The MDU Update is a monthly round up of what's going on in the world of multifamily real estate with a focus on what matters to broadband service providers.

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🎃 Happy October! We're trying a slightly different format this time. If you have a moment to reply, we'd love to hear if you find this more useful than just 10-12 curated links.

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Reading time: 4 minutes

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Story #1: HUD and FCC Partner to Promote Affordable Internet Access for Low-Income Communities

Quote: "The partnership agreement will decrease the time it takes for some people to sign up for the program and is coupled by HUD’s commitment to increase outreach activities."

Why it matters: The ACP is a monthly benefit ($30/mo) providing connectivity support to over 20 million families. HUD residents are automatically eligible for support but many are unaware of the program. This new data-sharing agreement means that HUD residents are automatically notified and encouraged to enroll.

Further Reading: ACP ensures that low-income households receive the benefits of reliable broadband. However, until Congress acts, it is only funded through next spring.

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Story #2: Multifamily expenses jump almost 10%

Quote: "Overall, operating costs rose between 5.0% and 14.9% in 85% of U.S. multifamily communities [in the trailing 12-month period that ended in June 2023]"

Why it matters: Like other facets of the economy, the cost of doing business in multifamily is rising. The leading culprits for greater expenses are insurance (due to increasingly severe weather events) and labor costs. While the sector has seen historic rent growth in the last decade, the surge appears to be slowing down. This will likely lead property owners and managers to look elsewhere for revenue growth in an effort to maintain margins.

Further Reading: Multifamily Weighs In on Another Rate Pause

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Story #3: Rail Yard launches internet Connectivity Score rating

Quote: "Rail Yard, a provider of location-based connectivity data, launched its Connectivity Score®, a rating that measures internet accessibility, speed, and capability for commercial and residential properties."

Why it matters: Rail Yard joins others like ROVR Score and WiredScore marketing themselves as an objective scoring system for internet capabilities in a given property. Connectivity is often cited as the #1 amenity that renters consider when choosing where to live which means property owners have strong incentives to get a high score.

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📚 What else we read last month:

• $1B Portland Mall Redevelopment Moves Forward
• San Diego high-rise joins office-to-apartment conversion trend
• National Student Housing Report – September 2023
• Mobile-based tech makes the adoption of smart-home features simple for multifamily owners

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What is Hum?

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The MDU growth platform for competitive internet providers.

• Accelerate Subscriber Growth
• Reduce Churn
• Automate Service Delivery

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Lets Hum.

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