Publish-pandemic return-to-office efforts have stagnated. Regardless of a slight uptick in September, VTS Workplace Demand Index (VODI) evaluation has usually been trending downward in latest months amid rising rates of interest and a cooling labor market. In response to American Actual Property Companions (AREP), one doable path to get staff again to the workplace is perhaps by a extra responsive tenant expertise.
VTS caught up with Paul Schulman, principal and COO of AREP. The institutional fund supervisor and working companion of a $5.1 billion portfolio has, partly, used its AREPx tenant engagement app, constructed from the VTS Rise platform, to enhance how tenants really feel about their office. Right here they speak about AREP’s customer-centric philosophy, how they strategy creating high quality of their properties, and the significance of offering a way of place.
(For extra on the collaboration between VTS and AREP, watch this video: Why AREP selected VTS Rise to energy their tenant expertise.)
VTS: Inform us a bit about your position at AREP. What are you answerable for?
PAUL SCHULMAN: As principal and COO at American Actual Property Companions, I’m answerable for all day-to-day actions all through the corporate’s 10 million square-foot portfolio. Along with managing investments on behalf of our traders and purchasers, my staff and I are laser-focused on making tenants’ lives simpler and offering them with the instruments they should thrive in the course of the day. As we proceed to adapt to hybrid work, AREP is delivering high-quality properties centered across the tenant expertise, prioritizing their total well being and well-being, and making certain that they’ve entry to world-class facilities and repair choices.
VTS: It’s no secret that tenant expectations are greater than ever earlier than. On the similar time, throughout the US, new workplace demand seems to be stagnating. What do you suppose is required for landlords in company, regional, and asset-level roles to achieve success in as we speak’s industrial actual property market?
SCHULMAN: Within the post-pandemic world, we’re seeing an increasing number of tenants transfer to high-quality buildings with state-of-the-art facilities. If property homeowners need to draw extra folks again to the workplace, they have to create a workspace the place folks actually need to be. Meaning providing perks like shared indoor/outside workspaces with seamless connectivity, curated meals choices, and actions like yoga courses. Extra considerably, it means approaching our tenants’ expertise, together with well being and well-being, holistically from the within out. Property homeowners should be versatile and able to pivot. Those who supply a value-rich office expertise whereas remaining nimble would be the greatest poised for fulfillment going ahead.
VTS: There’s historically been a disconnect between tenants, property managers, leasing, and asset administration groups. How do you suppose these teams might work higher collectively, particularly?
SCHULMAN: Tenant prospects are an important folks in each constructing’s ecosystem. And property know-how instruments, or proptech, allow us to optimize the tenant expertise — serving to homeowners seamlessly join with them and perceive their wants. Constructing a high-quality tenant engagement platform is without doubt one of the most necessary issues property homeowners can do. For instance, constructing apps give tenants extra management and comfort, enabling them to simply reserve a convention room or occasion area, entry unique occasions and perks, order from neighborhood retailers, get up-to-date constructing info, and join shortly with property managers. Having a seamless tenant engagement platform additionally presents an extra alternative for homeowners to hearken to tenants’ desires and issues in addition to perceive how they use the constructing.
VTS: How are you championing that change at AREP? What does tenant expertise imply for occupants and asset-level groups?
SCHULMAN: We partnered with VTS Rise, the business’s most complete tenant engagement platform, to construct and energy AREP’s tenant engagement app referred to as AREPx. The app offers curated, unique programming particular to every property and provides our tenants and guests a best-in-class tech-enabled expertise. AREPx delivers important info and alerts and permits tenants to speak any points on to property managers, making certain issues are resolved shortly. Not solely does AREPx ship on our promise to create inviting, value-rich workplaces, however it additionally permits us to domesticate neighborhood companies and supply a customer-centric atmosphere that distinguishes us throughout our markets.
VTS: What’s your tenant expertise imaginative and prescient for AREP? How are you enabling that by know-how, insights, and folks?
SCHULMAN: As a result of AREP is uniquely positioned throughout city & suburban environments in a number of markets, we perceive the place and the way folks need to work. As I discussed earlier than, proptech is a key pillar of the tenant expertise, particularly within the age of hybrid work. Our knowledge and analysis inform our technique for crafting the last word tenant expertise, regardless of the time of day. Guaranteeing tenants have every thing they should reside, work and play at our properties is a core a part of our imaginative and prescient.
As know-how evolves, AREP will proceed to maintain tenants related by the AREPx app and our state-of-the-art wi-fi know-how. Well being and wellness stay entrance and middle within the amenity combine. From the second folks step into one among our buildings, we wish them to know that their well being is our high precedence. Not solely is our whole portfolio WELL Well being-Security Rated, AREP is the primary industrial actual property firm within the US to attain the UL Wholesome Buildings Verification for Indoor Air and Water portfolio-wide. The overwhelming majority of AREP’s properties are in prime areas with proximity to food and drinks choices, health and life-style services, retail, and transportation. Not solely can we guarantee our tenants have a high quality office, however we carry a vibrant post-work expertise to them. All of our tenants are in a considerate area deliberately designed round work and play.
VTS: How are you driving engagement and adoption of know-how throughout AREP’s portfolio?
SCHULMAN: Within the age of hybrid work, it’s extra necessary than ever that our tenants are properly related. Along with AREPx, we’ve got prioritized community velocity and knowledge connectivity. We’re proud that a variety of buildings in our portfolio have achieved WiredScore certification for future-ready, best-in-class, safe web connectivity and infrastructure.
VTS: What do the subsequent 6-12 months seem like from a tenant expertise perspective? What are you most enthusiastic about?
SCHULMAN: The race to innovate constructing facilities will proceed over the subsequent 12 months. As homeowners and property homeowners look to draw and retain tenants — and tenants look to carry their workforce again to the workplace, bodily facilities like hospitality/meals choices, gyms, versatile assembly areas, and rooftop work or getaway niches are essential to fostering group, connection, and belonging. However as we speak’s constructing homeowners should look past these conventional perks. Meaning exploring new sorts of partnerships that ship distinctive experiences and make tenants really feel particular. For instance, our whole AREP property administration staff is an important amenity, connecting our tenants to the issues they want.
When it comes to what I’m enthusiastic about, I’m at all times taking a look at methods to innovate; to proceed leveraging know-how with different companions to realize essential info from our tenant prospects, and the way we will apply this to reinforce their expertise. We’re within the folks enterprise.
For extra on the VTS Rise platform, go to vts.com/vts-rise.
