on-site (seattle) rental housing journal - july 2014

Rental Housing Journal On-Site

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July 2014 - Vol. 8 Issue 7

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3. 5 Keys to Developing Personal Power

9. “I Just Do Maintenance”

10. Shoptalk

14. WMFHA - Keys to Exceptional Service

16. How Entrepreneurs Can Increase Profit with a Hands-Off Approach

17. Making Rent Collection Easier

18. Te Coach – Can Your Rental Center Walls…Sell?

19. Dear Maintenance Men:

22. Being a “Remarkable” Property Manager

24. 3 Tips for Practicing Mindfulnessin a Multitasking Workplace

25. Knowing the Limits on Collection Practices for Property Managers

26. Responding to Maintenance Emergencies

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Market OverviewSeattle, Washington

Rents Up 4.1%; Vacancy Rate Drops to 4.17%.

Seattle - The quarterly Apart-ment Insights survey shows rents up 4.1% and the vacancy

rate dropping to 4.17%, according to Tom Cain of Apartment Insights. The data are from his Seattle firm’s 2nd quarter statistics and trends on 50+ unit properties in the King/Snohom-ish market. VACANCY: 4.17%

The vacancy rate for our nonran-dom survey of conventional, sta-bilized 50+ unit properties in the King/Snohomish market is 4.17%. This is the lowest vacancy rate since we began surveying this market 9 years ago. It was 4.38% last quarter and 4.41% a year ago.

The overall vacancy rate which includes properties in lease-up in-creased from 6.24% to 6.35%. King has a vacancy rate of 4.19% and Sno-homish County is at 4.08%. The great-est demand for apartments based on property class is for the least expen-

sive units in the C class properties. The have a vacancy rate of 3.69%.

Seattle's U District has the low-est vacancy rate at 2.48%. There are three other submarkets under 3%,

and all are in Snohomish County: Mountlake Terrace, Edmonds and Everett Central.

The Eastside South submarket

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Continued on page 3

Continued on page 0

Payroll Job SummaryTotal Payrolls 1,515.4m

Annual Change 39.8m(2.7%)

2014 Forecast 33.9m

2015 Forecast 26.9m

2016 Forecast 31.1m

2017 Forecast 28.9m

Unemployment 4.8% (May)

1Q14 Payroll Trends and ForecastPayroll job formation continued

at a brisk pace over the winter as Se-attle employers hired at a 39,800-job, 2.7% year--on-year rate, in line with 4Q13 results. The skilled services in-dustries were the prime movers as business, education and health care services establishments hired at a combined 16,100-job, 3.9% annual rate, up from a 13,600-job pace in the prior quarter. Results were inhibited to some degree by weakness in the aerospace sector, where attrition of -3,300 jobs were recorded over the trailing 12 months, representing the first annual net decline observed in this critical industry since 3Q10.

Seasonally-adjusted data also were constructive. This series indi-cates that establishments created a

continued on page 12

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By: Lynda Chervil

Personal power is a core leader-ship competency that every-one needs to develop before

they can lead others. It has to do with being able to lead yourself.

"Personal power is the ability to achieve what you want,” according to Frederick Mann, a successful en-trepreneur and author of The Eco-nomic Rape of America. “More than anything else, it is personal power that brings you success and happi-ness. The biggest barrier to success in almost any endeavor is powerless-ness, negativity, helplessness, and inertia. They belong together. The problem is not only our own power-lessness, but also the powerlessness of those around us."

We can help harness and learn to use our personal power by under-standing and working on our Emo-tional Intelligence (EI) skills.

Not long ago, when I worked in a corporate environment, there was a strong push to incorporate EI into the organization's leadership train-ing curriculum as an array of skills and characteristics that drive leader-ship performance.

EI is "the ability to monitor one's own and others' feelings and emo-tions, to discriminate among them and to use this information to guide one's thinking and actions," accord-ing to psychologists John D. Mayer and Peter Salovey, who co-devel-oped the concept and were two of the three authors of the Emotional Intel-ligence Test.

My EI training and its practical applications to my work team envi-ronment still resonate in my personal life. They became skills that I now methodically apply to current situa-tions in both personal and entrepre-neurial pursuits.

There are several EI models, but the one to which I ascribe is the mixed model introduced by Daniel Goldman, a combination of ability and traits. Here are Goldman’s five main EI constructs, and my views on how each of us can develop them:

1. Self-awareness: the ability to know one's emotions, strengths, weaknesses, drives, values and goals and recognize their impact on others while using gut feelings to guide decisions.

5 Keys to Developing Personal PowerWorking on Emotional Intelligence Skills Can Open the Door to Achievement

Continued on page 5



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In order to become self-aware, you need to conduct an honest self-as-sessment to determine your strengths and weaknesses, such as powerless-ness and inertia, and determine the root causes. You then need to create a plan that will help you overcome your fears, which are barriers to courage and stand between you and your successes.

While I am a big proponent of us-ing my intuition to guide my deci-sions, whenever it is appropriate, I need to caution that unless your gut feelings are often more right than wrong, you cannot make decisions solely based upon intuition. You need to use a balanced combination of intuition and logic.

2. Self-regulation: involves con-trolling or redirecting one's disrup-tive emotions and impulses and

adapting to changing circumstanc-es.

Simply put, you need to exercise self-discipline and know how to control your emotions and be flex-ible in order to adapt to changing situations. You cannot continue on the same trajectory or keep the same plans when the circumstances or facts have changed. Your plans need to be modified accordingly.

3. Social skills: managing rela-tionships to move people in the de-sired direction.

Your social skills refer to your in-terpersonal skills or your ability to re-late and connect with people, which can motivate them to deploy discre-tionary efforts to help you achieve goals that are best accomplished via partnership and collaboration.

Here are some tips for improving

5 Keys..continued from page 3

Continued on page 6



5 Keys..continued from page 4

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your social skills:a. Pay attention to the feedback of

friends and co-workers, good and bad. Train yourself to repeat the behaviors that get positive feedback and work on eliminat-ing those that make people react negatively.

b. View constructive criticism as just that. When we become defensive, we don’t hear what can be very helpful feedback.

c. Learn to handle conflict and con-frontation from a perspective of compassion and caring. Personal coaching can be very

helpful in learning to be more diplo-matic in your interactions with oth-ers.

4. Empathy - considering other people's feelings, especially when making decisions.

Some people believe empathy cannot be learned, but I believe just the opposite. Put yourself in the oth-er person’s shoes and try to see situ-ations from their perspective. Might they be feeling fear? Shame? Guilt? How do those emotions make you feel? Understanding and addressing the concerns of others is essential to EI.

Always consider intent versus im-pact, and how your actions or deci-sions may affect the individuals or groups involved.

5. Motivation - being driven to achieve for the sake of achievement.

Simply put, what motivates you? What are your benchmarks for suc-cess? Once you achieve certain levels of success, you need to consistently set new benchmarks to keep chasing personal excellence!

Practice your EI skills on your-self first, and you’ll develop greater personal power. That can lead to achievements you may never have dreamed possible.

About Lynda ChervilLynda Chervil is the author of

“Fool’s Return,” http://lyndachervil.com/, a new novel that incorporates

valuable life lessons in a page-turning tale that touches on technology, the green movement, and other aspects

of contemporary society. She gradu-ated from New York University with a master’s degree in Integrated Market-

ing Communications and has extensive experience in consumer and commercial

banking and has held positions in new business development, sales manage-

ment and executive leadership. Chervil seeks to push the limits of established

understanding by exploring alternative forms of spiritual healing, and, through

creative writing, to expand the narra-tive of cutting-edge energy technology

to promote sustainability.



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with a vacancy rate of 8.83% contin-ues to be the weakest area. This sub-market has seen almost no new con-struction in the past five years. Here the high vacancy rate is due to the departure of several major employ-ers.

Ballard is a close runner-up at 8.6%, which is up nearly 200 basis points from the first quarter. Includ-ing properties in lease-up, Ballard's vacancy rate is 18.25%. In the 50+ unit market we survey, the inventory in Ballard has more than doubled in the past six years. When the units un-der construction are completed it will have quadrupled! In 2011 we warned our subscribers of the potential risk of overbuilding in this submarket.

There is a consistent pattern among different grades of proper-ties: the lowest vacancies are in the least expensive apartments. Class C properties rent for an average of $908 and have a 3.71% vacancy rate; Class B properties get $1,286 per unit with a 4.15% vacancy rate; and Class A properties command $1,857, but have a 5.02% vacancy rate.RENTAL INCENTIVES: $9 (0.7%)

Rental incentives plunged from $15 to $9 per month. In the two-coun-ty area 20.9% of the properties are of-fering incentives, down from 25.2% last quarter. ABSORPTION: +2,214 Units

There were +2,214 units absorbed this quarter, up from +1,604 units last

quarter. The Downtown Seattle sub-market (including South Lake Union and Belltown) had the highest ab-sorption at 325 units.RENTS: $1,284 per Unit

$1.53 per Square Foot Rents jumped $51 to $1,284 per

unit and $1.53 per foot. This repre-sents a 4.1% increase. Over the past year rents have increased 7.9%.

The downtowns of Seattle and Bel-levue continue to achieve the highest rents. They are $1,796 ($2.43 sf) and $1,912 ($2.16 sf) respectively.

