The Wall Street Journal reports that Airbnb, the world’s short-term rental leader, is now conducting “listening tours” with some of America’s leading apartment management groups. Apartment owners remain a bit skeptical about Airbnb, but they’re willing to discuss revenue-sharing strategies. Multifamily Executive reports that any eventual agreements will take place only in cities that legally allow home-sharing and with hosts that are the primary legal residents.
Most apartment owners don’t want their buildings overrun with short-term renters – but it’s tempting to partner with Airbnb in some situations. Let’s say that a renter leaves a highly desirable beach location in Redondo Beach, California – or an upscale unit in Vienna, Virginia in the D.C. suburbs. The apartment owner could charge perhaps three or four times the long-term rate by welcoming short-timers and splitting the revenue with Airbnb.
Will the home-sharing phenomenon lead to a downturn in new multifamily construction? That’s highly unlikely because there’s still a big demand for long-term apartments in prime locations. Freddie Mac’s 2016 Multifamily Outlook reports that the multifamily units will continue to “enter the market at levels not seen since the 1980s”. While home-sharing companies are seeking opportunities to expand their businesses, there has not been any hard evidence that companies like Airbnb will directly affect the residential construction industry in the near future.
Big builder market share has doubled in the last 25 years and now represents about 50 percent of housing starts nationwide – and even 75 percent in some major metro areas. These mega-builders have huge budgets for both land development and marketing. It’s increasingly difficult for small and medium-sized builders to compete, but LP is committed to helping them prosper.Continue Reading
GoBankRates.com estimates that the average tax refund this year will total about $3,000. In a survey conducted by that organization, 10 percent of respondents said they plan to splurge on a vacation or luxury item when the refund arrives. But 9 percent plan to use that money for a “major purchase.”
To better serve its customers in areas of order accuracy and delivery predictability, LP has set some of the industry’s most aspirational supply chain goals. Senior leaders meet regularly with experts at Gartner, arguably the nation’s best consulting firm in the realm of supply chain optimization. The aim is to apply best practices in procurement, logistics and working capital across more than $1 billion of addressable spend.
Move aside, Old Man Winter—it’s officially springtime. Could your home’s exterior use some sprucing up before you’re officially ready to soak up the sun? This spring cleaning season, make sure you’re showing some TLC to both the interior and exterior of your home.