National Apartment Association Landmarks · strategy for reaching those goals. Marc Rosenwasser, CAPS 2010 NAA ... Ron Shelton, CAPS NAA 2009 Chairman of the Board Almagamated Management

L a n d m a r k s2010 Annual Report

National Apartment As sociation

That proverbial “seat at the table” became larger andmuch more comfortable for the apartment industrythis year as the voice of multifamily housing gained

greater respect among homeowners, policymakers, youngprofessionals and Americans on the go.

Today, record numbers of Americans acknowledge thatrenting an apartment is not just an alternative, but is theright choice for their lifestyles. Rental housing allows forgreater mobility to pursue job opportunities, freedom fromexpensive maintenance and repairs and access to attractiveamenities in their communities. Call apartment-living akey part of the new American Dream—Opportunity.

Increasingly, people across all age groups and thoseliving in urban, suburban and even rural communities areproactively deciding to rent. Demand at mid-year reacheda multi-decade high while the country’s homeownershiprate sunk to a multi-year low.

These trend lines continue in our favor. And theNational Apartment Association (NAA) will continue tohelp move our industry and the country in that directionby being America’s leading advocate for quality rentalhousing. NAA is generating the tools and resources thatowners and real estate management companies need tomaintain and benefit from this momentum.

By strengthening its government affairs and educationefforts, NAA is spreading the word about housing policythrough unprecedented engagement at the local, state and federal levels. It is critical that rental housing andhomeownership be considered equal partners in any policy solutions.

We’re excited to report that NAA proudly represented theindustry at several important policy discussion meetings

during the past year, including one in October organizedby the White House and attended by NAA Chairman of theBoard Marc Rosenwasser, CAPS. At that event, more than adozen highly acclaimed academics, practitioners, and policymakers were invited to present their ideas about how futurerental policies can help low income families, promotebetter neighborhoods, and enhance the financing systemfor the production and rehabilitation of rental housing.Keynote speakers included Shaun Donovan, Secretary ofthe U.S. Department of Housing and Urban Development;and Timothy Geithner, Secretary of the U.S. Department ofthe Treasury. This is sure to be the first of several policy“summits” and NAA will be part of the deliberations.

If Americans learned one thing this year, it was thatbuying a house is not necessarily synonymous withfinancial security, stability and peace of mind. Finding an affordable home that makes us feel secure and allowsus to pursue our hopes and dreams is the ultimate quest.Apartment living has been and continues to be a centralstrategy for reaching those goals.

Marc Rosenwasser, CAPS2010 NAA Chairman of the Board

Douglas S. Culkin, CAENAA President and CEO

NAA President and CEO Doug Culkin, CAE, and NAA Chairman of the Board Marc Rosenwasser, CAPS

T a b l e o f C o n t e n t sI n d u s t r y E c o n o m i c R e v i e w . . . . . . . 2

N A A E d u c a t i o n C o n f e r e n c e & E x p o s i t i o n . . . . . . . . . . . . . . . . . . . . . . . . 4

C o m m u n i c a t i o n s . . . . . . . . . . . . . . . . . . . . 6

L e g i s l a t i o n . . . . . . . . . . . . . . . . . . . . . . . . 10

N A A P o l i t i c a l A c t i v i t y . . . . . . . . . . .13

N A A L e a s e P r o g r a m . . . . . . . . . . . . . . . . 17

F i n a n c i a l S t a t e m e n t . . . . . . . . . . . . . 17

N A A E d u c a t i o n I n s t i t u t e . . . . . . . . 18

N A A N e t w o r k . . . . . . . . . . . . . . . . . . . . . . 20

COVER: MEADOW WOOD PROPERTY COMPANY’S MELROSE COURT, TAMPA, FLA

L a n d m a r k s 2 0 1 0 1

Tom Beaton, CPMThe Dolben Co.Region 2 VP, 2010 Conference Committee

Mike BeirneThe Kamson Corp.Region 2 VP, State & Local Issues

Malcolm BennettInternational Realty & InvestmentsRegion 10 VP

Gary Blumberg, CAPSGuardian Equity ManagementRegion 6 VP

Carey BradburnMember Relations

Cindy Clare, CPMKettler ManagementRegion 1 VP, National Issues

Mike ClowGreystarRegion 7 VP

Victoria Cowart, CPMDarby Development Co. Inc.Communications Advisory Board

Doug Culkin, CAENational Apartment AssociationPresident and CEO

Terry Danner, CPMRiverstone Residential Group LLCBoard Member-at-Large,Legislative Committee

Gloria FroererCentury 21 Gage FroererRegion 8 VP

Dennis FunkhouserThe JC Hart CompanyRegion 3 VP

Rex Gambrell, CPMCorum Real Estate GroupRegion 8 VP

Greg GuerreroApartment Services CompanyIndependent Rental OwnersCommittee

David Hirsch, CAMECI GroupRegion 4 VP

Mike HolmesEaslan ManagementRegion 4 VP, NAAPAC

Alexandra Jackiw, CAPS, CPMBuckingham Management LLCBudget & Finance Committee

Maitri Johnson, CAPSRiverstone Residential GroupNAAEI Curriculum Development

Christine Lee, CAMPremier Residential Management LLCRegion 5 VP

Stacey Lecocke Phoenix Property CompanyStudent Housing Committee

Jill Levins, CAPS, CPMGumenick PropertiesRegion 1 VP

Jeff Lowry, CAPSMcDougal CompaniesRegion 6 VP, NAAEI President

Ellen Maxime, NALP, CAMDelaney Development Inc.Region 9 VP

John McDermott, Esq.National Apartment AssociationParliamentarian

Sam Merrick, CPM, CDPMLincoln Military HousingPrivatized Military HousingCommittee

Jay OlsonConAm ManagementRegion 7 VP

Eric OverhageHandyTrac SystemsNSC Chairman

Linda Page, CPM, ARM Edwin Raskin Co.Region 4 VP

Mike PeterCampus AdvantageStudent Housing Committee

Diana Pittro, ARM RMK ManagementRegion 3 VP

Kathy Ratchford, CAM, CAPSUDRRegion 9 VP

John Ridgway, CPMCeltic Realty Advisors LLCNAA Leadership Lyceum

Marc Ross Bob Ross RealtyRegion 6 VP,Membership Committee

Rick Snyder, CPMR.A. Snyder Properties Inc.Region 10 VP, Member Services

Robert Tinning, CPMChurchill Residential ManagementRegion 6 VP, Affordable Housing Task Force

Susan TruesdaleGreystar Management ServicesRegion 9 VP

Dave Watkins, CAPSMichaelson Real Estate Group LLCLease Advisory Committee

Brenda Wells, CAMGreater Lexington Apt. Assoc.AEC President

Scott Wilkerson Ginkgo ResidentialRegion 4 VP

Gary Wilson, CAMA.R. Wilson Inc.Region 5 VP

Bill Wollinger, CAPS, SHCMWinnResidentialNAAEI Apartment Careers

Michael WoodwardWoodward PropertiesRegion 1 VP

Jerry Wilkinson, CCIMNAA Vice Chairman

The Wilkinson Group Inc.Atlanta, GA

Marc Rosenwasser, CAPSNAA Chairman

of the BoardMeadow Wood

Property CompanyTampa, FL

Mike GormanCAPS, CPM, CCIM

NAA Chairman-ElectRose Property Group LLC

Indianapolis, IN

Alex Jackiw, CAPS, CPMNAA TreasurerBuckingham

Companies LLC Indianapolis, IN

Ron Shelton, CAPSNAA 2009

Chairman of the BoardAlmagamated

Management Corp.Dallas, TX

Brad Williams, CPMNAA Secretary

Lincoln Property Company

Dallas, Texas

N A A B o a r d o f D i r e c t o r s

N a t i o n a l A p a r t m e n t A s s o c i a t i o n

I n d u s t r y E c o n o m i c R e v i e wThe Momentum Has Shifted

Over the 2010 calendar year, theapartment industry has observed,experienced and responded to a shift

from recession to recovery, from reactingto accommodating economic realitiesand from fear of the unknown to aconcern of the known.

The impact of the economicrecession, which began December 2007and officially ended June 2009, lingeredthroughout most of 2010. Continuedhigh unemployment, lack of net jobcreation, continued business andconsumer de-leveraging, unprecedentedfederal government deficit spending,restricted credit, the likelihood of highertaxes and a lower standard of livingcontributed to lower consumer confidenceand significant political shifts.

One of the few beneficiaries of aneconomic and consumer downsizing hasbeen the apartment industry. Declininghomeownership (down to a range of 62percent to 64 percent from its peak of69.2 percent), lower household incomes,loss of net worth and a recovery that is likely to be geographically-based,

mandates a more mobile, flexible andaccessible workforce.

