Chairman's message: observations from Ron Shelton, CAPS.OUR INDUSTRY, like most others, continues to focus on income and expenses and the economy overall. We're concerned not only what will happen tomorrow, but next year and beyond.
One of the most valuable tools that NM provides its member is the annual Survey of Operating Income Operating Income
The profit realized from a business' own operations.
This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. & Expenses for Rental Apartment Properties. The executive summary and several tables based on national data are featured in this issue of units.
The survey, conducted by CEL CEL Cellular
CEL Check Engine Light
CEL Degrees Celsius (temperature)
CEL Comisión Ejecutiva Hidroeléctrica del Río Lempa (El Salvador)
CEL Center for Entrepreneurial Leadership & Associates, includes budgeting information from thousands of companies, covering more than 900,000 units. Most importantly Adv. 1. most importantly - above and beyond all other consideration; "above all, you must be independent"
above all, most especially , the survey is broken down by region and individual market. The complete survey will be available by Oct. 1.
Meanwhile, this executive summary, which begins on page 61, explains how during this transformational year of bailouts, stimulus programs, deficit spending Deficit spending
When government spending overwhelms government revenue resulting in government borrowing.
Expenditures that are in excess of revenues during a given period of time. and financial industry restructuring, in addition to a dramatic decline of home and stock ownership and values, rising unemployment and bankruptcies, the U.S. apartment industry continues to face many short-term challenges.
CEL reports that "in the face of a prolonged recession, rising cost of living, tax increases, declining rents and a significant decline in both transactional volume and asset values, the apartment industry is placing an even great emphasis on operational basics and performance metrics Performance metrics are measures of an organizations activities and performance. Performance metrics should support a range of stakeholder needs from customers, shareholders to employees . ."
CEL goes on to report that that the turmoil created by economic uncertainty has "raised the bar" within the apartment industry for increased focus on operations. Asset and property management skills and experience are now more of a priority than ever before, as the apartment industry focuses on offensive and defensive actions to control the financial bottom line of property and portfolio operations.
I'd like to thank those who participated in the survey and would encourage NAA NAA
Nomina Anatomica Avium. members to use the survey when building their companies' 2010 operating budgets.
This finance-based issue of units also covers many apartment specific topics such as receivership receivership
In law, state of being in the hands of a receiver, a person appointed by the court to administer, conserve, rehabilitate, or liquidate the assets of an insolvent corporation for the protection or relief of creditors. management opportunities in distressed properties (see "Managing Distressed Properties," page 34); the abundance of high-quality, low-cost deals available to owners and investors flush with cash (see "Special Offer," page 38); development trends (see "If You Build It, Will They Come," page 44) and best practices for financing repositioning repositioning Laparoscopic surgery The changing of a Pt's position during a procedure to improve access or visualization of the operative field, which may be linked to complications, as it changes anatomic planes of operation. Cf Laparoscopic surgery. projects (see "Financing the Facelift," page 50), as well as financing development (see "Dipping a Toe in the Securitization Securitization
The process of creating a financial instrument by combining other financial assets and then marketing them to investors.
Mortgage backed securities are a perfect example of securitization.
May also be spelled as "securitisation. Pool," page 54).
This issue also includes a recap and additional photos from our highly successful 2009 NAA Education Conference & Exposition, on page 76. There, we presented an insightful panel discussion featuring several prominent CEOs. Their thoughts about the future of the apartment industry are summarized on page 57 in "Path to Recovery."
I hope this issue of units provides the information you need to help you improve your businesses and get a strong head start in participating in what hopes to be a rapid economic recovery.
--NAA Chairman of the Board Ron Shelton, CAPS