Applying Placemaking in Property Management

WHAT IS PLACEMAKING? 

Placemaking emerged in the mid-20th century as a concept to design shared spaces that balance aesthetics and functionality while reflecting the local community's unique identity.

In real estate, placemaking fosters emotional value and experiences through continuous and creative interactions. This approach addresses the human need for social connections, encouraging stronger bonds between residents, tenants, and the project space. When individuals feel attached to their community, they experience greater happiness and safety, improving their physical and mental well-being. 

Beyond building strong communities and enhancing user experiences, placemaking delivers tangible commercial benefits for developers and property owners. These include accelerating sales and leasing targets, boosting commercial revenue, attracting quality tenants, expanding long-term market share, increasing property values, and enhancing the reputation of the developer and the project. A McKinsey study found that growth strategies prioritising customer satisfaction, with at least 20% improvements, yield significant financial advantages. These include a 15-25% increase in cross-selling, a 5-10% rise in market share, and a 20-30% improvement in customer satisfaction and engagement. 

Placemaking requires close collaboration between developers, Building Owners’ Committees, and property managers to maximise investment returns and deliver high-quality living spaces. 

Read more:

• The Impact of Fostering a Cohesive Community on Building Operations 
• What is a Property Manager? Role, Model, and Scope of Work 

KEY ELEMENTS OF PLACEMAKING 

The application of placemaking in real estate development and operation involves a balance of two primary factors:  

1. Physical Elements 

• Location 
• Design 
• Architecture 
• Infrastructure 
• Marketing 

2. Social Elements 

• Awareness: The project’s level of recognition and memorability. 
• Experience: The emotional connection customers feel in the space. 
• Connectivity: The degree of attachment residents and tenants have to the project. 
• Leadership: The project’s ability to set trends and deliver new experiences. 

• Sustainability: The creation of green, environmentally friendly living and working spaces. 

CONSIDERATION FOR APPLYING PLACEMAKING IN PROPERTY MANAGEMENT 

1. Accessibility

The implementation of placemaking must ensure that everyone can access, use, and enjoy the space conveniently and comfortably. This includes physical accessibility, achieved through flexible space design, convenient traffic layouts, and infrastructure that caters to the needs of all users, especially those with special needs. Additionally, providing clear and easy-to-understand information through various communication channels, creating an open and friendly environment where everyone feels welcomed and respected, and regularly organising community activities, all contribute to the success of placemaking. For example, providing accessible pathways for people with disabilities, offering sign language interpretation services for the hearing impaired, or organising diverse community engagement activities are ways to enhance the accessibility of a project's space.

2. Safety

Safety in building management not only aims to protect the safety of employees, residents, and tenants but also focuses on enhancing the overall experience within the building. Safety encompasses various operational aspects of a project, such as occupational safety, general operational safety, security, and property safety. 

Projects must comply with safety regulations set by the Ministry of Construction and fire safety standards in building operations. Buildings must ensure the installation of fire safety infrastructure (such as fire extinguishers, automated fire suppression systems, and emergency escape routes) to obtain operational permits. The Property Management Team must also organise specialised training sessions or collaborate with authorities to conduct live fire drills, equipping employees, fire safety teams, residents, and tenants with essential fire safety and rescue skills, while improving coordination with professional fire brigades.

3. Comfort

An ideal destination balances aesthetic appeal and functionality, catering to the practical needs of residents and tenants. Moreover, adhering to sustainable operational standards, such as energy efficiency and environmental conservation, is essential. Key considerations for creating a comfortable space include: 

• Logical Space Allocation: Clearly define functional areas and tailor them to the needs of different customer groups
• Accessibility: Designing user-friendly pathways and user-friendly escape routes, particularly for individuals with disabilities
• Sustainable Materials: Choosing construction and interior materials that are both cost-effective in the long term and environmentally friendly 
• Energy Optimisation: Incorporating energy-efficient solutions for technical systems such as lighting, HVAC, and water usage to minimise resource consumption
• Hygiene Standards: Maintaining clean, well-ventilated spaces that meet stringent hygiene requirements.

4. Community Connection

In addition to key factors such as design space and service quality, an ideal living and working environment must offer distinctive experiences, where residents and tenants feel attached and engaged. 

At Savills, we prioritise building a civil and connected community. We not only provide professional management services but also organise a variety of activities to connect residents and tenants. The Savills Management Team collaborates with developers, Building Owners’ Committees, and partners to organise events such as Lunar New Year, Vietnamese Women's Day, International Children's Day, Mid-Autumn Festival, Christmas, and community campaigns such as Plastic Detox, Earth Hour, the Gift of Happiness charity initiative, as well as regular interactive activities with Savills partner network. All these activities aim to create a quality living and working space where people can meet, network, and share experiences. 

Moreover, to meet the needs of digital connection, we also incorporate technology into our building management process. The Property Cube software developed by Savills Asia enables residents to easily interact online with the Management Team, thus reducing the time needed to resolve issues and enhancing customer satisfaction. 

In today's trends, Placemaking has become more than just a trend; it is a core element in differentiating and adding value to real estate projects. With extensive experience in property management, Savills understands the importance of creating unique living and working spaces that meet clients' diverse needs.

We partner with developers and Building Owners’ Committees to apply Placemaking principles in project operations, creating complete living and working experiences for residents and tenants. This attracts potential clients and retains existing ones, contributing to increased revenue and enhancing the project's position in the market. 

Learn more about our Property Consultancy and Management Services.