SeaTac offers the lowest rents at $901 ($1.15 sf). Next is Des Moines at $923 ($1.18). NEW CONSTRUCTION

There are currently 16,135 units under construction, up 8.4% from last quarter and 16.6% from a year ago. Fifty-nine percent of these units are in the city of Seattle; 22% on the Eastside; 8% in Snohomish County, and 11% in South King County. The number of units under construction in South King County has nearly tripled since last quarter. There have been relatively very few units com-pleted in this sizable market in the current building boom.

Together with the 4,664 units that have opened this year, the projected total for 2014 is 10,269 units. This will be a 71% increase over 2013. If all of the units scheduled to be finished in 2014 are completed, it will nudge out 1989 for the record number of units

built in a given year.Village at Beardslee Crossing in

Bothell opened this quarter (see pho-to). It has 146 units and is managed by Indigo Real Estate Services.

There are currently 9,484 units un-der construction with a 2015 comple-tion date. Additionally, 2,496 units are scheduled to begin construction with completion targeted for next year. This would make a total of 11,980 units for 2015. We have infor-mation on 5,919 units that are either under way or scheduled for a 2016 completion.

The grand total for all of the units in various stages of the pipeline is 44,858 units, up 19% from a year ago.OBSERVATIONS

It's remarkable that the mar-ket continues to strengthen in the face of the massive amount of new units. Underlying the rental market's strength is the economy. The Census Bureau's recent figures show that Se-attle grew faster than any other ma-jor American city in the past year - a 2.8% rate. Seattle is now the nation's 21st biggest city with a population of 625,000. Recent data also show that the Seattle metro area has the second best rate of small business creation in the country.

This quarter's performance is stellar. The vacancy rate dropped to 4.17% and rents rose 4.1%. For the year rents increased 7.9%. We had been concerned about a market

that might have been overbuilt at this point based on past economic growth. We would like to applaud the developers and lenders who have been providing apartments to help meet the demand from renters.

If all the new units hadn't been built in the past several years, de-mand for fewer apartment units would have pushed rents even higher. As it is, over the past twelve months, rents have been increasing faster in Class B and C properties than in A properties

(those with the highest rents).Tom Cain of Apartment Insights

Washington is a member of the nonprof-it Central Puget Sound Real Estate Re-

search Committee in charge of providing apartment rent and vacancy data. Tom

has been a member of the Committee for over 25 years, and has been researching apartment market trends in the Seattle area since 1978. His company surveys the five counties in Central and South

Puget Sound. This article highlights survey results that subscribers can ac-

cess from an online database of all 50u+ properties. Apartment Insights also

provides customized rent reports and market reports. www.apartmentinsight-

swa.com 206-632-2220 Contact: Tom Cain

Apartment Insights206-632-2220



Experience. Solutions. Results.

Apex 203 Units Tacoma,WA Sold: April 2014 Price: $26,500,000

Cherry Creek 2252 Units Tacoma, WA Sold: April 2014 Price: $18,225,000

Forest Meadows 107 Units Oak Harbor, WA Sold: November 2013 Price: $4,895,000

Hanna Heights 35 Units Tacoma, WA In Escrow Unpriced Offering

The Winthrop 194 Units Tacoma, WA In Escrow Unpriced Offering

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Apex 203 Units

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Price: $26,500,000

Cherry Creek 252 Units


Price: $18,225,000

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Oak Harbor, WA Sold: November 2013 Price: $4,895,000


The Winthrop 194 Units

Tacoma, WA In Escrow

Unpriced Offering

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Price: $2,100,000

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Bremerton, WA Available

Unpriced Offering

Silver Ridge 44 Units

Tacoma, WA Available

Unpriced Offering

Tanglewilde Land 8.4 Acres of Land Olympia, WA Available

Unpriced Offering

Apex 203 Units


Price: $26,500,000



Price: $18,225,000






Unpriced Offering


Price: $2,100,000



Unpriced Offering



Unpriced Offering


Unpriced Offering

Apex 203 Units


Price: $26,500,000



Price: $18,225,000






Unpriced Offering


Price: $2,100,000



Unpriced Offering



Unpriced Offering


Unpriced Offering

Apex 203 Units


Price: $26,500,000



Price: $18,225,000






Unpriced Offering


Price: $2,100,000



Unpriced Offering



Unpriced Offering


Unpriced Offering

Apex 203 Units


Price: $26,500,000



Price: $18,225,000






Unpriced Offering


Price: $2,100,000



Unpriced Offering



Unpriced Offering


Unpriced Offering

Apex 203 Units


Price: $26,500,000



Price: $18,225,000






Unpriced Offering


Price: $2,100,000



Unpriced Offering



Unpriced Offering


Unpriced Offering

Apex 203 Units


Price: $26,500,000



Price: $18,225,000






Unpriced Offering


Price: $2,100,000



Unpriced Offering



Unpriced Offering


Unpriced Offering

Apex 203 Units


Price: $26,500,000



Price: $18,225,000






Unpriced Offering


Price: $2,100,000



Unpriced Offering



Unpriced Offering


Unpriced Offering

Jim Jensen, Senior Vice PresidentOffice: 253-509-7157Fax: 253-509-7158Email: [email protected]

Silver Ridge 44 Units Tacoma, WA Available Unpriced Offering

Bremerton Gardens 183 Units Bremerton WA Available Unpriced Offering

We would like to thank our clients for representation

on these multi-family transactions.



“I Just Do Maintenance”By Pam McKenna

“I just do mainte-nance.” How many times have heard this statement out at a property? The phrase

seems to imply that this role is insig-nificant or less important than oth-ers. Through our resident surveys, I’ve seen consistent feedback on personnel demonstrating the impor-tance the maintenance team plays. Through reviewing financial reports I’ve seen operations literally turn around as a result of an organized, diligent, hardworking maintenance team member. Clearly this is a piv-otal role in property management. So what have you done to invest in this critical piece of your operations? Through strategic training, develop-ment and oversight, you will experi-ence a higher level of performance and improved operations.

The best place to start is with your onsite manager. If your manager and your maintenance team do not speak the same language it can often cause frustration and create unnecessary work for the team. Get your manager signed up for a maintenance class in order to understand the basics of the maintenance function. One of the best experiences I have had

in my career was spending the day working alongside the maintenance team. It allowed me to understand the demands of the day for the main-tenance crew and highlighted ways that the office team could improve on communication. Let’s just say I had a lot more respect for what they do af-ter walking a day in their shoes. The more knowledge the management team has of this critical function the more effective their management will be over the maintenance role.

Budget knowledge is the num-ber one weakness. We don’t want to give our maintenance managers the budget, but when they are over budget they are the first to get rep-rimanded for spending too much. If you prepare your team with budget knowledge they will understand the goals for the year ahead and can find ways to not only meet budget but often come up with creative ways to reduce expenses resulting in savings.

Time management for the main-tenance team includes efficiency in ordering. On-line ordering will cut down on hours spent thumbing through a catalog. Create a saved fa-vorites list that only requires you to enter the quantity of items and with a few clicks the order is submitted. Planning ahead will make it easier

to cut down on driving to the local hardware store for those last minute items needed to wrap up a turn. It is more effective to order supplies once a week through organized schedul-ing rather than putting in an order every other day.

Communication between the maintenance team and the manage-ment team is critical. It begins with holding regular team meetings to ensure the team is on the same page. Was a move-in bumped up to an earlier date? Did someone cancel their notice and they are not moving out? Did a resident complain about a work order not getting handled correctly? Team meetings can be an excellent way to coordinate and efficiently work through changes and challenges. How often do the manager and maintenance walk the property together? This should be done weekly so that both sets of eyes are on the community and expecta-tions are reviewed and discussed during that walk. The team should set goals for each week, month and year and track them in order to ap-preciate their progress. Establish standards regarding the use of radi-os to ensure all communications are professional and appropriate. Train the management team on how to bet-

ter communicate when preparing a maintenance request. There are ques-tions that when asked can clarify the specifics of the request. An example might be clarifying a specific room and wall an outlet is not working instead of just saying “outlet in bed-room not working.”

Resident satisfaction is often tied to the relationship with mainte-nance. This team is interacting with

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There is an old saying when it comes to selling/renting real estate that the three most im-

portant factors are: location, location, location. Yet, what if you are work-ing at an apartment community that does not have these three things go-ing for it? Maybe your community is “off the beaten path” and no one can find you, or your building is located in a neighborhood that is not con-sidered desirable because it needs a facelift. Perhaps you are near certain types of businesses that may discour-age people who are driving by from driving in. The issue of “location,” is obviously a concern based on the fol-lowing question:

Q: I work at an older building that is tucked away in a secluded spot. It once had a great reputation, but over several years, the local neighborhood has taken on a “run down” appear-ance and many of the area businesses are not caring for their properties the way they once did. It’s getting harder and harder to attract new renters, not to mention trying to hang onto exist-ing residents who are now concerned with security and safety issues. If I could pick up and move this build-ing I would do it! Do you have any suggestions?

A: I want to commend you for your loyalty to your building and residents. It’s obvious that you care

a great deal about the people and the place where you work, as well as your local community. Challenges with “location” are especially diffi-cult as they sometimes fall into the realm of things that we consider to be “beyond our control.” We feel powerless and frustrated. On the other hand, difficult challenges pres-ent unique and exciting opportuni-ties to become creative and also get other people involved in the prob-lem-solving process. Thomas Edi-son said, “Opportunity is missed by most people because it is dressed in overalls and looks like work!”

