January 2, 2023

Welcome to People and Properties, the Cohen-Esrey newsletter where we celebrate the successes of our team members and keep you informed about what is happening in the Cohen-Esrey world. If you have something you would like to share or an achievement that you would like to celebrate, please send it to Lee Harris at lharris@cohenesrey.com. If you are on a property, please print and distribute this newsletter to each member of your property team. You can also find People and Properties on KnowledgeNet. Click here to view previous editions.

An Amenity-Rich Neighborhood for Hawthorne Hills

Cohen-Esrey Communities (CEC) has assumed management of the Hawthorne Hills Apartments in Cedar Rapids, IA, for a third-party client. This is the second property the firm is managing in Cedar Rapids, the first being the 183-unit Geneva Tower. The two-story buildings at Hawthorne Hills contain 202-units for families and were built in 1969. The property offers 655 square foot one-bedroom units at $620 per month. Two-bedroom units are 903 square feet and rent for $755. Rental assistance is available for those who need it. Hawthorne Hills is one of a portfolio of 26 properties for which Cohen-Esrey is assuming management from November 2023 through February 2024. A second portfolio of five properties owned by a different third-party client is also set to be managed by CEC. These new third-party management assignments total nearly 2,600 units across 10 states.

Split by I-380 and sitting just southwest of the Cedar River, the Southwest area of Cedar Rapids attracts residents with its under-three-mile proximity to downtown and easy access to major roadways. Hawthorne Hills provides an opportunity to live in exciting urban spaces, along the river or overlooking the neighborhood's green spaces. Jones Memorial Park on Wilson Avenue SW provides numerous recreational opportunities for locals, including a top-notch golf course, a swimming pool, a soccer field, a disc golf course, and tennis courts along with walking paths, picnic pavilions, and playgrounds.

Amanda Reisner (2023) is the Property Manager and Cassie Colston (2004), Assistant Vice-President is the Regional Manager. Hayley Fisher (2023), is the Property Accountant, Emily Fletcher (2022), is the Property Accounting Assistant, and Rodney Chmidling (2015), is the Accounts Payable Specialist.

We welcome the following new team members to Cohen-Esrey and the Nexus 5 Group.

Danielle Smith – Lakes at North Port, North Port, FL – Assistant Property Manager – Rehire
Mohan Chinkoo – Lakes at North Port, North Port, FL – Maintenance Technician
Michael Doczy – Lakes at North Port, North Port, FL – Groundskeeper
Gary Poirier – Willowpark, Lawton, OK – Maintenance Technician
Rodrigo Alfaro – Preserve at Westover Hills, San Antonio, TX – Lead Maintenance Technician
Alexis Ortiz – Preserve at Westover Hills, San Antonio, TX – Leasing Agent
Christina Martin – Orchard View, Farmington, MO – Property Manager – Rehire
Rebecca Cleer – Jefferson on the Lake, Olathe, KS – Property Manager
Leslie Menapace – Clay Hall, Enid, OK – Property Manager – Rehire
Michelle Walker – Preserve at Westover Hills, San Antonio, TX – Property Manager

Meet the Walnut Street Flats Team

Meet the Walnut Street Flats team. Sue Perez (2021), Property Manager and Matthew Frehner (2023), Custodian. This 33-unit affordable property in Reedsburg, WI, was developed by the Cohen-Esrey Development Group (CEDG) and completed in 2019.

A Lesson in Commitment

Matthew von Ende (2017), CEAI Vice-President, Acquisitions, enlisted in the Israeli Defense Force (IDF) when he graduated from college several years ago. He joined Cohen-Esrey shortly after he was discharged. On October 7, 2023, Israel was attacked by Hamas. You have undoubtedly read many articles since then about the fighting in Israel and along the Gaza strip. A few weeks after this action began, Matt felt compelled to put his career on hold temporarily and re-join the IDF. He and Ryan Huffman (2002), Chief Operating Officer, have maintained contact during his time in Israel. Matt isn’t able to say where he is or what he is doing, but we know that he’s safe.

