-add
projects. The company manages Class A to C properties,
from high-rise urban to suburban garden-style. Laramar’s
portfolio consists of over 30,000 units nationwide, both
owned or third party managed. We have a presence in
over 20 markets from coast to coast and corporate
offices in Chicago and Denver, with over 800 employees
between our corporate offices and the field.
We manage for a select group of clients such as AEW, AIG,
Colony Realty Partners, Grosvenor, Hines, Prudential, TIAA-
CREF and others.
Attracting Top Talent Through a Top-Notch Brand
A good, authentic brand that aligns with company values is
attractive to not only residents, but also top talent. People care
about their company’s values and seek out institutions with a
reputation for quality and integrity.
Laramar’s foundation of tenured professionals contributes to our
place as a top tier, institutional property management company.
The team’s experience has allowed us to build a nationwide
platform of “best practices”, including differentiating ideas in
technology, training, marketing and reporting that are
implemented across our portfolio. We utilize the collective
experience of our associates, as well as the data that we have
accumulated over our 25 year history to help identify and develop
new opportunities. By analyzing historical, current and predictive
views of our business operations, we achieve a competitive market
advantage.
Laramar’s entrepreneurial spirit is seen at every level of the
company. From our corporate offices to our associates in the field,
each team member is given a voice and encouraged to contribute.
Our Mission
Laramar strives to set a standard in apartment living. Every
resident can be confident that our on-site and corporate staff
strive to provide quality and consistent services to each resident in
the community.
At the end of the day, this is a people business and we feel that the
ultimate success of every investment lies in the people on the
ground. Laramar prides itself on its employees, selected for their
experience and creativity, distinguished by professionalism and the
ability to offer exemplary service at every level.
Our meticulous attention to detail means outstanding living spaces
with unwavering maintenance standards and personalized service
that will exceed expectations. We continually strive to make a
resident’s experience second to none.
THE LARAMAR GROUP, LLC // THE LARAMAR DIFFERENCE
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Laramar takes pride in its people and invests in the best talent in
the industry. We have developed a detailed network of
communication and support throughout our national portfolio.
Our systems are built to track, analyze, report and deliver quality
results for each property we manage, and our associates are trained
to effectively lead, supervise, train and discipline. Each on-site
team is supported by a Regional Vice President or Regional
Manager, who oversees each asset with meticulous care. These
managers are supported by our corporate offices, which offer all
back of house functions that are necessary for our teams to
succeed.
Our corporate offices are strategically placed nationwide to offer
easy access and communication with our on-site teams. The result
is a strong organization of tenured professionals who are able to
respond to opportunities across the country with a targeted,
thoughtful and progressive approach.
Laramar’s consistent National Operating Platform utilizes the best
systems, programs, reporting and technology in the multifamily
industry.
Management//Community
Our success as an investment and property management company
begins with our people and the technology we deploy at every level
of our organization. This successful combination drives
performance and NOI, and delivers exceptional results. When
reviewing our most successful projects, a few key metrics stand
out:
Team – The most important factor in the success of any project is
the selection and training of the team. From the manager to the
leasing agent to the maintenance team on the property. They will
set the standard for the delivery of services and feeling of
community at the property. This is critical in creating leasing
velocity, improving resident retention and driving pricing power at
renewal.
Entrepreneurialism – A consistent focus on the bottom line
encourages team members at all levels to look for opportunities to
reduce expenses, maximize effective rents and create other income
opportunities. Driving NOI is our number one priority.
OPERATIONS // MULTIFAMILY PROPERTY MANAGEMENT
Superior Customer Service – One of the greatest ways to
distinguish a property is through exceptional customer service at
the speed of now. Consistent, from the initial tour to the day of
move out.
Community – People want to be part of something. Not often
discussed as part of the leasing process yet critical in the decision
making for prospective and renewing residents. Many factors
contribute to the sense of community, from amenity
programming to the staff’s relatability to the target
demographic’s interest and needs.
Product – Delivering a high quality experience from the
beginning. From premier curb appeal to an immaculate leasing
office and unit interiors that relate to the project’s demographic,
everything matters.
Business Intelligence
Laramar realizes that data is right, every time. It has neither
an opinion nor an agenda, and we have learned how to empower
it to make us successful. Laramar leverages technology to
maximize our marketing analytics, and we understand how to
collect, analyze and manipulate data to realize which assets are
performing the best, and which areas of our business need
improvement. Simply put, we employ a combination of data,
systems, software and people to impact net operating income.
This sophisticated approach is applied using the following
principles: Plan, Allocate,
Measure and Manage.
Laramar utilizes extensive and detailed reporting systems to help
us maximize our management capabilities and ensure the success
of each property we are involved in. Laramar also utilizes
iDashboards. This is a custom cloud application which
allows us to create and monitor multiple Key Performance
Indicators throughout our portfolio in an on demand setting.
By analyzing property performance by Region, MSA, Client and
Ownership, we can instantly identify and recognize any key
outliers and monitor predictive indicators to stay on top of
property performance on a daily basis.
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Our team manages the project from start to finish, including
budget development and pre-construction through project
closeout, including vendor selection, coordination of material
procurement, negotiation and administration of construction
contracts. We also conduct a project specific forensic investigation
and preparation of specific design- and scope of work documents
and bid packages, such as building facade, roof, window system,
cladding, flashing and exterior coating repairs and replacement;
landscaping repairs and replacement, fencing, and drainage
collection systems; and an evaluation of site amenities. In addition,
our team coordinates site-specific surveys for energy efficiency,
lighting, water, mechanical, electrical, and plumbing systems,
automation and consumption management, with a common goal
of enhancing revenue for each property we manage.
Capital Improvements
After extensive due diligence, unit and property walks, Laramar
creates line item budgets for all capital improvement projects.
Every renovation project is tracked through these budgets, and
Laramar reviews each line item for accuracy.
Due Diligence
Laramar has many active clients, and our dedicated due diligence
and takeover team is structured in their approach to deliver
accurate responses and recommendations. They work side-by-side
with the client through the acquisition process. We provide
comprehensive services including exterior, common area and
interior unit inspections; lease audits; financial audits; and
coordination of all third-party environmental, engineering and
other consultants. Laramar works with the client to create both
operating and capital budgets for the property.
At each property, Laramar assesses the deferred maintenance
issues to create a business plan customized to each property’s
needs. Our operations team works with our due diligence and
construction team to execute that business plan upon takeover.
National Operating Platform
Laramar’s standardized National Operating Platform is utilized
across the portfolio and leverages technology whenever possible
in order to drive NOI at the property level. It provides standards
of operations at each level of the company that are proven “best
practices,” and these standardizations are easily adaptable from
one property to the next. This provides for speed of execution at
takeover and enables employees to move seamlessly from one
site to another, allowing them to both share and implement new
ideas that can be used across our national portfolio. Part of our
platform focuses on Operations and Maintenance Plans.
Our comprehensive, detailed and building-specific plans call for
an annual, critical maintenance calendar to ensure that all
preventative maintenance measures are completed. In addition,
our local and national management presence has allowed us to
forge relationships with major suppliers and vendors to decrease
costs and drive NOI.
Construction Management
Laramar’s construction management division handles
assignments from routine capital items to major construction
projects. Due to Laramar’s national reach and volume of
construction projects, material suppliers and national and local
vendors are utilized to ensure the most cost-efficient pricing on
all projects. Laramar leverages our nationwide network of
construction professionals to ensure that each project is
completed in a quality manner, on time and within budget.
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Our experienced operations and marketing teams work to create a brand image that will translate through multiple marketing sources. We
leverage technology at every point to make the leasing process fast and easy.
The Laramar team creates a customized leasing schedule designed to stabilize a property at a velocity that maximizes returns. Our detailed
schedules are designed to drive rents and create the most long-term value for the community. Our specialized team of leasing
professionals work diligently to bring success to the property by leveraging technology, utilizing multiple marketing sources and
understanding the target demographic and the submarket in which the community sits. Market surveys are completed by the on-site team
on a weekly basis, and distributed to the regional team.
Laramar has a deep knowledge of the Philadelphia metro market, beginning with our management of Lynnewood Gardens, an 1,800 unit
property spanning 135 acres and almost 100 buildings. Our D.C. metro portfolio is in close proximity to Bishop’s View, and the property
would be covered from our D.C. office. This office is led by Troy Fields, Laramar’s Area Vice President for this region. In addition, we
have already established many of the relationships necessary to assist with corporate outreach and leasing efforts.
Laramar’s operations team works to maximize NOI every day. Through strong revenue management and a detailed expense management
platform, our stabilized assets consistently outperform others in their submarkets. We aspire to exceed expectations at every level.
The on-site team is both incentivized and rewarded for their leasing and resident retention efforts. Laramar has a detailed compensation
program for the office staff, as outlined in the staffing plan, and we track performance through a variety of reports.
Laramar utilizes a detailed reporting format to track leasing and occupancy activity, and these reports are circulated weekly to the team on
the ground. The Key Performance Indicator (KPI) Reports provide “at-a-glance” reporting for all Laramar properties nationwide. The
KPI reports offer an additional layer of tracking property activities and performance levels. This report looks at each community
individually, and provides detailed information on resident activity, revenue and expense management per unit, as well as detailed financial
reporting.
We also track portfolio performance through Ranking Reports. We rank a property’s performance on a line-by-line basis, tracking both
income and expenses, against its peers, both locally, regionally and nationally. This allows us to identify outliers and opportunities for
improvement. These reports have proven to be an excellent management tool.
In addition to financial reporting, Laramar holds regular calls at a client’s request to discuss the business plan for the property and to
ensure all standards and expectations are being met.
STABILIZED OPERATIONS
LEVERAGING TECHNOLOGY
Laramar is widely regarded as a leader in the real estate industry.
One of the areas in which we excel is in leveraging technology to
increase efficiency, improve operations and maximize financial
results. Laramar is often commended for our award-winning,
leading-edge use of technology, which exists in every program and
at every level of the company. We work to educate our associates
and residents on new technological advances, and incorporate
these advances into all of our developments.
Some of the ways Laramar makes the most of the latest
technologies include:
• Our fully integrated website allows prospective and
current residents access to real-time availability, service
requests, online lease payment, lease execution and leasing
renewals with seamless interaction by leasing and
maintenance teams
• A virtual leasing desk is created through Site Tablet,
providing real time leasing capability on the iPad, complete
with floor plans, amenities and application on screen to
ensure the leasing team reaches maximum leasing potential
• Leveraging internet-based iDashboard capabilities
provides valuable information through Key Performance
Indicators (KPI) to help understand areas of excellence and
improvement with property performance
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• Optimizing use of internet advertising sites, including
real-time updating and automated internet lead response for
the quickest return on leads and tracking of prospective
residents
• Web-based resident billing service allows residents to
access their account online, ensuring accuracy, maximizing
collections and tracking revenue
• Developing technology-focused amenities for residents
such as property- wide Wi-Fi, Internet cafés and resident
gaming areas
• Interactive on-line policy manuals, emergency response
plans and operating manuals allow for real-time updates and
access from any device
• Custom, cloud-based applications on Intranet such as
Microsoft SharePoint and Forecaster provide ultimate
efficiency and transparency, key benchmark measurements
to optimize property functionality and serve as an excellent
management tool to better understand the Laramar
portfolio
Making the most of the latest technologies (continued)
• Associates dedicated to reputation management by monitoring websites such as Yelp! and apartmentratings.com, to gauge resident feedback and provide an immediate response
• Using Search Engine Optimization (SEO) tools to promote communities, capture traffic and maximize online exposure
• Yieldstar and LRO are key revenue management software systems, backed by a dedicated in-house pricing department
• Onsite check scanners help to reduce float loss
• Benchmarking utility measurements using AUM allows for real-time response to usage spikes or changes in rate structure
• Leveraging social media outlets to improve resident retention and capture new residents
• Dashboard-based ranking reports allow for quarterly national performance analysis
• Benchmarking performance through leasing associate incentive program (Incent) with real-time internet tracking
• 24-hour toll-free customer service center and e-mail for immediate response
• Maximizing performance through Web-based time clock system to control personnel costs
• Computer-controlled key management systems; intercom building entry systems; smart access
• Laramar University, a Web-based career development dashboard for every associate
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QUALITY PROGRAMSNATIONAL OPERATING PLATFORM
Laramar’s standardized National Operating Platform is utilized across
the portfolio and leverages technology whenever possible in order to
drive NOI at the property level. It provides standards of operations at
each level of the company that are proven “best practices,” and these
standardizations are easily adaptable from one property to the next.
This provides for speed of execution at takeover and enables employees
to move seamlessly from one site to another, allowing them to both
share and implement new ideas that can be used across our national
portfolio.
One aspect of our platform focuses on Operations and Maintenance
Plans. Our comprehensive, detailed and building-specific plans call for
an annual, critical maintenance calendar to ensure that all preventative
maintenance measures are completed. In addition, our local and
national management presence has allowed us to forge relationships
with major suppliers and vendors to decrease costs and drive NOI.
Items in bold* identifies the Laramar Programs that involve leveraging technology.
Area Maintenance Coordinators (“AMCs”)
Each region has a designated AMC who is the most experienced
Service Manager in their region; their role is to complete Laramar’s
Quarterly Property Inspections and ensure that Laramar’s Safety
Management and Sustainability Programs are being consistently
followed at every property; they also solicit new ideas and once tested
and proven these new ideas become the next Laramar Programs and are
incorporated into the Operating Platform through Sharing Best Practices;
every new Service Manager is trained by their local AMC, ensuring
consistency of training throughout the organization
AUM – a third-party resident billing company that also provides
energy management; all bills are reviewed to ensure billing accuracy
in terms of rates, taxes and tariffs; in addition, vacant unit utilities
are monitored to ensure that bills are switched over to the new
residents the day they take occupancy which minimizes vacant
utility bills and helps drive NOI
Blocking
A quarterly process where our National Purchasing Manager
reviews all purchasing in the field (down to nuts and bolts) with a
team from our maintenance and construction groups and identifies
the most cost-effective products that the field should be
purchasing and then “blocks” alternate products with our national
supplier, Wilmar; field associates trying to purchase blocked items
are then re-directed to the approved products; this program results
in significant expense savings
Car Share Programs
A Laramar Green Team program; implemented at urban properties
so that residents can “check out” a car for short term use; not only
green but also a great amenity to offer residents
Customer Service Email
Complaints may be made to our designated Customer Service E-
Mail Account at [email protected]. Residents can use
this to provide feedback to our management company. All issues
are recorded in a Laramar Customer Service Log and responded to
and resolved within 24 hours (if possible).
