APARTMENT NEWS
Perspectives & Projections:
AMA Philanthropy:
NOVEMBER/ DECEMBER 2019
The official publication of the Arizona Multihousing Association
AMC Update:
What’s up down in Tucson:
Experts: Arizona apartment industry one of best in U.S.
Members give back to their communities in a big way
Amenities, services galore at The Local in Tempe
Record crowd attends Education Conference & Trade Show
Page 5
Page 7
Page 12
Page 18
Apartment News | November/December 2019
2
azmultihousing.org
One million reasons to look forward to 2020
818 N. 1st St., Phoenix, AZ 85004 phone: 602-296-6200 fax: 602-296-6178 web: azmultihousing.org
It’s truly been an honor to serve as the Chair of the Arizona Multihousing Association Board of Directors in 2019. In reflecting on the
2019 AMA BOARD OF DIRECTORS
year, I went back and reviewed my personal goals for the organiza-
EXECUTIVE COMMITTEE Chair, John Carlson Mark-Taylor Residential
tion as I transitioned into the Chair role last December.
Sharon Kuhlman Shelton Residential Dustin Lacey Mark-Taylor Residential
Vice Chair, Kim Pacheco Scotia Group Management
Omar Mireles HSL Asset Management
created by Board of Directors of
Treasurer, Reid Butler Butler Housing Company
April Morris Cox Communications
the past by amplifying our asso-
Secretary, Scott Hines, PEM Real Estate Group
Melanie Morrison MEB Management Services
Imm. Past Chair, Nicole Wray Greystar Real Estate Partners
Gloria Muñoz Maricopa County Housing
AMC Exec., Adam Greco Burns Pest Elimination
Lisa Osborn-Warne Priderock Capital Partners
My first priority was to accelerate the significant momentum
ciation’s impact, prominence and importance. Moreover, I wanted to energize the Board of Directors
Kevin Ransil JLB Partners/JLB Residential
and our fellow members with a focused goal of driving engagement, connection and candor.
BOARD OF DIRECTORS Elizabeth Beaulieu Quarterpenny Management
Mission accomplished? Steady
Krisanne Beckstead Picerne Real Estate Group
and continued growth has been
Lauren Borgeson Mark-Taylor Residential
John Carlson AMA Board Chair
a hallmark of the AMA. Today, more than 280,000 units are in
Lesley Brice MC Residential
membership; the most in the AMA’s history. Additionally, the orga-
Sue Campbell Redi Carpet
nization is the fourth-largest trade association in Arizona and one of the nation’s largest NAA affiliates.
Scott Clark Law Offices of Scott M. Clark
Operationally the AMA will significantly exceed budget expecta-
Linda Coburn NexMetro Development
tions at the end of 2019. Looking ahead to 2020, the organization
Crystal DeHoag Bella Investment Group
will be in an even better position of strength in terms of financial
Anna DiSabato Dunlap & Magee
stability, operational discipline and forward-thinking organization-
Kohl Eisenhour Avenue 5 Residential
al leadership. Long-term, this type of foundation bodes well for future successes.
Natalie Evans Apartments.com
Although much has been accomplished, we need to be even more
Kimberly Fitch Nicolosi & Fitch, Inc.
strategic in an ever-fluid business environment. Continued success
Tim Furnas Valley Wide Security
means not only enhancing our organizational strengths but to also better identify emerging threats before they occur.
Shelly Griggs Avanti Residential
What keeps me up at night? Rent control, the “shifting of the sands”
Kristin Heiple Baron Property Services
politically in our state and geopolitical issues to name a few. Any or
Robert Hicks Alliance Residential Company
all of these could negatively impact our entire industry.
Stacey Hogue Greystar Real Estate Partners
This is why growing our “war chest” of BGF (Better Government
Susan Knowles J.R. McDade
Funds) is so critical. Reaching our 2020 goal of $1 million in the BGF
Matt Koglmeier Koglmeier Law Group
would be a significant milestone for the organization and the industry.
David Kotin Kay-Kay Realty
– John Carlson, AMA Board Chair, Mark-Taylor Residential
Jim Kowalski Kowalski Construction
ON THE COVER:
The Local Apartments in Tempe hosted the final AMC event of 2019, which was attended by 80 associate members.
Apartment News | November/December 2019
3
Rich Renta Weidner John Rials Western Wealth Capital Lisa Rosenfeld HSL Asset Management Mark Schilling MEB Management Services Tina Schreiber Alliance Residential Company Stacey Searl Weidner Christine Shipley Dunlap & Magee Michelle Sinclair Evergreen Devco, Inc. Justin Steltenpohl P.B. Bell Companies Greg Stobart MG Properties Carmen Suggs ConAm David Vanek Greystar Real Estate Partners Luis Verger Shelton Residential Debbie Willis P.B. Bell Companies Mark Zinman Williams, Zinman & Parham, PC
AMA STAFF
Lauren Romero Tucson Area Association Executive lromero@azmultihousing.org Phone: 520-323-0643 Fax: 520-447-7747 Amanda Perkumas Assistant to Tucson Area Association Executive aperkumas@azmultihousing.org Phone: 520-323-0643 Sharon Hosfeld Manager of Community Outreach shosfeld@azmultihousing.org Phone: 602-296-6214 Lisa Garcia Accounting and Operations Administrator lgarcia@azmultihousing.org Phone: 602-296-6207 Shawn Kowalski Membership Administrator skowalski@azmultihosusing.org Phone: 602-296-6202 Sarah Fluke Manager of Membership and Business Development sfluke@azmultihosusing.org Phone: 602-296-6212
AMA CONTRACTORS Capitol Consulting – Government Relations Courtney LeVinus Government Affairs Consultant clevinus@azmultihousing.org Phone: 602-390-1398 Jake Hinman Government Affairs Consultant jake@azcapitolconsulting.com Phone: 602-712-1121 Graphic Design by James Dempsey Design james@jdempsey.com Phone: 602-510-5508 MadridMedia – Public Relations/ Communications Peter Madrid Owner, MadridMedia ptmadrid1975@gmail.com Phone: 480-495-3762
Courtney Gilstrap LeVinus President and CEO clevinus@azmultihousing.org Phone: 602-390-1398 Erika McDowell Director of Operations emcdowell@azmultihousing.org Phone: 602-296-6210 Michelle Rill Director of Membership, Events & Education mrill@azmultihousing.org Phone: 602-296-6205
azmultihousing.org
AUGUST-SEPTEMBER NEW AMA MEMBERS The AMA would like to welcome all new members from August & September. We are excited to work alongside you and to continue to make our association and industry the best.
