Centralization, AI, and the New Multifamily Operating Model
by: Multifamily Weekend Update
Centralization in multifamily isn’t a new idea.
But the way operators are approaching it is changing fast.
At a recent session titled “The Centralization Blueprint: Setting Your Organization Up for Success,” leaders from across the industry shared how their organizations are moving from theory to execution. The conversation brought together perspectives from AppFolio, Pegasus Residential, FrontdeskAI, Veris Residential, and CIM Group—each offering a slightly different lens on what successful centralization actually looks like.
One of the strongest themes from the room was that centralization rarely begins with technology. It starts with alignment.
Maja Sofic of CIM Group noted that organizations tend to know they’re ready when leadership begins thinking beyond individual regions or properties. “You can tell when leadership stops defending the way things have always been done locally and starts focusing on the enterprise outcome,” she explained. In other words, centralization often follows a mindset shift before it follows a system rollout.
From there, operators emphasized practicality over perfection. Frank McAdams of Veris Residential shared that many organizations get stuck trying to design the perfect centralized model before ever launching it. Instead, he encouraged operators to start smaller and iterate. As he put it, “Don’t get caught in the minutia. Roll something out, learn from it, and refine as you go.”
That mindset has allowed companies to test centralized workflows in targeted areas. Operational tasks like deposit processing, tour scheduling, or application approvals can be used on specific types of sites or markets, before expanding them across an entire portfolio.
For Jackie Ware at Pegasus Residential centralization has also revealed something interesting about talent. Multifamily teams are often expected to be both relationship builders and administrative experts at the same time. In reality, those are different strengths.
Centralization allows operators to lean into that reality. Administrative specialists handle workflows, while on-site teams focus on residents. “That unicorn who can do everything perfectly is rare,” Ware joked. “This model lets people focus on what they’re actually great at.”
Technology—and particularly AI—is now accelerating the next phase of the conversation. Ruchir Baronia of FrontdeskAI noted that operators are starting to centralize not just people, but data, processes, and communication channels as well. AI systems can handle repetitive questions, leasing inquiries, and payment reminders—tasks that previously consumed hours of staff time.
Still, the panel was clear: technology doesn’t run itself. Someone must own it. As Ware cautioned, “AI sounds hands-off, but you still need someone responsible for making sure it’s working.”
If there was a consistent message emerging from RETCON, it’s that centralization isn’t about removing people from the equation. It’s about removing the friction that keeps them from doing their best work. When repetitive tasks move into centralized systems—or even AI—site teams gain something increasingly valuable: time. And in multifamily, time often translates directly into stronger relationships, better resident experiences, and communities that feel a little more connected.
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