Customer Service Hotline
Laramar has a Customer Service Center set up for all residents to
call (1-888-4-LARAMAR) at any time and report any issues they
may have. All issues are recorded in a Laramar Customer Service
Log and responded to and resolved within 24 hours (if possible).
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Due Diligence/Transition Director
A full time Laramar employee focuses on making sure that both
due diligence and management takeovers are smooth and seamless
EnergyStar
A federal program to identify energy efficient appliances, buildings
and companies; Laramar uses only EnergyStar appliances on 100%
of replacements portfolio-wide; Laramar has also been named an
EnergyStar Partner
Green Team
A cross section of Laramar associates that meet monthly to
identify and implement green initiatives throughout the portfolio
Hunter Warfield
Third party collection agency; used only after in-house collection is
exhausted
Incent*
In-house developed leasing compensation program that is tiered
and rewards top performers;
Internal Audits
Unannounced audits performed by Internal Audit Department to
ensure financial integrity and compliance with all Laramar Programs
KeyTrak*
Computerized key control system utilized at every Laramar
property
Laramar University*
Comprehensive training program including classroom, small group,
one-on-one, mentor, video, audio, pre- and post-testing and
extensive use of leading-edge web-training technology
Lead Management*
This software within Property Solutions’ Prospect Portal
automatically creates guests cards as leasing calls and e-mails are
received and integrates directly with Yardi. All prospect e-mail
communications and follow up activity are tracked within this
system. Leads are routed to the Leasing Associate’s dashboard
upon logging in so they can conduct regular follow up, track
pending applications and online lease executions.
Lease Expiration Management
A process managed through LRO to ensure that the correct
number of leases are expiring each month based on projected
supply and demand (summer vs. winter months) which reduces
occupancy fluctuations and therefore facilitates maximizing rental
rates and driving NOI
USGBC - LEED (Leadership in Energy and Environmental
Design)
Laramar is a member of the U.S. Green Building Council. In 2010
we achieved a LEED silver certification a large San Francisco
Property, and in 2014 received LEED certification for a
multifamily high-rise building in Chicago
Lighting Retrofits*
A Laramar Green Team program; replacing light bulbs, fixtures and
ballasts with energy-efficient lighting and installing photocells,
timers and motion detectors resulting in better lighting quality, in
many cases better curb appeal and reduced operating expenses;
payback on investment is often less than 2 years
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LRO (Lease Rent Options)*
Leading-edge revenue management software managed by Laramar’s
in-house Pricing Manager, that has resulted in “revenue lift” of 3%
Maintenance Shop Bar Codes*
An inventory control system that allows for the easy tracking of
inventory and ordering supplies
Maintenance Shop Color Coding
Every Laramar shop uses a standard color coding system so that
associates can move to different properties and different regions and
they immediately know how the shops are organized
Microsoft SharePoint*
Leading edge software used for Laramar’s company-wide intranet;
this technology is an excellent way to store and share information
throughout the company
National Purchasing Program
A Laramar program that negotiates national volume discounts on a
wide variety of supplies and services. Revenue share agreements are
negotiated with national providers of services such as cable,
telephone, high-speed Internet, laundry and energy services to offer
Laramar residents the best available technology and services at
competitive rates and to develop revenue stream opportunities for
the properties from these programs. Our pricing is available to all of
the properties in our portfolio. In addition to discounted pricing
negotiated with our national suppliers, Laramar holds quarterly
“blocking” meetings where all purchasing is reviewed and the most
cost-effective supplies are identified and supplies that are deemed
less cost effective are blocked and are not available for the field to
order.
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National Programs and Ancillary Service Manager
Laramar has a dedicated National Programs Manager that oversees
these departments. The National Programs Manager works with
various providers around the country to maximize revenue
potential and communicates/coordinates with the community
manager as agreements are negotiated. We work with providers
such as AT&T, Verizon, Qwest, Comcast, Time Warner, Bright
House Networks, Coinmach, MacGray, Web, and others to
provide you with the highest commissions and revenue stream we
can negotiate. Overall contract compliance is tracked along with
monthly and quarterly revenue share and commission payments.
The revenue tracking spreadsheet is distributed to the properties
on a quarterly basis.
Payscan*
A third-party service that allows Laramar to process and approve
all invoices electronically through the web, greatly streamlining this
process over what other companies do and creating better controls
Online Leasing*
Laramar provides an online leasing opportunity for our
communities through our website. Prospects can fill out
applications and sign both new and renewal leases online.
Online Surveys*
Laramar utilizes Kinsgley research, an online survey process, to
survey all tours, as well as a 10% sampling of current residents. We
also utilize it to measure every move-in. This survey helps us gauge
our leasing and customer service performance and outlines any
areas needing improvement.
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Risk/Safety Manager
Laramar has invested in a dedicated Risk/Safety Manager which
results in fewer Workers’ Compensation and liability incidents at
the property level and lower insurance premiums
Siemens
Laramar’s sustainability partner; focused on Sustainability
Standards and Purchasing Guidelines. The partnership resulted in a
sustainable infrastructure designed to establish the building blocks
for efficient and sustainable performance throughout the lifecycle
of Laramar’s properties. Infrastructure addresses replacement
purchases made during the normal course of business at Laramar’s
properties; the purchase of products, materials and equipment
during the retrofit or renovation process.
Star Team
Team of on-site and floating associates who have been identified
as some of Laramar’s “best and brightest” who are available upon
short notice to travel nationally to assist with property transitions,
turnarounds, staff openings and special projects; Star Team
members are easily identified by the star on their name tags; the
Star Team is coordinated by Laramar’s Assistant Vice President
Tablet Leasing*
Our website also allows real time iPad leasing technology. We
believe that much of the leasing activity on new lease ups will
happen as prospects are touring the community. Leasing team
members can pull up real time availability and close a deal at any
point on a tour right from their iPad.
YieldStar*
Leading web-based revenue management software program; allows
Laramar to identify premium pricing opportunities at each
property; utilized by the in-house Pricing Manager
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OnSite*
Third-party resident screening and criminal background check
service; actively managing this system allows for maximum
occupancy with the highest possible resident credit profile.
Policy & Procedures Manuals*
All web-based with full search functionality; can be easily updated
and the field always has access to current information
Preferred Employer Program
A national program that allows each property to identify specific
employers in their area and offer their employees discounts and
special offers; this program is a great way to get access to the
employees of these employers and helps with outreach marketing
OnSite*
Third-party resident screening and criminal background check
service; actively managing this system allows for maximum
occupancy with the highest possible resident credit profile.
Policy & Procedures Manuals*
All web-based with full search functionality; can be easily updated
and the field always has access to current information
Ranking Reports
An excellent management tool used by Laramar to “slice and dice”
the portfolio and identify outliers and opportunities for
improvement; many statistics are measured and ranked monthly
and then these reports are distributed to the field which instills a
healthy sense of competition
MAINTENANCE PROGRAM
Service requests are called in by residents on an as needed
basis and our maintenance employees respond within 24
hours to all calls. A maintenance person is on call 7 days a
week, 24 hours a day. Service requests are logged into either
Yardi or MRI and closed out upon completion by our
Service Manager to insure the details of the request are
properly documented and tracked for future reporting.
Upon move in, an apartment inspection is conducted and
recorded in the leasee’s file for tracking upon move out so
any damages assessed upon move out can be charged back
to the resident.
Pest control is conducted weekly on an as needed basis
when a resident calls in for service. This enables the property
to have authorization to enter the apartment from the
resident in advance for pest control service.
Preventative maintenance is ongoing. At Laramar, we
understand the each property is different. Therefore, a
customized Preventative Maintenance Program will be
designed to respond to the systems at the property. Routine
quarterly apartment inspections are conducted to maintain
and preserve the apartment conditions at a high standard.
At the time of the delivery of the property, Laramar will
catalogue all warranties and manufacturer-specified
maintenance schedules.
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We will develop a Preventative Maintenance Program that
addresses ongoing maintenance requirements on a monthly,
quarterly and yearly basis. Records will be kept at the
property and will be available for review.
All maintenance shops are color coded and standardized.
The Community Manager conducts weekly property
inspections and meets with the Maintenance Technician on a
daily basis to review the plan for the day. The Regional
Manager and AMS then conduct quarterly inspections of the
asset to provide a third set of eyes for inspecting the
property and performance of the staff.
The AMS will conduct quarterly inspections to train the site
staff, confirm OSHA compliance, and update the property’s
sustainability score card.
Outside vendors are called in for larger service calls that in-
house maintenance is unable to perform due to the size or
nature of the project. All contracts must be approved and all
vendors must register with the vendor compliance
department to insure the proper insurance is carried by
everyone working on the asset.
MAINTENANCE PROGRAM
The best maintenance program for a new property is to be
familiar with and to follow the recommended manufacturer
maintenance programs for all of the mechanical and building
systems. Our goal by pre-hiring the maintenance staff is to
ensure that the employees have this knowledge and are
familiar with all of these requirements. In order to ensure
that all of the equipment is maintained at optimal condition
and efficiency, we recommend that all repairs and outside
maintenance of the systems be performed by the installer of
the equipment. This is done because of their familiarity the
equipment and with the building, and this ensures that all
warranties remain in effect.
An additional maintenance program that Laramar
implements at all new developments, and will implement at
this community, will be the walking of all vacant apartments
during lease-up. The purpose of this program is to ensure
that all vacant apartments remain in optimal condition, and
remain ready for showing at all times. All inspections will be
documented on customized checklist forms in order to
guarantee that the apartment has been inspected and is in
good condition. In addition, an apartment inspection is
conducted upon move in and is recorded in the lease’s file
for tracking so any damages assessed upon move out can be
charged back to the resident.
16
1.4
MA
INT
EN
AN
CE
PR
OG
RA
M
PROPERTY MAINTENANCE &
LANDSCAPE
Most maintenance tasks are performed by the in-house
maintenance technician. Complex and specialty tasks can be
supplemented by third party vendors (depending on the
complexity of the maintenance request). This process allows
for the most expeditious and cost effective option to be
selected for each service order, offering speed of execution
and superior customer service to residents.
Our in-house maintenance team is also in charge of
maintaining curb appeal. Landscaping tasks will be the
responsibility of an outside vendor and will be overseen and
approved by the Service Manager and the Community
Manager at the property.
All outside vendor contracts must be approved and all
vendors must register with the vendor compliance
department to assure that proper insurance is carried by
everyone working on the asset. Requests can be submitted
through our centralized office 24 hours a day via phone,
email or text message.
17
1.4
WO
RK
OR
DE
RS
SERVICE REQUESTS
Resident service requests are submitted online using the maintenance portal of the website or to the management office in person
or by phone.
All service requests are integrated with Yardi’s management software program to record the nature of service requested, service
technician details and date completed. Our maintenance employees respond to all resident service requests within 24 hours, and
all service requests are to be completed within a 24 hour period whenever possible. In cases involving warranty issues, the service
technician will promptly notify the warranty vendor and building engineer to determine the appropriate course of action.
Scheduled move-outs have a pre-move out inspection completed 30 days prior to the anticipated vacate date. The resident will be
notified of any potential charges they may incur, and will be given the 30 day period to correct the deficiencies.
Upon move-out, locks will be changed and the following work will be completed as necessary:
• Carpet Cleaning or Replacement
• Cleaning
• Maintenance inspection with repairs as required
• Touch Up Painting
18
1.4
PU
RC
HA
SIN
G
//
ST
RA
TE
GIC
RE
LA
TIO
NS
HIP
S
PURCHASING
Laramar has a purchasing department based out of our Denver
office. Our National Programs Manager is continuously working
to achieve the most competitive pricing on products and services.
We have several national agreements that leverage our portfolio
size to obtain the best pricing on these products and services.
Laramar has rebate programs with vendors such as Floor Expo,
Office Max and Wilmar, where quarterly rebates are received
based upon property level spending and use of online ordering
capabilities. Our vendors send us quarterly reports with the
breakdown of purchases and mail rebate checks to our office in
Denver to be deposited to each specific property’s operating
account.
NATIONAL AGREEMENTS WITH SEVERAL LARGE
SUPPLIERS
Under our management, you would be receiving the same
pricing as we do on our entire portfolio of managed assets.
Examples of our relationships include:
Direct Fitness Solutions
FedEx
FloorExpo (Shaw, Dal Tile, Tarkett)
General Electric (GE)
Glidden Professional
Hunter Warfield
Marietta Drapery
Office Max
OnSite Rent
Property Solutions
Realtycom
Siemens
Staples
Vending Solutions
Waste Management
Wellbeats
Whirlpool
Wilmar - Wilmar is the nation's largest distributor of maintenance
supplies exclusively for the multifamily industry. Laramar has established
a national program that gives us leverage in pricing and purchasing of their
products.
19
1.4
SE
RV
ICE
CO
NT
RA
CT
S /
/
TH
IRD
PA
RT
Y
Laramar uses the following criterion in the selection of third party
vendors.
We have a National Vendor program that is a list of contractors and
suppliers with best pricing, work quality and trusted vendors. These
vendors provide various types of services and are compliant with
standard insurance requirements. The Regional Managers,
Community Managers and Project Managers can and do solicit three
bids for projects from qualified union and/or non-union
vendors. The bids are presented to the Owner for review and
approval of each project prior to contracts being awarded.