AMA honors Best of Phoenix Project S.A.F.E. winners
• KSG Management Company
• AAA Landscape (Tucson)
• Matthew Chen
• Akara Property Management
• Mizar Commercial
• AKP Services DBA All Kind Painting Company
• National First Response
• American Family Insurance – Mike Stapley Agency, Inc.
• Oak Tree
• Barry’s Hardware • Breakthrough Digital • CAM Solutions • Canyons at Linda Vista Trail (M6160)
Community Theme: Solis at Towne Center, P.B. Bell Community Flyer: Velaire at Aspera, P.B. Bell
Community Participation: The Palms on Scottsdale, Greystar
n
Resident Turnout: Rehoboth Place, Dunlap & Magee
Shirley Arthur’s Committee’s Choice: Encantada Peoria, HSL
n
Regional Manager with Most Participation: Lina Wharton, Dunlap & Magee
n
Management Company with Most Property Involvement: Alliance Residential
n
Apartment News | November/December 2019
• Kenect
• AAA Landscape
• Avenue 15
“Best of” winners were:
n
• AAA Alarm & Security, Inc.
• Avalon
Close to 140 AMA member communities participated. Awards were handed out in seven categories.
n
• JL Gray Company
• Aura Watermark
Finalists and winners were honored during the 2019 Best of Phoenix Project S.A.F.E. Awards at the September AMA Phoenix Dinner Meeting.
n
• 9920 Apartments
• Palm Valley Villas • Paseo Park • Puesta Del Sol (Phoenix) • PuroClean of Chandler • Ridgepoint Apartments • Ron Bassilian • San Dominic • San Vicente
• Citi on Camelback
• Scottsdale 5th Ave
• Clean Sweep Property Services
• Sonoran Sky Contracting LLC
• Commercial Pool Repair
• Stadium Vue
• Copper State Plumbing Services LLC
• Stalwart Housing LLC
• Cordova Apartments • Coronado 137
• Stonecorner Real Estate and Development, Inc.
• Courtney Village
• Superstition Studios
• Cushman and Wakefield
• Tamarack Apartments
• Dasmen Residential
• The Allshouse Group LLC
• Dawn DeMarco
• The Local
• DDC 360
• The Mariner
• Del Coronado
• The Villas at Papago
• Desert Courtyard
• Tides at 25th Avenue
• DIJ Villas Del Sol
• Titan Security
• District at Chandler
• Tropicana Apartments
• EHS Restoration
• Unforgettable Coatings of Arizona
• Everclear Environmental Solutions
4
• Nesco LLC
• State Contractors, LLC
• Valle del Sur
• Exceed Clean LLC
• Villa Serena-Phoenix
• George P Walter
• Vista Valet Services
• Grand Canyon Painting, LLC
• Vista Village
• IDM Apartments AZ, LLC
• Watchtower Security, Inc.
azmultihousing.org
Perspectives & Projections 2019 Experts tell full house that Arizona is ‘one of the best markets in multifamily industry’ By Peter Madrid
Positive job growth. Hundreds of new residents moving into the state each day. Sound fundamentals. Pent up demand for rental housing. Based on those facts, the projection for Arizona’s apartment industry in 2020 is that it’s likely to experience a banner year, experts predicted at the 2019 AMA Perspectives & Projections industry outlook conference in September at the Hyatt Regency Phoenix. A packed room of industry leaders listened to experts from several Mike Clow, Executive Director Real Estate Services for Greystar Real Estate Partners and the 2019 National Apartment Association Chair discusses the national apartment industry outlook.
disciplines including research, data, finance, technology and the national outlook. “You are in one of the best markets in the multifamily industry,” said
Sullivan’s predictions:
opening speaker Tim Sullivan, Senior Managing Principal with Meyers Research. “While the economy is growing, it’s doing so slowly.
n
Demographics support his prediction. While Millennials comprise a great number of those living in apartment communities, they
Where does housing fall into this?
don’t want to stay renters forever;
“What worries me so much is the perception of what’s happening. Fundamentally, what’s going on is sound. But consumers hear the ‘R’ (recession) word, get frightened, and keep money in their pockets. Arizona is in a very positive place,” Sullivan said. He added that tariffs are likely to have an impact in 2020. Sullivan
n
The demand for apartments will continue to be very strong;
n
The economy will continue to grow if we remove uncertainty;
n
The 2020 election is a wild-card no one knows about.
“You guys are in a great place,” Sullivan reiterated.
said we could be heading into “if not a recession, a slow down.”
State of the national multihousing industry
“Uncertainty gives people pause,” he said. “There is a little less
Mike Clow, Executive Director of Real Estate Services for Greystar
elasticity.”