Some startling statistics emerged in2010, yet for the apartment industry, theyare promising. According to a May 2010Harris survey, 76 percent of U.S. adultsdeemed renting to be a more favorableoption to owning a home. Nearly one-third of Americans, according to a recentsurvey by Zillow, could not qualify for ahome mortgage due to poor credit scores.Only 12 percent of renters now haveplans to buy a home. The home equityloss of approximately $6.1 trillion hasmade “Mommy and Daddy” moneyscarce for Gen X or Gen Y to use in thepurchase of a home. There are now 20.3million adults aged 18 to 34 living withtheir parents. According to the U.S.Census Bureau, the median age for first-time marriages is increasing, the growthof nonfamily households is increasingand the age of women giving birth for thefirst time is also increasing. The numberof homeowners/borrowers underwater islikely to increase over the next six to 12months. Within the past 24 months, the

United States has shifted to a growingrenter market.

The future is now for the apartmentindustry.

Va c a n c y R a t e sOverall vacancy levels continued their

decline in 2010. From a peak of 13.1percent in Q3 2009, the national vacancyrate for all 5+ apartment buildingsdropped to just over 12 percent. Vacancylevels for institutional grade apartmentsin 2010 declined to approximately 6.5percent. Concessions continued to hoveraround 5 percent to 7 percent of askingrent. Traffic counts were up slightly over2009 as the renter market adjusted to thenew economic realities.

R e n t G r o w t hOverall rents, down in 2009, reversed

their steady decline in 2010 and willlikely end the year up around 2.6 percent.Effective rents are expected to increaseapproximately 1.2 percent over thesecond half of the year. While 2010 was a“bottoming-out” year in the apartment

2 L a n d m a r k s 2 0 1 0 N a t i o n a l A p a r t m e n t A s s o c i a t i o n

NAA Education Conference Chair Tom Beaton (left), NAA Chairman of the Board Marc Rosenwasser and others discuss issues with George W. Bush.

N A A E x e c u t i v e F o r u m M a k e s D e b u tNAA’s first Executive Forum event was held during the 2010 Education Conference & Exposition in New Orleans, where more than 25 top-level executives from apartment management firms were invited as guests. The group received VIP treatment throughout, met personallyfor a luncheon with George W. Bush, had a insightful small-group discussion with Fast Company Founding Editor Bill Taylor, receiveda personal tour of the trade show floor, met with key leaders from the event’s sponsoring supplier partners Apartment Guide, AT&TConnected Communities, AZUMA Leasing, HD Supply and Time Warner Cable Community Solutions.

industry, concerns over jobs, income/wages,credit and uncertainty about marketrecovery kept rental rates down. Theforeclosure pace of over-leveragedhomeowners seesawed due to shiftingpolitical pressure. However, the Q3 and Q4trending data in 2010 shows a continuingincrease in rental rates through 2011. The lackof new supply coming online combined withan improving economy indicates rents arelikely to continue to rise in 2011.

O p e r a t i n g E x p e n s e sIn a very challenging time for the

apartment industry, the 2010 NAA Surveyof Operating Income & Expenses revealedthat apartment operators were able to hold theirown amidst continued declining revenues andrising fixed and variable costs. Nationally,total operating expenses decreased by 0.2percentage points, while NOI declined by 0.6percentage points to 53.3 percent.

R e n t e r H o u s e h o l d sRenters are now approximately 33

percent of non-owner occupied housingunits in the United States. There areapproximately 17.5 million apartment units(5+ units). Homeownership in the U.S. hasdeclined to 66.9 percent as of mid-year andin what is projected to be a very long joblessrecovery, the number of renters is expected toincrease throughout 2011—a trend likely tocontinue for nearly a decade. It is estimatedthat 11 million homeowners/borrowers areunderwater and another 2.4 millionhomeowners/borrowers have less than 5percent equity. With further declines in homevalues likely into 2011, the apartmentindustry will benefit from this decline.

L a b o r M a r k e t sMore than 8.3 million jobs have been lost

at the peak since the recession started.Unemployment is hovering just below 10percent, and with part-time or discouragedworkers included it is closer to 17 percent.With a seven- to 10-year supply of availableworkers and a forecast for continued highunemployment through 2011, the net impact

long-term will be a rise in apartment renters.N e w C o n s t r u c t i o n

Permits (for 5+ units), as of September2010, are currently at a seasonally-adjustedbasis of 111,000 units. Apartment starts willlikely be at 100,000 units at year-end.Completions have fluctuated over the year,but are expected to close at approximately175,000 units, with approximately 60 percentof these as investment grade properties.

Tr a n s a c t i o n Vo l u m eAccording to Real Capital Analytics,

through August 2010 the total volume ofapartments sold/purchased was approximately$14.6 billion. A total of 745 properties hadbeen sold at an average cap rate of 6.8percent (the same year-end cap rate in2004). Multifamily properties were slightlyabove 25 percent of the delinquent CMBSmarket. REITs were among the most activebuyers. The availability of financing, a flightto quality assets and a narrowing of theask/bid spread made apartment propertiesan attractive investment opportunity in 2010.

N u m b e r o f H o u s i n g S t a r t s 5+

1 9 7 0 - 2 0 1 0

L a n d m a r k s 2 0 1 0 3N a t i o n a l A p a r t m e n t A s s o c i a t i o n

N e t O p e r a t i n g I n c o m eI N D I V I D U A L LY M E T E R E D M A R K E T R E N T G A R D E N P R O P E R T I E S

Apositive vibe was felt the momentattendees arrived in New Orleans inlate June for the 2010 NAA

Education Conference & Exposition.Nearly 5,000 attendees were on-hand forthe largest and most comprehensiveevent in the multifamily housingindustry. The more than 40 education

sessions, strong keynote speakers,provocative thought leaders, engagingnetworking opportunities, lively tradeshow floor and fun and excitementexceeded expectations by all, as industryprofessionals nationwide were informedand inspired by the conference and its“re:Build Your Future” theme.

“From the time I first set foot in theconvention center, the breakout sessionsand the trade show floor, I felt energized,”said Sharron Lambeth, RegionalProperty Manager, Beacon PropertyManagement, Rancho Cucamonga, Calif.

Attendee Daisy Nguyen, Minneapolis,Minn., said her brain was “overflowingwith ideas and there is an extra hoppityskip in my step, having come back fromthe NAA Education Conference.”

The National Suppliers Council(NSC) sponsored the very successful andentertaining Opening Party at nearbyMardi Gras World. It featured the bandBig Bad Voodoo Daddy.

The 43rd U.S. President George W.Bush was the Opening General Sessionspeaker. Bush offered his review of hiseight years in the Oval Office, includingcomments on his guiding belief infreedom; the economy; September 11;war; decision-making; inspiration; Texasand his life after the presidency.

N A A H a l l o f F a m ePast NAA Chairman of Board Phil Carlock, CAPS, CPM

Phil Carlock, CAPS, CPM, Chairman ofthe Executive Committee and Vice

Chairman of the Board of the Directors ofECI Group, Marietta, Ga., was inductedinto the NAA Hall of Fame in June.

Induction into the NAA Hall of Famerepresents the highest honor that can bebestowed upon an apartment professional.Carlock is the 13th person inducted overthe 71-year history of NAA.

Carlock, the 2001 NAA President (nowrecognized as Chairman of the Board),has been in the apartment industry fornearly 40 years, and has more than 35years’ experience in senior-level apartmentindustry leadership. He was President ofthree Atlanta-based corporations prior tojoining ECI Management Corp. in 1981as Vice President and became ECI’s Presidentin 1986. He was CEO of ECI Group from2004 to 2008.

Phil Carlock, CAPS, CPM, the 13th member of NAA’s Hall of Fame, with NAA Chairman of theBoard, Marc Rosenwasser, CAPS (left), and NAA Past Chairman Jerry Warshaw, CAPS, CPM

N A A E d u c a t i o n C o n f e r e n c e & E x p o s i t i o nre:Build Your Future


The NAA Education Conference & Exposition is the industry’s largest national event of the year.

He focused on optimism, using an effectiveblend of impassioned statements, self-deprecating humor and a quick wit to amuseand enlighten a jam-packed ballroom.

Comedian Kevin Nealon amused thecrowd with his unique brand of humor,focusing mostly on himself, his life and howhe deals with, survives and sometimes evenmanages to enjoy everyday life.

The final day of the conference kickedoff with an outstanding general sessionfeaturing Bruce Kimbrell from DisneyInstitute. Kimbrell provided anoutstanding overview of Disney’s approachto quality service.

This year, NAA co-located with theNational Affordable Housing ManagementAssociation.

P l a t i n u m S p o n s o r s G o l d S p o n s o r

S i l v e r S p o n s o r

B r o n z e S p o n s o r s

L a n d m a r k s 2 0 1 0 5

The crowd enjoys a humorous comment. Kevin Nealon pokes fun at himself.

George W. Bush discusses life in the

White House.