This has to be one of the most dramatic demonstrations of our Core Value of Commitment. Matt grew up in Kansas City and is an American by birthright. And yet, he feels such a strong connection to his Jewish faith that he is willing to put his life on the line to protect it.

We look forward to Matt’s return as soon as possible and say our prayers that he remains safe. Cohen-Esrey salutes Matt von Ende for his service!

Transformational Construction!

Construction continues at several Cohen-Esrey Development Group (CEDG) future communities. With the Christmas holiday, photos were unavailable for several properties.

Rough-in plumbing has started at The Launchpad in Colorado Springs, CO.

Third story framing continues at Panorama Heights in Colorado Springs, CO.

The Trails at Lehow will be ready for move-in during the next few weeks in Englewood, CO.

Unit interiors and hallways are beginning to take shape at the Loma Vista Lofts in San Antonio, TX

A Nifty Idea at Park Edge

Park Edge, a 264-unit market-rate property in the Kansas City suburb of Lenexa, KS, has launched a nifty idea to deliver Customer Fulfillment. Residents can check out bicycles owned by the property to ride around the area. This is particularly beneficial because the property is situated diagonally across the street from the entrance to the 1,655-acre Shawnee Mission Park

A Fun Photo

The Big Chair Lofts in Thomasville, NC, was formerly a factory for the Thomasville Furniture Company. The mural above is a photograph of employees who worked at the facility sometime after the company was founded in 1904. Judging from the automobiles in the background, this could have been taken in the 1920s or 1930s. The factory was converted into 139-units of affordable housing by a joint venture between Third Wave Housing and the Cohen-Esrey Development Group (CEDG) with completion in 2018.

Santa Visits Walnut Street Flats

The residents of Walnut Street Flats in Reedsburg, WI, were pleased that Santa took a minute from his busy schedule to make an appearance at the property. He said that everyone there had been a good boy or girl during 2023! 😊

What’s Next for CEDG?

The Cohen-Esrey Development Group (CEDG) has been on a tear lately with multiple development projects in several states. From 2014 through 2019, CEDG completed 13 projects totaling 706 units in seven states. Since then, the company has 10 affordable and workforce projects either completed or under construction totaling 1,269 units in four states. And, the next wave of projects about to launch is significant and includes:

Lewis Lofts – 64-units – Mankato, MN – sister project to Sinclair Flats with construction already started.
Overlook 157 – 141-units – Asheville, NC – construction to start in the next 90-days.
Heritage at Cottonwood Creek – 233-units – San Marcos, TX – construction to start in the next 120-days.
Astoria Park – 164-units – Amarillo, TX – acquisition/rehab of an existing CEAI property to start in April 2024.
Ramona Boulevard – 431-units – Jacksonville, FL – workforce housing using the PFC program in development.
Fields at Somerset – 350-units – San Antonio, TX – affordable housing tax credit program in development.
Columbia Commons – 46-units – Kenosha, WI – affordable housing tax credit program in development.
The Presley – 101-units – Madison, WI – affordable housing tax credit program in development.
Bakery Lofts – 93-units – Greenville, SC – affordable housing tax credit program in development in tandem with SC mill credits.
Railyard Lofts – 346-units – Ogden, UT – Opportunity Zone project in development.
Lofton Place – 258-units – Ft. Worth, TX – acquisition from CEAI-workforce housing using PFC program for teachers in development.
South Pointe – 372-units – Dallas, TX – acquisition from CEAI-workforce housing using PFC program for teachers in development.

These 12 assets total 2,600 units across seven states with many more prospective projects in the pipeline. CEDG is scaling operations to eventually deliver as many as 3,000 to 4,000 affordable and workforce housing units each year.

Rendering of Heritage at Cottonwood Creek in San Marcos, TX.

Rendering of Overlook 157 in Asheville, NC.