Real Estate Partners and the 2019 National Apartment Association
His benchmark:
Chair, listed story lines that have affected the national apartment
“Look at RV sales. That will tell you how the market is doing. If they’re
industry in 2019: moderate growth and solid fundamentals.
slow, it’s kind of a precursor to a recession. Things generally have
Nationally, the pipeline remains robust, Clow said. Year over year
slowed.”
rent growth is at about 3.3 percent. Rent growth in Phoenix “topped the charts” at 6 percent.
A positive benchmark – in-migration: “That’s why I love this market,” he said. “You are fortunate to have
“The U.S. Census shows that Arizona is one of the top 5 fastest growing
in-migration. You’re getting people moving in making $60,000 to start
states,” he said. “Older renters are now driving apartment renters.
and not ready to buy a home right away. They want to live in a cool
Looking ahead, to meet demand, nationally we will need to be at
apartment. This is a hot bed for single-family rental.”
4.6 million new units between now and 2030.” —continued on page 6
Apartment News | November/December 2019
5
azmultihousing.org
we’re seeing an uptick. We’re seeing renters by choice; people who want high quality in a good location. However, we’re also seeing a lack of workforce and affordable housing.” Overall, Cohen said, Phoenix is a leader in more favorable trends. Net migration is about 73,000 people a year. That’s 200 moving to Phoenix each day. AMA President/CEO Courtney LeVinus welcomes a full house of members at the Hyatt Regency Phoenix at Perspectives & Projections 2019. Affordable housing, Clow said, could be the
agents, it includes conversation systems. For
storm in an otherwise sunny forecast.
residents, it includes smart appliances.”
“That’s a big driver of apartment demand,” Cohen said. “The revival of downtown Phoenix as a live-work-play destination is another driver of demand. Right now, there are 3,800 units under construction. Of four active mul-
“Affordability has become one of the most
On the Legislative side, Weninger discussed
tifamily submarkets, downtown Phoenix has
prominent discussions across the country,” he
his 2019 PropTech sandbox bill which was
40 percent of the Valley supply.”
said. “It’s in almost every conversation thread.
modeled after Arizona’s FinTech sandbox bill
More people are cost burdened. Income has
from 2018. The sandbox bills enables a par-
not increased as rents have increased. Hous-
ticipant to obtain limited access to Arizona’s
ing policy is being driven by a generation of
market to test innovative property technology
leaders with no experience in policy.”
and financial products or services without
On the contentious topic of rent control, Clow was equally concerned. “It’s affecting ROI and the industry. Litigations. Fees. Evictions. Ask someone in Oregon or California how they handle evictions.”
first obtaining full state licensure or other
The panel featured Rep. Jeff Weninger, Leg-
Thanks to what Arizona did in response to
healthcare changes and technology. Debt is the
the economic downturn a decade ago, Glenn
biggest problem. Tech is pricey – if it delivers.
Hamer, President/CEO of the Arizona Cham-
latory reform helped us prepare for a modern said. “This state is leading the way in job creation; we’re even a state where there are more jobs than we can fill. Affordable housing is a big piece of that. We must create an economy
rector, New Build & Major Accounts, Cox
where people can find work and employers
Communications; Brad Long, Executive Vice
can fill their needs.” Looking ahead to 2020, Hamer said a healthy Arizona economy will depend on a health care
“From the research that we’ve done – and we’ve
initiative to additional education funding to a
done a lot – residents really want to be assured
rollback of reform to protect ballot integrity.
that when they move in, they are getting the technology they want today and that it will still be there in the future,” Rivas said.
Market and investment trends Michael Cohen, Vice President, Advisory Services for CoStar Group shared why the
On the topic of artificial intelligence (AI),
Arizona apartment market is outperforming
Long predicts the industry will see AI more
the U.S. market.
often in near future.
zona,” he said. “There are great headwinds.”
economy (after the Great Recession),” Hamer
resentatives; Guillermo Rivas, National Di-
COO, SmartRent.
“There are incredible opportunities in Ari-
“Tax reform, competitive packages and regu-
islative District 17, Arizona House of Rep-
President, LeaseHawk; and Demetrios Barnes,
“They’re driving what we do,” he said. “And it’s
He stressed watching money movements,
the direction in which the economy is going.
that do things for us.
demographics.
Arizona’s future is bright
The technology panel, moderated by Scott
electric vehicle chargers to AI components
Management, said global trends are driving
helping us think outside the box.”
ber of Commerce & Industry, said he likes
everything from smart buildings that include
wane, Senior Vice President at RBC Wealth
authorization that otherwise may be required.
Technology revolutionizing the industry Hines of PEM Real Estate Group, covered
In discussing investment trends, Mark De-
“A dearth of workers can strain an economy,”
“Alexa. Siri. Machines will help us go about
he said. “Right now, everyone is adding jobs,
the daily business,” Long said. “For leasing
but not as fast as before. Even in Tucson
Apartment News | November/December 2019
6
Mark Dewane Senior Vice President Financial Advisor, RBC Wealth Management
azmultihousing.org
AMA’s giving spirit lives through its many philanthropic endeavors By Peter Madrid Tucson Homeless Connect The mission of Tucson Homeless Connect
The holidays traditionally are known as the season of giving. For AMA members, it’s always the season of giving.
is to provide a single location where local agencies, government, businesses, medical providers and the faith community collaborate
AMA has raised more than $1 million the past 15 years for charitable
to help the homeless persons with basic needs, referrals and advocacy.
groups that serve at-risk families, children and individuals in Arizona.