Recommendations are provided to the Owner and the bid is
awarded by the Owner to the best qualified and best priced
vendor. Contracts are then written and sent out for signature
allowing work to commence upon execution. At completion of the
contract, close out is obtained, which includes warranties, lien
waivers, contractor affidavits, final permits and C of O if applicable.
Vendors are required to submit the following information to the
Community Manager:
• IRS form W9 (Required)
• Certificate of Liability Insurance (Required for all vendors with
the exception of suppliers or vendors who perform no physical
services on the property).
• Automobile Insurance (Copy of actual certificate of auto
insurance for any vehicle taken on to the property. Be sure to
the business name is written on the policy.
• Workers’ Compensation Insurance
• Workers’ Compensation Exempt form (Only if applicable)
• Vendor Agreement (Required)
• Any and all applicable licenses – these must be current.
Formal written agreements for the utilization of contractors:
Laramar utilizes four types of contracts:
• Consultant/Architect
• Work Order contract (contract for work under $5,000)
• Short Form contract (contract for work under $25,000, lasting
only a few weeks and low or moderate risk insurance)
• Long Form contract (contract for work above $25,000 or at a
high risk insurance)
Laramar self-manages the criteria and process used for the
selection of contractors. We have a uniform vendor service
agreement and compliance process. However, this information
is proprietary. Laramar also outsources the background checks
and pre-employment testing for third party services.
We also self-manage the formal written agreements for the
utilization of contractors. All agreements are templates and
reviewed by counsel.
The following is a summary of the activities which we will
engage third party service providers for the successful operation
of the property:
Third Party Contracts:
• Advertising/Website Management, Ad Production
• Apartment Cleaning, Shampoo and Paint
• Common Area Cleaning
• Elevator Maintenance
• Emergency/Safety Management Systems
• Employee Uniforms
• Energy Advisory Services
• Fitness Equipment Maintenance
• Garage Management
• Key Trak
• Landscaping/Snow Removal
• Payables Management
• Pest Control
• Phone/Cable Providers
• Property Management Software
• Utility Management Program
• Utility Providers
• Waste Removal
Self-Performed:
• Grounds Monitoring and Cleanliness
• Oversight of Warranties
• Quality Control
• Safety Inspections
• Unit Acceptance
20
1.4
DIS
AS
TE
R R
EC
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Y P
LA
N
//
AU
DIT
PR
OC
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UR
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&
FR
EQ
UE
NC
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/ C
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CK
S &
CO
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RO
LS
DISASTER RECOVERY PLAN
Every property managed by Laramar has emergency
procedures. These procedures roll up to an umbrella Laramar
corporate crisis plan and the crisis team. The main objectives of
these plan are to ensure the safety of Laramar residents and
employees and to help Laramar minimize any negative impact to
operations and the brand through effective communication
between properties, regional officers and corporate headquarters.
• The safety of Laramar residents and employees is the first
priority during any incident. There are many potential crisis
situations, any one of which could result in significant
negative impact to the following:
o The communities and their profitable operations
o Laramar reputation and brand
o Laramar financial performance
• This plan is principally designed to help Laramar minimize
any negative impact on residents, employees, and the brand,
through effective communication with each other, partners
and the media in crisis situations.
o Enable Laramar to effectively communicate
internally, externally and to the media in a time of
crisis
o Provide information that is timely and accurate
o Show that Laramar management is well-informed,
responding openly to the media and handling the
crisis in a confident and responsible manner
• Moreover, if there is no official response to a visible
Laramar crisis, the media are left to fill the vacuum with
their own perceptions, observations and outside sources,
which may not position Laramar accurately or favorably.
AUDIT PROCEDURES &
FREQUENCY
Laramar has an Operational Loss Prevention Program to monitor
compliance with the company’s policies and procedures. We have
a detailed Loss Prevention Inspection Checklist which outlines
everything Laramar accounts for at each property we manage, as
well as the group responsible for these items.
These audits happen annually, or as needed, and involve the
Property Accountant, the Senior Vice President of Accounting,
the Area Vice President and the Community Manager. The
completed checklist is reviewed by the Operational Loss
Prevention Committee and recommendations and follow up
items are noted as necessary.
Please see attached reporting supplement for a copy of our Operations Loss Prevention Checklist.
INTERNAL CONTROLS
Laramar has not engaged auditors to perform a SAS 70 audit,
but as the manager of a co-mingled fund that includes many
institutional investors, we have several financial statements and
all processes and internal controls audited annually by Ernst &
Young. These audits have resulted in clean opinions for seven
consecutive years.
CHECKS & CONTROLS
Our commitment to high ethical standards and integrity starts at
the top and continues to all Laramar associates. Laramar has
policies and procedures in place for the processing of all
transactions to ensure adequate internal controls and proper
segregation of duties. Narratives for payroll, accounts
receivable, disbursements, and the month end close process are
published at the corporate level and the related procedures are
communicated at takeover.
Communities receive initial training from our Training team and
are provided with an online operations procedures manual.
Financial data is reviewed for accuracy monthly by a senior level
accountant or manager. This review encompasses bank
reconciliations, sub-ledger tie outs, actual to budget variance
explanations and balance sheet and income statement review.
In addition, the accounting team and operations team interact
frequently to make sure all transactions are discussed and
recorded appropriately. Additional training is provided as
needed by the Software Support Team. Laramar also has a
mentor program; each region has a mentor to help them with
further training of any procedures or training of new staff.
21
1.4
HIR
ING
PR
AC
TIC
ES
& T
RA
ININ
G
PR
OG
RA
MS
Laramar uses a wide range of media to attract a diverse group of
top talent. This includes social media and online job boards, as
well as newspapers, job fairs, community involvement, local
networking groups and local apartment associations. Laramar has
experience working with unions and we recruit and hire per the
individual union contracts.
We take pride in our people, and invest in the best talent in the
industry. To attract and retain this talent, further education classes,
seminars or conferences of the Director of Marketing are charged
to the Marketing Department as a corporate expense. Any vendor
based training through local multi housing associations is charged
to the property if applicable.
All new employees are trained by our Yardi and MRI support staff
from the corporate office through webinars and conference calls as
well as by the Director of Marketing assigned to them. New
associates are assigned an Accounting/Yardi trainer to help them
learn Laramar’s software system.
Each new associate is also assigned an Agent for Continued
Education (A.C.E. Trainer)who is based in their region. A.C.E.
Trainers focus on marketing and sales/leasing – they are the
subject area expert on 1 or 2 areas for the entire portfolio, as well
as being the new hire “buddy” for on-boarding within their own
geographic area
HUMAN RESOURCES STAFF & RETENTION PROGRAM
Laramar’s Human Resources Department is based out of our
Denver corporate office, and is responsible for sourcing and
retaining associates. They hire, train and support employees both
in the field and the corporate offices. They have created detailed
programs designed to retain talent, recognize employees for their
efforts and successes, as well as extensive training and ongoing
education programs for both new and tenured associates.
One of the programs that has had widespread success throughout
Laramar’s portfolio is the Nationwide Employee Recognition
Program. This program is designed to recognize and award team
members for going above and beyond the normal call of duty in
their day-to-day interaction with other co-workers and residents.
Laramar found that this program promotes teamwork and
appreciation among associates.
Laramar is an equal opportunity employer.
TRAINING PROFESSIONALS
Laramar has a fully staffed Training Department including a VP
and a team of Regional Marketing Managers.
The Regional Marketing Manager program is an excellent way to
leverage Laramar’s “best and brightest” in the field and provide
these associates with additional challenges and recognition which is
good for these associates and for the company. RMM’s also help
develop and test new training programs which, once tested and
proven effective, are implemented throughout the portfolio and
added to Laramar’s Operating Platform.
LARAMAR UNIVERSITY
Laramar has a comprehensive, web-based, training program called
Laramar University. This consists of classroom, small group, one-
on-one, mentoring, video, audio, self-study and extensive web-
based training.
The web-based courses include pre and post-testing and interactive
FAQs. Additionally, every Laramar associate has a personal
Laramar University web page to track the progress of their
professional education.
RECRUITING
Laramar’s seasoned in-house recruiter is dedicated to site level
staffing, allowing for quick and smooth team building. Our pre-
employment screening process ensures the best possible
candidates are hired which reduces future performance issues and
turnover. Online employee orientations and new hire training allow
for new employees to quickly get up to speed.
BENEFITS PACKAGE
A competitive benefits package assists in attracting the industry’s
top performers by including Paid Time Off (“PTO”); 401k Savings
Plan with matching; Medical/Vision/Prescription and Dental;
Disability. These benefits help reduce turnover and resulting
property disruption and expenses. A confidential Employee
Assistance program, health club and mass transit reimbursements
plans are additional incentives enjoyed by Laramar associates.
Laramar’s Incent program looks at the occupancy goals and
market conditions to generate commission payment
recommendations based upon the number of leases an
associate secures during the month. During lease up, the
leasing consultant position is eligible for commissions.
JOB DESCRIPTIONS & PERFORMANCE
EVALUATIONS
To effectively lead, supervise, train and discipline associates,
job descriptions are written for each position within the
company. These job descriptions are available online
through Laramar’s Employee Portal, so associates have
access anytime. These descriptions help manage expectations
and deliverables from each employee, both in the corporate
office and on the ground.
Performance evaluations occur on an annual basis, and are
completed by the employee’s supervisor. Laramar tracks
these evaluations, and benchmarks an employee’s
performance from year to year. Benchmarking the results
helps employees achieve their goals year-to-year.
22
1.4
PE
RF
OR
MA
NC
E
ST
AN
DA
RD
S
PERFORMANCE STANDARDS
Laramar provides training for all site level associates to reinforce
company expectations, programs and quality performance levels. Also,
prospects and residents alike receive surveys from Kingsley Associates
to provide feedback to the community on services provided. Associates
receive performance evaluations annually to identify skill strengths and
any opportunities for improvement. Our leasing consultants are vital to
the success of our organization; therefore sales associates receive
shopping evaluations quarterly to ensure established benchmarks are
being upheld.
COMPENSATION/REWARDS PROGRAM
All recommended salaries are detailed in the staffing plan. Laramar uses
the following compensation guidelines to reward associates for
exceptional performance levels and achieving the established goals of
the property.
Community managers and service managers receive quarterly bonuses
based on property budget performance and subjective goals established
by the RM or AVP.
The leasing consultant is eligible for leasing commissions and renewal
lease commissions.
23
2.0
EX
PE
RIE
NC
E
2.0 EXPERIENCE
OPERATIONS EXPERTISE // COMPREHENSIVE EXPERIENCE
24
2.1
LO
CA
TIO
NS
Nat
iona
l M
anag
emen
t P
rese
nce
Laramar has a fully-integrated, geographically diversified platform with management experience. Bishop’s View would be supported by
our D.C. regional office and our corporate office in Denver.
Our Denver corporate office provides the following support: Our DC office will provide:HR Area Vice President
IT Senior Property Manager
Risk/Safety Regional Marketing Coordinator
Accounting Project Manager
Pricing ACE Trainer
Construction
NATIONAL MANAGEMENT PRESENCE
WEST REGION
San Francisco
Los Angeles
Las Vegas
Seattle
Phoenix
CENTRAL REGION
Chicago
Dallas
Denver
Houston
Minneapolis
Oklahoma City
St. Louis
Tulsa
EAST REGION
Atlanta
Boston
Charlotte
Hartford
Louisville
Maryland
Miami
Orlando
South Carolina
Tampa
Virginia
Washington, D.C.
25
2.1
EX
PE
RIE
NC
E /
/ P
HIL
AD
EL
PH
IA
ME
TR
O
PHILADELPHIA METRO // EXPERIENCE
Laramar has a deep knowledge of the Philadelphia metro market, beginning with our management of Lynnewood Gardens, an 1,800
unit property spanning 135 acres and almost 100 buildings.
Our D.C. metro portfolio is in close proximity to Bishop’s View, and the property would be covered from our D.C. office. This office
is led by Troy Fields, Laramar’s Area Vice President for this region.
NATIONWIDE
• 30,000 units in over 20 regional markets
• Over 1 million square feet of retail space under management in mixed use properties
• Corporate offices in Chicago and Denver
CURRENT PORTFOLIO
OWNED ASSETS
Property Name Unit Count Occupancy
Avery Park 606 96.2%
Hunting Point 530 75.9%
The Gates of Cipriano 592 91.4%
Woodvale 376 95.2%
LEASED/MANAGED*
Property Name Unit Count Class Occupancy
Broadfalls 120 B 99.2%
Hermitage Hill 122 C 96.7%
Owings Park 174 A- 92.5%
Park at Winterset 176 A- 94.3%
Village of Churchills Choice 192 B+ 96.9%
Whetstone 102 C 97.1%
*No properties in Laramar’s current portfolio are bond restrictions/tax credit properties.
26
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Stabilized Asset – Management
Owings Park
9202 Samuel Owings Drive, Owings Mills, MD 21117
In November 2013, Laramar was awarded management of
Owings Park, a 174 unit property located in Owings Mills, MD.
Our business plan for the asset included a value-add renovation to
the unit interiors, exterior trim painting, life safety and general
deferred maintenance repairs. We changed out the signage to the
community which was dated and worn. We upgraded the logo
and colors, cleaned and upgraded the landscaping to enhance the
curb appeal and draw more traffic. In addition, we added new
countertops, vinyl plank flooring, appliance and lighting fixtures to
the units to make them more in line with prospects’ needs.
Our plan also included bringing in our own management team of
professional associates who helped show residents a customer-
service oriented and attentive staff. They hosted resident functions
and were consistent in their maintenance and management efforts
to increase occupancy and increase rents. The onsite team also
engaged residents in regular Kingsley surveys, so we could assess
their needs and wants for their community. These surveys also
allowed us to understand how to improve our platform at the
property.
Laramar was incredibly successful with these efforts: our team
aggressively pushed rents, resulting in a year over year increase of
6.71%. The submarket rents only increased 3.5%. For the time
period of December 2013-December 2014, the team averaged
96.4% occupancy, resulting in total income growth of 8.16%. Year
over year growth for Net Operating Income is 19%.