Jan. “I don’t think I can sit through one more presentation that paints a doom-and-gloom scenario. I aman optimist and a realist who looks at the glass as being half full. We are focused on the 89.7 percent whohave jobs and need a place to live.” — Lynn Owen, Principal, Glacier Real Estate, Seattle

Feb. “Replacing a beloved senior statesman like Ted Kennedy with a young, aggressive, issue-orientedlegislator [Republican Scott Brown] clearly is a message from the people. Change is not only necessarybut demanded. Important issues of the day must be addressed and the concept of business as usual is notsatisfying voters.” — Bill Wollinger, SHCM, President, WinnResidential, Boston

March “We’ve had some of our staff in work-overload mode, doing multiple tasks or working onmultiple properties.” — Becky Weaver, CPM, Vice President of Property Management, American Residential Group,

Tulsa, on managing Q1’s rising vacancy and national unemployment rate

April “We had been sitting on the sidelines and hoarding cash, [but now we see] attractive pricing on good,quality assets in core markets that we could acquire at discounts to replacement costs, and good [returns].”— David Neithercut, CEO, Equity Residential

May “We may as well be on a different planet here. There’s nowhere that gets the attention and aggressivepricing that Washington, D.C., is getting right now. Many see D.C. as attractive because of its stable jobmarket, fueled by government hiring.”— Dave Nachison, Director, Holliday Fenoglio Fowler, Washington, D.C.

June “Renters are not eager to make a change this year: 60 percent of renters plan to continue renting theircurrent residence or rent new residences within the next year. 12 percent of renters said they have plans tobuy a new home this year and only 14 percent believe that buying a house is preferable to renting.” — Harris Interactive Online Survey conducted in May

July “If your marketing approach is designed to only push product (apartment units) instead of engagingpotential renters, you’re in trouble from the get-go.” — B. Kevin Thompson, Vice President of Marketing, AvalonBay

Aug. “The apartment market is now on pace for calendar 2010 demand to come in at the second strongestannual volume seen over the past couple of decades, exceeded only when Hurricane Katrina evacueesboosted the absorption tally.” — Greg Willett, Vice President, MPF Research

Sept. “Rent concession should be, for the most part, gone by year end. Development will continue to be minimum.” — BRE Properties’ Q2 Earnings Report conference call

Oct. “One of the great questions of revenue management is, ‘Would you spend a dollar in marketing orcustomer acquisition to get two dollars in rent somewhere in the future?’ ‘Absolutely.’ ” — Rich Hughes, Revenue Manager, AMLI Residential, Chicago

Nov. “For the first time since 2007, the apartment industry will see an improvement in all five criticalcategories: value, rent, occupancy, starts and net operating income.”— Chris Lee, President and CEO of CEL & Associates on his 2011 outlook

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N A A S t u d e n t H o u s i n g C o n f e r e n c eTeachable Moments

Hundreds of industry professionalsgathered at the third annual NAAStudent Housing Conference &

Exposition in February in Las Vegas. Thetwo-day event also included break-outsessions as well as opportunities fornetworking with peers and meeting withsupplier partners at the exposition.

There’s nothing like hearing directlyfrom the source, and the conferencedelivered that by offering a special sessionthat featured seven students from off-campus rental housing who shared theirthoughts on off-campus living.

The 60-minute general session,moderated by Jessica Nix, National Directorof Marketing for Place Properties, gaveattendees the chance to listen to studentpanelists’ candid responses about what

attracts them to a rental community andwhat keeps them there. The students,representing markets nationwide, alsocommented on how they communicate witheach other, their families and rental housingmanagement. They talked about whatamenities are most important to them, whatcircumstances they felt would justify rent

increases and other critical operational topics.The breakout session lineup also

included topics such as apartment turns,mobile marketing, resident surveys, onsitemanagement, developing businessrelationships with universities, utility costmanagement, fair housing and amenityofferings.

A panel discussion featuring threeprominent student housing managementand development firm executives opened the

conference. Moderated by NAA StudentHousing Conference Chair Mike Peter,President and CEO, Campus Advantage, thepanel featured executives Mike Mouron,President and Chairman, Capstone; JimShort, President and CEO, Campus LivingVillage; and Tom Trubiana, ChiefInvestment Officer, Education Realty Trust;

who addressed everything from bandwidthand student privacy to amenity offerings,management, marketing and setting rent.

Entrepreneur Tony Hsieh, CEO of onlineapparel retailer Zappos.com, delivered akeynote presentation, speaking about howcompanies can create “happier” workenvironments, the value of delivering strongcustomer service and the importance ofhiring staff members who fit a company’sculture.

Student housing executives and student-residents were featured during key panel discussions at the third annual NAA Student Housing

Conference & Exposition.


Political discourse in this country hasreached record levels in the past yearin terms of volume and passion,

giving Americans and organizationsmore reason than ever to come together andmake their voices heard on Capitol Hill.

NAA again delivered a strong messagein support of the apartment industryduring the annual NAA CapitolConference, March 7-10, in Washington, D.C.

The annual meeting was one of thebest attended in NAA’s history, as 427attendees participated in a record 209Capitol Hill visits to representatives from24 states across the nation.

On topics such as health care,employment, regulations, energy andtaxation, so much of what the countryhas become accustomed to is now subjectto change on Capitol Hill. NAA memberslearned more about these issues, as wellas those more specific to their rentalproperty businesses, during a briefingdelivered by the NAA/NMHC JointLegislative Program staff, led by JimArbury, NMHC’s Senior Vice President ofGovernment Affairs.

This briefing served as preparation forattendees before they took to the Hill onthe final day of the conference.

The four major issues staff presentedwere the potential reorganization ofFannie Mae and Freddie Mac; carriedinterest; card check; and cap and trade.Arbury also emphasized to attendees thatthey should make Congress aware that itis estimated that half of the housingneeded in the United States between nowand 2020 will consist of rental properties.NAA members also discussed capitalmarkets, renter protections, energy-efficient buildings and the need for abalanced housing policy.

Conference kick-off speaker MarkHalperin, co-author of New York Times

best seller “Game Change” and SeniorPolitical Editor of Time magazine,provided insider knowledge from the2008 presidential election campaigncycle and current analysis and opinionof the Obama Administration and itsgoverning style.

The conference’s Government AffairsRoundtable Luncheon welcomedrenowned national political analystsCharlie Cook and Stu Rothenberg asguest speakers. They shared thoughts on the current polls and the November2010 elections.

Cook, who also spoke during NAA’s2007 Capitol Conference, told theaudience that “change” once again is theoperative word in politics, and that theelectorate is seeking just that from thecurrent Congress and Administration. Hepredicted that incumbents, especiallythose in the Democrat Party, will have atough time winning in November.

NAAPAC raised over $40,000 duringthe event and the Conference. Membersalso attended the annual BetterGovernment Fund reception at theNational Museum of Crime andPunishment in Washington, D.C. Theevent raised over $37,000.

The Capitol Conference also serves as the venue for one of three joint NAA Board and Assembly of Delegatesmeetings each year.

N A A C a p i t o l C o n f e r e n c eThe Industry’s Strongest Voice

More than 400 NAA members attended the Capitol Conference in March.

(Left) Senior Political Editor of Time magazine Mark Halperin and national political analysts Stu

Rothenberg and Charlie Cook discuss the political climate during the NAA Capitol Conference.

N A A / N M H C A c c o m p l i s h m e n t sCritical Legislative and Regulatory Issues Addressed

L a n d m a r k s 2 0 1 0 9

The year 2010 marked the first time thatWashington, D.C., policymakers fullyunderstood the value and positive

attributes of apartment renting. Before andduring the early phase of the single-familyhousing meltdown, few lawmakers truly“heard” NAA and NMHC’s joint messagedefining the need for a balanced housingpolicy in America.

As the meltdown progressed and creditfroze, NAA/NMHC’s message resonated,providing increasing opportunities to testifyon Capitol Hill.

NAA/NMHC continue to participateactively in meetings at the White House, theDepartment of the Treasury, the FederalReserve and on Capitol Hill as policymakersmap out a plan for the future of housingfinance.

Through NAA/NMHC’s Joint LegislativeProgram, lawmakers now understand thatthe apartment industry:• Acted responsibly and did not over-leverage• Used the Government-Sponsored Enterprises(GSE) credit wisely—a plus for government• Is fundamentally different from single-family finance

Consequently, changes in federal lawregarding future multifamily housingfinance should be minor in scope given theremarkably positive record of the industry.

As 2010 began, storm clouds were on thehorizon that threatened to negativelyimpact the industry. Green buildingmandates, onerous and punitive taxincreases or new regulations predictedgrim prospects.

However, as the year progressed,NAA/NMHC were able to stop orsignificantly change a number of theseinitiatives and along the way garner someimportant victories.

H o u s i n g F i n a n c eNAA/NMHC advocated and educated

extensively on housing finance reform,including three separate presentations: theConsumer Oversight Panel CommercialReal Estate Hearing ( Jan. 27), the HouseCommittee on Financial Services (March

23), and the Senate Committee on Banking,Housing and Urban Affairs (Sept. 15).