Well. . . solving challenges relat-ed to “location” is work; it’s HARD

work! It requires spending time ana-lyzing ALL of the problems, not just the ones that are blamed on location. Let’s face

it: Over a period of time, it be-comes easier and easier to make “excuses” and “blame” what is per-ceived as a “bad location” on EVERY problem that arises. (i.e. “No one can find us because we are in a bad loca-tion!” - How colorful and well placed are your signs? How skilled are you at giving specific, detailed direc-tions; even if it means using a local pub as a landmark? “No one will use our laundry facility because it is per-ceived as being ‘unsafe’ because we are in a bad neighborhood.” - Is your laundry room bright, cheerful and welcoming? Is the interior, as well as the exterior building and surround-ing area, well lit? Can residents be introduced to each other and encour-aged to use the “buddy system?”)

With regards to your neighbor-hood situation, perhaps your com-munity could become a member of your local Chamber of Commerce and network with other area busi-nesses who care about the condition of your section of the city. Maybe your staff and residents could get involved civically and attend local town meetings to make your voices heard about what’s happening in your neighborhood. What about forming a block watch at your com-munity?

The problems you face won’t go away overnight. They took years to develop and will take time to correct. MUCH patience will be required to bring about any lasting change. Of course many people prefer to stay with problems they understand rather than look for solutions they’re uncomfortable with. (It’s easier to complain than change!) However, if you always do what you’ve always done, you’ll always get what you’ve always got. You may not be able to change the location of your building, but you CAN change the direction of your thinking. - After all,

it’s a lot easier to “pick up and move” people, rather than buildings!

If you have a question or concern that you would like to see addressed next month, please ASK THE SE-CRET SHOPPER by making contact via e-mail. Your questions, com-ments and suggestions are ALWAYS welcome!

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net of 8,400 jobs in 1Q14, despite a slow start, and another 8,100 jobs during April and May.

The RCR payroll model finds that Seattle job growth is closely correlat-ed to national job trends, the shape of the yield curve and S&P 500 returns. This 95.1% R2 model finds that mod-erately slowing expansion is likely to evolve through 2015, followed by a meaningful rebound in 2016.

1Q14 Absorption and Occupancy Rate Trends

Demand for Seattle apartment space intensified during 1Q14 as ten-ants net leased 1,906 units, according to Reis, the largest tally in a year. De-velopers delivered 1,293 new units, producing a net 30 basis point se-quential quarter average occupancy increase to nearly 95.9%. Same store stabilized properties surveyed by Axiometrics recorded a unit-weight-ed average 95.5% occupancy rate, up 50 bps sequentially but down 10 bps year-on-year.

Axiometrics report that occupan-cy levels were similar across classes, ranging from 95.3% in class-A to 95.6% in classes-B and –C. Absorp-tion of new units remained brisk but some slowing was evident as the mean lease-up decelerated to a 12- unit per month pace in 1Q14 from 16 in 2Q13.

RCR’s modeling exercise sug-gests that Seattle apartment demand is correlated to current and lagged rent growth, S&P 500 returns and new supply. We expect rent and sup-ply growth to remain brisk while S&P gains moderate. With this back-ground, the most probable outcome is a gentle occupancy rate slide to about 95% in 2017.

1Q14 Effective Rent TrendsReis report that asking and effective rents increased 1.0% sequentially in the first quarter, in each case repre-senting the smallest quarterly gains recorded since 4Q11. Expressed on

a yearon- year basis, asking and ef-fective rents were 5.9% higher, down from 7.3% and 7.1%, respectively, during the prior quarter. As a result, Seattle dropped two spots to 3rd rank among the RED 46 after San Jose and San Francisco. Axiometrics surveys of stabilized same store properties recorded a 5.5% y-o-y advance, slow-est since 3Q10.

Axio Class-A rent trends acceler-ated from 4Q13’s 5.4% annual pace to a 6.3% y-o-y advance to $2,043. Class-C assets also posted a 6.3% y-o-y gain in 1Q14 ($1,005), while class-B properties recorded an average 5.8% increase ($1,411).

RCR’s Seattle rent model employs personal income, employment, home price growth and lagged vacancy rates as predictive variables. The 96.9% Adjusted-R2 model projects healthy rent gains in the 4.5% to 5.5% range for the next several years. The 4.7% compound annual growth fore-cast is the 6th fastest among the RED 46, trailing the three Bay Area mar-kets, New York City and Orange Co.

1Q14 Property Markets and Total Returns

Twenty $5 million or larger sales for which pricing data were available closed during the first quarter for gross proceeds of $522mm, up from 18 and $469mm in the year earlier period. Sales equated to an average price of $162,160/unit, down from $241,416 in the previous quarter and $182,452 in the year-earlier period. Sales gained momentum during the spring as 28 transactions were closed by the fourth week of June for total proceeds of $918mm and average unit price of $180,159.

A diverse group of buyers par-ticipated, led by hedge and private equity funds, REITs and diversified owner/managers. Institutional qual-ity assets traded to mid-4% to mid-5% cap rates. Second tier properties offered going-in yields ranging from 5.25% to 6.25%, according to broker sources.

Using 4.7% purchase and 5.3% exit cap rates and model derived rent and occupancy assumptions, RCR esti-mate a 7.8% 5-year expected total re-turn, ranking 20th among the RED 46 and comparing favorably to the 7.5% mean of the peer group. The risk-ad-justed return measure ranks #33.

Occupancy Rate SummaryOccupancy Rate (Reis) 95.9.%

RED 50 Rank 28th

Annual Chg. (Reis) +0.1%

RCR YE14 Forecast 95.6%



RCR YE17 Forecast 95.1% Effective Rent Summary Mean Rent (Reis) $1,151

Annual Change 5.9.%

RED 50 Rank 3st




RCR YE17 Forecast 4.3% Trade & Return Summary$5mm+ Sales 19

Approx. Proceeds $515mm

Avg. Cap Rate (FNM) 5.2%

Avg. Price/Unit $162,783

Expected Total Return 7.8%

RED 46 ETR Rank 20th

Risk-adjusted Index 2.98

RED 46 RAI Rank 33rd


RED CAPITAL Research | June 2014

NOTABLE TRANSACTIONS

MARKET OVERVIEW 1Q14 | SEATTLE, WASHINGTON

Property Name (Submarket)Property Class/Type (Constr.)

Approx. Date ofTransaction

Total Price /<Appr. Value>(in millions)

Price /<Appr. Value>

per unit

Estimated<Underwritten>

Cap Rate

Bailey Farms (Everett / Mukilteo) A / GLR (2013) 16-Mar-2014 $91.3 $245,431 4.5% p.f.

Ballinger Commons (North Seattle) B- / GLR (1989) 28-Mar-2014 $86.0 $177,267 5.2%

Park Highland (Bellevue) B- / GLR (1993) 31-Mar-2014 $47.7 (Allocated) $190,632 6.5%

Waterford at the Lakes (West Kent) C+/ GLR (1989) 2-Apr-2014 $48.1 (Allocated) $139,859 5.0%

Joseph Arnold Lofts + Retail (Belltown) A / MR (2013) 29-Apr-2014$58.2 (Allocated to

Rental Apartments)$445,000 5.3% p.f.


95.9%

95.3% 95.2% 95.1%95.6%

91%

92%

93%

94%

95%

96%

97%

4Q09 4Q10 4Q11 4Q12 4Q13 4Q14f 4Q15f 4Q16f 4Q17f 4Q18f

Avera

ge

Occupancy

Rate

RED 46 AVERAGE

SEATTL E (REIS/RCR)

Seattle Occupancy Rate TrendsSource: Reis History, RCR Forecasts

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000


Unit

s(T

12

Mo

nth

s) ABSORPTIONS COMPLETIONS

Seattle Absorption and Supply TrendsSource: Reis History, RCR Forecasts

5.3%

4.6%

5.2%5.0% 5.2%5.1%

7.1%

4.6%

5.3%5.4%5.7%

5.5%5.2%

4.0%

4.5%

5.0%

5.5%

6.0%

6.5%

7.0%

7.5%

1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14

Ave

rage

Ca

pR

ate

PACIF IC REGION SEATTLE

Seattle Cap Rate TrendsSource: eFannie.com, RCR Calculations








per unit


Cap Rate








95.9%

95.3% 95.2% 95.1%95.6%

91%

92%

93%

94%

95%

96%

97%


Avera

ge

Occupancy

Rate

RED 46 AVERAGE

SEATTL E (REIS/RCR)


0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000


Unit

s(T

12

Mo

nth



5.3%

4.6%

5.2%5.0% 5.2%5.1%

7.1%

4.6%

5.3%5.4%5.7%

5.5%5.2%

4.0%

4.5%

5.0%

5.5%

6.0%

6.5%

7.0%

7.5%

1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14

Ave

rage

Ca

pR

ate










per unit


Cap Rate








95.9%

95.3% 95.2% 95.1%95.6%

91%

92%

93%

94%

95%

96%

97%


Avera

ge

Occupancy

Rate

RED 46 AVERAGE

SEATTL E (REIS/RCR)


0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000


Unit

s(T

12

Mo

nth



5.3%

4.6%

5.2%5.0% 5.2%5.1%

7.1%

4.6%

5.3%5.4%5.7%

5.5%5.2%

4.0%

4.5%

5.0%

5.5%

6.0%

6.5%

7.0%

7.5%

1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14

Ave

rage

Ca

pR

ate










per unit


Cap Rate








95.9%

95.3% 95.2% 95.1%95.6%

91%

92%

93%

94%

95%

96%

97%


Avera

ge

Occupancy

Rate

RED 46 AVERAGE

SEATTL E (REIS/RCR)


0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000


Unit

s(T

12

Mo

nth



5.3%

4.6%

5.2%5.0% 5.2%5.1%

7.1%

4.6%

5.3%5.4%5.7%

5.5%5.2%

4.0%

4.5%

5.0%

5.5%

6.0%

6.5%

7.0%

7.5%

1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14

Ave

rage

Ca

pR

ate



Market Overview...continued from front page

Managing Residential Issues From Pets to Pot!!