27
2.2
HU
NT
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PO
INT
//
EX
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NC
E
Major Rehab/Repositioning
Hunting Point on the Potomac – Alexandria, VA
530 Units
Two 8 Story Buildings
In March 2013, Laramar acquired Hunting Point Apartments, a 530
unit property in scenic Alexandria, VA. The property is situated
along the Potomac River with miles of running and biking trails,
offering residents numerous opportunities to enjoy the outdoors.
Our business plan capitalizes on the location, as well as the deferred
maintenance at the property to enhance residents’ living
experiences. Our $14 million renovation plan includes replacing the
windows in all units, renovation of all unit kitchens and baths,
enhancing the hallways and common areas with new carpeting,
paint, lighting and furniture, as well as upgrading the amenity spaces
to make them more modern and usable for residents. The pool area
was upgraded with the addition of a pool house lounge area for
residents.
In addition, the building needed an extensive mechanical
renovation. To date, Laramar has re-piped the domestic water lines
and added controls to the boiler system. Furthermore, our business
plan includes the design and construction of a new clubhouse for
the property that will include a leasing center, community room,
fitness center and outdoor BBQ area for residents.
We are also in the process of re-branding and re-positioning the
property, to appeal to our target demographic. We are currently
working on a new name, collateral and signage, as well as identifying
key lifestyle images that will fit the brand we are creating for the
asset.
Project Achievements:
• 50% of the window replacements are complete
• 100% of the domestic water re-piping is complete
• 100% of pool renovations are complete
• 50% of the re-branding and re-positioning process is
complete
• 50% of hallway renovations and common areas are
complete
• Unit interior renovations are underway, and are
scheduled for completion in Q1 2016
Major Rehab/Repositioning
The Belden Stratford – Chicago, IL
297 Units
High Rise, Mixed Use Building
In December 2011, Laramar acquired the Belden Stratford, a 297
unit, mixed use apartment-hotel property in one of Chicago’s
premier neighborhoods. The business plan outlined a program to
convert the property to 100% multi-family-only units. Our
business plan called for the elimination of the hotel services that
our projections calculated would result in approximately $1.65
million in variable expense savings and would simplify the revenue
stream. Laramar also expanded the building services which were
outdated and under-market to include upgraded amenities such as
a renovated rooftop deck, new WiFi café and lounge, as well as a
renovated lobby that would allow for more resident interaction,
including resident events and retention programs.
As part of the business plan, Laramar instituted an upgrade
program with more up-scale finishes at an estimated cost of
$4,735 per unit, resulting in a projected average monthly rental
increase of $115/unit which equates to a 30% return on cost. The
resulting NOI from the overall improvement plan was projected
to increase by approximately $1.1 million at the end of year two
and $1.3 million at the end of year three.
The hotel conversion simplified the revenue stream, as 107 units
were renovated. In addition, Laramar’s business plan resulted in
an increase in NOI to $4.2 million vs. $2.8 million at acquisition.
In December 2013, Laramar sold the asset but was retained as
manager due to our performance on the asset. 28
2.2
TH
E B
EL
DE
N
ST
RA
TF
OR
D &
PA
RK
KIE
LY
//
EX
PE
RIE
NC
E
Major Rehab/Repositioning
Park Kiely – San Jose, CA
948 Units
In June 2008, Laramar acquired Park Kiely, a 948 unit asset near
Silicon Valley from a distressed owner. Our strategy with the asset
was to first capitalize on the close proximity to numerous Silicon
Valley employers including Apple, Cisco Systems, Adobe and
Google. Laramar’s strategic renovation plan centered on
enhancing the property and upgrading units at a cost of $5.1
million.
Laramar’s $11 million renovation plan included first addressing
and correcting major deferred maintenance items, then enhancing
the leasing center, as well as upgrading the curb appeal and
amenity spaces. For these upgrades and renovations, Laramar
achieved a 20% ROI through increased rental rates.
When the property sold in December 2011, Laramar had realized
an 11.0% average annual cash-on-cash return since inception.
29
3.0
SO
FT
WA
RE
,
MA
RK
ET
DA
TA
AN
D R
EP
OR
TIN
G 3.0 SOFTWARE, MARKET DATA AND REPORTING
FINANCIAL REPORTING // REPORTING SYSTEMS // MRI
Budgeting and Forecasting: The annual property budgets are
pre-loaded in the corporate office based on the property's
historical and seasonal performance, market research and
corporate and property level goals. The budgets are then sent to
the field 90% complete and the RMs and CMs fine tune the
budgets from this point. Laramar’s detailed review process involves
the field, the COO and the Director of Financial Planning &
Analysis. A final review is done with the client, who has final
approval on each line item of property budgets.
This process results in more consistent and accurate budgets and
does not burden the field with a several month budget process as
often happens at other companies and instead allows the field to
focus on property operations. Annual property budgets and
forecasts are produced using Microsoft Forecaster, a leading edge
software program that allows for extensive analysis and sensitivity
scenarios. Laramar's budgets take into account each lease
transaction and appropriate pricing strategies which produces very
detailed and accurate budgets.
Reporting Package: Laramar provides clients with a full
reporting package including real time information through MRI
and Yardi, weekly reports and a comprehensive monthly reporting
package including all financial statements and narrative owner's
report. These reports are customized for each client, and our
teams work closely with each client to deliver a package that
caters to the clients’ needs. Weekly reports include occupancy,
traffic, leasing, closing ratios and projected exposure. The monthly
reporting package includes comprehensive "Ranking Reports" to
track a wide range of metrics, which are measured across the
portfolio to quickly identify outliers and opportunities for
improvement. This is distributed electronically.
Each property is assigned an accountant, who works exclusively
with the operations team and the Owner. This accountant and
their team prepare budgets, financial statements and a narrative
each month. They track the property’s daily activity and are also in
charge of processing all invoices for the community.
30
3.1
FIN
AN
CIA
L R
EP
OR
TIN
GCollections: The Collections Manager's success, at each property,
is tracked and measured on a Ranking Report every month.
Collections above 98%, 99% and 100% each month are rewarded
with a tiered monthly collections bonus (based on the percentage
of the current month's billings collected in that month before
accounting month end). Outstanding amounts not collected by
accounting month end are still pursued but measuring results by
this cut-off date creates a sense of urgency for the Collections
Manager. Amounts deemed uncollectable are turned over to a
national collections agency.
iDashboards: A custom cloud application which allows us to
create and monitor multiple Key Performance Indicators
throughout our portfolio in an on demand setting. By analyzing
property performance by Region, MSA, Client and Ownership, we
can instantly identify and recognize any key outliers and monitor
predictive indicators to stay on top of property performance on a
daily basis.
Laramar’s Website: Property Solutions is Laramar's website
partner. Navigation through the website by computer, tablet or
smart phone is seamless and prospects are able to search
availability, current pricing and submit applications online. The
Resident Portal allows for online rent payments, submission and
tracking of service requests and for residents to refer friends.
Laramar's use of iPads with site tablet capability provide a virtual
leasing desk from any location. It allows customers to spend more
time viewing the features and amenities of the community.
Associates can check availability, pricing and assist applicants with
applying online from the Wi-Fi cafe instead of sitting at a
traditional leasing desk.
Resident Screening & Credit Review: All prospects are
screened through OnSite, a leading edge web-based system. "Cut
points" that determine at what level prospects are accepted,
declined or "accepted with conditions" (requiring additional
deposit) are managed by Laramar's Pricing Manager and the
Regional Managers. Actively managing this system allows for
maximum occupancy with the highest possible resident credit
profile. All prospects are screened for criminal background.
FINANCE AND ACCOUNTING // INFORMATION TECHNOLOGY
SYSTEMS
FINANCE AND ACCOUNTING
Revenue Management: Laramar utilizes Lease Rent Options
(LRO) and Yieldstar, which are leading edge web-based revenue
management software programs. Laramar has invested in an in-
house revenue management department, led by our Pricing
Manager. The department is proficient in both Lease Rent Options
(LRO) and Yieldstar, which are leading edge web-based revenue
management software programs.
Laramar develops a pricing matrix for each property, and each unit
is priced individually by identifying any and all opportunities for
premium pricing. Our Pricing Manager holds weekly “pricing calls”
with each property to review software recommendations and
identify additional pricing opportunities.
Financial Controls: All accounting functions are centralized in
Denver which allows for detailed checks and balances. A
centralized accounting function also allows for appropriate
segregation of financial duties which creates significant efficiencies.
All financial operations are monitored and tracked through Yardi
and MRI and our full service accounting, property management
and asset management departments. Laramar's accounting
department utilizes Yardi and MRI to streamline the reconciliation
process which allows the accountants more time for financial
analysis and proactive problem solving. Both Yardi and MRI have
a full support team at the Corporate office to assist all onsite
employees with issues or questions that may arise.
Software and Systems: Laramar leverages technology in every
way possible by using many software and web-based applications,
including LRO for revenue management, Nexus for web-based
payables management, and Laramar University, our proprietary
web-based professional education program. Laramar supports both
Yardi and MRI platforms, which are fully integrated, web-based,
front-end property management and back-end accounting systems.
Property Solutions is Laramar's website provider, which allows for
online prospect and resident payments through our website,
Property Bridge and MRI Resident Portal. Laramar has a full team
of both Yardi and MRI mentors in each region to assist with all
training for new hires and ongoing training for all field employees.31
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SSophisticated Reporting Systems: Laramar utilizes extensive
and detailed reporting systems to help us maximize our
management capabilities and ensure the success of each property
we are involved in. Laramar provides clients with a full reporting
package including real time information through MRI and Yardi,
weekly reports and a comprehensive monthly reporting package
including all financial statements and narrative owner's report.
Weekly reports include occupancy, traffic, leasing, closing ratios
and projected exposure. The monthly reporting package includes
comprehensive "Ranking Reports" to track a wide range of
metrics, which are measured across the portfolio to quickly identify
outliers and opportunities for improvement. The monthly
reporting package is distributed to our clients electronically.
These reports are analyzed by our Operations teams and are used
to benchmark our success nationwide. Included in these reports
are an Expense Matrix showing all expenses year to date, a Budget
Comparison Year to Date report, as well as a Key Performance
Indicator (KPI) report. The KPI report provides “at-a-glance”
reporting for all Laramar properties nationwide. These KPI reports
offer an additional layer of tracking property activities. This report
looks at each community individually, and provides detailed
information on resident activity, revenue and expense management
per unit, as well as detailed financial reporting.
In addition, our reporting systems include tracking rent and
renewal trends at our properties. These reports focus on historical
rental activity year to date, including computing the average rent
for a move out versus a new lease. Using this report in conjunction
with a detailed report listing why residents move out helps Laramar
stay competitive in the marketplace.
These reports give us the opportunity to understand and react to
changing market trends. This information helps us better attract
and retain residents. We track renewals on a monthly basis
throughout our portfolio, so we can look at trends on a national
level as well. We feel combining specific market data with
nationwide trends allows us to stay ahead of the competition and
understand trends at every level of the market.
Laramar utilizes MRI and Yieldstar and would provide the same monthly reporting package that is currently distributed across Laramar’s
current TIAA-CREF portfolio. The monthly reporting package includes a full set of owner’s reports including income statements, balance
sheets, trend reports and GLs. The accounting month close-out is the 15th of each month, and would be consistent with the other
properties that Laramar manages for TIAA-CREF.
While utilizing MRI, Laramar also leverages technology in every way possible by using many software and web-based applications
including LRO and YieldStar for revenue management, Nexus for web-based payables management and Laramar University, our
proprietary web-based professional education program. All of the various software and web-based systems used by Laramar have detailed
reporting capabilities and contribute towards improved property performance.
Laramar subscribes to two of the top national market research firms, CoStar and Pierce Eislen. This combination allows us access to gain
local market insight and research for the Philadelphia metro area, as well as market reports from Delta Associates. In addition, LRO
provides excellent market data at the submarket level. Therefore, we have strong market data provided by submarket, local and national
firms.
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COMPLIANCE // LARAMAR DEPARTMENTS & PROCEDURES
Laramar’s Risk Management team is based in our Denver office,
and ensures full compliance with all policies and procedures for
each region and each client. Laramar’s compliance program is
designed according to national standards for property
management, and adheres to clients’ policies.
In addition, Laramar has in place an Emergency Procedures
Manual that is present at each property, and trains each onsite
team member in the proper communications and actions if an
emergency should arise.
Laramar has three elements to Laramar’s crisis management
planning. First, we have emergency procedures at each local
community which includes employee and resident emergency
preparedness instruction. The second part is planning at the
corporate level whereby we have a corporate crisis plan that
includes procedures for our global team response given any
Laramar location disaster or incident and references critical
department plans such as IT. Third, we have corporate location
emergency procedures for corporate personnel.
Laramar provides annual training at the community level regarding
emergency procedures which includes media instruction. Our
corporate location flipchart includes media contact procedures.
This team ensures full compliance with all OSHA and insurance
objectives. Area Maintenance Coordinators in each region also
complete quarterly safety inspections of each property.
Insurance reporting for employee related incidents is handled
directly by our internal Risk and Safety Department. Any property
related incidents are handled as instructed by the client and
reported as such to the client’s insurance and risk department.
All legal complaints are directed immediately to the Regional
Manager and Risk and Safety Department. Typically, the Risk and
Safety department will directly report to the Regional Manager and
then the RM will communicate with the client as necessary.
RISK/SAFETY TRAINING
Loss prevention and control are reinforced through hands-on
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In addition, over 20 online safety and OSHA courses are available
through Laramar University, and training is reinforced through
Laramar’s employee safety suggestion and recognition program,
safety orientations and annual certification training for all
employees.
Through our company newsletter, Laramar includes a “Safety
Corner” section for all employees to review. Also, Laramar
provides job safety training for all Service Manager, and violence in
the workplace and other personnel management training.
RISK/SAFETY INSPECTIONS
Every region has a designated Area Maintenance Coordinator who
is the most experienced site-level Service Manager in that region.