www.tucsonhomelessconnect.org
In 2004, AMA launched Big Hearts for Little Hands, its first philanthropic endeavor. In 2011, the Arizona Multihousing Charitable Foundation (AMCF) was formed. AMCF philanthropy includes: Autism Speaks is dedicated to promoting solutions, across the spectrum and throughout the lifespan, for the needs of individuals with autism and their families through advocacy and support; increasing understanding and acceptance of autism spectrum disorder; and advancing research into causes and better interventions for autism spectrum disorder and related conditions. Autism Speaks enhances lives today and is accelerating a spectrum of solutions for tomorrow. www.autismspeaks.org UMOM New Day Centers Since 1964, UMOM new day centers has been dedicated to helping homeless families. The face of homelessness in Phoenix has changed throughout the decades, and UMOM has risen to the
The AMCF Big Hearts Phoenix Bowl-A-Thon is one of AMA’s most popular fund-raising functions. The 2019 event was held in August at Brunswick Zone Mesa.
challenge of providing food, clothing, and shelter to those in need since
Members give back
its inception. UMOM provides families facing homelessness with safe shelter, housing and support services so they can reach their greatest
MC Companies’ Sharing the Good Life Foundation: For more than 10 years,
potential. UMOM’s mission is to prevent and end homelessness with
MC Companies has participated in two annual corporate initiatives,
innovative strategies and housing solutions that meet the unique
Cystic Fibrosis and Autism. In addition, there are numerous other
needs of each family and individual. www.umom.org
opportunities for employees to be involved in giving back to the
Our Family Services (Tucson) provides shelter and support to homeless
community. These endeavors have resulted in MC Companies giving
children, youth and families through transitional housing, counseling
$1.2 million back to the communities in which its employees live.
and case management. They help build stronger communities, pro-
In 2019 MC had participated in the Cystic Fibrosis Great Strides walks
mote skill building and provide services for elders and adults with
in Tucson and Tempe (as well as Dallas, San Antonio and Tulsa, Okla-
disabilities live safety & with dignity in their homes. They are also
homa. Residents, employees and investors all raised money for CF
licensed as a behavioral health care institution by the Arizona Depart-
at the various properties, corporate office and at the annual Investor
ment of Health Service and help provide information and referrals. www.ourfamilyservices.org
Apartment News | November/December 2019
—continued on page 8
7
azmultihousing.org
Summit. Along with a donation from the Sharing the Good Life Foun-
a recent heavy winter season, Bella made emergency contributions
dation, they were able to donate $100,000 to Cystic Fibrosis this year.
to Catholic Charities’ hotel voucher program to provide emergency winter housing for families experiencing homelessness when the
Lesley Brice, President of MC Companies, is the 2019 chairperson
weather was most dangerous.
for the Autism Walk as MC kicked off its fundraising efforts at its properties on Aug. 1. With help from its strategic partners (Interior
Earlier this year the Flagstaff community was rocked by the untimely
Logic Group, CBRE, Crest Insurance, Sherwin-Williams) who give to
passing of Crystal Morgan, a young mother who was the victim of
the Sharing the Good Life Foundation through its rebate program, MC
domestic violence. The team was personally impacted; she had just
supports its corporate initiatives and as well as many other charities.
been approved to move into one of its apartment communities, and had various connections to a number of its team members.
MC Companies is all about personal connections and coming together to have a positive impact. Its best “feel-good” story is the award the
The BiG Fund sprang into action, coming together to recognize the
Children’s Craniofacial Association (CCA) was awarded from the Shar-
memory of this young mother and valued community member through
ing the Good Life Foundation to support its “Choose Kind” initiative.
donations to a fund established for her children, a local domestic
The mission of CCA is to empower and give hope to individuals and
violence shelter and the Arizona Coalition to End Sexual and Do-
families affected by facial differences.
mestic Violence.
The Bella Initiative of Grace (BiG) Fund: The BiG Fund is a collaboration
A memorial carnival was held in June. The BiG fund was able to pur-
between Bella Investment Group’s owners/investors and Bella team
chase all the food; team members also volunteered. Families mingled
members to create meaningful change in local, statewide, national
with business owners and community members as a larger Flagstaff
and global communities. It is a company-wide initiative with team
family – to honor Crystal, recognize her memory and ensure her
members making personal contributions and serving as our base
lasting legacy in the community.
of “champions” who bring organizations to the “Fund Managers” for funding and volunteer opportunities. The BiG Fund was launched in 2018. It prides itself on making a “BiG difference” in the communities the Flagstaff-based firm serves. During
—continued on page 9
Laundry just got easier. At WASH, we are transforming the laundry experience with intelligent systems and easy-to-use apps.
Learn more at wash.com/tech 800-777-1484
• Pay from your phone with mobile payment • Check machine availability and get alerts when your laundry is done • Scan a barcode on a washer to request service
Because there is more to life than laundry. Apartment News | November/December 2019 WS19-035 Just Got Easier Ad 7_25x4_8125.indd 1
8
azmultihousing.org
5/28/19 9:09 AM
Shelton Residential collected more than 400 toys for UMOM’s 2018 Holiday Toy Drive. Other Shelton Residential charitable efforts include Back to School Backpack Drive, AMCF Big Hearts and Holiday Dinners at Shelters.
