for Tenants and Residents
SHELDON OPPERMANN, CPM
COMPASS PROPERTIES, LLC
LAURA KLECZKOWSKI, ARM
MANDEL GROUP, INC.
Providing concessions to attract new tenants and residents is a tactic that has been around forever. The most common concession is providing free rent for an initial period of time. But, free rent can feel so empty. So,
why do we keep doing it? Stop getting nothing for giving something. Change your
marketplace by changing your thinking. Work to better understand what motivates rental decisions. Thinking about concessions in terms of money, time and
emotion can be your advantage.
Money: There are creative ways to put more money in tenants’ and residents’
pockets without it coming from yours, such as reduced security deposits or amenity feea. You could even offer storage or parking at reduced rates, or for free.
Time: Provide concierge services or pet parks to save time for tenants and
residents. Think of ways to provide services to reduce the amount of time they
would spend on daily tasks—this can be a strong motivator for some.
Emotion: Create social media communities or resident lounges. Undertake
green activities that make people feel like they are helping the environment.
There are any number of ways to attract tenants and residents without resorting to the typical free-rent concessions. It only takes a little creativity and thinking about things from a difference perspective.