Residential fiber is now table stakes for boosting NOI (Part 1)

Imagine this scenario. You can demand higher rents, attract longer-term residents, and sustain high occupancy rates, even in today’s market. Plus, the value of your investment in your multifamily property increases. All without a dime of capital investment in facility upgrading or remodeling your units. The figures on both your income statement and balance sheet can show improvement. And, not coincidentally, so does your net operating income (NOI).

How do you do this? You choose the right internet partner and purchase bulk fiber internet. And from that one wise decision, benefits can flow. In this blog, we’ll show you how.

These are unsettling times for builders and owners of single-family home communities and multifamily property real estate. Your net operating income (NOI)—and whether it is rising or falling—is your best metric to determine how shifting demand, inflation, interest rates, increasing taxes and insurance expenses, and other factors affect your investments and multifamily property values. And residential communities’ NOI has been notably volatile in recent years, primarily due to the pandemic.

NOI is a profitability metric that tells you how much money you have left after paying all your expenses (excluding taxes and mortgage payments). Property owners focus on this measure because it drives multifamily property value and their rates of return on investment (ROI). Net operating income can affect getting financing and mortgages, and virtually all aspects of real-estate investment are based on it in some way.  Simply put, NOI = gross income – operating expenses.

For these and many other reasons, residential builders, multifamily property managers, and homeowners’ associations are always looking for ways to increase their NOI. There are two paths: add new revenue sources or cut costs.