Another Empowerment Story

By Christopher Watkins (2019), Property Manager, Trails at Lehow

Christopher Watkins (2019), is the Property Manager for Trails at Lehow in Englewood, CO. Here is what he has to say about his Empowerment:

In December 2019, I joined the Cohen-Esrey team caring for a beautiful historic property (Marquette Hall in Dubuque, IA) and created a community within those four walls. What I didn’t realize was the community of kind, inviting, and Empowering people that I had been invited into at Cohen-Esrey. Two-and-half years went by quickly and we made it through COVID which then led to an opportunity for my family (Wife- Bekki, Daughter- Parker, and Son- Joseph) to make the great cross-country trip to Colorado. It was with a heavy heart in 2022, I had to say goodbye to my work family I had been welcomed into.

Prior to my departure I discovered Cohen-Esrey was going to break ground on a new property in Colorado. I knew I wanted to stay connected which led me to a part-time file review role for Accountability Plus (which is where many of you may recognize my name from too).

Fast-forward nearly two years now and the Trails at Lehow (Englewood, CO) is nearly complete. With the support of friends, I had made (Rebecca Grimm (2019, Regional Manager, and Tina Shirey (2002), Compliance Manager) I was made aware of the opportunity at this incredible family property.

I’m looking forward to working with my new Regional Manager, Dawn Boyer (2022) and the entire Cohen-Esrey Development Group (CEDG) team in the area. Cohen-Esrey has allowed me to continue the path of property management that I personally have a passion for and to thrive within a community of like-minded wonderful people.

PS- the rumors are all true about Colorado… it is a state filled with adventure and beauty, so watch for new opportunities here as Cohen-Esrey has more in the works! I’m grateful to be back.

2023 – A Year in Review

The books are closed on 2023 and it was a very busy year in many respects.

Cohen-Esrey Apartment Investors (CEAI) – with high interest rates, transaction volume for apartments was substantially lower than in the past few years. CEAI acquired one property – the Trails at Bartram Park, a 323-unit market-rate asset in Jacksonville, FL. No properties were sold during 2023. We expect for acquisition activity to pick up in 2024 now that the Federal Reserve has signaled several interest rate decreases during the year.

Cohen-Esrey Development Group (CEDG) – two properties under construction were completed including the 48-unit Sinclair Flats in Mankato, MN, and the 93-unit Lofts at the Grim in Texarkana, TX – the latter receiving its Certificate of Occupancy in late December. Construction continues on six projects totaling 846-units. As detailed in another article in this issue, there are 12 properties totaling 2,600 units (including Lewis Lofts) that are expected to close during 2024 with construction commencing after closing.

Cohen-Esrey Communities (CEC) – the big news for CEC came toward the end of 2023 when the company was awarded management assignments by three third-party clients totaling 2,587 units in 32 properties across eight states. With pending CEDG projects under construction, the total unit count for the management portfolio is approaching 14,000 units.

Cohen-Esrey Capital Partners (CECP) – CECP is the capital formation unit for Cohen-Esrey. During 2023 the company placed $65.2 million in debt financing and raised $10.9 million in equity. On behalf of the Heartland Historic Preservation Fund VI (HHPF-VI), CECP closed investments in three third-party partnerships in exchange for an allocation of $4.3 million in federal historic tax credits with additional projects slated for closing in 2024 (5YE building)

Nexus 5 Group (N5) – 2023 statistics included:

287 Construction Projects
30 Mechanical Projects
1,654 Service Projects
1,971 Total Projects.
48 Team Members
170,000 Square Feet of Tenant Improvements
6 Property Renovations
190 Apartments Renovated
5 States – Completed Projects

Cohen-Esrey Corporate – Huge progress was made with the implementation of a wide range of systems and processes during 2023 that impacted every business unit.

Human Resources
- Onboarded more than 230 team members – very busy year with new properties.
- Marilee Scheid (2019), Director of Learning and Development, assisted with completing over 800 written processes.
- Made decision to switch to Paycor in 2024 for payroll.
- Began recruiting process for Property Managers.
- Created the CE Level-Up program.
Information Technology
- New Corporate website.
- New Communities website.
- New CE University app.
- New OASYS app.
- New Google-like OASYS search capabilities.
- New Field Incentive KPI tracker App.
- New CEDG Development Tracker App.
- New Construction Draw Tracker App.
- New Safety Toolbox App.
- New Roles and Accountabilities app.
- New NPS Survey System Engine.
- New K-Net system.
- Complete IT Security Assessment .
- Deployment of Knock CRM.
- Deployment of in-house virtual 3D photography capabilities.
- Deployment of in-house virtual staging capabilities.

