Takeaways from NAA Apartmentalize: AI and Mixed Portfolios are Top-of-Mind for Property Managers

NAA Apartmentalize has become one of my favorite moments of the year, and it all comes down to the energy and enthusiasm I walk away with after spending three days connecting with colleagues, customers and industry experts.

This year’s conference in Philadelphia was no exception. It was a complete whirlwind, between the more than 11,000 attendees and AppFolio’s bigger-than-ever presence at the show. I had the chance to chat with some of the most visionary people I know during two panel sessions:

📖 The first was “Your AI Constitution: Drafting a Cohesive Top-Down Strategy,” where I was joined by James Scott, Brian Bellew and Matthew Baird to discuss the state of AI and how businesses are using it to democratize data and smash silos. 

📊 The second, “From Data to Decision: Are Your Resident KPIs Actionable or Irrelevant?,” led to a spirited conversation with Lia Nichole Smith and Tammy Longo about creating measurable, flexible KPIs to fuel both organizational decision-making and resident experience.

Key Takeaways from Apartmentalize

Now that the dust has settled and I’ve had time to reflect, I’ve landed on two major takeaways from the conference: 

1️⃣ The first is —no surprise— AI, which was again on the tip of everyone’s tongue this year as the multifamily industry has started to not only deploy new AI tools but also reap operational benefits. 

2️⃣ The second is portfolio diversification, which is now top-of-mind for property managers in a fluctuating rental market.

Although both very different, it strikes me now that each serves similar goals: building resilience and maximizing opportunities. What’s more, they both rely on having one powerful technology platform in place.

On the heels of my recent conversations, I’ll share a bit more on both areas – and explain what it all means for property managers.

Turning AI Use Cases Into Tangible Business Benefits

AI has gone from promise to pay-off for many property managers. 

🔎 AppFolio’s research found that many property managers have already begun to incorporate new AI tools into their workflows to transform productivity and unlock more holistic benefits across the business. 

✉️ Communications has been the top use case for AI in property management, while operators are also identifying key trends and patterns via data analysis to inform critical business decisions.

What became clear throughout Apartmentalize is that these use cases are only the beginning. We’ve taken a huge step forward in offering intelligent, real-time assistance with AppFolio Realm-X, our embedded generative AI, and the new solutions launched at the conference. 

These generative AI tools are revolutionizing property management by automating tasks, streamlining communication, and enhancing operational efficiency. Not only do they optimize daily operations, they also empower property managers to focus more on strategic initiatives, driving overall business growth. 

🏁 This presents property managers with a significant opportunity to leverage technology and ultimately achieve higher productivity and superior service. 

How Technology is Unlocking Portfolio Diversification

📈 The exciting new benefits offered by AI come at a time of market fluctuation for the real estate industry. Market trends continue to shift, sometimes at warp speed, making flexibility a priority.

 In order to mitigate risk and navigate sustainable growth, many multifamily owners and operators alike are looking to portfolio diversification.

👉 For example, as the on-campus student housing shortage fuels record-high demand for off-campus housing options, many operators are flipping a subset of conventional units or even entire properties to student housing. But without the right software, they’re stuck toggling between disparate platforms to manage conventional, student, and affordable housing units.

To put this problem in perspective: an NMHC report found that multifamily operators often utilize 10-20 different solution providers at once, which results in complexity, integration issues and inconsistencies.

There was plenty of conversation about this at Apartmentalize, especially in light of the new innovations we announced for large property management operations with complex portfolios.

🏘️ These flexible tools support portfolio diversification by allowing property managers to operate multiple property types within a single platform and providing a comprehensive, real-time view of leasing performance. Using one platform to manage conventional, student and affordable units cuts down on inefficiencies and enables operators to move at the pace of the market. 

How Proptech Innovation Enables Both Strategies

🧭 It’s clear that property managers have a lot to navigate— but the enthusiasm and optimism that characterized Apartmentalize was truly contagious. 

There’s no doubt in my mind that our industry will rise to the occasion and take advantage of all the opportunities presented by AI innovation and portfolio diversification. The right software platform is crucial for both goals. By using one powerful platform, property managers can benefit from sharper business intelligence and more efficient workflows that carry across a diversified portfolio.

What are your thoughts on these takeaways from Apartmentalize 2024? Let me know in the comments below!