Additional Achievements• Prevented many proposals in theDodd-Frank financial regulatory reformlaw that would have created oversightand required reporting by member firmsengaged in the use of derivatives tohedge interest rate risk. NAA/NMHC alsosecured provisions to reduce the impactof reform on commercial mortgage-backed securities that would havereduced liquidity from that credit source,and effectively lobbied to improve creditand debit processing and rent paymentsby cash and credit/debit transactions.

• Secured a much-needed $5 billionexpansion of insurance authority in Julyfor the FHA multifamily mortgageinsurance program. This kept theprogram running through the end of thefederal fiscal year. In just 10 days,NAA/NMHC secured stand-alonelegislation with House and Senateapproval.• Developed comprehensive commentson behalf of the apartment industry onhousing finance reform for jointsubmission to the Treasury Departmentand the Department of Housing and

Urban Development (HUD). Thesecomments included an analysis ofcovered bonds, which directly led totestimony before the Senate, gettingNAA/NMHC on record before the SenateBanking Committee.• Reviewed and provided comprehensivecomments on the most extensiveunderwriting changes in the FHAmultifamily mortgage insuranceprogram in 30 years. The comments ledto some measure of moderation andimplementation of the changes.NAA/NMHC also participated in thereview and comment on the FHAmultifamily loan closing documents,including organizing industry input onthe final review and implementation ofthe new legal documents.

H o u s i n g P o l i c y a n d O p e r a t i o n sAfter stopping a Congressional effort to

impose mandatory foreclosure on anymultifamily property that HUD deemed indistress, NAA/NMHC succeeded in gettingsubsequent legislation modified to allowforeclosures only with the consent of ownersand lenders. Renters holding Section 8vouchers are now allowed to remain asrenters through the length of their Section 8contract after a property changes ownership.While some groups wanted this provision tobe permanent, NAA/NMHC were successfulin limiting it through 2012.

NAA/NMHC successfully lobbied againstenactment of the Employee Free Choice Act,also known as the “Card Check” bill. Thelegislation’s most onerous provisionsinclude: (1) union authorization cards thatwould essentially do away with secret-ballotelections for union representation; (2)mandatory arbitration that could force afirst-time contract within a short period oftime; and (3) heavy fines and penalties onemployers rather than the remedial natureof current law.

The National Flood Insurance Program(NFIP) was extended for one year until Sept.30, 2011, providing good news for propertyowners and property/casualty insurers who


had been operating under severalshort-term extensions. NAA/NMHC willcontinue to push for a five-yearreauthorization and maintenance ofsubsidized rates for certain propertiesas well as the House-passed provisions(not included in the one-yearextension) to increase coverage limitsand the addition of businessinterruption insurance.

E n v i r o n m e n tNAA/NMHC successfully intervened

with the Environmental ProtectionAgency (EPA) on its plan to conduct anonerous, mandatory survey of propertyowners’ stormwater managementpractices. As a result, the White HouseOffice of Management and Budgetexercised its oversight role to halt andrevise the survey. While EPA’s revisedquestionnaire is an improvement overearlier versions, it remains complexand requires broad disclosures fromapartment firms. NAA/NMHC produceda guidance document to assist memberfirms in completing the survey.

Additional Achievements• Worked with HUD’s Office of HealthyHomes and Lead Hazard Control toobtain reimbursement for lead-riskassessments and inspections inqualified federally assisted property.NAA/NMHC also worked with membersof Congress to require HUD to honor itscommitment to the Big Buy program.This activity completed efforts begun in1999 to secure federal financialassistance for properties that wererequired to be tested. • Worked with EPA to obtaincompliance assistance includingphased-in training and interpretiveguidance materials for membersengaged in operations on pre-1978properties that may contain lead-basedpaint.

G r e e n B u i l d i n g M a n d a t e sa n d E n e r g y P o l i c y

NAA/NMHC worked with congressionalsponsors to include funding for ademonstration project of multifamilygreen buildings as well as to address

issues related to valuation of greenimprovements in The Green Act, whichthe House passed. NAA/NMHC secureddirection for FHA to work with theAppraisal Institute to develop soundstandards for establishing the value ofgreen building improvements.

Additional Achievements• Participated as a developmentcommittee member for ASHRAEStandard 189.1, released in January2010, which provides code-adoptablegreen building guidelines for new andsubstantially renovated commercialbuildings, including multifamilyproperties over three stories. As amember, NAA/NMHC successfullyremoved the most onerous provisionsfrom draft versions of the standard,including arbitrary caps on apartmentunit size and requirements for onsiterenewable energy systems. NAA/NMHCalso incorporated common-senseexceptions for multifamily buildingsfrom provisions that were impracticalfor residential occupancies.• Continued seeking to createmeaningful incentives for propertyowners to make investing in energysaving more attractive and financiallyviable. NAA/NMHC worked with Senatestaff to develop legislation that wouldincrease the Commercial Building TaxCredit to $3 per square foot from thecurrent level of $1.80.


(From left): Kirk Kent, Waldorf Property Management, Chattanooga, Tenn.; Beth Brock, Mid-America,Memphis, Tenn.; Anna Ridley, Sunchase Apartments, Knoxville, Tenn.; Rep. Phil Roe, M.D. (R-TN, 1st);Diane Carter, Executive Director, Greater Nashville Apartment Association; Linda Mason, VolunteerProperties, Nashville; and John Barger, Fogelman Management Group, Memphis

Sen. Roy Blunt (R-MO) with NAA member GaryWilson, AR Wilson Realtors, Springfield, Mo.

N A A / N M H C

Ta x e sNote: Significant major tax issues werepending for the “lame-duck” session ofCongress in November and December atthe time Landmarks was published.

Throughout the year, NAA/NMHCvigorously fought against changing themethod of taxing carried interest to protectpartnerships from extremely onerous taxincreases. A special task force was formed andmoney raised for this effort, which includedrepresentation from other real estate tradeassociations. Thus far, NAA/NMHC haveworked to prevent the Senate from movingforward with a House-passed $18.7 billion taxincrease on carried interest.

Additional Achievements• Participated in a coalition to kill an $11.2billion proposal to tax a greater portion ofpartnership distributions, which are oftenused for reinvestment purposes as ordinaryincome and subject to Social Security andMedicare payroll taxes. • Strongly supported an extension through2010 of the so-called 50-percent bonusdepreciation, which allows half of the cost ofproperty to be deducted in the year ofpurchase as opposed to be recovered over upto 20 years, as part of the Small Business Jobsand Credit Act (PL 111-499) signed into lawon Sept. 27. That small business law alsoincluded NAA/NMHC-supported provisions toraise to $500,000 Section 179 small businessexpensing limits through 2011 and to allowthe self-employed to this year deduct the costof health insurance from payroll taxes.

B u i l d i n g C o d e sAs a member of the International Code

Council’s Code Technology Committee(CTC), NAA/NMHC have obtained supportfor many issues important to theapartment and construction industry,resulting in the CTC not approvingproposals that would have a major impacton apartment construction. Issuesaddressed by the CTC that impactapartments include: fire protection,allowable building heights and area, fireseparation, carbon monoxide, childwindow safety, climbable guards,emergency evacuation with elevators, exitstairs, and most importantly, the issuesresulting from the World Trade Centerdisaster where NAA/NMHC obtainedexceptions for apartments from newrequirements for additional exit stairwaysand exit reflective markings.

ICC’s president also appointedNAA/NMHC to the ICC’s Code Review AdHoc Committee. This appointmentprovides involvement in the detailed ICCreview of the ICC’s code developmentprocess. Recommendations from thiscommittee will go to the ICC Board later.

Additional Achievements• Worked with the code developmentcommittee to insure that the newInternational Green Construction Code(IgCC) was appropriate for apartments bykeeping the reference to ICC 700—theNational Green Building Standard. ICC 700is the only green construction standardspecifically written to cover residentialoccupancies, including apartments.• Worked with the American Wood Councilon tests to determine the fire impact ofinstalling two-to-three inches of foaminsulation on the exterior wall. Informationwill be used in the upcoming ICC EnergyCode hearings to oppose proposals toincrease insulation levels to save energy. Theproposals have not considered the majorimpact the added insulation will have on thefire spread along the exterior wall.• Was appointed to the National FireProtection Association (NFPA) specialcommittee on antifreeze systems. This allowsNAA/NMHC to be directly involved in theprocess to develop recommendations forantifreeze use in apartment sprinklersystems after a complete ban was issuedearlier this year by NFPA.


Ron Kingston, President, California Political ConsultingGroup; Nancy Ahlswede, Executive Director,Apartment Association, California Southern Cities;Congresswoman Laura Richardson; MalcolmBennett, Owner, International Realty & Investments

(From left): Gerry Henigsman, Association Executive, Apartment Association of Greater Dallas (AAGD);John Cullens, ApartmentCareers.com; Donna Derden, Vice President, AAGD; Rep. Ralph Hall (R-TX, 4th);Gary Mann, Trammell Crow; George Allen, CAE, Executive Vice President, Texas Apartment Association;(seated) Karen Tepera, CAPS, President, AAGD

N A A / N M H C

N A A G o v e r n m e n t A f f a i r sMember Initiatives Launched and Expanded

NAA’s key policy messages weredelivered in August to members ofCongress through their own

constituents, all active members of thenation’s apartment industry.