Accounting
- Implemented Reclass app in K-Net – allows for ease of reclasses for onsite teams; saves time for Property Accountants.
- Enhanced the Accounting Month End (AME) in K-Net – easier process for our onsite teams to complete their accounting month end and has increased accuracy on reports.
- Revised process for Resident Referrals – significantly easier process for properties to complete; saves time for HR.
- Processes and procedures all documented (over 400) – increases consistency in how things are handled; reference for current team members and will assist in training new team members.

Implemented new Lien Waiver process – saves time for property teams and increases efficiency of draws done by the Draw Specialist.
Utilized RealPage module for completing Utility Reimbursements for residents – saves time for compliance; reduces the amount of issuing small checks that often did not get cashed.
Utilized Last Pass for storing passwords – saves a lot of time when we have emergency payments for utilities.

Implemented electronic submission of 1099’s – saves cost on paper, postage, and stuffing envelopes.
Reviewed and updated nearly 95% of the Accounting portion of the OASYS – provides clearer instructions for onsite teams.
Developed a network file plan in anticipation of move to new server – will be easier to find files on the network going forward.
Set up default general ledger codes for appropriate vendors – will reduce the amount of miscoding invoices.
Developed a system for Financial Statement variance reporting (in pilot) – will provide explanations to owners for variances and should help site teams better understand and manage their spending.
Documented all Balance Sheet accounts – this has given the accountants a better understanding of what is in each account; Financial Statements can be done quicker and are more accurate

A Healthy Tip

By Jennifer Turner (2018), Director of Human Resources

How Diet Affects Mental Health and Wellness

January is Mental Health and Wellness Month and since many of us have been eating better on our list of New Year’s Resolutions, feeling better mentally based on what we eat, is a bonus!

The gastrointestinal tract is often referred to as the body’s second brain. The reason is that communication occurs between the gut and brain through the vagus nerve.

Neurotransmitters like serotonin are known for their connection to mood. Specifically, serotonin boosts happiness and reduces depression; dopamine makes you feel calm and pleasure; endorphins are natural pain relievers.

Which Foods Are Best for Mental Health and Wellness?

Because most neurotransmitters are in the gut, the foods you eat are directly linked to mental health. Overeating junk food, high in sugar and carbohydrates, can lead to depression and anxiety and trigger other disorders by causing inflammatory reactions through the body. Sugar causes mood swings as your blood sugar spikes and then crashes. You may feel upbeat and happy one minute and then low and depressed the next. To feel better again, many people consume more bad foods. This is a common habit among Americans. Healthy diets eliminate mood swings and provide stabilization of blood sugar and mood.

Non-Processed Foods – The healthiest foods are the ones that have been handled the least. Each time something is done to change the food in any way, that’s how many times it has been processed. An example would be that a tomato is healthier than salsa or pizza sauce and potatoes are more nutritious than potato chips.
Fiber-Rich Foods – Most Americans don’t get enough fiber in their daily diets. Without enough fiber, the foods you eat will cause spikes and crashes in blood sugar. When you eat high sugar or high carbohydrate foods, you feel a mood boost temporarily, then crash. You may feel like you are on an emotional roller coaster. Foods high in fiber don’t digest quickly. This is good because the fiber takes longer to digest, glucose or sugars are absorbed slower and stay balanced in your system. You won’t have the up and down extremes emotionally or physically.
Nutrient-Rich Foods – Fresher is always better, even with meats and dairy products.
- Selenium and omega-3s lower cholesterol, support heart health and reduce depressive symptoms. Foods high in omega-3 are fatty fish, grass-fed beef, walnuts, eggs, milk, and yogurt.
- Pre-and Pro-biotics help relieve depression. Foods include yogurt, beans, oats, bananas, garlic, and onions.
- Vitamins A, B, and C are also excellent at fighting depressive symptoms. Foods high in these vitamins include seafood, fruits, soybeans, sweet potatoes, melons, cauliflower, broccoli, and carrots.
- Minerals needed for mental health and wellness include iron, magnesium, and zinc. Foods that have these are shellfish, lean red meats, eggs, dark chocolate, fruits, nuts, poultry, and whole grains.
- Spices that boost mood include saffron, oregano, and turmeric to name a few.

