The Amenity ROI Scorecard: Add What Pays, Skip What Doesn’t

The Problem

Amenities can boost NOI—or bloat OPEX. Without a disciplined framework, it’s easy to overspend on low-adoption features while ignoring high-ROI basics (parking, storage, Wi-Fi).

The Scorecard Framework

Evaluate each amenity against seven dimensions:

1. Total Installed Cost (TIC) – upfront + soft costs

2. Adoption Rate – % of residents who will pay/use

3. Revenue Lift – rent premium or fee potential

4. Ongoing OPEX – maintenance, subscriptions, staff time

5. Turn Impact – does it reduce turnover or speed lease-up?

6. Risk/Complexity – install difficulty, code, safety, vendor reliance

7. Payback / IRR – time to breakeven and project-level IRR impact

Quick Formulas

• Annual NOI Lift = (Rent Premium × Paying Units) + (New Fees) – (Added OPEX)

• Payback (years) = TIC ÷ Annual NOI Lift

• Amenity IRR: model cash flows over useful life (3–10 yrs typical)

Sample Comparisons (illustrative)

• Property-Wide Wi-Fi

  • TIC: Medium; Adoption: High; OPEX: Medium

  • Revenue: Bulk fee or rent +$25–$50/unit

  • Bonus: Reduces move-in friction; supports smart devices

• Smart Locks / Access Control

  • TIC: Medium; OPEX: Low-Medium

  • Revenue: Rent premium +$10–$20/unit; Ops savings (keys, lockouts)

• Covered Parking / Reserved Parking

  • TIC: Low-Medium; OPEX: Low

  • Revenue: $25–$75/space/month depending on market

• Pet Amenities (park, wash station)

  • TIC: Low-Medium; OPEX: Low

  • Revenue: Pet rent/deposits; higher retention among pet owners

• Fancy Clubhouse Makeover

  • TIC: High; Adoption: Low-Medium

  • Revenue: Often limited; consider flexible co-working instead

Pilot Before You Scale

1. Survey residents + prospects (what would you pay for?)

2. A/B test pricing on a subset of units/spaces

3. Track real adoption for 60–90 days

4. Review NPS / renewal intent changes after rollout

Amenity Pricing Tactics

• Tiered bundles: Basic (Wi-Fi), Plus (Wi-Fi + smart lock), Premium (+storage/parking)

• Dynamic pricing: Align premiums with occupancy and waitlist depth

• Opt-in add-ons: Don’t force low-adoption perks into base rent

Execution Playbook

• RFP 2–3 vendors; standardize SLAs and uptime guarantees

• Implementation Gantt with resident comms plan

• SOPs for maintenance & troubleshooting

• Quarterly ROI review; keep only the winners

Avoid These Traps

• “If we build it, they will pay” thinking

• Ignoring OPEX creep (subscriptions, repairs)

• Underestimating ops friction (keys, tickets, staffing)

• No off-ramp in contracts

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