The AMCs have been certified in OSHA and safety courses, and
are responsible for enforcing the Laramar Programs that apply to the
maintenance team and to identify new ideas in the field that can be
test and, if proven successful, be added to the Operating Platform.
The AMCs hold monthly meetings with the Service Managers in
their region to enforce compliance, get feedback and solicit new
ideas. They also perform quarterly Risk/Safety inspections at each
property to ensure compliance with OSHA guidelines, Laramar
policies and inspect all safety equipment
Every shop is organized in a standard Laramar format using
Laramar’s Standardized Shop Colors which allows for easy inspection
– this standardization also allows for associates to transfer to other
properties and immediately know how the shop operates.
OTHER RISK/SAFETY HIGHLIGHTS
Laramar has a specialized Workers’ Compensation orientation
training for supervisors, online claim handling and reporting,
Return to Work Program with modified duty program. Our
environmental compliance includes asbestos awareness, lead
poisoning, moisture intrusion and O&M programs and training. In
addition, HUD and employer’s liability are managed by a seasoned
HR/risk management staff coordinating EEOC, Fair Housing and
ADA compliance.
RISK MANAGEMENT //
INSURANCE
Valerie Clark – Asst Vice President, Risk and Safety
• ANY and ALL legal notices and demands
• Company litigation management
• Contract review
• EEOC, Fair Housing, Discrimination complaints
• Company representative for media relations calls
• Laramar entity management
• Contact for company emergencies and disasters
Patrice Kraly – Sr Claims & Insurance Specialist
• Property and liability claim reporting and management for
Laramar owned properties
• Workers Compensation
o Management of all Workers Comp claims /
assistance with Medical Clinic notices
o Injured Worker’s Return-to-Work / Light Duty
Program
• Assistance in incident and claim reporting / handling for
clients insurance-related questions and certificates
Julie Cvetezar – Sr Safety & Environmental Specialist
• Safety and Environmental (OSHA and EPA) compliance
and questions
o Training and PPE
o OSHA 300 log compliance and record keeping
• Asbestos, Mold and Lead-based paint programs, inquiries,
inspections and citations
• AMC program and property inspections
• Laramar business licenses
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Mary Schnettler – Sr Vendor Compliance Specialist
• Vendor registration process at Laramar including
o Vendor service agreements
o W-9’s
o Vendor insurance requirements
• Liaise with Laramar Contract department for service
vendors
INSURANCE
Insurance premiums are reduced through Laramar’s fully staffed
Risk and Safety Department headed up by Valerie Clark, Assistant
Vice President of Risk/Safety.
Every property has quarterly risk/safety inspections to ensure
compliance with OSHA regulations and that all safety equipment is
available and working properly.
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ORGANIZATION & STRUCTURE // ONSITE AND CORPORATE SUPPORT TEAM
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LARAMAR // EXECUTIVE TEAMA DEDICATED TEAM FOCUSED ON YOUR NEEDS
Name Title Years of Experience Years at Laramar
Jeffrey Elowe President & CEO 25 25
Marc Jason Chief Financial Officer 31 4
Thomas Klaess Chief Operating Officer 28 10
Bennett Neuman Senior Vice President Investments 23 15
Steve Boyack Senior Vice President Asset Management 24 12
Scott McMillan Senior Vice President Accounting 19 10
Benjamin Slad Vice President Investments 13 10
Shannon Baker Vice President Operations 17 14
Average 23 13
TROY FIELDSAREA VICE PRESIDENT – DC METRO
Troy Fields has been in the multi-family industry since 1993. He has 21 years’ experience in the Washington D.C. region and 4 years’
experience in the Dallas/Fort Worth region.
Mr. Fields joined Laramar in August of 2011 and oversees 3,054 the Washington D.C. metropolitan region. The portfolio consists of class
A and B assets with multiple interior and exterior capital projects. His strategies and leadership has produced a portfolio YOY income
growth of 4.4%, NOI YOY growth of 7.1%, while reducing expenses YOY by 1.8%.
Prior to joining Laramar, Mr. Fields was the Regional Vice President of Operations for Carmel Partners, where he was responsible for the
management of more than 2,500 apartments across 18 properties in D.C., Maryland and Virginia. The portfolio included luxury mid and
high-rises, rent controlled, and multiple extensive rehab assets in excess of $25MM. He implemented strategies that reduced controllable
expenses by 15.1%, while increasing revenue by 8.7%.
Mr. Fields also was part of the introduction of The Bainbridge Companies to the Washington D.C. metropolitan area in 2007, where he
managed 3,237 units with renovations in excess of $17MM. He established all operational standards and branding of Bainbridge in DC,
with marketing, property documents/leases, and recruiting. He implemented and designed the scope of all interior rehabs and combined
with the exterior program, managed expenses in excess of $15mm.
Prior to Bainbridge, Mr. Fields was a Regional Property Manager with Archstone-Smith for 5 years where he managed 4,500 in the
Washington D.C. metropolitan area with revenues in excess of $35MM per year and controllable expenses of in excess of $15MM per
year. During his time at Archstone-Smith, he managed multiple lease ups, stabilized and renovation assets. He also prepared dispositions
in the DC area. Mr. Fields was part of the implementation of the numerous technological rollouts including LRO and marketing initiatives
over the years at Archstone.
He began his career as a Leasing Consultant with Charles E. Smith and has held positions as an Assistant Community Manager,
Community Manager and Senior Community Manger prior to becoming a Regional Manager. This experience gave him extensive
knowledge of on-site operations prior to advancing to a Regional position in 2002. Mr. Fields has extensive acquisition and disposition
experience, assisting and managing multiple transitions properties over the years.
Mr. Fields currently has his CAM designation, ARM® designation and is a Candidate for the Certified Property Manager Designation. He
is a member of PMA, NAA and IREM. Mr. Fields attended Virginia Commonwealth University.
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BRIAN STROUDREGIONAL MARKETING MANAGER – EAST COAST
Brian Stroud joined The Laramar Group in 2007, and has over 20 years of experience in the apartment industry. Originally with the
Laramar team as Snell Isle’s Community Manager, Mr. Stroud was the key developer of the Marketing Strategy that contributed to the
successful lease up of the 272 unit property. Along with these responsibilities, he was a Star Team Member, a Yardi Mentor and a
Marketing Mentor prior to assuming his current role.
As Regional Marketing Manager, Mr. Stroud develops and implements the many facets of both training the site employees, as well as all
aspects of the site marketing. This includes web site development, advertising and business development. Simply put, Mr. Stroud builds
great teams: he identifies industry talent and both trains and mentors associates for success. His can-do attitude and success-driven
mindset is utilized for extensive training programs across the national portfolio, and he has spearheaded many of the acquisition
transition teams. In 2010, Mr. Stroud was presented with the Laramar Award of Excellence. His team at Snell Isle has been recognized
with the Leasing Team of The Year in 2009 and the Program Implementation Award in 2010.
Prior to Laramar, Mr. Stroud spent five years with AIMCO and two years with UDR, first as a Multi-Site Community Manager and then
as the Director of Human Resources and Corporate Trainer for the Tampa Region. At AIMCO, he was responsible for developing the
hiring program for both on-site and corporate staff, in addition to leading the monthly Leasing, Maintenance and Corporate training
programs for the 14 area communities. He spent extensive time creating an AIMCO audit program for the three Tax Credit
Communities and was also designated as the trainer for Tax Credit Compliance. At UDR, Mr. Stroud was appointed as the Tampa Bay
Training Representative for The Bay Area Apartment Association, where he led classes in management skills and leasing training.
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OPERATIONS & SUPPORT TEAM
Tom Klaess
Chief Operating Officer
David Egeland
VP of Mareting
Brian Stroud
Regional Marketing Manager
ACE Trainer
(Support)
Troy Fields
Area Vice President
1 Community Manager
2 Leasing Consultants
1 Maintenance Supervisor
1 Service Technician 1.5 Porters
Michael Burnaz
VP of Construction
Jezrael Downer
Area Maintenance Coordinator
Maintenance Supervisor
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ON-SITE TEAM
Tom Klaess
COO
Troy Fields
Area Vice President
Community Manager
2 Leasing Consultants (1 part
time)
1 Maintenance Supervisor
1 Service Technician 1.5 Porters
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Our leasing office will be open 7 days a week during the following
hours:
Monday – Friday: 9:00 am – 6:00 pm
Saturday: 10:00 am – 5:00 pm
Sunday: 12:00 pm – 5:00 pm
The proposed staffing and salary plan for Bishop’s View is as
follows*:
COMMUNITY MANAGER
Salary: $60,000 plus 20% bonus (full time)
The Community Manager is responsible for all operations on site,
including setting goals for the team and rewarding top
performance. This position will maintain a positive rental program,
qualifying prospective residents, coordinating outreach and
planning resident events.
The Community Manager will also work closely with the
Maintenance Supervisor to ensure maintenance requests are being
addressed immediately and resident satisfaction remains high. The
Community Manager will also maintain all proper building
certifications, licenses and permits required by the local City and
County Authorities.
LEASING CONSULTANTS (2)
Salary: $17.00/hour (full time) / $13.00/hour (part time, 24
hours/week)
Two Leasing Consultants will be hired with responsibilities that
include reaching monthly occupancy goals, following up with
traffic, executing daily marketing outreach and maintaining high
shop scores. In addition, their duties include outreach marketing,
even planning, resident retention and monitoring ILS sites and
social media.
They will provide excellent customer service to all
new/prospective and current residents. One Leasing Consultant
position will be full time, and one position will be part time for
additional weekend staffing and outreach marketing efforts.
*Current associates will be interviewed and evaluated prior to transition in
management. A decision will be made prior to management transition as to
which associates will be retained. If retained, training will begin on the first day
of management. The above salaries would be further evaluated and could be
reduced after traffic trends are understood and the team is interviewed.
PERSONNEL POLICY & STAFFING PLAN // BISHOP’S VIEW
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SERVICE TEAM
Laramar’s Area Maintenance Coordinator, Jezrael Downer, is
based in Northern Virginia and his duties include the continued
training and education of the Maintenance Supervisor and
quarterly inspections to ensure the work areas remain OSHA
compliant and standardized for maximum inventory management.
MAINTENANCE SUPERVISOR
Salary: $55,000 plus 20% bonus (full time)
The Maintenance Supervisor position is responsible for the
maintenance department. These responsibilities include oversight
of all maintenance on site, performing quarterly preventative
maintenance within apartments and annual inspections, while
maintaining a capital inventory spreadsheet with close monitoring
of all maintenance expenses to be within budgeted guidelines. This
position will also respond to service calls, warranty issues, repairs,
and administer capital projects and preventative maintenance.
SERVICE TECHNICIAN
Salary: $19.00/hour (full time)
The Service Technician position will provide in-unit maintenance
on non-warranty items, customer service, turnover needs of
apartments when vacated as well as repairs and maintenance in all
common areas of the property.
PORTER SERVICE (1.5) Contracted Out
Cost: $3,000/month contracted out to save 31% with tax/benefit
burden. This will not only give a savings in payroll burden, it will
allow management quick evaluations and terminations if
performance is not up to Laramar standards.
The porter staff will include a staggered schedules to provide
coverage 7 days per week. Their responsibilities include
maintaining the common areas, hallways, elevators, trash rooms,
parking garage, pressure cleaning of sidewalks, and cleanliness of
the exterior grounds. The part-time porter would ensure common
areas are clean during optimum weekend leasing hours
*Current associates will be interviewed and evaluated prior to transition in
management. A decision will be made prior to management transition as to
which associates will be retained. If retained, training will begin on the first day
of management. The above salaries would be further evaluated and could be
reduced after traffic trends are understood and the team is interviewed.
Please refer to Laramar’s reporting supplement for the standard property charges detail.
PERSONNEL POLICY & STAFFING PLAN // BISHOP’S VIEW
TOM KLAESSCHIEF OPERATING OFFICER
Mr. Klaess joined Laramar in 2004. Mr. Klaess is a member
of the Investment Committee and is responsible for all
field operations, including portfolio performance and
ensuring that all of Laramar’s systems and programs are
implemented consistently in the field.
Mr. Klaess directs the Regional Property Managers and site
staffs on a continuous basis. Mr. Klaess joined Laramar
after ten years with Archstone-Smith Communities, one of
the largest and highly regarded REITs in the apartment
industry. At Archstone, Mr. Klaess had many assignments,
including managing operations for the Southeast Region.
Prior to Archstone, Mr. Klaess held positions as Asset
Manager and Regional Manager with NHP, Hall Financial
and American Residential Management.
Mr. Klaess attended Westminster College.
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MARC JASONCHIEF FINANCIAL OFFICER
Mr. Jason is the chief financial officer, is a member of the executive
committee and has overall responsibility for the financial operations of
Laramar. Mr. Jason joined Laramar after seven years as CFO and head
of asset management for BayNorth Capital, LLC, a real estate private
equity firm in Boston.
Prior to moving to Boston, Mr. Jason spent six years in London where
he was chief investment officer for DigiPlex, a subsidiar y of The Carlyle
Group. Mr. Jason spent six years with Security Capital Group
and held the positions of chief investment officer for Access Storage
Space, senior vice president for Security Capital European Realty and
vice president at ProLogis Trust. Additionally, he was a senior vice
president/finance manager for Trammell Crow Company. He is a CPA,
a licensed real estate broker and a member of ULI, PREA, NAIOP’s
Sustainability Forum and is on the Alumni Advisory Board for the Real
Estate Academic Initiative at Harvard University.
Mr. Jason received a B.S. degree in business administration/accounting
from California State University, Fresno and graduated from the
Advanced Management Development Program in Real Estate from the
Harvard University Graduate School of Design.
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STEVE BOYACKSENIOR VICE PRESIDENT OF ASSET
MANAGEMENT & BUSINESS DEVELOPMENT
Steve Boyack is responsible for oversight of Laramar’s asset management
department and new business development activities. In his role as
head of asset management, he is responsible for portfolio performance,
financial reporting and investor relations. In his role as head of business
development, Mr. Boyack focuses both on launching and expanding
business initiatives, as well as growing Laramar’s relationships with
institutional investors.
