16A — April 2025 — Owners, Developers & Managers — M id A tlantic Real Estate Journal
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O wners , D evelopers & M anagers
esidents choose apartments for a number of different By Becky McLaughlin, WithMe, Inc. Convenience-focused amenities boost resident retention R on coffee alone. The moment an amenity becomes part of a resident’s workspaces and premium amenities essentials rather than perks. Convenience is
By Richard J. DeMarco, AIA NYC commercial-to- residential feasibility continued from page 2A
have a maximum FAR of less than 12. While commercial buildings might have a FAR between 18 and 25. Commercial buildings with large footprints with windows only on the exterior perimeter are more challenging to con- vert. Our firm has addressed this by removing core floor spaces on the lower levels to create light wells that extend to the roof. This solution creates an added benefit, as the square footage eliminated from the lower floors may be recovered elsewhere, typically through upward expansions. We have used the inner core spaces to create highly-desirable tenant amenities such as gyms, movie theaters and art studios, which don’t require windows. 3. Test fit. Once the initial analysis has been performed, the development team moves on to the test fit analysis, which focuses on fitting a high value-producing layout of residences within the existing building. This establishes the potential revenues from the converted building. Forecast While a significant number of conversion projects is being evaluated, additional factors will influence the market go - ing forward. These include the new US administration’s housing policies, economy, lo- cal regulations, lending rates and return-to-the-office poli - cies. Property-specific factors such as locations and local demand will continue impact- ing individual buildings. Richard J. DeMarco, AIA is principal of MADGI Design. MAREJ
of Yes” makes these buildings attractive for conversions. Feasibility Evaluation These are the factors to con - sider when evaluating the fea - sibility of a conversion: 1. Loss factor, which is the amount of space a tenant has to rent but can’t actually use, such as the lobby, electrical closets and fire stairs. This metric depends on a floor plate size and design, and defines the prospective financial benefit of a conversion. An average office building in NYC has a loss factor of around 27%, with a range of 20% to 37%. Per the industry’s standards, only 80 to 85% of a formerly commercial building can be rented once converted, so the income would need to be at least 30-40% higher than in the office use to make the conversion viable, unless office spaces are vacant. With large office towers, the cost of conversion typically ranges from $350 to $400 psf. In smaller buildings that cost might increase to $450 psf. 2. Design feasibility. Build - ings with a smaller footprint are easier to convert due to regulations. Light and air ac - cess laws dictate that in each occupied space in a residence the window size must amount to at least 10% of the size of the entire space, with half of them operable. This is why a building’s Floor Area Ratio (FAR) – which mea - sures the ratio of a zoning-al - lowed floor area to a total area of the lot – determines if/how a building can be converted. Typically, residential buildings
reasons — location, p r i c e , square foot- age. But they stick around for something rarely called out in mar- keting ma-
Today’s renters expect their buildings to function like a service platform — anticipating needs and eliminating friction at every turn.
Becky McLaughlin
no longer just about location; it’s about creating an environ - ment that offers flexibility, comfort and seamless access to resources that support work-from-home routines. A key part of that equation is reliable internet connectiv - ity. Sixty-seven percent of renters want pre-installed Wi-Fi — up from 62 percent two years ago — and 87 percent consider immediate internet access at move-in either very important or ab - solutely essential. Beyond fast internet, re - mote workers rely on practi- cal, high-use amenities that help them stay productive without leaving the build - ing. According to the 2024 NMHC & Grace Hill Renter Preferences Survey Report, 98 percent of residents value free Wi-Fi, 90 percent pri - oritize self-serve wireless printing and 88 percent want on-site beverage stations in shared workspaces. Communities that provide always-on connectivity and high-use amenities aren’t just removing pain points. They’re creating an environ - ment where residents can work comfortably, focus bet - ter and stay longer. Amenities residents actually use The reality is, not every amenity earns its keep. High- end perks might look impres- sive, but they’re often under - used. Meanwhile, the unsung heroes — practical, everyday conveniences — drive reten - tion because they become baked into residents’ routines. Coffee, for example, isn’t just a nice-to-have — it’s a daily ritual for 73 percent of Americans. When residents can grab their morning cup without leaving the building (or dipping into their wallet), it adds real, tangible value. In communities offering WithMe, Inc.’s coffee solu - tion, SipWithMe, residents save at least $20 per month
daily routine, it stops being just another feature — it becomes something they rely on. And when something feels essential, leaving isn’t an option. Convenience as an operational advantage Convenience-focused amenities do more than make residents happy. They make life easier for property teams, too. Self-serve, tech-driven solutions can automate sup- ply tracking, reduce ser- vice requests and eliminate maintenance headaches. That means less time spent troubleshooting and more time improving the resident experience and optimizing community operations. The financial case is just as compelling. Every renewal saves property managers close to $4,000 in turnover costs. When properties invest in amenities that simplify daily life — for both residents and staff — they create a seamless living experience that drives retention and protects the bottom line. It’s not about a full overhaul Property managers don’t need to gut their amenity programs to compete. They just need to focus on ameni- ties that add daily value. Pair seamless connectiv - ity with automated package lockers, self-serve coffee stations and secure printing, like WithMe’s wireless print - ing station, PrintWithMe, and you’ve created a friction - less living experience that adds both convenience and real financial benefits. Residents don’t stay for shiny extras. They stay when life works. Communi - ties that make this happen — with fewer headaches — are the ones residents choose to call home. Becky McLaughlin is vice president of market- ing at WithMe, Inc. MAREJ
terials: when their day-to- day life just works the way it should. Retention is one of the big - gest challenges in multifam- ily. With resident retention currently hovering around 60 percent, and over 40 per - cent of renters planning to move this year, keeping the residents you already have is just as important — if not more — than attracting new ones. And no, infinity pools and sports simulators aren’t the secret weapon. The real retention driv - ers? Convenience-focused amenities that make daily life easier. The new definition of convenience Today’s renters expect their buildings to function like a service platform — anticipating needs and elimi- nating friction at every turn. This is especially true for remote workers, who now make up a significant por - tion of the rental market. More than half (52 percent ) work from home at least part of the time, and of those, 70 percent do so every day or multiple times a week. Before remote and hybrid work became widespread, convenience in multifamily housing was largely defined by proximity to workplaces, transportation and essential services. Residents priori - tized easy commutes, nearby dining and retail options and on-site amenities that sup- ported social engagement and leisure. Common areas were designed for relaxation and entertainment rather than productivity, and in- unit features catered to tra- ditional living needs instead of home-office functionality. Now, with home doubling as the office, expectations have changed. Residents seek spaces that support both work and daily life, making high- speed internet, dedicated
Shorewood Real Estate Group launches leasing at The Ballantine
NEWARK, NJ – Leasing has launched for The Ballantine, a new luxury rental building located on the iconic Ballantine Brewery site in Newark’s Iron - bound neighborhood. Developed by Shorewood in partnership with Bridge Investment Group , the building features a collection of 280 studio to two-bedroom residences, modern amenities, and 2,600 s/f of retail space. Monthly rents for the homes start from the $2,000’s with grand opening incentives that include up to two months free. The Ballantine was celebrat - ed earlier this year when New- ark officials and the developers
The Ballantine
joined for a ceremonial ribbon cutting ceremony held in the building’s magnificent lobby. The property was hailed for transforming a historic site once home to one of America’s oldest beer brands into a new community that will deliver new energy to the Ironbound neighborhood. MAREJ
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