Shelton Residential cares about moms and kids:
HSL Stuff the Bus: This is the most engaging
Other HSL philanthropic endeavors include
Its UMOM Holiday Toy Drive, Back to School
charitable program for Tucson-based HSL
participating in the Hunger Walk, raising
Backpack Drive, AMCF Big Hearts and Holi-
Properties. Partnering with Sun Tran and
money for the Ronald McDonald House and
day Dinners at Shelters are a few of Shelton’s
KGUN Ch. 9, each of HSL’s communities bring
volunteering to help build a house with Hab-
the food they have collected at their sites to
itat for Humanity.
philanthropic efforts. More than 400 corporate and community employees over four states participate in all of its charitable efforts. Its feel-good story: The mother of one of Shelton Residential’s maintenance supervisors (he’s at Tamarron Apartments) hand makes quilts and donates them to babies through UMOM. This year she donated more than 100 quilts to Shelton Residential to give to UMOM this winter.
be weighed on a large industrial scale, then placed on a Sun Tran bus. The apartment communities compete to see who can raise the most pounds. HSL also gets to interact with Tucson residents, who stop by a central
Additional groups to which HSL provides assistance include Kids Fest, Children’s Museum, Mentoring Tucson Kids, the Center for Opportunity, Angel Charity and Tu Nidito.
location throughout the day to drop off food
HSL contributes to a wide range of charities
and money to Stuff the Bus. In 2018 this pro-
from supporting the arts to sports program
gram raised approximately $50,000 for the
to families and people in need.
Community Food Bank.
2019 JULIE HURST AND STEVE PETERS SCHOLARSHIP WINNERS Giselle Coll
educational funding for the employees of AMA member companies
Giselle is a freshman at Arizona State University’s
in good standing and to their immediate family members. The AMA
downtown campus majoring in medical studies.
Board of Directors named the education fund in memoriam, honoring
She plans to continue on to medical school. She is
Julie Hurst, Sr. VP with Riverstone Residential.
a 2019 graduate of Shadow Mountain High School.
Julie served on the AMA Board until her passing in 2012. In 2017, the
Giselle held several leadership roles through high
Arizona apartment industry lost another dear friend, Steve Peters, a Sr.
school including drum major in marching band
Portfolio Director with Shelton Residential. His accomplishments in
for 2 years; National Honor Society; and Student Band Council. She
our industry inspired the Board to rename the fund to include his name.
volunteers with UMOM, Feed My Starving Children and the Neighborhood Christian Clinic. Giselle is a member of the ASU marching band.
It is now known as the Julie Hurst and Steve Peters Education Fund.
Burke Wood
For the fund to be sustained over the time, AMCF Big Hearts had a
Burke is a freshman in the Honors College at the
goal to raise $50,000. The original goal was to have the funds available
University of Arizona. He is majoring in envi-
for distribution by January 1, 2019. With the help of the Associate
ronmental studies with a minor in Spanish. He
Member Council (AMC), AMCF Big Hearts hit its $50,000 goal early,
is a member of the Freshman Class Council, an
making 2018 the first year that applicants could apply and be awarded.
on-campus organization with the goal of inte-
These scholarships can be used for post-secondary Arizona accredited
grating freshmen into the community and to host
institutions including trade/vocational school, community college
events that focus on philanthropy and school spirit. Burke says he is
or a university.
thrilled to have the opportunity to continue his education at UA. He
Last year’s first-time winners were Madison Furnas and Daniel Sin-
hopes to expand his goals and knowledge and develop his passion for his studies.
clair, Arizona State University, and Kaitlyn Lockett, Northern Arizona University. Madison and Daniel earned scholarships this year as well.
JULIE HURST AND STEVE PETERS EDUCATION FUND In 2015, the AMCF created a scholarship fund to provide post-secondary
Apartment News | November/December 2019
Scholarship applications are accepted January-May of each year.
9
azmultihousing.org
ADVERTORIAL
Q&A: Steve Cocco
8525 EAST PINNACLE PEAK ROAD, SUITE 135 SCOTTSDALE, ARIZONA 85255 info@windomsecurity.com (480) 865-4272 windomsecurity.com
CIO, Windom Security Strategies Today Q: Working for the FBI around the world for 27 years has given you a diverse skill set pertaining to security. Which skills specifically complement your position and help with the growth of Windom Security Strategies Today?
The second aspect is the inability of law enforcement to be everywhere. They are outnumbered in society and cannot prevent every crime, although they strive to be as proactive as possible. By deploying a welltrained and professional guard force, we become another set of eyes
A: Having served in the law enforcement and intelligence communities
and ears for local law enforcement. Our presence in the community
has allowed me to offer views and perspectives that might not other-
may at times assist police in deterring crime and in getting in front
wise gain traction in a firm that offers mainly security guard services.
of emerging threats.
It’s rare to see a guard firm offer consulting services on intelligence mitigation training. These are skills that I acquired primarily through
Q: What is it about Windom leadership, personnel and culture that attracted you to the partnership?
my years with the FBI. I also have the benefit of seeing how police
A: Windom brought me on board to further develop the consulting
collection and assessment or on active shooter or workplace violence
and military outside the U.S. engage in this training or provide these
services that the firm offers. In addition to our guard services, our
services. It gives me broad perspective on these issues and allows me
consulting services feature threat and vulnerability reduction, work-
to incorporate that knowledge into our skills set.
place violence mitigation training as well as crisis management and business continuity basics. I’ve been given complete liberty in design-
Q: Are there any specific challenges with law enforcement on a local or national basis, or FBI, that are driving the need for a more professional private security guard?
ing courses and training materials. The company culture emphasizes innovation and being proactive. It values professionalism and places
A: Windom has a great relationship with local law enforcement and
great value on its workers. That is a culture in which people can thrive.
we take proactive measures to improve it. There are two things that providing a paid service to private, paying clients. That is in contrast
Q: From what you have seen, are there any general recommendations you can make to apartment management companies and community managers to make their communities safer?
to the requirement of law enforcement to provide reactive and pro-
A: Multihousing managers should be as proactive as possible with their
active public safety and security to society at large, independent of
local police department. Although the police will respond when an
drive the need for more guard services. First, we are talking about
the needs of a particular establishment or organization. They have
incident requires their onsite presence, it’s a good practice to engage
a duty to enforce the law. At Windom, when we take on a client, we
with them proactively. Get to know the officers in your precinct by
have a duty to be responsive to their security needs. If we encounter
hosting them at your facility. Find out about the activities the depart-
a violation or detect a threat in our security patrol duties, we report
ment regularly schedules with apartment community management.
it to law enforcement.
