The lease-up phase is one of the most critical periods for new development, yet the findings in the National Apartment Association’s (NAA) 2024 Voice of the Property Manager report reveal alarming challenges that threaten this pivotal stage. Property managers, overwhelmed by aggressive residents, long hours, and an inability to disconnect after hours, are burning out—and the ripple effect on property performance is significant. For developers, this means more than just unhappy staff—it signals lost leads, a damaged property reputation, and, ultimately, a slower path to profitability.
When property managers struggle, the negative impact is immediate and often public. Prospective residents encountering a poorly managed lease-up will take their business elsewhere, leaving units vacant. Worse, disgruntled prospects are quick to air grievances online, which can tarnish your development’s reputation long before it’s fully open.
---
Turnover and Inconsistent Service: The Hidden Cost of Burnout
One of the most pressing challenges reported in the NAA survey is turnover. With 14% of property managers citing understaffing as a major issue and another 22% struggling with aggressive residents, burnout has become the norm rather than the exception. But the real cost of this burnout isn’t just in the loss of staff—it’s in the chaos it causes for your development.
During lease-up, consistency is key. Prospective tenants expect smooth communication, quick responses, and an overall sense of order. However, when a property manager leaves or is too overwhelmed to manage their workload, service levels plummet. This inconsistency in service leads to slower leasing velocity, missed follow-ups, and disorganized operations, all of which reflect poorly on your property. Once turnover becomes visible to potential tenants, it signals deeper issues with management—a red flag that makes prospective residents wary of signing a lease.
For developers, this translates into longer vacancy periods and an increased need for marketing spend to recover the lost leads. In an era where word of mouth and online reviews heavily influence leasing decisions, the damage from poor service can be long-lasting.
How The Pod Model Solves It:
We address turnover by assigning senior multifamily leaders to handle aggressive resident interactions. The pod model ensures that instead of relying on a single, potentially junior manager to deescalate conflicts, these situations are handled by experienced professionals. This prevents burnout, builds consistency, and strengthens resident relations from the very start. This approach creates an elevated, hospitality-driven resident experience, allowing junior staff to focus on core responsibilities without being overwhelmed by tenant conflicts.
Lost Leads and Resident Experience: A Recipe for Reputation Decline
The NAA’s findings also highlight the growing impact of aggressive and abusive residents, with 22% of respondents citing this as their top challenge. When property managers are left to handle these confrontations without adequate support, they’re not only more likely to burn out but also less likely to provide the kind of welcoming, professional service that drives lease-ups. This stress trickles down to the resident experience, which can have dire consequences for a development’s reputation.
Poor resident experience, especially during lease-up, often leads to negative reviews on platforms like Google and Apartment Ratings. For luxury or high-end developments, where residents are paying for premium service, even a few negative reviews can diminish the perceived value of the property. Early tenants become unofficial ambassadors for your property; if their initial experiences are poor due to staff being stretched too thin, it’s unlikely they will recommend your property to others.
Furthermore, lost leads during lease-up can quickly pile up. A property manager overwhelmed by the demands of aggressive residents, understaffing, and daily tasks is unlikely to follow up on every lead. Missed phone calls, late emails, or hastily arranged property tours reflect poorly on the management and create a sense of disorganization that drives potential residents to seek better-managed alternatives. These lost leads, combined with vacancies, delay your property’s stabilization and extend the lease-up phase, costing time and money.
How The Pod Model Solves It:
Our approach avoids this trap by breaking the traditional, overburdened staffing model. Rather than expecting one person to handle leasing, management, and resident relations, We focus on what centralizes functions and creates dedicated roles, allowing staff to focus on their strengths. Leasing is no longer the burden of an overworked property manager, and follow-ups aren’t missed. By freeing up managers from juggling too many roles, they can concentrate on providing the high-quality service that retains leads and builds strong resident relationships from day one.
Financial and Reputation Impacts of Poor Management in Lease-Up
Understaffing, burnout, and poor management aren’t just short-term operational issues—they carry significant financial implications. As reported in the NAA survey, 16% of property managers struggle to disconnect after hours, which suggests that the workload is unmanageable under current staffing models. This constant pressure leads to mistakes in day-to-day operations, such as delayed maintenance requests, inadequate resident communication, and mismanagement of leasing tasks.
For developers, this means higher turnover, increased vacancies, and a slower leasing velocity. The financial impact can be severe, especially when factoring in the costs of recruiting and training new staff, addressing vacant units, and investing in additional marketing to replace lost leads. Worse, the reputational damage from poor reviews and dissatisfied residents makes it harder to attract new tenants, prolonging the lease-up phase and increasing overall operating costs.
The lease-up phase is a crucial period for setting the tone of the property. If your management team is ill-prepared to handle the demands, it will be reflected in tenant dissatisfaction, high turnover, and ultimately, a weaker market position.
How The Pod Model Solves It:
The pod model, combined with functional specialization, creates operational precision. By structuring teams with specific roles—whether in leasing, maintenance, or resident services—this ensures nothing slips through the cracks. This level of organization not only improves the resident experience but also helps maintain proper staffing levels to prevent burnout. Additionally, the centralized approach allows the management team to focus on execution without compromising on quality, leading to fewer vacancies, reduced turnover, and a property reputation that attracts new tenants.
Protect Your Property’s Prestige from the Start
The findings of the 2024 NAA Voice of the Property Manager report make one thing clear: property management challenges, particularly during lease-up, are too significant to ignore.
Burnout, aggressive residents, and staff turnover can quickly spiral into lost leads, a damaged reputation, and long-term financial losses. As developers, it’s crucial to recognize these risks and address them head-on with strategic staffing models that prioritize consistency and resident experience.
We understand that your property’s reputation is its most valuable asset. We know property management, and through functional specialization, we reimagined the property operational structure to future-proof your new developments and protect your front-line workers who are interacting directly with your prospects our management team .
We help developers protect their investment and position their properties for long-term success. Todd Mikelonis sums it up best: "If you don’t rethink and break the traditional model, you’ll face constant churn and poor operations—something no developer can afford."