Registration and Details available at WWW.WMFHA.ORG

August Membership Meeting Wednesday August 27, 2014

11:30am-1:30pm

A Luncheon at the Courtyard Marriott - Bellevue

$39 Members | $59 Non-Members

Q&A - Ask the Experts We will have a panel of attorneys and experts available to answer

your tough questions!

PETS Breed Issues - Risk Mgmt. Service Animals Fair Housing Implications Fees and Deposits Pet Poo! Best Practices

POT What does the law say State vs Federal What the law DOESN’T say What are my rights as a landlord/operator? Smoke-free housing implications



The information contained in this report was prepared for general information purposes only and is not intended as legal, tax, accounting orfinancial advice, or recommendations to buy or sell currencies or securities or to engage in any specific transactions. Information has beengathered from third party sources and has not been independently verified or accepted by RED CAPITAL GROUP. RED makes no representa-tions or warranties as to the accuracy or completeness of the information, assumptions, analyses or conclusions presented in the report.RED cannot be held responsible for any errors or misrepresentations contained in the report or in the information gathered from third partysources. Under no circumstances should any information contained herein be used or considered as an offer or a solicitation of an offer toparticipate in any particular transaction or strategy. Any reliance upon this information is solely and exclusively at your own risk. Please con-sult your own counsel, accountant or other advisor regarding your specific situation. Any views expressed herein are subject to change with-out notice due to market conditions and other factors.



5.9% 4.0%5.3%4.8%4.9% 4.3%

-6%

-4%

-2%

0%

2%

4%

6%

8%

10%

12%


Yo

YR

en

tTr

en

d

RED 46 AVERAGE

SEATTLE AXIOMETRICS SAME-STORE

SEATTLE (REIS/RCR)

Seattle Effective Rent TrendsSources: Reis, Inc., Axiometrics, RCR Forecast

3.3%1.7%

0.7%

4.2%5.1%

10.0% 10.2%8.6%

5.6% 2.6%

9.3%

-8.0%

-4.0%

0.0%

4.0%

8.0%

12.0%

2011 2012 2013 2014f 2015f 2016f 2017f 2018f

Y-o

-Y%

Ch

an

ge

U.S.A. SEATTLE

Seattle Home Price TrendsSource: FHFA Home Price Indices and RCR Forecasts

1.9% 1.8%

2.2%

1.6%

2.0%

2.7%

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

2011 2012 2013 2014 2015f 2016f 2017f 2018f

Y-o

-Y%

Ch

an

ge

U.S.A. SEATTLE

Seattle Payroll Employment TrendsSource: BLS, Institute for Economic Competitiveness at UCF & RCR




5.9% 4.0%5.3%4.8%4.9% 4.3%

-6%

-4%

-2%

0%

2%

4%

6%

8%

10%

12%


Yo

YR

en

tTr

en

d

RED 46 AVERAGE


SEATTLE (REIS/RCR)


3.3%1.7%

0.7%

4.2%5.1%

10.0% 10.2%8.6%

5.6% 2.6%

9.3%

-8.0%

-4.0%

0.0%

4.0%

8.0%

12.0%

2011 2012 2013 2014f 2015f 2016f 2017f 2018f

Y-o

-Y%

Ch

an

ge

U.S.A. SEATTLE


1.9% 1.8%

2.2%

1.6%

2.0%

2.7%

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

2011 2012 2013 2014 2015f 2016f 2017f 2018f

Y-o

-Y%

Ch

an

ge

U.S.A. SEATTLE





5.9% 4.0%5.3%4.8%4.9% 4.3%

-6%

-4%

-2%

0%

2%

4%

6%

8%

10%

12%


Yo

YR

en

tTr

en

d

RED 46 AVERAGE


SEATTLE (REIS/RCR)


3.3%1.7%

0.7%

4.2%5.1%

10.0% 10.2%8.6%

5.6% 2.6%

9.3%

-8.0%

-4.0%

0.0%

4.0%

8.0%

12.0%

2011 2012 2013 2014f 2015f 2016f 2017f 2018f

Y-o

-Y%

Ch

an

ge

U.S.A. SEATTLE


1.9% 1.8%

2.2%

1.6%

2.0%

2.7%

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

2011 2012 2013 2014 2015f 2016f 2017f 2018f

Y-o

-Y%

Ch

an

ge

U.S.A. SEATTLE


RED CAPITAL GROUP

For more information about RED’s research capabilities contact:

SubmarketEffective Rent Physical Vacancy

1Q13 1Q14 Change 1Q13 1Q14 Change

Auburn / Enumclaw $830 $851 2.5% 3.4% 2.2% -120 bps

Beacon Hill / Rainier $989 $1,015 2.6% 7.0% 5.7% -130 bps

Bellevue / Issaquah $1,304 $1,382 6.0% 4.5% 5.0% 50 bps

Bothell $1,084 $1,117 3.1% 3.4% 3.7% 30 bps

Des Moines / West Kent $869 $903 4.0% 2.7% 2.2% -50 bps

Downtown / Capitol Hill $1,467 $1,636 11.5% 6.1% 7.2% 110 bps

Edmonds / Lynnwood $916 $960 4.8% 2.7% 3.1% 40 bps

Everett / Mukilteo $924 $975 5.5% 2.1% 3.6% 150 bps

Federal Way $901 $922 2.4% 3.4% 2.7% -70 bps

Kent $893 $919 3.0% 2.8% 1.9% -90 bps

Kirkland / Juanita $1,267 $1,331 5.0% 2.2% 4.2% 200 bps

North Seattle $1,090 $1,201 10.2% 3.7% 5.4% 170 bps

Redmond $1,247 $1,302 4.4% 4.9% 3.0% -190 bps

Renton $966 $990 2.5% 2.9% 2.4% -50 bps

Tukwila / Sea-Tac $786 $808 2.9% 2.1% 1.6% -50 bps

West Seattle / Burien $922 $969 5.1% 4.6% 4.2% -40 bps

Metro $1,087 $1,151 5.9% 4.2% 4.1% -10 bps

SUBMARKET TRENDS

Daniel J. Hogan, Director of [email protected]

James P. Hensley, Senior Managing DirectorHead of Mortgage [email protected]

RED CAPITAL GROUP

For more information about RED’s research capabilities contact:

SubmarketEffective Rent Physical Vacancy

1Q13 1Q14 Change 1Q13 1Q14 Change

Auburn / Enumclaw $830 $851 2.5% 3.4% 2.2% -120 bps

Beacon Hill / Rainier $989 $1,015 2.6% 7.0% 5.7% -130 bps

Bellevue / Issaquah $1,304 $1,382 6.0% 4.5% 5.0% 50 bps

Bothell $1,084 $1,117 3.1% 3.4% 3.7% 30 bps

Des Moines / West Kent $869 $903 4.0% 2.7% 2.2% -50 bps

Downtown / Capitol Hill $1,467 $1,636 11.5% 6.1% 7.2% 110 bps

Edmonds / Lynnwood $916 $960 4.8% 2.7% 3.1% 40 bps

Everett / Mukilteo $924 $975 5.5% 2.1% 3.6% 150 bps

Federal Way $901 $922 2.4% 3.4% 2.7% -70 bps

Kent $893 $919 3.0% 2.8% 1.9% -90 bps

Kirkland / Juanita $1,267 $1,331 5.0% 2.2% 4.2% 200 bps

North Seattle $1,090 $1,201 10.2% 3.7% 5.4% 170 bps

Redmond $1,247 $1,302 4.4% 4.9% 3.0% -190 bps

Renton $966 $990 2.5% 2.9% 2.4% -50 bps

Tukwila / Sea-Tac $786 $808 2.9% 2.1% 1.6% -50 bps

West Seattle / Burien $922 $969 5.1% 4.6% 4.2% -40 bps

Metro $1,087 $1,151 5.9% 4.2% 4.1% -10 bps

SUBMARKET TRENDS

Daniel J. Hogan, Director of [email protected]

James P. Hensley, Senior Managing DirectorHead of Mortgage [email protected]

The information contained in this report was prepared for general information purposes only and is not intended as legal, tax, accounting or financial advice, or recommendations to buy or sell currencies or securities or to engage in any specific transactions. Information has been gathered from third party sources and has not been independently verified or accepted by RED CAPITAL GROUP. RED makes no representations or warranties as to the accuracy or completeness of the informa-tion, assumptions, analyses or conclusions presented in the report. RED cannot be held responsible for any errors or misrepresentations contained in the report or in

the information gathered from third party sources. Under no circumstances should any information contained herein be used or considered as an offer or a solicitation of an offer to participate in any particular transaction or strategy. Any reliance upon this information is solely and exclusively at your own risk. Please consult your own counsel, accountant or other advisor regarding your specific situation. Any views expressed herein are subject to change without notice due to market conditions and other factors.

For more information about RED’s research capabilities contact: Daniel J.

