The Future of Smart Apartments: What We Learned at Blueprint Vegas 2024

Thousands of apartment communities have embraced smart home technology, but what have we learned from these widespread installations? At Blueprint Vegas 2024, industry leaders gathered to discuss the trials, triumphs, and lessons learned from integrating smart tech into multifamily properties.

During the panel “Lessons Learned: Smart Technology Implementations in Multifamily Buildings (Presented by Ambient),” experts in real estate, tech, and asset management shared their candid experiences, shedding light on what works, what doesn’t, and how property owners can make smarter decisions going forward. Here's what they had to say.

The Appeal of Smart Technology for Modern Renters
Smart technology is increasingly becoming a must-have for multifamily buildings, driven by changing demographics. Moderator and freelance writer Patrick Sisson opened the discussion by highlighting that today's renters, particularly Gen Z and high-income earners, are seeking properties equipped with the latest digital features.

“We have a much wealthier group of renters than we’ve ever had before,” he explained, pointing to data from the Wall Street Journal, which shows a sharp rise in renters earning $750,000 or more annually. These renters demand more than just a home; they want tech-driven convenience.

For digitally native generations like Gen Z, smart technology is a significant draw. They expect seamless, connected living environments and are often willing to pay a premium for features that enhance their lifestyle. This is especially important as rental markets in cities like Austin, Texas experience double-digit drops in rent, squeezing landlords to find new ways to add value to their properties.

The Early Days of Smart Tech in Multifamily
James Alfandre, Founding Principal of Urban Alfandre, shared insights on his firm’s early adoption of smart technology in urban multifamily developments. He emphasized the company’s commitment to understanding its renters, explaining that they incorporate smart home technology into their designs to cater specifically to residents' needs and preferences.

Even widely adopted tech has its challenges. Pointing to self-guided tours using key fobs as an example, Alfandre asserted that current smart home systems can feel clunky and detract from the resident experience. Instead, smart technology should serve to streamline operations, improve efficiency, and enhance the renter’s journey, and this will be more of a focus in the future.

“Smart home is an integral part of our strategy,” he stated, explaining how the right technology can help properties withstand market cycles and remain competitive. Whether it's energy-saving features or security enhancements, tech investments are about ensuring long-term success for property owners and managers.

Navigating the Challenges
While smart technology offers a clear path to enhancing resident experiences and operational efficiency, the road to implementation isn't without its obstacles. Gina Davis, SVP of Asset Management at Trilogy Investment Company, shared her experiences working with Ambient, a company specializing in smart technology for multifamily buildings. From voltage issues with smart lights to navigating insurance claims for leak detection devices, Davis pointed out that the practical aspects of implementation require patience and precision.

The biggest challenge, however, is often training both staff and residents so they know how to use the technology. Alfandre agreed, stressing the importance of choosing the right tech partner and package. He noted that, for owners, it’s a huge burden to navigate which companies have staying power and won’t require rewiring everything within a few years.

Mike Rovito, CEO of Ambient, added that selecting the appropriate smart technology package depends heavily on the type of property. For example, perimeter access control isn’t a necessity for garden-style properties, but it certainly is for an urban high-rise building. With lower-income properties, it’s more about the operational savings instead of appealing to residents with a premium price tag. Ultimately, Rovito explained, some properties can benefit more from functional, “workhorse” systems rather than flashy, high-end features.

The Importance of Choosing the Right Partner

One recurring theme throughout the panel was the importance of partnering with smart tech companies that have a long-term vision. Alfandre mentioned his preference for companies like Fetch, which provide package management services, and Ambient, both of which his company funds partially through amenity fees. “As an owner, we have to make sure there’s staying power,” he emphasized, urging others to look for partners who plan for future growth and innovation rather than those who might sell off or pivot too quickly. Davis shared similar thoughts, appreciating Ambient's transparency in outlining what steps are needed now and in the future to keep smart tech functioning at its best. Rovito cautioned against jumping on new trends too quickly, warning against “shiny object syndrome.” He argued that investing in tech too early can lead to misalignment with the rest of the industry, creating risks for property owners.

What’s Next for Smart Technology in Multifamily?
As smart technology matures, the focus is shifting from simply adding new features to refining and optimizing existing ones. Rovito pointed out that many multifamily properties are now looking to “go deeper, not wider” with their tech investments. Rather than continually integrating new platforms, properties should aim to make their current systems work more efficiently. Alfandre took this idea further, suggesting that smart tech in multifamily buildings will increasingly blur the lines between hospitality and residential living. With smarter systems, owners can not only improve operational efficiencies but also enhance the resident experience to the point where the property feels more like a service-driven hotel than a traditional apartment complex.

Davis wrapped up the conversation by discussing the importance of convenience and flexibility, highlighting how self-guided tours have allowed Trilogy Investment Company to meet prospective residents on their terms. For Davis, smart tech isn’t just about luxury—it’s about providing safety and convenience, particularly for busy professionals.

Final Thoughts
The panel at Blueprint Vegas 2024 made one thing clear: smart technology is becoming an expectation in apartment communities. With high-income renters demanding premium features and property owners seeking operational savings, investing in the right tech can offer significant returns. However, as James Alfandre, Gina Davis, and Mike Rovito all emphasized, success depends on choosing the right partner, making thoughtful, long-term decisions, and ensuring that both staff and residents are fully equipped to make the most of these investments.