When someone says they are interested in value-add multifamily, do you think physical value-add or operational value-add?

When someone says they are interested in value-add multifamily or when a listing is marketed as value-add does your mind go right towards physical value-add or operational value-add?

For clarification: by "physical" I mean the actual property needs improvement and repairs vs "operational" where I mean it needs tighter income/expense management, lease management, and driving market rent.

I have my opinions, but I'm more curious what other professionals think first?

Hey Dan! I would personally say I think of the “physical” repairs needed.

My mind always goes towards physical, but also not always repairs. I've seen some companies who always include better lighting in all their value-add plans, for example.