Hogan, Director of Research [email protected] 614.857.1416

James P. Hensley, Senior Managing Director Head of Mortgage Origina-tion [email protected]

770.753.6472

Market Overview...continued from front page



Keys to Exceptional Service• Executive Director – Jim Wiard • President – Gail Duke – Vice President – Kris Buker • Secretary – Becky Sanders

• Treasurer – Brett Stevens • Vice President of Suppliers Council – Barry Savage • Immediate Past President – Jay Olson18300 Cascade Ave. S., Suite 130

Tukwila, WA 98188(425) 656-9077

(425) 656 9087 (fax)[email protected]

WMFHA’s June quarterly Membership luncheon, at-tended by 125 members,

included an extremely enjoyable and informative discussion of 5 Star Ser-vice. Guest speaker Denny Fitzpat-rick from the prestigious Hotel 1000 in Seattle shared his experiences and tips for developing a culture of supe-rior service in the hotel industry.

Denny has been the General Man-ager of Hotel 1000 since 2008 and was the former General Manager of the Beverly Hilton in Beverly Hills, California. Denny was also a former University of Washington Huskies football quarterback, and his lead-ership skills and passion for people was evident in his presentation.

Relating the similarities of the hotel industry and the property management industry, Denny ac-knowledged that the key to business success is in attracting and retaining quality employees, then instilling in your employees a commitment to an exceptional customer experience. Every employee at Hotel 1000 is em-powered to make judgment calls to do what it takes to ensure that every customer has a memorable experi-ence.

The philosophy of customer sat-isfaction is instilled in all employ-

ees at every level. Every employee is valued. Every employee plays an important role in the customer expe-rience. Perception becomes reality when it comes to the customer. “Ex-ceed customer expectations when-ever possible“ stated Denny.

At a recent WMFHA training class held in Spokane, trainer Brian Bab-cock from Riverstone Residential spoke on Enhancing the Resident Experience – Turning Residents into Neighbors.

From the property management perspective, customer service begins well before the potential resident vis-its the property. Touch points could involve prospect interaction with your advertising, website, social me-dia outlets and/or ratings and re-view sites.

They could call or e-mail the prop-erty for information, and most likely, have done so as well with your com-petitors. All of these initial research gathering “moments of truth” create that all important first impression prior to any actual personal meet-ing. The goal is to build positive rap-port with the customer at all contact points.

With the amount of information at the fingertips of our prospective renters, and with the intense com-

petition and sophistication of many professional apartment managers in the marketplace today, companies should ensure there is a high level of attention paid to any and all interac-tive touches with potential custom-ers. Those are the time to shine.

The knowledge, experience and people-skills that front line em-ployees’ exhibit will make or break the rental relationship. Employees who are natural, pleasant, informa-tive, confident, service-oriented and skilled in sales techniques will have the greatest success in serving the needs of customers. Your residents want to do business with site person-nel who are knowledgeable, profes-sional, enthusiastic and genuinely care.

Creating a culture of high-quality customer service at a property most importantly includes all mainte-nance staff. Property upkeep, exteri-or maintenance, and skillful, prompt repairs are instrumental in keeping residents happy and increasing resi-dent retention. This translates into an improved bottom line and leads to positive word of mouth marketing for the property through resident re-ferrals. Greater customer satisfaction will increase leases and renewals.

Effective communication is the

key to your success. Your good com-munication skills will set the exam-ple for others. The first step in good communication is listening. Be ready to listen, pay attention to verbal and non-verbal language, and use active listening skills.

Attitude is the emotional base of good communication and good cus-tomer service. If you and your staff have a good attitude, it will improve your communication and your deal-ings with others. People’s percep-tions and judgments of a situation combine to form their attitudes. If a situation is perceived as pleasant, it has a positive effect on the person’s attitude. If a situation is seen as un-pleasant, it has a negative effect on attitude.

Further, if a person has previously heard positive or negative informa-tion about another person, property or company, this can have a direct ef-fect on his or her attitude toward that person, property or company. “Body language and tone of voice make up 93% of communication. The actual words that are said make up only 7% of communication.” Brian reminded the class.

Successful companies embrace the concept that investing in their

Getting deals done in Seattle.How did Chase become the nation’s leader in multifamily lending? With great rates, low fees and a deep understanding of the local market—in communities just like yours. If you have a 5 or more unit apartment building to purchase or refi nance, call us today to learn how we can put our resources to work for you.

Mike Githens, Client Manager (206) 500-4582 [email protected]

Alex Mundy, Client Associate(206) [email protected]

Credit is subject to approval. Rates and programs are subject to change; certain restrictions apply. Products and services provided by JPMorgan Chase Bank, N.A. #1 claim based on 2013 FDIC data. ©2014 JPMorgan Chase & Co. Member FDIC. All rights reserved. PA_14_022

The nation’s #1 multifamily lender is lending in your backyard.LOW F E ES | G REAT RATES | STR EAMLI NED P ROCESS

continued on page 21

Managing Residential Issues From Pets to Pot!!

Registration and Details available at WWW.WMFHA.ORG

August Membership Meeting Wednesday August 27, 2014

11:30am-1:30pm

A Luncheon at the Courtyard Marriott - Bellevue

$39 Members | $59 Non-Members

Q&A - Ask the Experts We will have a panel of attorneys and experts available to answer

your tough questions!

PETS Breed Issues - Risk Mgmt. Service Animals Fair Housing Implications Fees and Deposits Pet Poo! Best Practices

POT What does the law say State vs Federal What the law DOESN’T say What are my rights as a landlord/operator? Smoke-free housing implications



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pse.com/multifamilyretrofit

Efficiency is easyPuget Sound Energy’s Multifamily Retrofit program can save you time, energy and money. Get started today.

The savings start here.Schedule your appointment today.

It’s easy:

1. Call a Program Representative at 1-866-997-9767 or e-mail [email protected] to schedule a free energy audit.

2. An energy specialist will perform the audit and see if you qualify for the direct installation program, along with making other energy efficient upgrade recommendations.

3. The audit will also identify other ‘no cost’ and ‘low cost’ retrofit incentives your properties may qualify to receive through PSE’s Multifamily Retrofit program.

It’s a common occurrence among the most talented people in the corporate world – highly skilled

and qualified workers make the leap from valued employee to uncertain business owner.

Unfortunately, rather than becom-ing a master of their own business, many of these entrepreneurs work twice as much as they did in their safe corporate job, unwittingly com-mitting themselves to becoming the lowest rung on the ladder, says Ze-novia Andrews, founder and CEO of The MaxOut Group, a company de-voted to empowering and teaching entrepreneurs development strate-gies to increase profits.

“People believe that starting a new business is supposed to mean they’ll have to work much longer hours, and that’s why most new businesses fail early,” says Andrews, author of the new book “All Systems Go – A Solid Blueprint to Build Business and Maximize Cash Flow,” (www.zeno-viaandrews.com).

“Entrepreneurs need to be the brains and oversight of the opera-

tion. It’s not wise to work for your own business. Sixteen-hour days get entrepreneurs lost in the minutiae. The lose perspective and burn out.”

Business owners need distance for perspective, and the best way to create that is by knowing how to del-egate duties to employees, she says.

“Owners need to be the strategic visionary who hires, trains and de-velops the best talent available, and then delegates work,” says Andrews, who discusses the five keys of del-egation.

• Understand that your team is made up of human beings. No one can work nonstop, so get your timing right. Know what each employee can handle, and never overwork them. Most people perform at their best when they are consistently busy but not rushed or pressured.

• Focus on the strengths of your team. Delegation is not a dump-and-run tactic. Know your employ-ees and how they fit into your busi-ness puzzle. Allow them to do what

they do well, and give them respon-sibilities and authority. They’ll be happier and so will you.

• Focus on your own strengths, then plug the holes. Few of us are great at everything! If bookkeeping’s not your thing, hire an accountant. If you don’t have marketing expe-rience, find someone with proven skills. Trying to perform jobs that you don’t do well will require twice as much effort with less-than-satis-factory results.

• Be the resource king or queen. Your employees are only as good as the resources they have. Make sure that they are equipped to always do the best work for you on a daily ba-sis. Running out of stock, not having new software and not shelling out for that desperately need printer is NOT good delegation.

• Become the fire, ice and motiva-tion behind your team. When they need guidance, give it to them; when they need appreciation, offer it to

them. Inspire, motivate and lead by supporting your delegated decisions and following up on them often.

“Business owners need to be the big thinkers: to identify patterns both good and bad; to become an idea ma-chine and testing fanatic; to fill out details from outlined strategy; to be aware of market trends; to always have one eye on the competition; and to develop an instinct for the people with whom you like to work,” An-drews says.

About Zenovia AndrewsZenovia Andrews, www.zenoviaan-

drews.com, is a business development strategist with extensive experience in corporate training, performance man-agement, leadership development and

sales consulting with international clients, including Pfizer, Inc. and No-

vartis Pharmaceuticals. A sought-after speaker and radio/TV personality, she is the author of “All Systems Go” and

“MAXOut: I Want It All.”

How Entrepreneurs Can Increase Profit with a Hands-Off Approach

Mechanical Rule of Distance’ Lets You See Big Picture & Test Ideas, Says Business Development Strategist



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As important as it is for property managers to ensure that rent is re-ceived on a timely basis; rental col-lection is not just important to prop-erty managers. Surveys have shown that residents also want an easier way to pay rent. While many smaller management companies have con-tinued to accept checks, many have done away with the hassle of record-ing, depositing, and dealing with de-layed mailings, lost checks and po-tential NSF check situations.

