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Due to a perfect storm of economic conditions, condominiums are about to stage a major comeback in Portland. Over the past year, local housing and rentals have become more expensive, generating pressure and demand for more affordable alternatives. Homeowners who want to sell and take advantage of higher homes values have nowhere to go. Likewise, renters don’t want to forgo the convenience and luxury of urban living. As a result, both existing renters and homeowners have begun to flock to condominiums.

It’s no surprise that condominiums are regaining strength in 2015. Both national and local economic reports indicate a wavering housing recovery. Though prices and sales of existing homes are rebounding, new home construction is weak. According to the Case-Shiller index, prices in the Portland area outpaced those in most comparative markets and showed a year-over-year gain of 6.8 percent in December 2014. The limited supply of homes effectively lifted prices to higher levels.

Yet, more expensive homes pose an even greater challenge to first-time homebuyers. Larger down payment requirements are typically the biggest hurdle for homeownership. In the wake of the recession, the ability to save with stagnant wage growth has been tremendously difficult.

Also, Portland’s apartment market is limited. The city has undergone and will continue to experience significant transformation. Over the next three to five years, an estimated 25,000 new units are slated for downtown. Within the next 20 years, the city overall is projected to gain approximately 112,000 new units.

Low vacancy and high rents have substantially driven Portland’s robust apartment boom. Nationally, economists have noted that since 2000 rents have increased twice as much as wages. This is quite problematic, especially when more than one-third of Americans are renters. Portland isn’t exempt from this trend, and the median rent in January 2015 jumped by more than 7 percent from just a year earlier.

As a result of these conditions, both renters and homeowners are feeling pressure to explore alternative living options and opportunities. Though existing condominium sales dipped in 2014 due to low inventory, 2015 is expected to improve dramatically with more permits and project proposals. Residential mortgages are becoming more accessible with low interest rates and many lenders are considering options for smaller down payments.

Additionally, renters wanting to own don’t need to sacrifice their urban lifestyle and forsake the city for the suburbs. Condominiums preserve the convenience and interconnectivity of urban living, but also offer all the benefits and amenities of homeownership.

Though there is returning interest and growing demand for condominiums, the market has changed since pre-recession booms. Today, Portland’s condominiums have expectations more equivalent to the operations of a high-end hotel.

In order to compete in the market, existing condominiums need to adapt and remain current as new projects become available. Similarly, new projects must offer consummate finesse and stability. Therefore the marketable game changer is the homeowner’s experience.

Of course, the experience of owning a condominium is an extension of the capabilities and dependability of the property management team. It is not only the long-term steward of the building, but also responsible for the care of each resident. Property management is vital to the successful run of an asset, especially during competitive market conditions. After all, managers are the indispensable lifeline making a daily difference. It’s their job to work in tandem with an asset’s ownership to preserve integrity, enhance value and maintain a building’s cycle of care.

Management of condominium communities today entails much more than basic customer service. Property management teams should be willing to operate with complete transparency for both residents and owners. This includes a low turnover of dedicated on-site staff and a 24/7 concierge.

A strong staff support system ensures that residents are being championed with quality attention and timely communication. Team members should become integral participants within the community, taking time to understand idiosyncrasies, personalities and lifestyles. They must become acutely aware of each individual’s need and anticipate problems with readily prepared resolutions. Ideally, they offer reassurance and peace of mind to residents and ownership alike.

Such attentiveness allows property management teams to maximize opportunities and increase efficiency. For example, a staff attuned to a community’s day-to-day needs will appropriately time and coordinate projects in an effort to avoid inconvenience or hassle.

Condominiums in Portland have become a catered luxury, and property management teams must operate with this in mind to remain competitive and relevant. Quality property management is an investment in an asset’s reputation, but most importantly, it’s the deciding factor for retention and future homeowner attraction.

Susan Stratton is president of NBS Multifamily Management, a division of commercial real estate service provider NAI Norris, Beggs & Simpson. Contact her at 503-952-0750 or [email protected].