Get a threat and vulnerability assessment of your property. This allows a neutral party to look at the property and your practices and identify any risks or hazards that you can mitigate.
bio: Steve Cocco spent 27 years as an FBI special agent. He worked in various assignments, including organized crime, foreign counter-intelligence and counter-terrorism. As a member of executive management, Steve oversaw the Joint Terrorism Taskforce in the Phoenix division of the FBI as well as the intelligence collection and analysis cycle. In 2007, he was made Deputy Commander for Crisis Response by the Secretary of the Department of Homeland Security for the 2008 Super Bowl in Glendale. Since his retirement from the FBI in 2011, Steve has conducted private investigations and advises corporations, educational institutions and
Apartment News | November/December 2019
10
governments on security, intelligence, and homeland security matters.
azmultihousing.org
AMA Patron Profile Law Offices of Scott M. Clark 4222 E. Thomas Road Suite 230, Phoenix, AZ., 85018
By Peter Madrid When Judy Drickey Prohow joined the Law
is the fact that when we testify in the Legis-
can drive down from Phoenix to help out,”
Offices of Scott M. Clark, she hit the ground
lature, or argue in front of a court, or lobby
Prohow says.
running getting involved with AMA. “I have been with this firm for 11 years and we were already actively involved with the Tucson AMA before then,” she says. “One of the first assignments that Scott gave me when I joined the firm was to attend governmental
for a bill or ordinance that may advance our industry, we are speaking and standing up for other AMA members as well as ourselves. I think this adds credibility to our firm and to the work done by AMA members and the industry as a whole.
Scott Clark has been on the AMA executive board for years. Clark, Prohow and other attorneys in the office sit on AMA committees and provide advice and guidance to AMA members (even some who are not clients). “Our firm focuses on the multifamily industry
affairs and other AMA meetings when he was
in Arizona,” Prohow says. “While we represent
unable to come to Tucson himself.
a few properties that are not multihousing
“We have always considered our partnership
communities, such as a few owners of indi-
with the AMA both in Tucson and Phoenix to
vidual residential rental units, our primary
be an integral part of who we are and what
focus is on the multihousing industry in all
we want to do,” Prohow added.
of its facets. It is what we like to do and what we do best.”
Prohow says membership in AMA gives the firm innumerable opportunities to interact
What does it mean to Prohow to be an AMA
with its clients and potential clients to provide
member?
service to the apartment industry. The firm, she says, gives back to the communities in
Judy Drickey Prohow/Of Counsel
which it does business. Its fundraising efforts
(520) 241-1846
benefit Big Hearts and other AMA charitable
judy@scottclarklaw.com
organizations. “We partner with people that we care about in order to accomplish things that advance both our industry and the people who work in it and utilize it, including renters.” Industry groups are vital to the success of any business. How has the firm leveraged its standing in the Arizona multifamily community through its membership in AMA?
“The fact that I am physically housed in Tucson and do much of my work here in Tucson hopefully conveys our firm’s commitment to our clients here and the fact that we value our Tucson clients equally with our clients in Metro Phoenix.
with and get to know the people in our industry, not merely as clients or vendors, but as friends and colleagues who share many of the same interests that I do,” she says. “It’s fun to be part of a team working to raise money for a good cause or to advance an interest that is going to benefit the community as a whole. “Working with the AMA, I get a chance to
“It means that if someone has an issue in Tucson that demands immediate attention that I am here to assist, whether the issue involves a meeting with a local official, lobbying for
“The majority of our clients are AMA members
or against an ordinance, responding to the
and they appreciate working with vendors,
need for an injunction, or anything else. It
including law firms, that are affiliated with
means that our clients have an advocate on
the AMA,” Prohow says. “Equally important
hand and don’t have to wait until someone
Apartment News | November/December 2019
“I thoroughly enjoy the opportunity to meet
11
focus my attention and contributions toward organizations and causes that are going to assist both the apartment industry and the Tucson community, rather than only one narrow segment of it. The fact that I have the opportunity to work side by side with people that I like and admire while I am doing it is a tremendous bonus,” Prohow says.
azmultihousing.org
Local Talent Final AMC meeting of the year at Tempe Mark-Taylor property a treat to the senses By Adam Greco
The final AMC meeting of the year on Oct. 10 at The Local Apartments in Tempe was a great opportunity for Mark-Taylor to showcase its one-of-a-kind multifamily property. The 80 attendees were treated to a lavish spread of food and beverages by Ciera Moraga, Manager of Community Operations and John Carlson, Mark-Taylor President. And in case anyone was worried about the event running out of food, no worries. The Local features a Whole Foods Market on the second floor of the midrise building at 750 S. Ash Ave. One of its many great amenities, Moraga said. She shared others as well. “From the unfinished vaulted concrete ceilings in each apartment to the keyless entries on all units, we like to say that our amenities are ‘jaw dropping’ and that each resident has access to enjoy them,” she said. Carlson, 2019 AMA Chair, spoke on the importance of educating AMA Property Features:
members in the fight to defeat potential rent control legislation and how that not only will affect the regular members, but will also be an
• Music/game lounge
• Onsite management
unwarranted burden on the associate members as well.