With a large under 30 demo-graphic, property managers looking to attract young, professional rent-ers would do well to institute a 21st century rental payment policy that allows tenants to use credit cards to pay rent, can accept rental payments online, or can automatically debit a tenant’s bank account to withdraw rent on a monthly basis.

There are numerous advantages to making updated payment accep-tance a priority. Here are just a few:

Your rental payment policy can di-rectly affect the type of renters you’re able to attract. With computer savvy young professionals making up one

of the fastest growing group of rent-ers, it’s imperative that properties offer quick, easy methods for rental payments. Many 20-somethings have never written a check in their life, and aren’t likely to start just to live in your property. They’ll simply find a property where they can pay their rent easily.

Accepting rental payments elec-tronically will eliminate the ex-

tra work involved with accepting checks, as mentioned above. While those in a small apartment commu-nity do not spend a lot of time pro-cessing checks, those in large, multi-unit complexes will typically spend a large chunk of the first week of each month processing checks, not to mention following up on lost mail, determining if in fact a check is late, and contacting tenants when insuffi-

cient fund issues pop up, as they al-ways do. Accepting rental payments electronically give property manag-ers a much better idea of their rental income for the month much earlier, and managers will know immediate-ly if a scheduled electronic payment has been made.

The majority of your rental pay-ments will be in the bank much sooner. If the 2nd is the cutoff for ac-cepting rental payments, by accept-ing electronic payments, the majority of your rental income will have been received by the cutoff date, instead of straggling in up to five days after the deadline.

If you make one change this year in your internal processes, you may want to consider changing your rent payment process. Your residents will appreciate the ease in which they can make payments, while your staff will be freed up to handle other respon-sibilities instead of stamping checks and driving to the bank the first week of each month.

PropertyManager.com a Service of AppFolio



If first impressions are formed by a new resident within 10-12 seconds of meeting those on your leasing teams, what

impressions do the walls in your office make? Can your walls sell? Can your walls motivate and inspire you and your leasing teams? You bet they can! This article will show you three easy steps to make sure your walls are selling—365 days a year.

Inspiring your residents: First, recognize that every time a resident comes into the leasing office of the properties you manage, your leas-ing teams have a golden opportu-nity to sell and re-sell the wonderful lifestyle your apartment communi-ties provide. Next, have your leas-ing teams determine how much wall space is available in their leasing of-fices and ask them to draft a plan for the types of information they want each resident to see. Here are some strategic items your leasing teams can place on their walls: pictures of their residents having fun at a recent property activity, letters of apprecia-tion from current residents, a mission

statement from your company, your service guarantee or promise, a cur-rent resident newsletter, a reminder about resident referrals, dates for an upcoming resident party or event, sample floorplans, special awards or training certifications, your Face-book page, and a photo of your leas-ing and maintenance team. Lastly, have your leasing teams profession-ally frame each of the items they will be displaying on the walls of their leasing offices, as the quality of the framing will make a subconscious quality impression on your residents and future residents.

Tip From The Coach: Now that your leasing offices are ready to sell to your current residents, can your leasing teams use this sales tool for future residents as well? You bet! At the start of each property tour, have your leasing teams begin by show-ing each future resident the fun items displayed on their walls…especially the pictures of current residents hav-ing great fun. When the walls in your leasing offices sell, your leasing experts will have higher closing ra-tios and more team success!

Motivating your team: Once your leasing teams have finished setting up the selling walls in their leas-ing offices, it’s time to prepare the walls that will motivate them. Ask your leasing teams to locate a wall or two in their leasing offices that is not usually seen by either current residents or future residents. Next, discuss with your leasing teams the key numbers, corporate information or trends they would like to see on a regular basis. Here are some ideas that might be helpful to display: weekly/monthly leasing goals, bud-get performance on a monthly and year-to-date basis, maintenance re-quests, a follow-up system for track-ing hot prospective residents, bonus programs, a calendar to plan future resident events or activities, a place to share or post new ideas, company awards and collection reports. Last-ly, ask your leasing teams to find a creative way to display this wonder-ful information so they will have a pride of ownership attached to this special area.

Tip From The Coach: Many of our property management clients ask their resident managers to hold a weekly meeting in the area where this information on their walls can be easily referenced. Consistently refer-encing this information on a weekly

basis will show your leasing teams that the information displayed is crit-ical to the success and profitability of their apartment community.

Encouraging yourself: As the ex-ecutive or owner of your property management company, your walls must also sell. Certainly, many of the ideas mentioned above, would be valuable to have on your walls. Some specialized measurements to place on your walls might include: occupancy trends, employee turn-over, ROI performance, quarterly graphs recapping this quarter…com-pared to the same quarter last year, team rankings and industry statistics that will impact your properties.

Tip From The Coach: Remem-ber, whatever you place on the walls in your executive office will send a strong message to your company about the key areas of your business. So choose each item carefully, as ev-ery person who comes into your of-fice will survey your walls and ask you questions about what they see or read. In addition, you might con-sider giving new employees a tour of your office walls on their first day with your property management company. This will allow them an opportunity to see and read first-hand, exactly what is most important

Can Your Rental Center Walls…Sell?

by Ernest F. Oriente, The Coach

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By Jerry L'Ecuyer & Frank AlvarezDear Maintenance Men:

Dear Maintenance Men:

Mildew is driv-ing me crazy. We

have a property with interior bathrooms and they are constantly developing mil-dew on the walls and ceiling. We have cleaned, painted and cleaned out the duct work for the vent fan and the problem does not go away. How can I solve this problem?

William

Dear William:A number of things may be at work

here. Unit overcrowding is gener-ally the main reason for moisture & mildew build-up in an apartment unit. Because of the overcrowding, the residents, take more showers and baths, throughout the day and eve-ning. Often to hide the excess people in the unit, the resident will keep all the window covers closed and the widows shut, effectively keeping the moisture from escaping. Add a win-dowless bathroom into the mix and the problem is compounded.

Mechanically, we suggest you in-spect the vent fans in the bathrooms. Make sure they are not clogged with lint or dust. If the fan is operating properly, check the CFM or Cubic Feet per minute of air movement. The minimum number should be 50 CFM. If the bathroom is getting more than the average amount of use, you may want to replace the ex-isting fan with one that has a higher CFM rating. We recommend using at least a 120-CFM fan. Equally impor-tant, many bathrooms have two wall switches; one for the light and the other for the fan. If this is the case, we recommend combining the two switches into one. That way when the resident switches on the light the fan will come on automatically. We find most residents will not turn on the fan if it has its own switch. Last-ly of course, is to get the resident to open a few windows and let some fresh air in.

Dear Maintenance Men:Over the years, the sidewalks around

our building have accumulated a fair amount of chewing gum residue. We are looking for a good method to remove the gum and the gum deposit. Once clean, is there any surface treatment to prevent gum from sticking?

Ryan

Dear Ryan:There are a number of ways to re-

move gum from a brick or concrete sidewalks. Spray the gum with an aerosol freezing agent or place dry ice on the gum for a few minutes. The gum will become very brittle and should be easier to pry off the surface with a putty knife or scraper. It may take a few tries to remove all the gum. If there is any gum remain-ing, spray WD-40 or vinegar and let it soak to dissolve the remaining gum. Use a scraper or stiff brush to remove the rest of the gum. Af-ter all the gum is removed, use a power sprayer to deep clean and re-move any gum residue. If you still have discoloration on the concrete, use muriatic acid & water mixture to bleach the concrete. To keep the gum from sticking to the concrete or brick sidewalks in the first place; use a waterproofing sealer on the side-walk to reduce the likelihood of the gum sticking to the surface.

Dear Maintenance Men:I keep hearing about PEX tubing as

an alternative to copper tubing when it comes to re-piping my rental units. What is the difference between PEX and copper tubing and why use one over the other? What are the pros and cons?

Aldridge

Dear Aldridge:First let’s define what PEX tub-

ing is. PEX is a cross-linked poly-ethylene pipe. (It looks and feels like plastic pipe.) The PEX pipe is resis-tant to extreme temperatures, stress, pressure and chemicals attacks such as acids & alkalies. This makes PEX pipe suitable for both hot and cold water systems and can be used in below freezing condition and is suit-able up to 200 degrees Fahrenheit.

The pipe is extremely flexible and easy to install.

Pros and cons of using PEX: Pros: 1: Versatile and user friendly, can

be bent around corners & snaked through walls.

2: Minimum of connections need-ed to complete a pipe run. (Less chance of a leak)

3: Cold weather burst resistant. 4: PEX pipe is less expensive than

copper pipeCons: 1: Cannot be used outside or in sun-

light. 2: Not recycle friendly 3: Installation tools can be expensive. 4: Not handyman friendly

Pros and cons of using copper pipe:Pro: 1: Long lasting, easy to use and in-

stall 2: Resists corrosion 3: Environmentally friendly, i.e.: re-

cyclable. 4: Safe for exterior use. Cons: 1: Expensive to buy. 2: Can burst in extreme cold weather

if not properly winterized. 3: More connections and elbows

needed to complete a pipe run.

Before making any decisions about using PEX piping, check with your local building department to ensure it is allowed in your area. However, if it were our building, we would use copper pipe. Copper is straight forward to install, no special tools are needed and any competent handyperson can fix a leak with sim-ple tools and a torch.

Please send us your Maintenance Questions!!!

To see your maintenance question in the “Dear Maintenance Men:” column, please send submission to: Questions@

BuffaloMaintenance.com Please “Like” us on Facebook.com/Buffalo-

Maintenance Bio:

Please call: Buffalo Maintenance, Inc for maintenance work or consultation.

