From rooftop dog parks to luxury co-working spaces, the competition for the most attractive apartment amenities is fiercer than ever. Property managers and developers invest heavily in upgrades to attract and retain residents—but is this race sustainable? More importantly, do these high-end perks align with what renters actually want?
In this blog, we’ll break down the amenities arms race, why it’s becoming unsustainable, what residents truly value, and how real estate professionals can differentiate in an increasingly competitive market.
What Is the Apartment Amenities Arms Race?
The amenities arms race is the escalating competition among apartment buildings to attract residents with increasingly extravagant perks—think virtual golf simulators, yoga studios, and rooftop cinemas. While these features may look great on a leasing tour, how do residents actually use them? The reality: many sit underutilized while draining resources to install and maintain.
Why the Apartment Amenities Arms Race Is Unsustainable
On paper, more amenities should lead to happier tenants and quicker leases. But in practice, the strategy falls short:
1. Overpromised, Underutilized Amenities
A stunning rooftop pool can be a major selling point in marketing materials, showcasing luxury and relaxation. However, it might only see use a few months out of the year due to weather limitations or a lack of interest during colder seasons. Similarly, gyms in residential or commercial spaces look impressive at first glance but may sit empty during peak hours because they lack adequate space, modern equipment, or diverse offerings that cater to a wider range of fitness needs. These underutilized amenities highlight the importance of thoughtful planning and investment when designing spaces to enhance user experience.
2. High Cost of Maintenance
These luxurious amenities come with hefty maintenance costs, making them a significant consideration for property managers. Maintaining golf simulators involves not only regular software updates and equipment repairs but also ensuring the space remains inviting and operational. Expensive landscaping, while visually appealing, demands constant care such as watering, pruning, and seasonal updates. These costs quickly add up, eating into a building’s operational budget and requiring careful financial planning to sustain these high-end features.
3. Skyrocketing Renter Expectations
With every new amenity-laden project, the bar for what residents expect continues to rise. Features like state-of-the-art fitness centers, rooftop pools, and smart home integrations have become standard in many developments. As a result, residents now expect more for their rent, overlooking the fact that these amenities significantly contribute to higher overall costs. For developers, this race to outdo competitors has become increasingly unsustainable, straining budgets and forcing tough decisions about balancing luxury offerings with affordability.
4. Mismatch with Actual Tenant Needs
Many amenities fail to support what residents genuinely need in their daily lives. While the idea of having an on-site movie theater sounds appealing and even exciting at first, it doesn’t provide practical value that residents truly benefit from. In contrast, features like fast, reliable Wi-Fi or convenient parcel lockers cater to everyday necessities, making life easier and more efficient for residents. These are the kinds of amenities that enhance day-to-day living and leave a lasting positive impression.
What Do Residents Actually Want in Apartment Living?
When it comes to apartment living, residents aren’t always impressed by flashy, headline-grabbing features. Instead, they value amenities that genuinely enhance their daily lives, focusing on convenience, efficiency, and quality of life. By understanding what tenants actually need, property managers can make smarter investments that lead to happier residents and higher retention rates. Here are five key features residents truly want, supported by real-world examples:
1. Convenient Package Management
The explosion of e-commerce has transformed the way residents shop, but it has also created logistical challenges for property managers. In 2023 alone, e-commerce sales reached $6.3 trillion globally (Statista), contributing to a significant increase in package deliveries. This surge leads to cluttered mailrooms, misplaced packages, and frustrated tenants. Residents want a solution that makes receiving their deliveries easy, secure, and hassle-free so they can trust their items are safe and accessible any time of day.
Companies like Luxer One offer an innovative solution with its package lockers, which keep deliveries secure and organized. Residents receive instant notifications when their package is delivered, allowing them to pick it up at their convenience. This not only improves the resident experience but also saves property managers time and headaches.
2. Sustainability & Smart Living
Eco-conscious living is becoming a top priority for many renters, particularly younger generations. Residents are actively seeking properties that incorporate sustainable designs, energy-efficient appliances, and environmentally friendly practices. Offering green solutions not only appeals to prospective tenants but also reduces utility costs for the property itself.
The TULU amenity brings sustainability into residential living by offering a shared item platform, allowing residents to borrow items like tools, e-scooters, or air mattresses for guests. By reducing the need for residents to purchase and store rarely used items, TULU not only promotes a more sustainable lifestyle but also helps lower the cost of living—making buildings more attractive to value-conscious tenants.