While NAA members traditionallyhave met with their elected officialsduring Congress’s annual “district workperiod,” 2010 marked the first year thatNAA challenged members to join togetheras an industry to deliver united messagesduring the congressional recess leadingup to the mid-term elections.

“We put out the call and the membersresponded,” says Greg Brown, NAA VicePresident of Government Affairs.

During the August recess, severaldozen NAA members called on theirSenators and Representatives with aunited policy message of criticalimportance to the multifamily sector anda key issue during the 112th Congress:

Access to capital must continue andreform of Government-SponsoredEnterprises (Fannie Mae and FreddieMac) must address the distinct needs ofthe apartment industry.

“Our concern is something morethan what’s been in the news media,” saysJeff Rogo, Government Affairs Director atthe Bay Area Apartment Association inTampa, Fla. “A reformed entity of Fannie Maeand Freddie Mac is critical in maintaining,developing and rehabilitating affordablemultifamily properties.”

Ken Szymanski, Executive Director ofthe Greater Charlotte Apartment Association

and the Apartment Association of NorthCarolina says the rental market has beengaining more respect nationally over thepast 12 to 18 months.

“Our efforts are resulting in increasedvisibility, respect and stronger relationships,”Szymanski says. “We have a story to tellabout the way our business works and it’sresonating. We’ve never had a betterchance to tell our story.”

C o n g r e s s i o n a l K e y C o n t a c tP r o g r a m L a u n c h e d b y N A A

NAA launched a key contacts programto work in conjunction with AIMS—theApartment Industry Mobilization Service.Key contacts are a vital key to the success ofNAA’s efforts to affect federal legislation.Elected officials listen best when they hearfrom individual constituents back home.

This program helps NAA better use its

more than 60,000 individuals in itsgrass-roots database. NAA is cultivatingthese individuals to become key contactsin the association’s advocacy program byencouraging them to develop a directrelationship with one or more of theirelected officials. Then, as needed oncritical issues, NAA activates key contactson important legislation that affects theindustry.

NAA members David Legow (left) and MikeBeirne with Rep. Scott Garrett (NJ-5).

NAA member Fred Dean (left) speaks withRep. Brad Miller (NC-13) and one of his aides.


The NAAPAC disbursed more than $430,000 to 2010mid-term election candidates who support the multifamilyhousing industry. Newly elected Rep. Jaime Herrera(WA-3) was among those who NAAPAC supported.Here, she stands with Washington multi-family HousingAssociation Government Affairs Director Joe Puckett.

NAAPAC Disburses $430,000 to Candidates in 2010

M e m b e r C o m m u n i c a t i o n sE f f o r t s S t r e n g t h e n e d

Government affairs staff beganconducting state and local issue regionalconference calls each month with regionalvice presidents, affiliate staff and keymembers to build better communicationsbetween and among affiliates and NAA.

In addition to fostering open discussion ofissues of critical importance to the apartmentindustry, the calls provide NAA staff with anopportunity to brief members regardingnationwide, state and local policy trends.

B e d B u g S u p p o r t E n h a n c e dGovernment Affairs staff launched the

NAA Bed Bug Resource Center. This resource,which can be found on the NAA websiteunder Government Affairs, contains valuabledocuments that affiliates and members canuse in their efforts to combat bed bugs.

Examples of resources include a list ofissue experts, a report regarding theeffectiveness of specific bed bugextermination methods, and variouslegislative items such as a list of pendinglegislation and NAA model bed buglegislation.

In other bed bug-related action, staffsubmitted a comment letter on behalf of NAAto the U.S. Environmental Protection Agency(EPA) declaring NAA’s support for a petitionfrom the Ohio Department of Agriculture tothe EPA that requests use of the chemicalPropoxur to be permitted for residential bedbug control.

NAA staff in conjunction with theApartment Association of CaliforniaSouthern Cities, Apartment Association ofOrange County and the National PestManagement Association, hosted two bedbug educational symposiums in September.The first symposium was held in Oaklandand the second was in Anaheim.

Model Legislation Program ExpandedNAA’s Model Legislation Program

continues to develop. Issues addressed thisyear were water billing, the apartmentindustry’s role on building code advisory

boards, delinquent utility bills, domesticviolence victim protections and the disposalof abandoned property.

The program was developed with the ideathat state and local laws of benefit to theapartment industry should be shared withmembers nationwide. Laws and legislationnationwide often serve as the foundation ofNAA’s model legislation. State and localaffiliates are encouraged to use NAA’s modellegislation as a basis of reference whencrafting their own proactive policy initiatives.

Legal Assistance Program GrowsNAA actively promoted its ability to

submit a 'friend of the court' (amicuscuriae) brief on members' behalf. If amember company is involved in a case atthe appellate level, NAA submits the briefthrough the Legal Assistance Program (LAP).

NAA attorneys write and submit legalbriefs that supplement and strengthen thearguments the member company’scounsel makes to the court and remindsthe court of the national policyimplications of the case and why thecompany's legal position strengthens thecountry's vital housing industry.

In one example, NAA filed an amicusbrief in the case of Guggenheim v. City ofGoleta. The case, which is under en bancreview in the U.S. Ninth Circuit Court ofAppeals, addresses the issue of regulatorytakings in the context of rent control laws.

In addition, staff continues to workwith NAA’s affiliated associations inMissouri to address a recent action of thestate Public Service Commission. TheCommission staff has filed a complaintalleging multifamily properties that billresidents for water usage are acting asutilities and should be regulated as such.NAA filed to intervene as a party to thiscase. In addition, NAA staff provided theMissouri affiliates with suggestedpolitical and media strategy.

Va l u a b l e R e s e a r c h C o n d u c t e dFollowing are research findingsdelivered by NAA staff in 2010:• Conducted nationwide statutory researchfor the Washington Multi-Family HousingAssociation regarding legislation that aimsto restrict the manner in which residenteviction histories may be used in the tenantscreening process.

N A A G o v e r n m e n t A f f a i r s O u t r e a c hPrograms Grew During 2010

Greg Cerbana, Washington multi-family Housing Association (WMHA) President, WMHA’s Joe Puckett andmember Bill Austin with NAA’s Vice President of Government Affairs, Greg Brown


• Undertook a 50-state statutory reviewof laws pertaining to the licensure ofapartment managers for the AlabamaApartment Association. As a result of thatresearch, staff compiled a reportseparating the states into those withexemptions, those with conditionalexemptions, and those requiring licensure.• Reviewed security deposit laws in all 50states and the District of Columbia. Areport was compiled to illustrate whichstates require owners and managers ofresidential rental property to either: 1)pay a specific rate of interest to theresident upon the return of his/hersecurity deposit, 2) place the deposit in aseparate account, or 3) place the depositin a separate account and pay a specificrate of interest to the resident upon thereturn of his/her deposit. • Provided the Washington Multi-FamilyHousing Association with a 50-statestatutory report regarding noticerequirements needed to terminate amonth-to-month lease.• Identified which states have requirementsfor carbon monoxide detectors inmultifamily housing. Staff found that23 states require CO detectors inmultifamily housing. A report has beencompiled with the corresponding

statutory and code language.• Produced a report at the request ofNAA’s California affiliates concerningrent control policies nationwide. Thereport, “Rent Control: The Current Stateof Play,” provides a historical overview ofrent control policies in the United States,offers the apartment industry'sperspective on rent control and examinesrecent developments in rent controllegislation, ballot initiatives andlitigation. • Assisted a North Dakota-based membercompany with legal research regardingpermissible boundaries when charging a“pet fee.” This research lead to a largerresearch project and guidance regardingthe fair housing implications of“companion animals.”• Helped the Central Oklahoma andTulsa Apartment Associations withstrategies for addressing meth disclosurelegislation pending consideration in thestate legislature.• Provided the San Antonio ApartmentAssociation with research and talkingpoints regarding existing municipalmultifamily recycling ordinances. Theinformation will be used to craft anindustry-friendly proposal for the citycouncil’s consideration.

• Provided research and analysis to theProperty Management Association ofWestern Michigan regarding the fairhousing law implications of propertymanagers determining if applicants arecapable of “independent living.”• Conducted research on state securitydeposit and late fee laws for the ApartmentAssociation, California Southern Cities.

• Collaborated with For Rent MediaSolutions Senior Counsel Nadeen Greento co-author an article discussing thelegalities of senior housing and“independent living” requirementsunder fair housing law. The article waspublished in units magazine and otherreal estate publications.• Provided the Central Iowa ApartmentAlliance with research regarding recentstate-level bed bug legislation.• Provided legislative analysis to theChicagoland Apartment Associationconcerning a proposal by the City ofChicago to amend security depositrequirements of the Chicago ResidentialLandlord Tenant Ordinance.• Conducted research to locate examplesof property owner-friendly multifamilyregistration ordinances. The results ofthis search were shared with AustinApartment Association, which requestedthe research, and will be used in theirefforts to combat an Austin City Councilregistration proposal.• Undertook a review and survey of rulesfor repair/replace permits on behalf ofthe Columbus affiliate. A class of permits

NAA member Phillip Neuman stands beside Detroit Metropolitan Apartment Association’s Tony Barker (left) and NAA’s Erik Taylor.