JLE Property Management, Inc for management service or consultation

Frankie Alvarez at 714 956-8371 Jerry L’Ecuyer at 714 778-0480

CA contractor lic: #797645, EPA Real Estate lic. #: 01460075

Certified Renovation Company Websites: www.BuffaloMainte-

nance.com & www.ContactJLE.com www.Facebook.com/Buf-

faloMaintenance



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the residents on a more consistent basis making customer service and fair housing training a critical piece for improved resident satisfaction. The maintenance team should know how to sell the value of the commu-nity when interacting with the resi-dents and do their part to market the service they provide. Make sure they are completing follow up calls to ver-ify the residents are satisfied after ev-ery work order. What about leaving behind a thank you note and a treat? This can add that additional market-ing and customer service “wow” fac-

tor to your maintenance team. Setting up a team with the proper

personal protection equipment, cur-rent MSDS sheets, and regular train-ing on safety practices can reduce liability at the property. Routine site inspections are encouraged to stay out in front of any areas that may be-come liabilities and are being over-looked.

Set standards for the team on ap-pearance and hygiene. Personally, I am more comfortable allowing a maintenance person into my home that is in a clean uniform with a

proper name badge. Smoking should only be allowed in designated areas and steps should be taken to remove the smoke smell that lingers on an employee.

How else can you improve effi-ciency with the maintenance team? Be clear on when it is a good time to include two workers to complete a task. Train the team to plan ahead to bring all the right tools and supplies to a job to avoid those needless trips back and forth to the maintenance shop. Managers should be aware of what a reasonable amount of time is required to complete typical tasks so they can help monitor efficiency. The maintenance team needs to know when it is appropriate to call in a vendor because an issue is larger than what they can handle.

Keeping the shop organized will help improve efficiency as well. A shop should have minimal inventory with a system that is organized mak-ing it easy to quickly locate the parts needed. Dispose of old random parts that will never be utilized. Create smart work spaces that allow for eas-ier repairs, such as a large table to cut screens. Get rid of old couches and TVs and create appropriate lunch stations for the team to take breaks.

Compile a standard specs list for your community making it easier to order supplies and creates a more consistent apartment turn for resi-

dents. It is easier to find the parts you need when the specs are the same throughout the property.

Create a record documenting the property systems, dates replace-ments occurred, annual inspection dates and routine maintenance cal-endars. Plan the year ahead by cre-ating a capital planning board in the shop. Map out the plan for the year ahead and what items are budgeted or planned for in each month.

Set the tone that a great attitude goes a long way. Coming to the prop-erty with a “can do, get it done” outlook will make a huge difference in performance. Ask for their com-mitment to excellence and to bring 100%. Invest in your maintenance team through training. Maintain consistent oversight – “inspect what you expect”. Follow up with recog-nition, rewards and appreciation. Validate how valuable they are to the operations of your communities and definitely don’t accept the statement “I just do maintenance.”


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employees’ education, training and career development is an invest-ment in the future of the company and properties under management. Employees are your internal cus-tomers.

If employees see that a company is invested in their performance and their future growth, employees will be loyal, happy and productive. Employee turnover will be reduced and performance will be enhanced. After devoting time to employee training, make sure to give employ-ees all the tools they need to be suc-cessful. Then, find ways to measure customer satisfaction and make needed changes to improve.

The Washington Multi-Family Housing Association has many dif-

ferent opportunities for companies and career-oriented employees of all positions to learn, grow and ex-pand their skills through classroom and online learning. As you begin the budgeting process soon for your company or property, make sure to budget for employee training and development. Doing so provides the best return on investment you can make.

For information on joining the Washington Multi-Family Housing Association or services provided, visit www.wmfha.org and review all that we have to offer. Have a great summer!



PROPERTY NAME

NAME

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Send for your FREE subscription to Professional Publishing, Inc., PO Box 6244 Beaverton, OR 97007 • (503) 221-1260 • fax (503) 221-1545

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By Marc Courtenay

Whether you’re following your passion or just trying to be successful at what

you do for a living, it always counts to be in that esteemed group we call “outstanding”.

There is more research surfacing that gives practical guidance on the characteristics of those who flourish and those who flounder.

It’s not just motivation that mat-ters; it’s also having the right infor-mation. That’s one of the reasons you come to propertymanager.com and read these articles. One great idea can enhance your well-being.

In a fascinating book titled “So Good They Can’t Ignore You” by Cal Newport Ph.D. I found some power-ful insights on being both outstand-ing and what Newport calls “re-markable” in our chosen occupation.

His premise is found in the sub-title of the book; “Why skills trump passion in the quest for work you love.”

It’s based on the old axiom that the more skills you have and the more experience you accrue the bet-ter your chances of experiencing both personal career satisfaction and exceptional rewards.

“The law of remarkability” is in-troduced colorfully in chapter 15 of

this highly recommended book.Newport states that great mis-

sions are transformed into great successes as a result of finding (and doing) great projects that satisfy this “law”. It starts by defining the word remarkable.

Literally, it means to be so amaz-ing, so exceptional that people can’t help being inspired to remark about you and what you’re doing. It brings new meaning to the term “word of mouth advertising”.

For example, I know of a property manager who organizes and spon-sors an annual seminar that’s open to owners, landlords, investors and prospective participants in the rental property industry.

This seminar also includes people who are residents. She actually in-vites any renter who wants to learn how to find, improve and hold onto top quality residential rentals. The first year’s results were sketchy.

By the third year she was attract-ing prospective clients, lenders, com-munity leaders and the attention of the local media. People were being to remark to one another about the seminar’s value and its sponsor.

Some attendees were so impressed they asked to co-sponsor the seminar the next year. It became so popular that the property manager who be-gan this project didn’t need to pro-

mote it or market it.Like a remarkable property man-

agement company, the seminar was promoting itself. The reputation of the individual who started the semi-nar was transformed in many posi-tive ways.

She was perceived as a positive force for good in her community and was invited to speak before public service organizations like Kiwanis, Rotary and the local Chamber of Commerce.

It won’t surprise you that her re-ferrals tripled by the third year and last I had heard she was turning away business because she was so busy. She told me she enjoyed refer-ring them to her competition.

Her competition couldn’t believe that she would do this and offered to take her to dinner in gratitude. Over a fine meal she forged an alliance of cooperation, mutual respect and op-portunities to collaborate.

If you want to be a remarkable property manager be so creative, proficient and willing to do just a little more than the average that your community feels compelled to re-mark about you to others.


Being a “Remarkable” Property Manager

www.rentalhousingjournal.comThe statements and representations made in advertising and news articles contained in this publication are those of the advertiser and authors and as such do not necessarily reflect the views or opinions of Professional Publishing, Inc. The inclusion of advertising in this publications does not, in any way, com-port an endorsement of or support for the products or services offered. Metro Apartment Manager is produced monthly and is published by Professional Publishing Inc. PO Box 6244 Beaverton, OR 97007. (503) 221-1260 - (800) 398-6751 © 2014 All rights reserved.

Publisher Will Johnson • [email protected]

Designer Steve Olsen • [email protected]

Advertising Sales Will Johnson • [email protected]

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18

Conserving Energy for a Sustainable Future

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to you and those on your executive teams

Want to hear more about this im-portant topic or ask some additional questions about how to create walls that sell? Send an E-mail to [email protected] and The Coach will

E-mail you a free PowerHour invita-tion.

Author’s note: Ernest F. Oriente, a business coach/trainer since 1995

[32,170 hours], serving property man-agement industry professional since

1988--the author of SmartMatch Alli-ances™, the founder of PowerHour® [ www.powerhour.com ], the founder of

PowerHour SEO [ www.powerhourseo.com ], the live weekly PowerHour

Leadership Academy [ www.power-hourleadershipacademy.com/pm ] and

Power Insurance & Risk Management Group [ www.pirmg.com ], has a pas-sion for coaching his clients on execu-tive leadership, hiring and motivating

property management SuperStars, traditional and Internet SEO/SEM

marketing, competitive sales strategies, and high leverage alliances for property

management teams and their leaders. He provides private and group coaching

for property management companies around North America, executive re-

cruiting, investment banking, national utility bill auditing, national real estate

and apartment building insurance, SEO/SEM web strategies, national

WiFi solutions [ www.powerhour.com/propertymanagement/nationalwifi.html

], powerful tools for hiring property management SuperStars and build-ing dynamic teams, employee policy

manuals [ www.powerhour.com/prop-ertymanagement/employeepolicymanu-

als.html ] and social media strategic solutions [ http://www.powerhour.

com/propertymanagement/socialme-dialeadership.html ]. Ernest worked for

Motorola, Primedia and is certified in the Xerox sales methodologies. Recent interviews and articles have appeared

more than 8000+ times in business and trade publications and in a wide variety

of leading magazines and newspapers, including Smart Money, Inc., Busi-ness 2.0, The New York Times, Fast Company, The LA Times, Fortune,

Business Week, Self Employed America and The Financial Times. Since 1995,

Ernest has written 225+ articles for the property management industry

and created 400+ property manage-ment forms, business and marketing

checklists, sales letters and presentation tools. To subscribe to his free property

management newsletter go to: www.powerhour.com. PowerHour® is based in Olympic-town…Park City, Utah, at 435-615-8486, by E-mail ernest@pow-

erhour.com or visit their website: www.powerhour.com

The Coach...continued from page 18



Google, eBay, Intel and Gener-al Mills offer classes on it. So do Harvard Business School,

Ross School of Business and Clare-mont Graduate University, among other campuses. Mindfulness is not just a corporate trend, but a proven method for success.