Previously, Mr. Boyack served for four years as Laramar’s San Francisco
Bay Area regional manager. Prior to Laramar, Mr. Boyack was a general
manager with Draper and Kramer where he oversaw a Class A luxury high-
rise development on the Chicago lakefront. Prior to Draper and Kramer,
Mr. Boyack was a property manager with RMK Management
Company.
Mr. Boyack has served on the board of directors of the Institute of Real
Estate Management (IREM) and is a Certified Property Manager (CPM). He
is also on the board of NMHC’s Sustainability Subcommittee.
Mr. Boyack has a B.S. degree in economics, with a double emphasis in math
and psychology from the University of Iowa. 45
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SCOTT MCMILLANSENIOR VICE PRESIDENT OF ACCOUNTING
Scott McMillan is responsible for the oversight of all accounting
functions at Laramar, which includes all property and corporate
level financial statement production, client reporting, cash
management, accounts payable, contract management, and vendor
compliance. Mr. McMillan is also a member of the internal audit
committee.
Mr. McMillan joined The Laramar Group in 2004 prior to being
promoted to senior vice president in the fall of 2011. Starting as the
accounting manager for all fee management assignments nine years
ago, he focused on building versatile policies and procedures that
could easily be adapted to handle multiple clients with varying
needs.
As Mr. McMillan has grown with Laramar, he has built an
accounting team that is committed to delivering high quality
financial statements both accurately and on time. Prior to Laramar,
Mr. McMillan worked at ABC Supply, one of the world’s largest
building products distributors where he held several positions
including internal audit and accounting manager.
Mr. McMillan has a B.S degree in finance with an emphasis in
accounting from the University of Northern Iowa.
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MICHAEL BURNAZVICE PRESIDENT – CONSTRUCTION
Michael Burnaz is responsible for all day to day operations and
strategic direction for the Laramar Construction Services Division to
include Due Diligence, Value Add, Redevelopment, and Capital
Projects. Mr. Burnaz oversees Project Managers throughout the US
and our Contract Administration Team.
Previously, Mr. Burnaz was national director of facility management
for Roy Jorgensen Associates, Irvine, CA, responsible for daily
operations and overall direction of its maintenance/construction
division, overseeing all building operations and construction services
spanning 2.7 million sq. ft. in 50 locations in 26 states.
Prior to Jorgensen Associates, Mr. Burnaz was project manager for
Avalon Bay Communities in Southern California, with a portfolio of
57 communities and 14,825 units. Prior to Avalon Bay, Mr. Burnaz
was responsible for Code and Neighborhood Services with the City
of Moreno Valley.
A former U.S. Marine (Active Duty, 1986-1992) and Army Reservist
(1994-1998), Mr. Burnaz has a B.S. degree in business from the
University of Phoenix. In addition Mr. Burnaz is a Licensed General
Contractor in California and holds several National Certifications
through (ICC) International Code Council.
SHANNON KAYVICE PRESIDENT – OPERATIONS
Shannon Kay joined Laramar in December 2001 and is responsible
for due diligence and property transitions. Ms. Kay leads the
complete due diligence process during an acquisition including all
on-site inspections by Laramar teams (including Laramar’s Star
Team) as well as third party inspections. On property transitions,
she manages all logistics to ensure smooth transition of properties
into Laramar’s consistent national operating platform. Ms. Kay
also oversees the dispositions process for any asset that is sold out
of the portfolio.
For four years prior to her current role, Ms. Kay was responsible
for all ancillary income including contract negotiations and
ongoing management of utility reimbursements, video, voice, data,
laundry and vending. She also managed the company’s national
purchasing program with Wilmar, GE Appliances, Glidden Paints,
Marietta Window Coverings and OfficeMax.
Prior to joining Laramar, Ms. Kay was a marketing manager with
CAP Logistics where her responsibilities included project/process
management, inside/outside sales and providing customer service
to some of their largest clients including GE and Caterpillar. Ms.
Kay has a bachelor of science degree in business administration
from Colorado State University.
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LEE MONTGOMERYASSISTANT VICE PRESIDENT – IT & BUSINESS
INTELLIGENCE
Lee Montgomery, AVP of IT and Business Intelligence, is a Senior
Operations, Finance and Accounting Executive with over 20+ years’
experience developing vision, processes and systems in the Real Estate
and Hospitality industries. Mr. Montgomery’s responsibility is to
provide technical I/T support, implement/train and manage company
business applications as well as partner with internal customers to
develop strategic technology initiatives in support of the Laramar
portfolio of assets and potential acquisitions.
Prior to joining Laramar, Mr. Montgomery was EVP of Operations for
Wilkinson Asset Management. Previous to Wilkinson, he spent three
years at Yardi Systems in an executive role responsible for consulting
with clients to identify gaps in operational processes and developing
initiatives using Yardi software solutions.
In addition, he spent eight years at Apartment and Investment
Management Company (AIMCO) as SVP Revenue Management and
Business Intelligence which included the development of a Revenue
Management System and a Business Intelligence process and platform.
Prior to joining AIMCO, he spent 12 years at Norwegian Cruise Line as
VP Revenue Management and Analytics and other numerous financial
positions. Mr. Montgomery graduated from the University of Texas
with a BBA in Operations in addition to receiving an MBA in Finance
and Information Technology from the University of Houston. Also, he
is a licensed CPA in the state of Colorado.
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KRISTA WILSONDIRECTOR OF FINANCIAL PLANNING &
ANALYSIS
Krista Wilson joined The Laramar Group in 2013 and is responsible
for Budgeting/Forecasting, Analytics, Business Intelligence and
Revenue Management. Ms. Wilson’s aim is to utilize the best
processes and technologies to provide accurate budgets, valuable
business analytics, as well as a highly-disciplined approach to Pricing.
Since joining Laramar, she has been involved in budget planning and
analysis for several new developments nationwide, as well as the
acquisition of a 7,000 unit portfolio. She was responsible for the
underwriting, forecasting and implementation of 65 budgets for this
transition.
Ms. Wilson joined Laramar after 20 years with Archstone
Communities. During her tenure there, she was involved in many
high profile Corporate Finance projects, including re-organizations,
mergers, SEC filings, privatization and IPO transactions. She was
responsible for all aspects of property budgeting and periodic
forecasting, including analysis and summarization of results, as well
as design, implementation, system administration, training and
support of the budget system and process. Ms. Wilson has a B.S.B.A
degree in Finance from University of Texas – Dallas.
VALERIE CLARKASSISTANT VICE PRESIDENT, RISK & SAFETYValerie Clark started her risk management career in the brokerage
environment managing complex accounts such as TCI, United
Artists and Newmont Mining. She had the opportunity to head up
the risk management departments at Time Warner Telecom and
QCE (Quiznos) before coming to Laramar in January 2011. She
assures that the risk management department is proactive in
insurance coverage, incident management and safe work practices, to
help protect property ownership, provide a safe environment to
residents as well as safe work practices of the on-the-ground
management.
Ms. Clark holds a BS in Finance from the University of Colorado,
Leeds School of Business and an MBA from the University of
Colorado at Denver. Her professional designations include the ARM
and CIC and she is currently a candidate for Fellow in Risk
Management.
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6.0 TAKEOVER // PROPERTY PERFORMANCE
TRANSITION & MANAGEMENT PLAN // OPERATIONS & OPPORTUNITIES
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On the day of transition, management will deliver an introductory
letter to each resident’s door at each property and attempt to
personally meet as many residents as possible. This letter would
introduce the new Community Manager, Service Manager and
Laramar as a company.
Laramar will interview all staff members prior to the transition and
determine which associates will be offered continued employment.
Our goal will be to retain as much talent as possible. Once the staff
has been selected, we will immediately begin training programs
focused on the individual’s areas of growth and the objectives of
the property. We will develop a marketing program to maximize
the property’s exposure in the market. In addition, since several
Star Team Members are present in the Denver region, they will be
available to help make the transition a smooth one. Ace Trainers
(Agents for Continued Education) in the field will be recruited to
aid in the takeover process, and help associates become
accustomed to Laramar’s operations and systems.
Consistent Office Set Up and Operation
Troy Fields will be the main contact in the field, and will supervise
and approve all programs at the community. He will be assisted by
the onsite team, as well as the D.C. regional team. Troy’s team will
oversee a detailed file audit and set up all property inventories,
along with inspecting vacant units. Troy will also be responsible for
the property setup and the standardization of the office during the
management conversion.
Once Management Change Has Been Announced
Shannon Kay, Laramar’s Vice President, is responsible for
property transitions and on-boarding processes. As the contact in
the corporate office, she and her team will be responsible for
setting up office systems for the new management team and the
property. She will also coordinate the file audits that will be
conducted at the property to ensure documents are current and
Laramar has everything it needs for a seamless transition.
All contracts and vendors are reviewed within the first week
to ensure pricing is competitive and services are being
delivered to Laramar standards. Shannon will coordinate all
logistics to ensure a smooth transition of the property into
Laramar’s National Operating Platform.
Shannon’s team consists of a group of highly trained
professionals in negotiating contracts, setting up bank
accounts and managing the transition of the properties into
Laramar’s National Operating Platform and systems.
Krista Wilson, Laramar’s Director of Financial Planning and
Analysis, will create all reporting systems for the property. In
addition, she will conduct portfolio analysis, including
budgeting, forecasting and revenue management. She will
work with our Construction team to deliver a working
capital budget within 10 days of on-boarding the properties.
She is assisted by Ken Fine and Chris Tefft, part of
Laramar’s Financial Analysis Team.
An invitation will be sent out for a “meet and greet”
gathering so the residents can meet the new staff, including
the Area Vice President, within the first week. We will stress
Laramar’s open door policy and welcome interactions with
the residents and solicit feedback. We will advertise our
Resident Portal and the convenience of paying rent online.
Monthly functions would be held in order to build a
community atmosphere and also give the residents time to
speak with the Community Manager in a pleasant setting.
We understand the importance of communicating with
residents, and we will ensure that there are established and
effective communication lines with the Tenant Association.
Laramar’s deep history in the marketplace will allow the
residents to review our ratings online and ask questions to
better understand the company and management plan.
By leveraging technology, the onsite team has easy access to
all of the corporate office’s departments who will be
supporting the property at transition through capital
improvements and stabilization.
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Laramar has implemented many innovative programs at properties that we manage. We have a deep knowledge and history in adding value
to multifamily communities through both management transitions as well as major property renovations.
CUSTOMER SERVICE
Laramar customizes a performance plan for each community we manage. For Bishop’s View, Laramar believes that better management,
along with creating higher standards for on-site personnel and a high level of involvement by Laramar support personnel, will work
cohesively and lead to better performance. Our corporate support team with accounting, marketing, training, customer service and IT would
benefit the overall operations for the on-site team when questions or concerns arise.
In addition, Laramar’s customer service focus and high standards will be an integral part of the on-site staff’s training. Our continuous open
door policy, combined with our 24 hour customer service line allows residents to voice concerns and offer suggestions to the management
team. This involves training from the Regional Marketing Manager and the local ACE Trainer, as well as utilizing Kingsley surveys as a key
performance measurement tool. We will focus on resident retention and renewals by using our 12-step renewal program to improve
retention.
RENTS & RENEWALS
Rental increases on renewals would be generated by Yieldstar and reviewed by the Community Manager, Pricing Manager and Area Vice
President on a monthly basis. The increases are approved by the Area Vice President prior to the Community Manager offering renewal
solicitations. A market survey is completed weekly and reviewed by the Community Manager and Area Vice President. All notice rents will
be reviewed and approved by the Community Manager and Area Vice President to ensure maximum rent growth. Yieldstar will be
monitored closely to ensure no drastic fluctuations occur daily with market rentals.
According to the Q4 2014 CoStar report, Cherry Hill’s occupancy rate was 96.9%, compared to the Philadelphia submarket’s average of
95.9%. For December 2014, Bishop’s View averaged 90% occupancy. To increase occupancy, Laramar will have two Leasing Associates
focusing on web presence, follow up and outreach marketing. Weekly sales goals will be set and performance will be monitored by the
Community Manager and Area Vice President. The model units and tour path would be walked daily to ensure both are in pristine
condition.
TURNOVER
Focus will also be put on the turn schedule and time it takes to complete both a regular and rehab apartment turns. Laramar’s standard
turnover time is 7 days, with the majority of turns being competed in 5 days. Apartment rehabs will be turned within 8 to 10 business days.
Laramar’s Mid-Atlantic team has extensive experience and has successfully completed multiple similar projects for TIAA-CREF, such
Owings Park, Park at Winterset, The Crossings at White Marsh and Columbia Commons.
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UTILITIES, CAPITAL PROJECTS, BAD DEBT
There are additional opportunities to increase utility collections and lessen bad debt. More aggressive collection procedures will be put in
place to include multiple calls, knocking on doors and consistent notices placed on doors. Timely court filings would also be closely
monitored. Expenses are monitored not only by the Community Manager and Service Manager, but by the Area Vice President and the
Property Accountant, based out of Laramar’s Denver corporate office. This collaborative effort ensures the budget is followed and expenses
are reviewed on multiple levels and coded correctly. A heavy focus would be put on order management, overtime and proper approval
process for requesting 3rd party contractor assistance.
Capital projects are tracked and monitored on the Capital Project tracker. This is reviewed weekly with the Area Vice President until all
projects for the fiscal year are complete. Large capital projects are managed by Laramar’s Project Manager, Community Manager and Area
Vice President.
OTHER OPPORTUNITIES
Also included in Laramar’s performance plan for Bishop’s View:
• We will assess all units that are currently vacant in the first weeks of management.
• We will assess the current marketing program to determine opportunities for residents to socialize and network, which are key to
resident retention and referrals.
• Our marketing department will revamp the online presence for the property. The property will be added to our website which
includes the ability for prospective residents to apply for an apartment online in real time, current residents can submit service
requests, sign and renew leases online, and communicate with the management team in a timely way. Navigation through the website
is achievable by computer, tablet or smart phone.
