What are Smart Apartments? To define a Smart Apartment let’s start with the definition of a Smart Building. True Occupancy defines a smart building as, “one that uses technology to enable efficient and economical use of resources, while creating a safe and comfortable environment for occupants….Internet of Things (IoT) sensors, building management systems, artificial intelligence (AI), and augmented reality are amongst some of the mechanisms and robotics that may be used in a smart building to control and optimize its performance.”
Given that definition we can define a Smart Apartment as, “an apartment that uses Internet of Things sensors, building management systems, artificial intelligence, and augmented reality to enable efficient economical use of resources, while creating a safe and comfortable environment for residents.”
Why deploy Smart Apartments across your communities?
Ancillary Revenue
Smart Apartments not only increase your revenue through rent increases for desirable amenities but they will also reduce the costs to operate your communities in many ways. While it may be hard to believe, Wakefield Research found that, “on average, millennial renters would pay about a fifth more for smart home features.” Right from the start Smart Apartments are able to increase your top-line up to 20%.
Energy Savings
The U.S. Department of Energy estimates that homeowners can save up to 30% on their energy bill by having a smart thermostat. When units are vacant you can set up schedules so that the temperature in your Smart Apartments are always at the optimal temperatures. As for when units are occupied this is a very desirable amenity for a couple of reasons. The first being that tenants feel that they can save on energy costs which seem to be rising and rising lately. The second is that according to a survey done by AMLI Residential in 2020 found, “that 83% of residents believe living in a green apartment is beneficial to their health.”
Operational Efficiency
Operational efficiency is key in running a profitable multifamily community. With features like being able to give contractors access remotely, creating new access codes in minutes for new residents, reducing risk of flood damage and much more. Being able to manage all of this from the Enterprise Dashboard means you have your communities under control from anywhere you have access to the internet.
Insurance Savings
While Smart Apartments have the ability to increase your top-line revenues by 20% it is important that they also decrease your expenses to be able to drive the NOI of your communities. While insurance savings will depend on the company you work with, we have seen Smart Apartments save anywhere from 5% to 15% on insurance costs for multifamily communities.
Competitive Advantage
While it is hard to stand out with many communities offering a wide range of amenities, Smart Apartments can do just that for you. Smart home technology is becoming more common amongst homeowners. Our Smart Apartment solution makes it easy to stand out to prospective residents. Once residents move in and become connected to their apartments it will be difficult for them to move somewhere else that doesn’t offer this connection to their home.