• Resort-style swimming pool
• Wi-Fi available
• Spa/hot tub
•F ull-size Whole Foods Market
He also provided additional information on Mark-Taylor and com-
• Fitness center
pany expectations for the future. Property tours were provided after the meeting and guests didn’t want to leave. The winner of the raffle to benefit the Julie Hurst/Steve Peters Scholarship Fund was Chaz Kosmack from Allstar Pro Painting.
in building
• Multilevel parking garage
• Bicycle storage
• Business center
• Spin room
• Proximity to dog park
• Dog wash
• Proximity to park
• Dry cleaning service
Established in 1985, the Mark-Taylor Companies is a privately-held,
• Resident clubhouse
• Rooftop lounge
Arizona-based developer, owner and investment manager of multi-
• Gated electronic entrance
• Private work-from-home suites
family communities. The company ranks as the largest apartment
• Onsite rental payments
• Smoke-free community
developer in Arizona, the second largest owner of rental communities
Apartment features
in the state and is the investment manager to more than $3.5 billion in multifamily real estate on behalf of numerous third-party owners. Mark-Taylor manages more than 17,000 Class-A units and more than 30,000 residents that call Mark-Taylor communities their home.
• Hardwood-style floors
• Garbage disposal
• Walk-in closets
• Quartz countertops
•E nergy-efficient & stainless-
• High ceilings
steel appliances
• Air conditioning
• Custom cabinetry
• High-speed Internet access
• Dishwasher
• Washer/dryer included
• Refrigerator
Apartment News | November/December 2019
12
azmultihousing.org
Support is crucial for AMA’s Better Government Fund
The comprehensive effort requires two things: Engagement by AMA members, and an increase in the financial resources. AMA must fund this effort by growing its Better Government Fund (BGF). The board set an aggressive fundraising in the form of a membership dues increase with every penny going directly to the BGF.
The rental housing industry continues to face targeted attacks nation-
The BGF provides the organization with the resources necessary to
ally and in Arizona over misguided policies like rent control. They
combat legal, regulatory and legislative issues aimed at harming the
eventually will impact the industry directly as regulatory changes like
apartment industry. The BGF funds supporting and advancing poli-
these also threaten a property’s bottom line.
cies to strengthen the rental housing industry. This fund also allows
Media outlets and state legislators continue to attack the eviction
AMA to independently support candidates and initiatives that align
process as unfair, unethical and in need of so-called “reform” meant
with its mission.
to diminish the rights of property owners. Rent control proposals are
The AMA has not increased dues in 12 years, but the board and its
no longer only in New York, California and Oregon.
members have recognized the increasingly critical need to defend the
They have recently surfaced in Arizona; thus far such ill-conceived
industry and to have on hand the resources to do so.
measures have been defeated in the state Legislature.
With invoices for 2020 dues payments set to start going out shortly, the
While the AMA has long been an extremely effective voice on behalf
AMA wanted to reach out immediately to explain not just the financial
of the industry, attacks like these means defending what it does and
commitment needed, but the “why” behind this need.
has never been more crucial – or more difficult.
AMA has created a resource page to learn more about the negative national and state trends. It features a video from AMA’s leaders.
With a new legislative session and the 2020 elections looming, AMA leadership has outlined a proactive campaign meant to tell “our side of the story” to a full range of stakeholders – everyone from elected leaders to the statewide media, the business community to Arizona’s nearly 7 million residents.
GOING ABOVE & BEYOND To Deliver Incredible Service
PROUD MEMBER OF
Leading Distributor of Multifamily Maintenance Supplies
Phone: 866.630.6747 | Fax: 866.631.6747 | Español: 888.281.0255 | supplyHQ.com Apartment News | November/December 2019
13
azmultihousing.org
Save money with HVAC rebates now. Save headaches later. Up to 50% of energy costs comes from HVAC systems. To save money, keep residents comfortable and avoid headaches later, work with an APS Qualified Contractor. From installation to regular maintenance, these professionals can ensure your HVAC system is running as efficiently as possible.
$180 HVAC rebate
for switching out old, inefficient units.
For a list of APS Qualified Contractors who can offer our HVAC rebate, visit aps.com/multifamily or call (855) 733-1117.
Apartment News | November/December 2019
14
azmultihousing.org
THANK YOU
PATRON MEMBERS!
Education & Events
PLATI N UM
PHOENIX All Education Classes & Events Take Place at the Bringing us closer
AMA Gallery Unless Otherwise Specified 818 N. 1st Street, Phoenix, 85004 To register online you will need your username and password. If you need your username and password or are a non-member and would like to register please contact Michelle Rill at mrill@azmultihousing.org or 602-296-6205. Maintenance Mania & Housekeeper’s Challenge Thursday, Nov. 21, 7:30 a.m. to 5 p.m. Phoenix Convention Center Are you the fastest? Here’s your chance to prove it. Come and compete in maintenance and housekeeper-focused challenges. You could earn the title of “Maintenance Mania National Champion” or “The Housekeeper Champion.” $65/all day; $45/competitions only; $25/spectator only
TUCSON Maintenance Mania & Housekeeper’s Challenge
G O LD
Thursday, Nov. 14, 7:30 a.m. to 5 p.m. Tucson Convention Center Full day: $65; competitor: $45; spectator: $25 EDUCATION: R-410 A Conversion Tuesday, Nov. 19, 9 a.m. to 11 a.m. Goodman Training Center
SI LVE R
2502 N. Jackrabbit Ave. New to using R-410A? This course will cover safe handling, training and certification for using R-410A. This session will also offer an EPA 608 testing session immediately following the R-410A course (prep manual required). Cost: $30 members/$60 non-members (testing session separate fee) EPA 608 Testing Session Tuesday, Nov. 19, 11 a.m. Goodman Training Center 2502 N. Jackrabbit Ave. Have you completed the EPA Section 608 exam? If not, this testing session is for you or anyone on your team that regularly services, maintains, repairs or disposes of appliances that contain
For more information on how to become a patron member of AMA, please contact Sarah Fluke, sfluke@azmultihousing.org, 602-296-6212. Apartment News | November/December 2019
refrigerants (prep manual required). Cost: $75 members/$150 nonmembers
15
azmultihousing.org
n
Legally Speaking
Gazing in the crystal ball What’s in store for Arizona’s apartment industry in 2020? By Mark B. Zinman, ESQ. If you mention the year 2020, people think about the presidential election, the U.S. Census – or just the fact that 2020 is a leap year. While each of those are incredibly important (though admittedly, the leap year isn’t actually important), these aren’t the only things that will impact your daily lives. Property management is a forward-looking industry and it’s always good to prepare for the year ahead. The legal world is no different. Recently, there has been an influx of stories regarding rental owner-resident matters and the negative perception being created. A day doesn’t go by without a story being published online or written in the newspaper about an owner increasing rents or evicting a resident. These stories ultimately create the political climate around which Legislators pass laws and judges review disputes. It is expected that
“ Laws that burden landlords are not the answer to housing supply, development is the answer.”
