Page 5 - Annual Report 2020

MANAGING OUR PROPERTIES

Management Operations

While faced with unanticipated challenges, our property management team was
able to perform at exceptional levels throughout the year. Our priorities,
strategies and tactics were re-evaluated and drastically changed as we initiated
an updated our management plan due to the pandemic. Our primary concerns
were maintaining tenants’ and employees’ health and safety and keeping our
company financially stable. Nearly all our tenant service activity in 2020 was
influenced by the pandemic.

In regard to our properties’ financial stability, our plan focused on three key areas:
reducing vacancy loss, minimizing delinquencies, and reducing our overall spending
wherever we could. JEROME FLOYD
Director of
Vacancy Loss
Reducing our vacancies has always been one of our top priorities, but now it was more Property Management
important than ever before to minimize our losses from vacancies. As we continued Jerome has more than 18 years’
to improve our procedures to reduce the time it takes to turn a unit, we also set a team experience in the affordable housing
goal of reaching zero vacancies, something we have never experienced. Our efforts and real estate industry. He was
were successful and by the end of the year we were turning units in less than two weeks President of a realty company.
on average and our team achieved ZERO vacancies for the first time in October. Our
total vacancy losses were only 1.45% of our rent rolls; this has been our best Jerome gained his Masters of
Business Administration and
performance in many years. Counseling and Human Services
Degrees and his Bachelor Degree in
Psychology all from the University of
All Properties % of Rent Rolls Bridgeport.
Combined
Total Vacancy Loss 1.45% He is a Licensed Real Estate Broker
and holds industry certifications
Total Delinquency 1.26% including CPM, RHM, CAPS, CAM, ARM,
CFS, CMH, CMM, TCS and COS. Jerome
Total Losses 2.71% is also a Veteran from the United
States Army.
Delinquency Loss
We were extremely successful keeping our delinquencies to only 1.25% of our rent rolls,
with a combined vacancy and delinquency loss of less than 3%. Since COVID arrived,
companies have closed their doors and many people have lost their jobs and income,
making it difficult, if not impossible, for them to pay their rent. Despite all that, New
Neighborhoods was able to continue collecting most of our rents due throughout the
year by creating a tracking process and implemented new procedures to work
one-on-one with every tenant that was struggling to pay their rent. Due to the
personal relationships this program created, we were able to assist many tenants in
keeping most of their rents current.

Reducing Expenses
One of the biggest changes we made cutting costs was to eliminate some of our
outside vendors and bring that work in-house. We canceled contracts with our
landscapers and janitorial contractors and had our maintenance team pick up that
work. In addition, we adjusted security coverage to better meet service needs,
creating additional savings. Between the landscaping, janitorial, and security changes,
we reduced spending by $280,000.

2020 ANNUAL REPORT 4