Apartment Buildings

Cost to Operate: β 1,000 per day (per 100ft2) + 1,500 each of water and electricity (per occupied 100ft2)

Expansion: Creates more apartments

Conversion: Yes

Upgrades: No upgrades. Buildings are built with a certain % of Common Area.

Other Factors: Apartments must be furnished and provided with water and electricity. QA increases their appeal.

• Apartment buildings create residences for the local population. They are supplied to the public furnished, with utilities.
• Approximately 14% of the population rents furnished apartments.
• The rental market is highly segmented and demand has range-bound elasticity.
  • A segmented market is one that is divided into different preferences. For apartments, this means some demand luxury, some require space, and some have limited budgets.
  • Demand is called elastic when buyers are very sensitive to changes in price and inelastic when they will buy regardless of price. Renters will pay a higher price if they have to, but stop when it exceeds their budget.
• Citizens' budgets for apartments are subject to the Housing adjustment for that city. This scales inversely to the supply coverage of apartments, as well as other factors. (So the more apartments exist, the lower rents need to be.)
• For each renter, all apartments that meet their requirements are ranked based on their attributes. Vacant apartments can be a sign you've overpriced the demand for that size, or simply that your competitors are more appealing. Try lowering the price, or using higher quality Furnishings and Utilities.

Preparation

• At the time of construction, the layout must be specified. That indicates what percentage of the building is dedicated to Common Area.
  • Common Area includes hallways, lobbies, stairwells, and elevator shafts as well as gyms, vending areas, laundry facilities, play spaces, etc.
  • Greater common area makes apartments more appealing.
  • The larger the building, the more important common area is. (Tall buildings require more elevator options and residents on top floors greater appreciate not having to leave the building for certain things.)
• Apartment size is also set at time of construction. Not all renters want the same thing so this is choosing your segment of the population. (Naturally, renters of larger apartments do expect to pay more rent.)
• Apartment size and common area can be changed in the future at the expense of construction cost and time and loss of all furnishings.
• Completed apartments can be rented while construction is ongoing. However, this makes them less appealing and can cost you tenants in a competitive market.
• Once construction is completed, space must be Furnished before it can be rented. This includes common area.
  • Furnishings are Washing Machines, Refrigerators, Beds, and Sofas
  • No specific quality appeal is required to make a building furnished. However, a higher QA will make those apartments more desireble.
  • QA levels of furnishings decay at 1 point per week, regardless of occupancy.

Operation

• Apartment buildings have expense accounts similar to R&D Centers and Transport Hubs.
  • Building Maintenance is required daily, based on the total size of the building, regardless of occupancy.
  • If the expense account goes to zero, all tenants leave and no further costs are incurred. (No utilities are subtracted either, but QA will continue to decay.)
• To be rented, each building must be supplied with water and electricity. This is used every day from Occupied apartments and All common area. Unrented apartments do not subtract from the supply.
  • No specific quality appeal is required to supply apartments. However, a higher QA will make those apartments more desireble.
  • QA levels of utilities decay at 1 point per week, regardless of occupancy.
• Occupancy is checked and rent is collected once per hour. Rent can be changed at any time and will take effect at the next collection.
  • Tenant budgets are affected by the city's Labor adjustment. Cities with expensive salaries allow tenants to pay higher rents.