N A A G o v e r n m e n t A f f a i r s

Greenville Area Property Manager’s AssociationLeigh Ann Raiford Odom (left) and AmandaLyall met with Rep. Walter Jones (NC-3).

for small-scale repairs has been removedfrom exempt status and enforcement by thecity is presenting significant financial andpractical difficulties to both property ownersand renters.

Advocacy Efforts Supported• Composed a letter in opposition to aproposed ordinance requiring providers ofresidential rental housing in Miami-DadeCounty to participate in the federal Section 8Housing Choice Voucher Program. The letterwas sent to all members of the Miami-DadeCounty Board of County Commissioners.• Crafted talking points in response to aproposed ordinance aimed at creating aresidential rental property inspectionsprogram in Clinton, Miss.• Met with Massachusetts Lt. GovernorTimothy Murray in Washington, D.C., to educate him on critical real estateindustry issues.

I s s u e s D a t a L i b r a r y E x p a n d i n gNAA’s State and Local Government Affairs

department further developed its issues datalibrary—a repository for legislative andregulatory issues regarding the rentalhousing industry.

The library is part of the existingGovernment Affairs’ section of the NAAwebsite. By early 2011, at least five fullsections will be available, covering priorityissues ranging from bed bugs to source ofincome. The State and Local GovernmentAffairs staff is developing polished and up-to-date content for each issue, includingbackground documents, legislative trackingreports, model legislation, NAA reports andstatutory reviews. Maps will be available toshow newly introduced legislation.

These steps represented the first phases ofNAA’s totally restructured Government Affairsportion of the NAA website.

New Staff Adds Bench StrengthThe NAA Government Affairs

Department added two staff positions in2010 under its new Vice President,Government Affairs, Greg Brown.

Alison Berry, State & Local ResearchAnalyst, provides policy research andanalysis on state and local issues, andCarole Roper, Manager, Public Affairs,provides resources on communicationsand public affairs activities. Kathleen

Youngblood, Director of Political Affairs,now leads the NAAPAC. Scot Haislip,Director, State & Local Government Affairs;and Erik Taylor, Manager, State & LocalGovernment Affairs, will continue tomonitor state issues.

AIMS Updates. An e-newsletter from the Apartment Industry Mobilization Servicewith updates on federal legislative and regulatory issues

HotSheet. A monthly e-newsletter reporting on the latest state and local legislativeactivity affecting the apartment industry (below)

Legislative and Regulatory Priorities. The annual report from NAA/NMHC onfederal priorities for the upcoming year

NAA/NMHC Joint Legislative Staff Report. Published three times a year withinformation on recent federal legislative and regulatory actions

State and Local Policy Outlook. A publication identifying important state andlocal policy issues with four updates during each calendar year

H o w G o v e r n m e n t A f f a i r sC o m m u n i c a t e s w i t h M e m b e r s

Informing and Educating Members on Issues Affecting the Industry


N A A G o v e r n m e n t A f f a i r s O u t r e a c h

16 L a n d m a r k s 2 0 1 0

Delivering the utmost in customerservice on a first-name basis, TheMetropolitan at Pentagon City in

Arlington, Va., owned and managed byKettler Management, was named the2010 NAA PARAGON Community of the Year.

“Our lobby is always full of peopleand it feels like a community, not ahotel,” says Kelsey Clark, Leasing Agentat The Metropolitan. “The staff knows every

resident by name—including the pets.”Located minutes outside of

Washington, D.C., the 325-unit high-rise is the perfect blend of comfort andclass. The Metropolitan boasts a diversepopulation of residents, includingmilitary men and women, families andsingle professionals, all of whom feelright at home.

“Our community appeals to a lot ofdifferent people,” says Cindy Clare,President of Kettler Management. “Thebuilding feels traditional enough forfamilies but contemporary and eclecticat the same time.”

Conceptualized in the late 1990s, TheMetropolitan was built in Arlington’sPentagon City neighborhood on theup-and-coming shopping and diningconcourse known as Pentagon Rowand welcomed its first residents in2002. Since then, residents haveenjoyed an unbeatable location, state-of-the-art amenities and a friendlyplace to call home.

A w a r d W i n n e r sPARAGON Community of the Year: Kettler’s The Metropolitan, Arlington, Va.

M a i n t e n a n c e M a n i a N a t i o n a l C h a m p i o n s h i p s

Indianapolis-based Van Rooy Proper-ties pulled off an unprecedented

sweep of the top three places in theFourth Annual Maintenance ManiaNational Championship, presented byHD Supply and held in New Orleansin conjunction with the 2010 NAA Ed-ucation Conference & Exposition.

First-time entrant David Garciatook top honors with a cumulativetime of 2 minutes, 5.009 seconds.Competition veteran Herb Harr placedsecond and Enrique Alarcon claimedthird. Twenty national finalists competed.

The excited crowd was a boost forthe competition, noted Mike Hendel,Senior Manager, Strategic Marketing,for presenting sponsor HD Supply.

“The largest ever crowd at a Mainte-nance Mania competition was trulyinspiring,” he said. “The excitementand industry support behind thisevent continues to grow every year.”

NAA, together with presenting sponsorHD Supply, conducts MaintenanceMania events at affiliated apartmentassociations throughout the country.The event consists of several skill-based table games based on commonmaintenance activities and a race carcompetition. It provides an opportunityto recognize the skilled maintenanceprofessionals in their communitieswho are instrumental to the successand viability of the multifamily housingindustry.

Indianapolis’ Van Rooy Properties Sweeps Competition


Van Rooy Properties’ winning participants

First Coast Apt Association won the Spirit Award.

L a n d m a r k s 2 0 1 0 17

Popularity in the NAA National Leaseprogram continues to soar. Presently,more than 12,500 communities are

using the lease and a new lease is beinggenerated every second during regularbusiness hours. Currently, it is offered in 41 states.

NAA is on pace to sell 26 million leaseclicks in 2010, a record, breaking the markof 23 million sold in 2009. Now availablewith the NAA National Lease is electronicsignature. E-signature allows residents toexecute binding rental agreements and otherforms electronically from their computers.

The NAA Lease software quickly generates andtracks lease renewals and pre-leases on aunit-by-unit basis and it provides a reminderprompt when a pre-lease becomes current.View a list of states where the Lease Programis available at www.naahq.org/lease.

Lease Tra in i ng V ideos Produced

NAA rolled out the first of several plannedstate-specific National Lease Programlease overview videos by distributing the

Florida Lease Video. The 30-minute videohighlights important information in eachparagraph of the apartment lease and servesas an ideal guide to residents whose ownersare using it. This video also is an invaluabletraining tool for National ApartmentLeasing Professionals (NALP), CertifiedApartment Managers (CAM) and CertifiedApartment Portfolio Supervisors (CAPS) atparticipating properties. Production isplanned for two additional state-specificvideos in 2011.

L e a s e P r o g r a mPopularity Soars

Consolidated Statements of Financial* Position Year Ended Dec. 31, 2009

ASSETS

Current AssetsCash and cash equivalents $467,714Accounts and contributions receivable, net of allowance for doubtful accounts of $28,921 334,128

Prepaid expenses 530,361Inventory 6,856Total Current Assets 1,339,059

Investments 12,281,810

Property and Equipments, net of accumulated depreciation of $611,774 $424,266

Deposits 78,667Total Assets $14,123,802

LIABILITIES AND NET ASSETS

Current LiabilitiesAccounts Payable and Accrued Expenses $1,169,658Deferred Revenue 3,155,951Total Current Liabilities 4,325,609

Long-Term LiabilitiesDeferred Lease Obligations $221,136Other Liabilities 4,355,609Total Liabilities 4,576,745

Net AssetsUnrestricted $8,112,961Temporary restricted 282,188Permanently restricted 1,151,908Total Net Assets 9,547,057

Total Liabilities and Net Assets $14,123,802

Consolidated Statements of Activities* Year Ended December 31, 2009

Revenue and Other SuportMembership $3,482,951Education 1,420,971Meetings & Expositions 5,635,065Communications 1,899,354National Lease Program 1,835,770Government Affairs 85,857Administrative Income 273,087Contributions 503,233Net Assets Released fromRestrictions 224,787Total Revenueand Support $15,361,075

ExpensesProgram ServicesMembership $704,955Education 1,730,883Meetings & Expositions 3,140,517Communications 1,971,576National Lease Program 1,442,592Government Affairs 1,740,632Fund Raising 2,417General Administrative 3,707,640

Total Expenses $14,441,212

Change in UnrestrictedNet Assets $919,863

Temporarily Restricted Net AssetsContributions $140,000Investment Income 77,140Net Assets Released from Restrictions (224,787)

Change in Temporarily Restricted Net Assets (7,647)Change in Net Assets $912,216

Net AssetsBeginning of Year $8,634,841End of Year $9,547,057

*Includes NAA, NAAEI and The National Accessible Apartment Clearinghouse

N A A F i n a n c i a l S t a t e m e n t

N A A L e a s e P r o g r a mClicks Sold


N A A E d u c a t i o n I n s t i t u t eCAMT Receives National Accreditation

NAAEI’s Certificate for ApartmentMaintenance Technicians (CAMT)program gained accreditation by the

American National Standards Institute(ANSI), a private non-profit organizationthat administers and coordinates the U.S.voluntary standardization and conformityassessment system.

