How Square One Management Cut Costs and Boosted Retention
Rent concessions have become the default lever to accelerate leasing and renewals. But while discounts may move units faster, they erode NOI as a top 5 expense line item, dilute brand perception, and offer residents little long-term value.
Square One Management, a Berkeley-based operator managing 3,500 units, faced this exact challenge. Heavy upfront concessions - often $1,000 off first month’s rent - were driving occupancy, but at a steep cost. Add to that an average $250 spend in renewal concessions, and the annual impact had grown unsustainable.
Leadership needed a smarter alternative - one that preserved leasing velocity while improving resident experience and operational efficiency.
The Challenge: High Cost, Low Differentiation
Traditional rent concessions solved one problem while creating several others:
Over $2.14M annually spent on discounts and gifts
No measurable uplift in resident loyalty or satisfaction
Manual execution across teams and properties
No scalable or differentiated resident experience
The question wasn’t whether incentives were needed - but whether there was a better way to deliver value while limiting the financial impact of rent concessions.
The Shift: One-time Discount to Lifestyle Value
Square One replaced rent discounts with Amenify Cash, a flexible, lifestyle-driven marketplace as an alternative.
Instead of reducing rent, residents received cash credits they could use for:
Food delivery/pickup
Grocer delivery/pickup
Home service Pros
Online shopping
Everyday lifestyle needs
The economics were simple but powerful:
$1 in concession delivered at $0.80 in cost
No operational lift or education or login for onsite teams
Amenify rolled out as a built-in resident marketplace across the portfolio
This shift reframed incentives - from a financial giveaway to a value-add experience residents could actually use, repeat purchase, and appreciate as an amenity of their community.
The Results: Measurable, Portfolio-Wide Impact
Within the first year, the impact was clear and quantifiable:
$428,800 in annual savings on concessions
$122 saved per unit per year (PUPY)
4.2% increase in renewals, driven by higher perceived value
35% improvement in NPS, measured at move-in
Zero added work for onsite or corporate teams
Beyond the numbers, Square One also strengthened its move-in experience by pairing gifting with concierge-led onboarding - creating a stronger first impression and ongoing engagement.
As Sid Lakireddy, President of Square One Management, shared:
“Amenify transformed how we connect and reward our residents. We saved $122 per unit, increased retention, improved our NPS by 35%, and our onsite teams saved time and love the new amenity.”
Why This Model Works for Modern Multifamily
What made this approach successful wasn’t just cost savings - it was choice, flexibility, and relevance.
Residents used Amenify Cash for:
Amazon purchases (most popular being TVs and furniture)
Restaurant delivery (most popular being Taco Bell and Sushi)
Professional TV mounting
Recurring home cleaning
The result: a scalable alternative to rent concessions that benefits residents, operators, and asset owners alike.
Rethinking Concessions for 2026 and Beyond
As the multifamily industry moves toward experience-led differentiation, the takeaway is clear:
Discounting rent is easy. Delivering value and saving on costs is strategic.
If you’re exploring smarter ways to modernize leasing and renewal incentives, this is where the conversation starts.
Learn more here - Resident Gifts
