DANIA BEACH, Fla. — Nov. 5, 2024
Lowering tenant turnover, minimizing disruptions, as well as navigating regulation changes within the industry are all great indicators for smooth operating— and after nearly three straight years of pandemic-related uncertainty, this year represented a return to the status quo for the industry.
That stability has factored into ranking New York City’s property management firms. The Real Deal analyzed the number of units under management as of Sept. 27 using building data from the Department of Housing Preservation and Development from all five boroughs. For the third year in a row, FirstService Residential is at the top of the list.
There’s been remarkably little movement since last year’s rankings, with the top six managers retaining their spots and the next four playing musical chairs.
But beneath the relatively stable surface, the competition for properties has only heated up, spurred on by a multifamily and condo pipeline that’s battling increased lending and construction costs.
Most wandering eyes will inevitably turn to FirstService Residential, the property management behemoth atop the list with nearly 100,000 units under management.
FirstService Residential added more than 4,000 units in the past year and it’s broken free from the pack thanks to an aggressive M&A strategy, acquiring Charles H. Greenthal & Co. and Tudor Realty Services Corp. in 2023. In 2021, FirstService also added Midboro Management and its roughly 15,000 units.
FirstService Residential CEO David Diestel acknowledged some growing pains for the company in relation to its acquisition strategy as it spent the past year and a half integrating those new assets into its business.
“The acquisitions have done well,” Diestel said, but he admitted that the company has lost properties in the process.
As firms jostle for position in the current market, the ability to manage costs has emerged as a key problem every owner needs help addressing.
Providentially, a report from FirstService Residential found that costs associated with high-rise buildings increased by five to seven percent from 2023 to 2024 due to the expenses related to complying with sustainability regulations, as well as property and liability insurance.
To learn more, read the full article from The Real Deal by visiting: https://therealdeal.com/magazine/november-2024/managing-up/
Leading the way in NYC property management
Many property management companies appreciate stability as a key driving factor toward success.Lowering tenant turnover, minimizing disruptions, as well as navigating regulation changes within the industry are all great indicators for smooth operating— and after nearly three straight years of pandemic-related uncertainty, this year represented a return to the status quo for the industry.
That stability has factored into ranking New York City’s property management firms. The Real Deal analyzed the number of units under management as of Sept. 27 using building data from the Department of Housing Preservation and Development from all five boroughs. For the third year in a row, FirstService Residential is at the top of the list.
There’s been remarkably little movement since last year’s rankings, with the top six managers retaining their spots and the next four playing musical chairs.
But beneath the relatively stable surface, the competition for properties has only heated up, spurred on by a multifamily and condo pipeline that’s battling increased lending and construction costs.
Most wandering eyes will inevitably turn to FirstService Residential, the property management behemoth atop the list with nearly 100,000 units under management.
FirstService Residential added more than 4,000 units in the past year and it’s broken free from the pack thanks to an aggressive M&A strategy, acquiring Charles H. Greenthal & Co. and Tudor Realty Services Corp. in 2023. In 2021, FirstService also added Midboro Management and its roughly 15,000 units.
FirstService Residential CEO David Diestel acknowledged some growing pains for the company in relation to its acquisition strategy as it spent the past year and a half integrating those new assets into its business.
“The acquisitions have done well,” Diestel said, but he admitted that the company has lost properties in the process.
As firms jostle for position in the current market, the ability to manage costs has emerged as a key problem every owner needs help addressing.
Providentially, a report from FirstService Residential found that costs associated with high-rise buildings increased by five to seven percent from 2023 to 2024 due to the expenses related to complying with sustainability regulations, as well as property and liability insurance.
To learn more, read the full article from The Real Deal by visiting: https://therealdeal.com/magazine/november-2024/managing-up/