The ANSI accreditation process is themost comprehensive and rigorous of anypersonnel accreditation program worldwide.

The CAMT program is the only apartmentindustry program to be accredited by ANSI.

“We are delighted to learn that theCAMT program has been accredited by ANSI,”says Jeffery Lowry, CAPS, NAAEI Presidentand Senior Vice President, MultifamilyServices of the McDougal Companies.

ANSI accreditation provides a neutral,third-party validation that CAMT promotes

better-educated and qualified workers.Achieving ANSI accreditation is a

huge education programming milestonefor NAAEI, says Maitri Johnson, CAPS,Chair of the Curriculum andDevelopment committee and ExecutiveVice President of Riverstone Residential,Central Division. “NAAEI’s CAMT program

is now synonymous with excellence inthe field of apartment maintenance.”

The CAMT program offers a blendedlearning approach, with three onlinecourses and hands-on training includingplumbing, electrical, HVAC, appliance,and interior and exterior maintenanceand repair.


The National Apartment Association Education Institute(NAAEI) awarded Jerry Warshaw, CAPS, CPM, and Douglas

Chasick, RAM, CAPS, CPM, with 2010 Apartment Career andEducation (ACE) Awards.

“This year’s recipients are prime role models for any apartment industry educator,” said Jeffery Lowry, CAPS and NAAEI President. “Jerry and Doug have dedicated their careers to the improvement of apartment industry education and promotion of apartment careersamong high school and college students. With more than 65years of industry experience between them, it is clear why wechose to honor these gentlemen with our highest award forapartment educators.”

Warshaw, who won the ACE Award as a volunteer leader,is the President of Warshaw Properties in Atlanta and Chairmanand President of the Georgia Apartment Industry EducationFoundation, a private, non-profit organization that promotescareer opportunities within the apartment industry.

Chasick is Senior Vice President, Multifamily Professional Services at CallSource, a full service multifamily solutions company. Chasick is receiving the ACEAward as a professional educator; he is a nationwide industryeducator and subject matter expert.

2 0 1 0 A C E A w a r d sChasick, Warshaw Recognized for Industry Service

ANSI ACCREDITED PROGRAMCERTIFICATE ISSUER

NAAEI President Jeffrey Lowry, CAPS, and NAA Chairman of theBoard Marc Rosenwasser, CAPS, stand with (top) Doug Chasick,RAMS, CAPS, CPM, and Jerry Warshaw, CAPS, CPM

NAA Education Institute (NAAEI)participated in the first-ever NationalApartment Careers Month in February

2010. National Apartment Careers Monthwas instituted to create awareness of and topromote the attractive and recession-resistant careers in the apartment industry,”Maureen Lambe, CAE, NAAEI Executive VicePresident says. “With the current state of theeconomy, there are not only more peoplechoosing to live in apartments, there are alsomore people seeking a career in ourindustry; we want to take this opportunity toshow that a career in the apartment industrycan be a viable career choice with manyrewards and benefits.”

National Apartment Careers Month alsois intended to encourage hiring personnel,whether they are onsite managers or

corporate human resources managers, toevaluate the new and raw talent entering theindustry more effectively, exploringapplicants’ core competencies and not justprevious apartment industry experiencebefore making their hiring decisions.

NAAEI helped promote NationalApartment Careers Month as the perfect timefor apartment management companies topartner with local high schools andcommunity colleges to promote awarenessof apartment careers through career fairs,

job shadowing and speaking engagements.These companies are also encouraged topartner with local career organizations suchas Jobs for America’s Graduates ( JAG), DECA,Job Corps, SkillsUSA, as well as their localcommunity college and technical schools,in activities such as internships, jobshadowing or exhibiting at college careerfairs. Many NAA affiliates held their ownevents in conjunction with NationalApartment Careers Month.

In preparation for this event, NAAEI hasdeveloped several career guide tools forhiring managers, apartment managementcompanies and NAA affiliates andassociations. These tools are available at theNAA website for use in celebrating February2011 as the second annual NationalApartment Career Month.


NAAEI Participates in First National Apartment Careers Month

N A L P O n l i n e E x a m L a u n c h e dNAAEI launched its National Apartment

Leasing Professional (NALP) Online courseon October 1. This course was developed toprovide affordable, convenient, self-pacedtraining for both new and experiencedleasing consultants. This interactive NALPCourse takes advantage of the onlinemedium to create an engaging, effectivelearner experience.

The course:• Follows an interactive scenario-basedapproach that engages and challenges learners;• Focuses on applied skills training ratherthan solely on facts and information, thustruly preparing enrolled students for the jobof a leasing professional; and• Enhances the current NALP classroomcontent by adding up-to-date social media

and interactive content, including vendorInternet-base programs.

NALP Online can be purchased as acomplete course for $299 or by the module(a total of 8 modules) for $39 per module.

N A A E I D e v e l o p s L e a r n i n gM a n a g e m e n t S y s t e m

NAAEI partnered with CallSource to developa universal online learning managementsystem (LMS) that is available and can beutilized across all NAA affiliates and members.

NAAEI continues its commitment towardimproving the training experience for NAAaffiliates and their members by offeringonline education.

Online education significantly reducesthe overhead costs of educating employeesand increases attendance opportunities foraffiliate members who are unable to travelto in-person trainings and seminars. TheLMS includes online education that isaccessible anytime and is comprised ofcourse and seminar content from the NAAEI,CallSource and state and local apartmentassociations.

The platform is completely customizable.Each individual’s certification, designation,and training history will remain in onelocation and is easily accessible, even whenmembers move from region to region orcompany to company.

Joe Becker, Buckingham Management; Kamron Ibarra,Winn Military Housing; Shannon Birtwell, WinnResidential; Jill Hanaway, Buckingham Managementand Tom Adams, Winn Military Housing presentedCareers in Apartment Management to over 250students at the Collegiate DECA International Career Development Conference in Louisville, Ky.NAAEI exhibited at the DECA Career Fair andNAA members served as judges for DECA’s competitive events.