3. High-Speed Internet Everywhere
In today’s digital age, high-speed, reliable internet is no longer a luxury—it’s a necessity. From remote work and streaming services to smart home devices, connectivity plays a central role in modern living. Building-wide, high-quality internet service is a must for attracting and retaining tenants.
Internet providers like Starry Internet specialize in ultra-fast, affordable Wi-Fi for multifamily properties. Their technology ensures seamless connectivity throughout the building, allowing residents to work, stream, and stay connected without interruptions. Offering such a service not only meets tenant expectations but also provides property owners with a competitive edge in the market.
4. Flexible Co-working and Shared Spaces
With remote work becoming a permanent reality for many, traditional “lounge rooms” with a few chairs and abstract art just don’t cut it anymore. Residents now expect thoughtfully designed co-working spaces equipped with power outlets, ergonomic furniture, excellent lighting, and a quiet, productive atmosphere. These spaces need to cater to the needs of modern professionals who work from home, offering more functionality than typical communal areas.
In partnership with AvalonBay Communities, Industrious has expanded its coworking offerings into residential settings, integrating flexible workspaces within apartment complexes to provide residents with convenient, professional environments. As hybrid work becomes the norm, these thoughtfully designed spaces offer a seamless work-from-home alternative, enhancing tenant experience and modernizing residential living. By blending hospitality-driven design with functionality, Industrious helps properties attract and retain residents who value both flexibility and community.
5. Health and Wellness Facilities
Fitness and wellness have evolved beyond basic gyms with treadmills and free weights. Residents want curated wellness experiences, from guided yoga and meditation sessions to boutique-style fitness options. Outdoor exercise spaces and wellness programs that focus on mental health are also becoming increasingly popular.
For example, Xponential Fitness partners with residential buildings to offer boutique fitness services, such as cycling classes, barre sessions, and yoga programs. These thoughtfully designed fitness experiences create a sense of luxury while supporting residents’ health and well-being, making them a standout amenity.
How to Stand Out in the Amenities Arms Race
Property managers can elevate their offerings with smart strategies that focus on versatility, technology, and community-building. Here are some practical tips to get started:
1. Prioritize Versatility
Instead of investing in amenities with limited appeal, like a golf simulator used by only a few, focus on creating spaces that serve multiple purposes. A rooftop, for example, can be designed to host everything from fitness classes and outdoor dining to movie nights and social events. This type of flexibility ensures the space is utilized by a wider range of residents.
2. Leverage Technology
Tenants increasingly expect tech-forward solutions in their homes and shared spaces. Features like app-based access to amenities, smart home integration, and automated systems for booking shared resources (like laundry machines or co-working desks) can significantly enhance the resident experience.
3. Focus on Experiences
Amenities today are about more than physical spaces—they’re about creating memorable experiences that foster a sense of community. Hosting events like cooking classes in shared kitchens, fitness challenges in the gym, or seasonal celebrations on the rooftop can help residents feel more connected to their building and neighbors.
4. Measure Utilization
Tracking how residents use existing amenities provides valuable insights into which spaces are underutilized and where improvements are needed. For example, if a building’s game room sees little use, it might be worth converting it into a more practical space, like a co-working area or additional storage. Data-driven decisions ensure resources are allocated effectively, maximizing value for both tenants and property managers.
5. Think Locally
Urban properties can benefit from partnerships with nearby businesses rather than building additional on-site amenities. For example, offering residents discounts at local gyms, coffee shops, or coworking spaces can fulfill their needs while reducing the cost and maintenance of adding these features in-house. Such partnerships not only save money but also build stronger ties with the community.
By understanding what residents truly want and investing in meaningful, versatile amenities, property managers can create spaces that not only attract tenants but also keep them happy and loyal over the long term. The key is to focus on quality, functionality, and experiences that directly improve the resident lifestyle.
Build Communities, Not Just Amenities
The apartment amenities arms race doesn’t have to mean endlessly throwing money into flashy features. Instead, property managers and real estate developers should focus on creating spaces and services that genuinely improve resident satisfaction, boost building reputation, and inspire long-term loyalty.
At TULU, we help properties rethink amenities by offering on-demand, space-saving, tech-driven solutions that meet modern renters’ needs. Because shared resources naturally bring people together, we lean into that—running ongoing campaigns, simple promotions, and educational content that keep residents engaged and connected. It’s an effective way for buildings to offer more than just convenience—TULU helps build a sense of community. Learn more at TULU.
By investing in meaningful, versatile, and technology-driven solutions, you’re providing more than just amenities. You’re designing a lifestyle that aligns with the needs of modern renters while standing out in the competitive real estate market.