• Our Reputation Management Team will focus on the initial reaction to the changes at the property to ensure that both existing and
prospective residents’ needs are being met.
• Our local team will look over service provider contracts to ensure that the best terms are being achieved.
• Implement our National Purchasing Program to obtain the best pricing on products and services.
• Assess and recommend to asset managers ways to reduce operating costs.
• Leverage our portfolio in the Mid-Atlantic market to share best practices and incorporate creativity and originality in all management
endeavors, fostering a dedicated commitment of service from all Laramar associates.
We believe that with our detailed programs and National Operating Platform, we can improve staff and property performance. Our success
as an investment and property management company begins with our people and the technology we deploy at every level of our
organization. This successful combination drives performance and NOI, and delivers exceptional results. We strive to set a standard in
apartment living, and to make each resident’s experience second to none. Every resident can be confident that our on-site and corporate
staffs strive to provide quality and consistent services to each resident in the community.
At the end of the day, this is a people business and we feel that the ultimate success of every investment lies in the people on the ground.
Laramar prides itself on its employees, selected for their experience and creativity, distinguished by professionalism and the ability to offer
exemplary service at every level. The D.C. area team is a shining example of this sentiment – we have many resources and a very deep bench
of highly competent and dedicated associates across all disciplines.
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The Area Vice President’s prior experience managing multiple interior and exterior renovation programs and large scale capital projects is
incredibly beneficial. Below is a list Troy’s current and past properties/portfolios that he managed renovations and large scale capital
projects.
Present/Past Properties Units Projects
Owings Park 2012-present 174 Interior renovations and large scale exterior capital projects
Park at Winterset 2012-present 176 Interior renovations and large scale exterior capital projects
Columbia Commons
2011-2014
200Interior renovations on an as need basis. Scale determined by rent growth. Large exterior
capital projects.
The Crossings at White Marsh
2011-2014
396Interior renovations on an as need basis. Scale determined by rent growth. Large exterior
capital projects.
Gates of Cipriano
2011-present
592
Interior renovations and large scale exterior capital projects.
Woodvale
2011-present
376
Vinyl floor rehab program and large scale interior and exterior capital projects.
Hunting Point 530 Interior renovations and large scale exterior capital projects
Carmel Partners 2008-2011 2,503
Strategized and managed renovations in excess of $25M for 18 assets which included the
total repositioning of 2 assets by completely moving all residents and completing
renovation lease up.
Bainbridge 2007-2008 3,237 Strategized and managed renovations of ten assets in excess of 23M.
Archstone Smith 2001-2007 3,200 Strategized and managed renovations of six assets in excess of $15M.
Total 11,384
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MARKET OVERVIEW // MARKETING & ADVERTISING // MARKETING PLAN DEVELOPMENT //
MARKETING RECOMMENDATIONS // ANALYSIS
MARKETING OPERATING
PLATFORM
At Laramar, we understand that good marketing can drive traffic.
Great marketing can connect customers with a brand and drive
revenue growth. Laramar’s Marketing Department strives to
position and brand our communities with an established identity
that is recognizable, memorable and one that resonates with the
target demographic. Our team’s focus is to constantly be thinking
outside the box for innovative and effective methods to maximize
NOI, drive rents and ensure marketing dollars are spent in the
most efficient way.
We also believe in telling a great story. To tell a story about our
properties, Laramar’s marketing team conducts an in-depth review
of the market, submarket and surrounding neighborhood. We love
to create a narrative of what makes each property unique including
local landmarks, trendy area restaurants, major employers and
transportation avenues. This research is channeled into creating a
specific resident profile for the community that details the target
demographic, including age ranges, marital and economic status, as
well as education levels. Community names and branding concepts
are developed to engage and attract the target demographic. Once
marketing programs are launched, the progress of each initiative is
tracked to gauge its success. These customized marketing
programs are constantly evaluated and updated, allowing Laramar
to focus marketing dollars on the campaigns that have the highest
success.
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Furthermore, Laramar’s Marketing Department identifies key
strategic partnerships and marketing opportunities based upon our
assessments of the community. With a national presence, Laramar
understands that no two neighborhoods are alike. Therefore, we
strive to custom tailor our marketing efforts so they are relevant to
each unique neighborhood. We evaluate each market to determine
opportunities for our marketing efforts – we partner with local
charities and organizations, stores and restaurants to set monthly
or quarterly events where residents can further develop their
relationship with the city and the community in which they live.
Laramar’s Marketing Department leverages technology at every
opportunity. Our technology allows us to increase efficiency,
improve operations, minimize cost and maximize financial results.
Our award winning, leading-edge use of technology exists in every
program and at every level of the company. We work to educate
our associates and residents on new technological advances, and
incorporate these advances into all of our new and re-developed
properties. We believe these key elements work to increase
resident satisfaction and retention.
CHERRY HILL, NJ // SUBMARKET OVERVIEW
Cherry Hill’s central location is a major strength of this market in the Philadelphia metro area. It’s a natural choice for commuters, although
prominent businesses such as TD Bank and Pinnacle Foods call Cherry Hill home. Accessibility is key to this submarket’s popularity, and
has contributed to its commuter culture. Residents of Cherry Hill are connected to Philadelphia in a variety of ways, via bridges, I-295 and
the New Jersey Turnpike and the PATCO Speedline.
Cherry Hill provides a “just right” atmosphere for those wanting a live, work and play environment, but also one that offers a more
affordable living environment than Philadelphia, where Center City and the Art Museum/Northern Liberties neighborhoods command the
most expensive rents in the city. Cherry Hill is not only attracting residents, but also landlords, as the neighborhood is affluent and boasts
easy transportation routes to Philadelphia and the rest of New Jersey. In addition, Cherry Hill is the second largest employer and offers more
than 55,000 jobs in the Camden County area. The submarket continues to be South Jersey’s economic center. Known as the “Eds and
Meds” sector, employment in the area is home to Cooper University Hospital, Subaru America, Rutgers, Campbell Soup, Kennedy Health
System, among others within Cherry Hill and the outlying Camden County area. Within 10 miles, Philadelphia is a vast resource of
employment with Jefferson Health, Temple University, Comcast and UPS leading the way with more than 50,000 employees alone.
The outlook for Cherry Hill is promising and remains strong, with occupancy rate was 96.9%, compared to the Philadelphia submarket’s
average of 95.9%. Rent growth is forecasted at 2.0% or higher. More new construction is slated for Philadelphia, which could mean higher
interest in Cherry Hill from renters. The metro’s stability should work to its advantage, and investor interest in Cherry Hill will be
heightened in the coming years.
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RESIDENT PROFILE
The resident profile for Bishop’s View includes will include professionals, both male and female, between the ages of 30-50. The
majority of this demographic earns between $50,000-$90,000 a year, however the Executive Suites earns between $100,000-
$150,000. This profile is comprised of primarily single and married residents in households, both with or without children. For the
most part, they are white collar professionals drawn to apartments within an easy commute to downtown jobs, restaurants and
entertainment.
This profile is comprised of three main groups:
• Executive Suites
• Comprised mainly of people aged 30-45 years old
• Disposable income for trendy fashion, jet setting, technology and the finer things in life; location is everything.
• Owns a car that further defines who they are. They prefer to drive themselves over public transportation
• In-home entertaining is a regular occurrence and often utilize common spaces to wine and dine friends
• Investing in Cherry Hill for their future families, but not yet ready to own a home
• Home Sweet Home
• This group (40-50 years old) is well-established in their career with a disposable income for everyday luxuries and
technology items. They have fashioned comfortable lifestyles, filling their homes with exercise equipment, TV sets,
and pets.
• Their apartment is their home and often their office so space flow and connectivity is essential.
• Comprised of married couples without children, with upper-middle class incomes.
• Movers and Shakers
• 45-64 years old, and part of a wealthy suburban world of dual-income couples
• Highly educated
• Many own a small business and have a home office
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Lifestyle Characteristics of All Groups
• Order from barnesandnoble.com; shop at Nordstrom and Saks Fifth Avenue
• Play golf and tennis
• Prefer to furnish their homes with Room & Board and Design within Reach
• Watch Saturday Night Live and NHL games
• Drive BMW X6 or a Mazda CX-7 or a Land Rover
• Drink coffee from Starbucks
• Shop at Whole Foods
• Technology: MacBook, iPhone/Droid, iPad, iPod, GoPro
• Ultra tech- savvy
• Appreciate work/life balance
• Are loyal to brands that enhance their lives
Although much of this demographic is without children, for the Executive Suites group, they want to make an early investment in
Cherry Hill, and take advantage of the area’s school system. The Cherry Hill public schools are among the top rated for the metro,
far outranking the public school system in Philadelphia.
For some of this demographic, it’s not unusual for couples to live in Cherry Hill but commute to downtown Philadelphia for work.
With the location of Bishop’s View, the commute is easy, just across the Ben Franklin bridge. Another common scenario in this
demographic is that an individual may work in downtown Philadelphia while their partner works in Cherry Hill. Bishop’s View close
proximity to major healthcare and educations employers, as well as financial institutions, is an appealing aspect to local business
professionals.
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Applications can be submitted online and are integrated with our
Resident Screening provider and Yardi. Prospective residents
receive immediate results on their approval status. Once approved,
they are able to review and sign their lease electronically with
Manager approval. They are then e-mailed a PDF version. E-leases
are stored on both the Property Solutions and Laramar servers to
ensure copies of the document are available if needed.
RESIDENT PORTAL
The Resident Portal allows for online rent payments via ACH or
credit cards and submission and tracking of service requests.
Leasing Associates can add, review and edit resident information
for the online account. The Portal allows for residents to send
emails to staff, create work orders, submit reviews, place classified
ads and add social groups. Prospective residents can request
information via Live Chat functionality or submit an online guest
card for more information. For prospects trying to get a feel for
their new neighborhood, we offer interactive maps which allow
them to see proximity to local conveniences through walk, bike
and transit scores. Prospects can print an electronic brochure,
confirm pet policies and check reviews.
iPADS
To meet the demands of the increasingly sophisticated renter,
Laramar uses iPads with Site Tablet capability to provide a virtual
leasing desk from any location. This provides immediate access for
customers, and also provides a fast and efficient way to spend time
viewing the features and amenities of the community. iPads allow
leasing professionals to create a more personal, interactive and fun
experience. Consultants can check availability, pricing and assist
applicants with applying online from the Wi-Fi café or throughout
the tour instead of sitting at a traditional leasing desk.
INTERACTIVE WEBSITE
Laramar designs, builds and executes custom landing pages and
websites. We incorporate advanced technology into our
programming to ensure that the website is specially designed for
the community. We understand that each property is unique, and
we apply that knowledge to our management and marketing. This
focused approach differentiates us from our competitors. Laramar
works with several website vendors, in addition to our website
partners Property Solutions and Blue Moon. These partnerships
allow us to offer a fully integrated, online leasing experience.
Since 88% of Millennials use mobile devices as their primary search
tool, Laramar captures this demographic by creating a responsive
website design that offers seamless navigation from desktops,
tablets or smart phones. Our expertise helps us create a website
that contains a focused, personal connection with the desires of
our core audience. Our website provides the ability to search for
that perfect apartment home by price, floor plan or square footage.
With state of the art technology such as 3D animation, prospective
residents can go from tour to lease execution all from their mobile
device.
PROPERTY SOLUTIONS
Leads are tracked and managed through Property Solution’s site
facing software, Prospect Portal. The leasing team is able to view
and manage their leads or scheduled follow up for the day upon
logging into the system. Associates can send e-mails about a special
incentive, available unit type, or provide opening status updates to
a group of prospects which is helpful during the lease up as the
lead database is generated prior to opening.
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BISHOP’S VIEW // MARKETING RECOMMENDATIONS
Laramar’s Property Marketing team is responsible for on-the-
ground implementation of national and local marketing programs
at each community. This includes search engine marketing, online
and traditional advertising, brand messaging and development,
social media and outreach. The group also manages the
development and creation of design briefs, brand messaging and
identify development, collateral materials, community websites and
marketing action plans to drive more than your fair share of
qualified traffic to your community.
Laramar integrates both online and offline marketing strategies to
generate optimal awareness, drive demand for the community and
convert leases. A unique brand identity will be created for Verve to
help communicate the key advantages of living at the property and
the lifestyle that will be experienced as a resident.
ONLINE PRESENCE
Observations: The online presence is considered moderate.
• A Google search for “Apartments in Cherry Hill” yielded only 1
paid result that was not linked to an advertiser such as
Apartments.com or The Apartment Guide. The community was
found 7th on the list.
• A secondary search for ‘Apartments in Camden County” did
not display the community on any of the initial 5 pages of
results. A search for “Renovated Apartments” was the best
search as the community was 3rd in results.
• The ILS ads in place are effective but often place the property
after the top five in search results. Apartment Guide displayed
the community in the 9th position while Rent.com yielded the
8th position.
Opportunities: The following opportunities have been identified to
increase online efficiencies:
• Although the community can be found with an organic search, a
SEO campaign to take advantage of multiple keywords will
generate better results for Bishop’s View. Including words like
‘Camden County, Camden School District, Outside
Philadelphia, Renovated Camden, etc., will, collectively drive
results much higher on the search page.
• Additionally, a PPC campaign would be recommended
initially on a monthly basis. This will allow a continued ad
presence for the community during future searches for
other products and services. These banner ads connect
directly with the website and can be a valuable source of
follow up.
• It is suggested that a traffic analysis of all ILS ads be
conducted to show current results. Should there be success
in the largest advertisers such as Rent.com and
Apartments.com, then a modified contract to showcase the
community in the first 3 results should be implemented. If
products like Realtor.com, Zillow, Apartment Guide,
Apartment Finder are not performing enough to justify the
expense, they may be evaluated again after the SEO
program is initiated. The results could increase or remain
flat. At that point, these ILS sources could be eliminated if
underperforming.