N A A E I A t t e n d s D E C A C o n f e r e n c e

T h e N A A N e t w o r k

20 L a n d m a r k s 2 0 1 0

Alabama• Alabama Apt. Association

205/533-1644• Apt. Association

of North Alabama256/539-2998

• Greater BirminghamApt. Association205/533-1644

• Mobile Bay Area Apt. Association251/776-4882

• River Region Apt. Assn.334/514-1780

• The Plains Apt. Association205/533-1664

Arizona• Arizona Multihousing

Association602/296-6200

Arkansas• Arkansas Apt. Association

501/664-8300• Arkansas Multi-Family

Housing Association501/664-8300

• Northwest Arkansas Apt. Association479/387-1487

California• Apartment Association,

California Southern Cities562/426-8341

• Apartment Association of Greater Los Angeles213/384-4131

• Apartment Association of Orange County714/638-5550

Colorado• Apt. Association

of Metro Denver303/329-3300

• Apt. Association of Southern Colorado719/264-9195

• Northern Colorado Rental Housing Association970/484-7754

• Colorado Apt. Association303/329-3357

• Weld County Apt. Association970/395-0225

Connecticut• Connecticut Apt. Association

860/722-9922

Delaware• Delaware Apt. Association

302/547-9436

District of Columbia• Apt. and Office Building


Florida• Apt. Association

of Greater Orlando407/644-0539

• Bay Area Apt. Association813/882-0222

• Bay County Multi-Housing Association850/236-9599

• Capital City Apt. Association229/221-4735

• Emerald Coast Apt. Association of NW Florida850/934-6680

• First Coast Apt. Association904/292-1345

• Florida Apt. Association407/647-8839

• North Central Florida Apt. Association352/333-0333

• South East Florida Apt. Association561/447-0696

• Southwest Florida Apt. Association239/298-3028

• Sun Coast Apt. Association866/599-3037

• Tri-City Apt. Association800/276-1927

Georgia• Apt. Association

of Greater Augusta803/252-2402

• Athens Apt. Association706/549-0098

• Atlanta Apt. Association770/518-4248

• Columbus Apt. Association706/568-9990

• Georgia Apt. Association770/518-4248

• Mid Georgia Apt. Association478/994-8774

• Savannah Apt. Association912/920-3207

Idaho• Idaho Rental Owners

and Managers Association 208/336-9449

Illinois• Chicagoland Apt. Association

847/678-5717• Illinois Apt. Association

847/678-5717

Indiana• Apt. Association

of Fort Wayne/NorthernIndiana260/482-2916

• Apt. Owners and Managers Association of Terre Haute812/232-5083

• Apt. Association of Southern Indiana 812/473-0917

• Indiana Apt. Association 317/816-8900

• Monroe County Apt.Association812/332-0053

• North Central Indiana Regional Apt. Council317/816-8900

• Northern Indiana Apt. Council800/688-6236

• South East IndianaRegional Apt. Council317/816-8900

• Tippecanoe Apt. Association765/742-5096

Iowa• Central Iowa Apt. Alliance

515/401-0995

Kansas• Apt. Association

of Greater Wichita316/682-3508

• Apt. Association of Kansas City913/248-0355

• Apt. Council of Topeka785/273-1392

• Kansas Apt. Association785/682-3508

Kentucky• Greater Cincinnati Northern

Kentucky Apt. Association859/581-5990

• Greater Lexington Apt. Association859/278-6540

• Kentucky Apt. Association 502/426-6140

• Louisville Apt. Association502/426-6140

Louisiana• Acadiana Apt. Association

337/993-3354• Apt. Association

of Greater New Orleans504/888-2492

• Apt. Association of Louisiana337/237-3773

• Baton Rouge Apt. Association225/923-2808

• Houma-Thibodaux Apt. Association985/879-2772

• Northeast Louisiana Apt. Association318/366-9266

• Shreveport-Bossier Apt. Association318/746-0000

• Southwest Louisiana Apt. Association337/304-0235

Maine• Maine Apt. Association

207/553-7777

Maryland• Maryland Multi-Housing

Association 410/825-6868

• Apt. and Office Building Association202/296-3390

Massachusetts• Rental Housing Association

of The Greater Boston Real Estate Board 617/399-7849

Michigan• Detroit Metropolitan

Apt. Association248/594-9803

• Northern MichiganProperty Mgmt. Association313/359-5500

• Property Management Association of Michigan616/531-5243

• Property Management Association of Mid-Michigan810/449-1939

• Property Management Association of West Michigan616/531-5243

• Washtenaw Area Apt. Association734/663-1200

Mississippi• Mississippi Apt. Association

703/797-0624

Missouri• Apt. Association

of Kansas City913/248-0355

• Columbia Apt. Association573/886-8638

• Mid Missouri Rental Properties Association573/364-1985

• Mid-Missouri Apt. Association573/635-0613

• Missouri Apt. Association888/859-5192

• St. Louis Apt. Association314/205-8844

• Southwest Missouri Rental Housing Association417/781-3337

• Greater Springfield Apt. and Housing Association417/883-4942

Nebraska• Apt. Association of Greater

Omaha and Lincoln402/333-5331

Nevada• Southern Nevada

Multi-Housing Association702/436-7662


New Hampshire• Apt. Association

of New Hampshire603/666-4242

New Jersey• New Jersey Apt. Association

732/992-0600

New Mexico• Apt. Association

of New Mexico505/822-1114

New York• New York Capital Region


North Carolina• Apt. Association

of North Carolina704/334-9511

• Cumberland County Apt. Association 910/484-3335

• Apartment Associationof Western North Carolina828/258-4835

• Greater Charlotte Apt. Association 704/334-9511

• Greenville Area Property Managers Association252/752-8900

• Triad Apt. Association336/294-4428

• Triangle Apt. Association919/782-1165

• Wilmington Apt. Association910/251-2364

North Dakota• Bismarck-Mandan


• FM Apt. Association218/233-6245

• North Dakota Apt. Association800/990-6322

Ohio• Columbus Apt. Association

614/488-2115

• Greater Cincinnati Northern Kentucky Apt. Association859/581-5990

• Greater Dayton Apt. Association937/293-1170

Oklahoma• Apt. Association

of Central Oklahoma405/606-2226

• Oklahoma Multi Housing Association405/606-2226

• Stillwater Apt. Association405/377-2787

• Tulsa Apt. Association918/747-6217

Pennsylvania• Apt. Association

of Central Pennsylvania717/730-0409

• Apt. Association of Greater Philadelphia610/664-1800

• Western Pennsylvania Apt. Association412/288-9780

• Pennsylvania Apt. Association610/664-1800

Rhode Island• Rhode Island Apt.


South Carolina• Apt. Association

of Greater Augusta803/252-2402

• Apt. Association of Greater Columbia803/252-5032

• Beaufort County Apt. Association843/290-6463

• Charleston Apt. Association843/722-7585

• Myrtle Beach Apt. Association843/903-0403

• South Carolina Apt. Association803/252-5032

• Upper State Apt. Association864/242-0200

South Dakota• Black Hills Area

Multi-Housing Association605/394-3310

• South Dakota Multi-Housing Association605/336-7756

Tennessee• Apt. Association

of Greater Knoxville865/588-8961

• Apt. Association of Greater Memphis901/685-9108

• Chattanooga Apt. Association423/876-8121

• Greater Nashville Apt. Association615/365-3047

• Tennessee Apt. Association615/365-3047

• Tri-City Apt. Association423/928-5683

Texas• Apt. Association

of Central Texas254/939-5655

• Apt. Association of Greater Dallas972/385-9091

• Apt. Association of South East Texas409/899-4455

• Apt. Association of Tarrant County817/284-1121

• Apt. Association of the Panhandle806/355-6391

• Austin Apt. Association512/323-0990

• Big Country Apt. Association325/695-7431

• Bryan-College Station Apt. Association979/260-9842

• Corpus Christi Apt. Association361/852-2787

• Corsicana Apt. Association903/874-7165

• El Paso Apt. Association915/598-0800

• Galveston County Apt. Association409/762-8339

• Greater Longview Apt. Association903/759-3966

• Heart of Texas Apt. Association254/776-5451

• Houston Apt. Association713/595-0300

• Lubbock Apt. Association806/794-2037

• North Texas Rental Properties Association940/322-7667

• Permian Basin Apt. Association432/563-1278

• Piney Woods Apt. Association936/569-6690

• Rio Grande ValleyApt. Association956/428-5072

• San Angelo Apt. Association 325/942-1332

• San Antonio Apt. Association210/692-7797

• Texarkana Apt. Association903/223-0217

• Texas Apt. Association512/479-6252

• Tyler Apt. Association903/594-8864

• Victoria Apt. Association361/572-4686

Utah• Utah Apt. Association

801/487-5619

Virginia• Apt. and Office Building


• Blue Ridge Apt. Council434/971-8000

• Central Virginia Apt. Association804/756-8262

• Fredericksburg Area Multihousing Association540/373-0811

• New River Valley Apt. Council540/552-8340

• Roanoke Valley Apt. Association540/989-5556

• Shenandoah Valley Apt. Association540/432-5525

• Valley Landlords Association540/941-3588

• Virginia Apt. and Management Association804/756-8262

Washington• Washington Multi-Family

Housing Association425/656-9077

Wisconsin• Apt. Owners and Managers

Association of Milwaukee414/278-7557

• Central Wisconsin Apartment Association715/345-1897

• Wausau Area Apt. Association715/581-0160

Canada• Investment Property

Owners Assn. of Nova Scotia902/425-3572

3,242 fans

3,380 followers

3,374 community members

As of Nov. 3, 2010

ABOUT NAA: The National Apartment Association (NAA) is America’s leading advocate for quality rental housing. NAA’s mission is to servethe interests of multifamily housing owners, managers, developers and suppliers and maintain a high level of professionalism in themultifamily housing industry to better serve the rental housing needs of the public.

NAA is a federation of 170 state and local affiliates, comprised of more than 51,000 multifamily housing companies representing more than5.9 million apartment homes throughout the United States and Canada.

Members represent all facets of the multifamily housing industry: apartment owners, developers, builders, investors, leasing consultants,property managers, management executives, maintenance personnel, suppliers and other related business professionals. NAA provides a wealth of information through advocacy, research, technology, education and strategic partnerships.

4300 Wilson Blvd., Suite 400 | Arlington, VA 22203 | Main: 703/518-6141 | Fax: 703/248-9440 | www.naahq.org

2011 NAA STUDENT HOUSING CONFERENCE & EXPOSITIONFebruary 21-23, 2011 | Caesars Palace, Las Vegas

2011 CAPITOL CONFERENCEMarch 13-16, 2011 | The Omni Shoreham Hotel, Washington, D.C.

2011 NAA EDUCATION CONFERENCE & EXPOSITIONJune 23-25, 2011 | Mandalay Bay Resort & Convention Center, Las Vegas

2011 ASSEMBLY OF DELEGATESNovember 3-5, 2011 | Intercontinental Buckhead, Atlanta

2 0 1 1 C o n f e r e n c e s

Documents

National Apartment Association Landmarks · strategy for reaching those goals. Marc Rosenwasser, CAPS 2010 NAA ... Ron Shelton, CAPS NAA 2009 Chairman of the Board Almagamated Management