Mindfulness – being focused and fully present in the here and now – is good for individuals and good for a business’s bottom line.

How can people practice it in a workplace where multitasking is the norm, and concerns for future profits can add to workplace stress?

“Even if a company doesn’t make it part of the culture, employees and managers can substitute their mul-titasking habits with mindfulness in order to reduce stress and increase productivity,” says Dr. Romie Mush-taq, www.BrainBodyBeauty.com, a neurologist with expertise in Mind-Body medicine and Mindful Living.

“The result that you and your colleagues will notice is that you’re sharper, more efficient and more cre-

ative.”Dr. Romie says the physiological

benefits of clearing away distractions and living in the moment have been documented in many scientific and medical studies.

“Practicing mindfulness, whether it’s simply taking deep breaths, or actually meditating or doing yoga, has been shown to alter the structure and function of the brain, which is what allows us to learn, acquire new abilities, and improve memory,” she says. “Advances in neuroimaging techniques have taught us how these mindfulness-based techniques affect neuroplasticity.

“Multitasking, on the other hand, depresses the brain’s memory and analytical functions, and it reduces blood flow to the part of the right temporal lobe, which contributes to our creative thinking. In today’s mar-ketplace, creativity is key for innova-tion, sustainability and leadership.

Romie offers these tips for prac-ticing mindfulness in a multitasking business:

• Focus on a single task for an allotted amount of time. You might say, “For 15 minutes, I’m going to read through my emails, and then for one hour, I’m going to make my phone calls,” Dr. Romie says.

If your job comes with constant in-terruptions that demand your atten-tion, take several deep breaths and then prioritize them. Resist the urge to answer the phone every time it rings -- unless it’s your boss. If some-one asks you to drop what you’re do-ing to help with a problem, it’s OK to tell them, “I’ll be finished with what I’m doing in 10 minutes, then I’m all yours.”

• When you get “stuck” in a task, change your physical environment to stimulate your senses. Sometimes we bounce from one task to another because we just don’t have the words to begin writing that strategic plan, or we’re staring at a problem and have no ideas for solutions.

“That’s the time to get up, take a walk outside and look at the flowers and the birds – change what you’re seeing,” Dr. Romie says. “Or turn on

some relaxing music that makes you feel happy.”

Offering your senses pleasant and different stimulation rewires your brain for relaxation, and reduces the effects of stress hormones, which helps to unfreeze your creativity cen-ter.

• Delegate! We often have little control over the external stresses in our life, particularly on the job. How can you not multitask when five peo-ple want five different things from you at the same time?

“Have compassion for yourself, and reach out for help,” Dr. Romie says. “If you can assign a task to somebody else who’s capable of han-dling it, do so. If you need to ask a colleague to help you out, ask!”

This will not only allow you to fo-cus on the tasks that most need your attention, it will reduce your stress.

“And who knows? The colleague you’re asking for help may want to feel appreciated and part of your team!”

3 Tips for Practicing Mindfulnessin a Multitasking Workplace

and Give You Better Lighting at the Same Time

...continued on page 27



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By Marc Courtenay

One of the challenges in the management of rental prop-erties involves collecting

from residents behind on rent pay-ment. Knowing the laws which gov-ern the methods used for collection is a vital first step.

We can debate how far we’d push the envelope to make sure the rent is collected, but the key to avoiding legal trouble is awareness and com-pliance with federal, state and local regulations.

A good place to begin is the fed-eral government’s “Fair Debt Collec-tion Practices Act” which is enforced by The Federal Trade Commission (FTC). You can go directly to their web page on this topic for details.

Two relevant declarations that motivated Congress to enact this leg-islation speaks volumes:

There is abundant evidence of the use of abusive, deceptive, and unfair debt collection practices by many debt collectors. Abusive debt collec-tion practices contribute to the num-ber of personal bankruptcies, to mar-

ital instability, to the loss of jobs, and to invasions of individual privacy.

It is the purpose of this title to eliminate abusive debt collection practices by debt collectors, to insure that those debt collectors who refrain from using abusive debt collection practices are not competitively dis-advantaged, and to promote consis-tent State action to protect consum-ers against debt collection abuses.

The complete text of the Fair Debt Collection Practices Act (FDCPA) is found here. It’s challenging to read but it does cover in detail the inten-tions and protocols of the FDCPA.

Then there are state and local reg-ulations to know about. The good news is that each state and many municipalities have updated online explanations of these laws. Most are common sense but the details are where managers and their staffs can get entangled.

This topic was recently discussed at the PropertyManagers.com dis-cussion page on LinkedIn. The ques-tion of what constitutes being “too aggressive” was raised in regards to Community Management Asso-

ciations (CMA). The feedback turned in the direction of how it applies to property managers.

One property manager responded by writing, “Aggressive to me would entail going door to door instead of the normal practical methods of get-ting tenants to pay on time. Are there other ways to promote timely pay-ments?”

That’s the main question, and responding to it another manager wrote, “Depending on the property, door knocking, notices, phone calls and e-mail generally work.

“Using the threat of an eviction af-

ter say the 10th or 15th (after proper 3 or 5 day notices have been delivered) has proven most effective for myself as they do not want that on their re-cord, the associated court costs due to dismiss the eviction or the ruined rental history. Being consistent on this and requiring signed arrange-ments are usually an effective strat-egy”, he concluded.

This topic reminds us of how im-portant it is to screen applicants thor-oughly. Once you’ve found qualified residents consider having a question-and-answer discussion concerning

Knowing the Limits on Collection Practices for Property Managers




Responding to Maintenance Emergencies

By Mary Girsch-Bock

Years ago, while living in Las Vegas, a summer thunder-storm wreaked havoc on my

apartment. Lightning eventually struck the roof of my loft, creating a fairly significant hole in the roof. Since it was late, I placed a bucket under the hole to catch the still-fall-ing rain and called the management office to report the damage.

I left four messages that evening; none were returned. The roof was eventually fixed; five days later. Each day I prayed that the summer monsoon rains would stay away un-til the roof was fixed.

I was lucky about the weather. Not so much about my choice of apartment communities. What re-ally angered me was the lack of con-cern about a serious problem that a tenant had. I didn’t expect them to come out that evening in the middle of a storm to fix the roof. I did ex-pect them to call me back and let me know that it would be taken care of. That lack of concern was what I put on my 30 day notice, when I chose not to renew my lease.

Are you available for your resi-dents 24-7? That doesn’t mean fol-

lowing up on minor issues that can be easily addressed in the light of day. It does mean that when your tenant has a legitimate concern, are you easily reachable, even if just for some reassurance?

If you’re a little confused on what

constitutes a legitimate emergency, here are some issues that proper-ty managers should respond to as quickly as possible. And remember, if you’re not sure, err on the side of the emergency being important and pick up the phone and call.

Major leaks, including both storm related damages, or issues such as a toilet or sink overflowing from an upstairs units.

Lack of heat. This is an issue that needs to be addressed immediately, particularly in colder climates.

Any structural issues. This can in-clude anything from collapsing bal-conies, stairways, carports, or ceil-ings.

Any gas smells. While hopefully tenants have been instructed to call the local gas company in the event of a gas smell, this is an issue that man-agers need to address promptly.

Lack of running water. Again, this is an issue that constitutes an emergency, and property managers should respond accordingly.

While property managers should

never be expected to respond to ev-ery issue that arises after hours, it’s important for tenants to know that should an emergency arise outside normal business hours, their proper-ty manager is only a phone call away.


p

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Multitasking ...continued from page 24Collection ...continued from page 25

timely payments.Many property managers have a

one-page “collections agreement” that clearly spells out what will hap-pen if the resident is late on paying rent. The manager has them sign it and gives them a copy.

Make sure you know your rights as a property manager, and make sure if you use a “collections agree-ment” the wording is legally sound and in harmony with the laws.

There are also collection agencies and “debt collection specialists”.

One that I corresponded with wrote, “Collection agencies must have licenses in most states. In my company, everybody (including my-self) must take courses and get des-ignations from the ACA and other trade organizations. Nobody in my organization talks to a debtor with-out taking the course, passing the ex-ams, and getting the designations.”

If you have suggestions and expe-rience on the subject of effective and legal collection practices please leave them in the comments section. It’s a need-to-know topic for all property managers.


While it is possible to practice mindfulness in a hectic workplace, Dr. Romie says she encourages busi-ness leaders to make it part of the company culture. Stress-related ill-nesses are the number one cause of missed employee workdays.

“Offering mindfulness training and yoga classes or giving people time and a place to meditate is an excellent investment,” she says. “Your company’s performance will improve, you’ll see a reduction in

stress-related illnesses and you’ll be a more successful businessperson.”

About Dr. Romie MushtaqDr. Romie is a mind-body medicine

physician and neurologist. She did her medical education and training at the

Medical University of South Caro-lina, University of Pittsburgh Medical

Center and University of Michigan, where she won numerous teaching and research awards. She brings to healing

both her expertise of traditional Western medical training and Eastern modali-

ties of mindfulness. She is currently a corporate health consultant and profes-sional health and wellness life coach at the Center for Natural and Integrative

Medicine in Orlando, Florida. She is also an international professional

speaker, addressing corporate audiences, health and wellness conferences and

non-profit organizations. Her website is www.BrainBodyBeauty.com.

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