• A product called Chatmeter would be put in place to
provide web presence analytics and reputation
management. It is a tracking dashboard that shows all ads,
social media, Google, Bing and Yahoo presence all in one
place.
• Craigslist is still highly effective in the marketplace as a free
advertising source. A search for the community did show a
handful of ads among many other competitors. The ad
results were primarily floor plan images. There were no
visible connections to the community name and the
placement of contact information was not strong.
• There are several resources that post templates with
property images, contact info and community name
placed more prominently. It would be encouraged
to shift to PSI or Lease Star.
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PROPERTY WEBSITE
Observations: The Property Web Page seems functional and
interactive. The links to the side offer great resources for social
activity, restaurants, schools, shopping, etc.
• However, photos listed on the front page do not represent the
community. There is a 5 image layout where only one photo is
an interior.
• Additional photos of the community can be found but only as a
tiny link on the bottom of the page or after clicking the “Get
Started” tab.
• The unit pricing is likely through a pricing engine such as
Yieldstar since nothing is displayed outside of a prompt to call
or complete a guest card for rates.
• There is a nicely produced video tour that captures photos of
interiors not listed in the photo gallery.
Opportunities:
• Imagery is key to the consumer for staying on a web page. It is
recommended that multiple photos be uploaded to both the
landing page and the image gallery. A photo tab should be
included on the home page as well.
• Pricing should be integrated with Property Solutions. Even with
a pricing engine, unit selection and available dates will generate
rates. Additionally, a unit description including price ranges
should be added to the pages.
• Although Social Media links are on the home page, larger icons
and focus to these links should be emphasized. The FAQ page
is not necessary and is currently too vague when this page can
focus on the renovations, latest news, current incentives, etc.
• Through PSI integration, the entire process of inquiry,
application, lease execution, payment, service request and
office team communication can be handled on line and
electronically. These benefits would be showcased on the
webpage in an easy to understand format that focuses on
convenience.
• Additional resources for the community residents such as
social groups, classified ads and reviews are recommended
for the webpage.
Recommendations: Laramar recommends changes to the website
focusing on imagery, convenience to the prospect and resident and
interactive flexibility through PSI integration. A photography
campaign to highlight common areas, renovation, amenities and
multiple unit interior images is encouraged. Advertising will be
enhanced through the use of both a SEO and PPC campaign while
adjusting all ILS ads, internal Craigslist ads and Social Media
presence. Reputation management is handled through the
Chatmeter dashboard to ensure immediate attention to conflicting
ad data, resident issues, customer relationships and opportunities
to increase web presence.
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ANTICIPATED RENTAL RATES
Our pricing strategy is to be competitively priced within our
market, which will result in higher traffic volumes, more leases and
reduced exposure. In the first weeks after takeover, Laramar will
create a pricing matrix. Each individual apartment will be assessed
and additional premiums will be added based on rehab, views, floor
level, windows and any additional unique characteristics of the unit.
Based on the current market survey, there is an opportunity to
push rents at Bishop’s View. All competitors combined have an
average price per square foot of $1.54, with Bishop’s View
averaging $1.51. The competitive average effective rents are
averaging $1,571, with Bishops View averaging $1,464. With the
interior renovations, amenities and general curb appeal, Laramar
anticipates Bishop’s View to perform in the upper tier of the
immediate competition.
Pricing and specials are discussed every Monday, Wednesday and
Friday on a weekly basis between the Area Vice President and the
Community Manager. The Area Vice President will visit the asset
weekly to check curb appeal and show unit condition.
The market survey will be updated weekly. We will not only call the
community and asking for pricing; we will be checking
craigslist.com, cold calling and posing as prospective residents in
order to get the most accurate market information.
We anticipate occasionally offering one time up front concessions
during the “slow season”, rather than offering deep amortized
concessions. Waived application fees and reduced amenity fees are
the preferable concession in lieu of an upfront rent concession.
Renewal offerings are sent seventy five days in advance. Current
lease agreements are required to give a sixty day written notice in
order to vacate, while month-to-month residents are required to
give a thirty day notice to vacate. Callbacks and follow up along
with monthly renewal parties will be done to solicit renewal
signings.
Please refer to the Market Survey for a comprehensive listing of competitive properties, and current rental rates for Bishop’s View.
TURNOVER COSTS
The expected average costs for turnover cost are as follows:
• Paint - $350
• Clean - $125
• Floor Sand Refinish - $350
• Carpet Steam - $125
• Tub Reglaze - $150
• Tub and Surround Reglaze - $300
Not all items listed would be needed on each apartment. The stated rates are
averages.
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MARKETING METRICS
The use of dynamic number insertion and guest card parsing work
to show the origin of a lead and most effectively track the
effectiveness of marketing dollars being spent. Laramar leverages
technology by utilizing the most effective internet listing sites. We
also use Google analytics to analyze our pay per click campaigns
and track the number of visits prospects make to each website we
are listed on. This helps us better understand which websites give
us the most exposure, and therefore are the most effective at
reaching qualified prospects.
Property Solutions also allows us to effectively and efficiently track
our marketing sources, as well as track individual property and
leasing agent performance. Lead Conversion, Property
Performance, Leasing Agent Performance and Calls Conversion
Reports help us to see how effectively each property follows up
with leads by measuring the rate of outgoing emails and the
conversion rates of phone calls to appointments. These detailed
reports help Laramar better understand each property and
associate’s performance in their markets, and allows us to create a
customized plan that will ensure each community’s success.
RESIDENT RETENTION PROGRAMSEvaluating Marketing Performance // Resident Satisfaction Survey
An avenue Laramar uses to measure both sales and customer
service performance is through resident surveys with J. Turner
Research. Quick pulse surveys are requested on a weekly basis
using an automatic CSV feed from prospects who visit the
community. Questions about their experience at the community,
perceived value of the product offered and inquiries on their final
apartment home selection provide immediate feedback and
identify changes in the market trends or competitive set. Resident
surveys are then conducted twice a year to assist with measuring
and ensuring superior customer satisfaction levels.
We value transparency, and we find that regular communication
with residents is the best way to gauge satisfaction, increase
resident retention and attract new residents. Many of the marketing
programs that we will implement during lease up will continue
after stabilization. Laramar makes an effort to create a community
at each property that we manage, and for Bishop’s View, some of
the resident retention programs we would implement are:
• “Yappy” hours where pet owners can interact socially and
bring their pets
• Bike team and running club for residents
• Feature “Nights Out” for residents at local bars, music
venues and local theatres
• Monthly appreciation events that are sponsored by the on-
site staff for residents. These can be happy hours or
Saturday breakfasts, but it’s an opportunity for the staff and
the residents to interact
• Organize sports viewing parties or barbeques for residents
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Plan, Allocate, Measure & Manage
Laramar realizes that data is right, every time. It has neither
an opinion nor an agenda, and we have learned how to
empower it to make us successful. Laramar leverages
technology to maximize our marketing analytics, and we
understand how
to collect, analyze and interpret data to realize which assets
are performing the
best, and which areas of our business need improvement.
Simply put, we employ
a combination of data, systems, software and people to
impact net operating income. This sophisticated approach is
applied using the following principles: Plan, Allocate,
Measure and Manage.
Marketing Plans
Defined Goals and Objectives: We develop detailed
marketing plans with very specific goals to monitor progress
towards revenue objectives. As part of the goal setting
process, we define lease up targets, traffic requirements,
conversion assumptions, cost per lead and cost per lease.
Localized and Optimized Marketing: Laramar
understands the importance of customizing our marketing
tactics for each asset. Therefore, Laramar specifies
“localized” marketing tactics and customizes them for each
property based on market, neighborhood, asset type and
target customer to ensure the best results. For example,
National ILS performance can vary from market to market.
Apartments.com can be strong in major markets while
ApartmentFinder.com can produce a better return is smaller
metros. In addition, there are regional listing sites that
typically generate more qualified leads than the national sites.
We leverage aggregate performance statistics across our
entire managed portfolio and apply that knowledge to new
assets.
Proactively Allocating Marketing Budget
Right-Timed Lead Generation: We review lease expiration
profiles, occupancy trends and 60-day exposure reports to proactively
increase (or decrease) marketing activity to meet the demand for
leases. This proactive approach helps to minimize occupancy changes
and maximize rent revenue.
Test, Cull and Reinvest: Laramar knows that being nimble is
critical to effective marketing. We apply a disciplined approach to
measuring our results and go through a regular exercise of cutting our
least effective marketing sources to reinvest in more effective tactics.
We test new, unproven channels, but the “Cull and Reinvest”
approach allows us to minimize non-effective marketing dollars and
focus on the marketing dollars that maximize traffic.
Measuring Performance
Dynamic Lead Tracking: The use of dynamic number insertion
and guest card parsing work to show the origin of a lead and most
effectively track the effectiveness of marketing dollars being spent.
Google Analytics: Measuring lead traffic to the Laramar website is
critical to understanding which marketing partners and lead
generation channels are performing. Google Analytics is not just a
tool for measuring website hits and page impressions – we track
macro conversion events on the website, such as email form
completions, as well as micro conversion events, such as map views,
floor plan views and email form abandons. These micro events
happen with much higher frequency and are typically more indicative
of a qualified prospective customer.
Managing Leads
Property and Leasing Agent Performance: The Property Solutions
platform allows us to track individual property and leasing agent
performance. Lead Conversion, Property Performance, Leasing
Agent
Performance and Calls Conversion Reports give us the tools to
ensure leads are being worked and leasing velocity is optimized.
Triggered Email Campaigns: E-mail is a powerful tool to keeping
prospective renters engaged and the apartment community “top of
mind” during the research phase.
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REPUTATION MANAGEMENT
Reputation Management is an important aspect in developing the
community brand. Laramar encourages feedback from our
customers to sites such as apartmentratings.com and Yelp! In a
2011 online survey which included Laramar residents, 57.9% of 25-
34 year olds indicated their decision on where to rent was
influenced by ratings and review websites. Not only do these
postings improve organic SEO, they offer an opportunity to
monitor our performance levels and quickly identify and resolve
customer service concerns.
Laramar centrally monitors feedback from apartmentratings.com,
Yelp! and our company website to assist on-site teams with
performance trends and customer responses. We respond to all
compliments and suggestions so customers know that their voice is
being heard.
Marketing campaigns to request feedback from prospective and
current residents are in place for all communities. A recent
Satisfacts study about the online habits of prospective residents
showed that 67% were not aware their community had a social
channel. To promote our social presence, we solicit feedback from
potential and existing customers. Printed cards are given following
a community tour asking prospects if they “Liked” what we are
doing or how we are doing it, to please provide their feedback on
Yelp or Apartment Ratings.com. When residents log in to their
resident portal on the website, reminders appear to request a
review of the community. Residents are also provided with
reminders and opportunities to submit reviews in amenity spaces
such as business centers, resident lounge or Wi-Fi café.
SOPHISTICATED REPORTING
SYSTEMS
Laramar utilizes extensive and detailed reporting systems to help us
maximize our management capabilities and ensure the success of
each property we are involved in. Laramar provides clients with a
full reporting package including real time information through
MRI and Yardi, weekly reports and a comprehensive monthly
reporting package including all financial statements and narrative
owner's report. Weekly reports include occupancy, traffic, leasing,
closing ratios and projected exposure. The monthly reporting
package includes comprehensive "Ranking Reports" to track a
wide range of metrics, which are measured across the portfolio to
quickly identify outliers and opportunities for improvement. The
monthly reporting package is distributed to our clients
electronically.
These reports are analyzed by our Operations teams and are used
to benchmark our success nationwide. Included in these reports
are an Expense Matrix showing all expenses year to date, a Budget
Comparison Year to Date report, as well as a Key Performance
Indicator (KPI) report. The KPI report provides “at-a-glance”
reporting for all Laramar properties nationwide. These KPI reports
offer an additional layer of tracking property activities. This report
looks at each community individually, and provides detailed
information on resident activity, revenue and expense management
per unit, as well as detailed financial reporting.
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8.0 PRICING & CLIENT REFERENCES
OUR ALL-INCLUSIVE, SERVICE FEES PHILOSOPHY // CLIENT REFERENCES
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At Laramar, we believe that fees should be simple and all-inclusive. Laramar does not believe in the common practice of charging
separate fees for various corporate charges such as accounting fees, audit fees, corporate level software fees, regional or corporate
travel, etc. Laramar’s philosophy is to draw a clear line between site level expenses and corporate expenses, and not charge back any
expenses that aren’t clearly property level.
MANAGEMENT FEES
The proposed property management fee for these assignments is 3% of gross revenue collected monthly.
CONSTRUCTION MANAGEMENT FEES
Should you elect to use Laramar’s construction services, we propose a construction management fee of 5% for all construction-
related services on the project.
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REFERENCES
The services rendered for the clients below include property
management, construction management and lease up of new
projects. Additional references are available upon request.
COVINGTON REALTY PARTNERS
Marc Goldstein
CEO
Phone: 312.879.7538
Email: [email protected]
Current Projects Under Management
Vanguard Crossing, 206 units, St. Louis, MO
Vanguard Waterfront Square, 194 units, Boston, MA
EDGE PRINCIPAL ADVISORS
Matthew Ross
Asset Manager
Phone: 212.547.2811
Email: [email protected]
Current Projects Under Management
The Retreat at Danada Farms, 295 units, Chicago, IL
HARBOR BAY REAL ESTATE ADVISORS
Tom Lund
Co-Founder – Principal
Phone: 612.867.7654
Email: [email protected]
Current Projects Under Management
The Nic on Fifth, 253 units, Minneapolis, MN*
Latitude 45, 319 units, Minneapolis, MN
*Currently in Lease Up
PRUDENTIAL
Tom Smith
Asset Manager
Phone: 770.395.8655
Email: [email protected]
Current Projects Under Management
Loring Park, 163 units, Minneapolis, MN
Left Bank at K Station, 451 units, Chicago, IL*
The Fillmore Center, 1,114 units, San Francisco, CA*
*Lease Up and Stabilization
BISHOP’S VIEW//
MANAGEMENT SERVICES PRESENTATION