Once you start implementing these food choices into your diet, you should see improvements in your mental health and overall wellness. You deserve it!

Thinking About Your Career Path?

By Marilee Scheid (2019), Director of Learning and Development

Are you thinking about your career path here at Cohen-Esrey? Do you want some assistance discussing your options and potentially a plan for development? We can help!

First, we are in the process of creating the Cohen-Esrey Level Up Program (CELU). The purpose of CELU is to help our team members develop professionally, and we hope to roll it out in late 2024. We will provide much more information about this exciting program soon.

As part of the program, I can work with you directly as an Advisor. My objective will be to assist those interested in participating to develop and then execute their career plan. If you would like to begin discussing your development options and efforts prior to the CELU program launch, contact me directly by sending an Outlook appointment for a 30-minute Teams or Zoom meeting.

It’s the Little Things That Make a Big Difference

This is a continuing feature in People & Properties where we highlight small Property Management 101 types of things that should be done to deliver Customer Fulfillment – and cost little to no money.

Let’s talk about JUNK CARS. Cars (and trucks) that don’t have current tags, have flat tires, haven’t moved for a long period of time, or simply don’t run, are an eyesore and should be removed from the property. It’s important that every effort be made to determine the ownership of the vehicle before anything is done. The vehicle should be tagged and care must be taken to document all efforts to determine ownership and contact the owner before towing. Many years ago, a car was towed from one of our properties. It had four flat tires and was tagged for several weeks. An effort was made to find the owner to no avail. The car was towed and the tow service decided to crush it shortly thereafter. A resident who had been out of town for an extended time showed up at the office asking what happened to his car. Needless to say, the conversation was uncomfortable and there was an insurance settlement with this resident. We thought we had covered all the bases. The fact that we never reached this resident (because he was out of town) proved costly. This happened before e-mail and smart phones but is still instructive today. We don’t want junk cars on our properties, but we must go to great pains to ensure that the owner has been contacted and given ample time to remove it.

The Revenue Growth Champions!

By Michele Rollo-Burns (2018), Director of Revenue

Each month we recognize communities that have realized stellar year-over-year (YOY) revenue growth. For the month of December 2023, here are the standouts with growth of 5% or more. Congratulations to each team for the progress made! Nine properties are on the list this month!

Last NPS of 2023

The methodology for calculating the CEC Net Promoter Score is set to change. As previously reported, starting January 1, 2024, every resident will receive exactly one survey invite every six months. We will no longer categorize surveys by the events that triggered them. The NPS will only include surveys received in the last 12 months instead of 18 months. We're also widening our net, inviting all adult residents to voice their opinions, not just the head of the household. Also, we will only include surveys of properties that we currently manage. So, this is the last time we’ll report the month-end NPS using the old methodology. The year ended at +39 which is one point higher than the end of November. Nexus 5 also bumped up two points to an amazing +87. Remember that the Net Promoter Score is simply a measurement to reflect how well we are delivering our Core Value of Customer Fulfillment.

There are 37 of our communities on a Leaderboard – that’s one less than last month. and 28 have an NPS of +39 or greater – congratulations to those property teams. We also want to recognize Orchard View at +92.86, Orchard View II at +95.35, and The Boulevard at +90.40 for their status in First Place atop their respective Leaderboards! And we want to recognize other properties with an NPS of +90 or better including Mills Crossing at +91.84. We appreciate your Commitment to Customer Fulfillment and so do your residents!!