more anti-owner legislation will be proposed and judges will look more critically upon evictions. As has been widely published, starting Jan. 1, 2020, there is a new court rule that will require provisions of leases and a 6-month ledger be served with every eviction being filed (ledger is required in non-pay-
Regardless of whether the rule is logical or not, it is now the law and
ment cases only, but that is vast majority of filings).
property managers and attorneys will have to follow it. For this industry,
Resident advocates that proposed the rule claimed that too many
owners should be prepared to provide full copies of leases and ledgers
residents didn’t have this information and therefore were unable to
when submitting their evictions. Further, they should be prepared
defend themselves against evictions. This argument is ridiculous for
to see an increase in attorneys’ fees and costs as a result of the rule.
numerous reasons, including the fact that residents could always ask for that information at the initial hearing.
Apartment News | November/December 2019
–Continued on next page
16
azmultihousing.org
Additionally, the Arizona Supreme Court is looking at a proposal that would allow document preparers to go into court and answer questions if directed by a judge. The Court is trying to create more “access to justice.” It claims this means that more people should be able to navigate the court themselves or at a lower expense from having to hire an attorney. If passed, it is possible that this new tier of represent could represent residents in court. It will be within the next year if we hear if this rule is adopted.
Accent Painting & Construction has 20 years experience repainting large and small scale apartments as well as commercial office properties and has been a valued member of the AMA since 1999.
While these rules are bad for both owners and residents, there have been even worse laws that we have seen adopted in other states. For example, both California and Oregon passed state-wide rent control laws in 2019. Both states also ban no-cause evictions in certain cases, meaning that owners can no longer simply terminate a month-to-month tenancy;
Additional Services Provided with Painting
the lease continue unless “good cause” exists to evict a resident. An owner that simply wants a difficult resident to move or who wants to fix up a unit and increase the rents will no longer be able to do so.
BLOCK WALLS & COMMON WALLS
In the 1970s, the AMA passed a state law that prohibited all forms of
Accent’s experience builders will install, repair and prepare walls for painting
rent control in Arizona. While this is great to have in the law books, this doesn’t end the issue. It seems like every Legislative session,
MASONRY & STUCCO
people throw around the term rent control.
Accent’s crews are experienced in all areas of masonry and stucco installation & repairs
The Legislature does have the legal authority to overturn this decades-old law, and therefore it is important for our industry to stay
DRYWALL
active on political fronts. Not only does this mean people should be
Installation and repair of drywall
involved in AMA activities, donating their time and money, but they
WOOD SERVICES
should also be aware that who they vote for directly affects this industry.
Accent’s carpentry crews are skilled and experience in all areas of wood related projects
While this may all sound like doom and gloom, the good news is that
WROUGHT IRON
there is development in the pipeline and our industry remains strong
Accent’s crews are also experienced in the installation, repairs and painting of wrought iron fence
and healthy. People are moving to Arizona and need a place to live. Underlying all of these changes and public perception, the real issue we see is a lack of affordable housing and an inadequate amount of development. If cities allowed developers to build more affordable and market-rate apartments, rents would stabilize themselves. Rents will continue to rise when more people move to Arizona but we don’t yet have the units available for people to live in. Laws that burden landlords are not the answer to housing supply, development is the answer.
Accent Painting & Construction 10245 E Via Linda, Suite 106 Scottsdale, AZ 85258 Phone: 480-614-1300 Fax: 480-767-2121 info@accentpaintingaz.com www.accentpaintingaz.com
Mark B. Zinman is an attorney with Williams, Zinman & Parham, P.C. He is a past and present board member with the AMA. He may be reached at (480) 994-4732.
Apartment News | November/December 2019
17
azmultihousing.org
What’s up
down in Tucson
It was a “Freak Out Friday” when the Tucson Education Conference & Trade Show presented by Koglmeier Law Group saw record attendance this year with 490 regular member attendees. Morning attendees learned conflict resolution from Catherine Tornbom of Our Family Services, presented by The Home Depot Multifamily. Keynote speaker David Rendall, presented by Greenspan, taught us how to turn our weaknesses into strengths with his hilarious presentation. After lunch, attendees visited 86 associate member booths decorated in all sorts of creepy, silly and fun ways. We are already gearing up for the 2020 Tucson Trade Show, which will be moving to May next year. Save the date – Thursday, May 21, 2020.
Apartment News | November/December 2019
18
azmultihousing.org
Apartment News | November/December 2019
19
azmultihousing.org
