The multifamily housing industry faces a growing challenge during peak leasing season — the scourge of package theft. As more residents move into communities and online shopping continues to surge, the volume of packages delivered to these properties is skyrocketing. Unfortunately, this influx of packages has also attracted the attention of opportunistic thieves, leaving property managers and residents alike grappling with the consequences — raising questions about security, liability and financial responsibility.

Multifamily Package Theft Is a Growing Problem

Multifamily package thefts are different from single-family home incidents. There's a plethora of videos online showing porch pirates rolling up to a house, jumping out of a car in a mad dash toward the front door and then running away with a box.

However, thieves face higher foot traffic in apartment communities, which increases risk. As a result, they're getting more creative when pilfering, mainly using simple disguises to make it easier to move throughout a property. Criminals dress in disguises to create the appearance they should be there, such as a food delivery person or a maintenance/repair worker. They also choose outfits from professions that carry higher respect — think medical scrubs or military personnel — that are less likely to be questioned by a resident.

So, why even attempt to steal from apartments when there's that risk? Demographics and package volume. Younger generations wholeheartedly embrace online shopping and they make up the bulk of renters, increasing package deliveries and theft opportunities. It comes down to a simple numbers game. Garden-style apartments and single structures are at the highest risk, but larger communities aren't immune to the issue. In 2023, approximately 119 million packages valued at $8 billion were stolen, with 32% of these thefts occurring in multifamily settings.

Package theft not only inconveniences individual residents but also undermines the overall sense of community well-being. Residents who fall victim to package theft often feel violated and frustrated, which can negatively impact their perception of the property and their willingness to renew their lease. This can lead to negative online reviews and a damaged reputation.

Effective package management is a crucial component in the fight against package theft. Letting packages sit in front of doors is simply no longer an option. By implementing robust systems and strategies to secure the delivery of packages, property managers can significantly reduce the risk of theft and provide residents with a sense of reassurance and convenience.

Meeting Resident Demand While Reducing Risk

Residents expect a seamless and convenient package delivery experience. Advanced package management systems like a third-party offsite delivery service can greatly improve the resident experience by providing scheduled delivery times and real-time updates, rather than dealing with an office manager holding/storing packages or a package going missing.

In the highly competitive multifamily housing market, offering value-added amenities can be a powerful differentiator. Efficient and secure package delivery can be a premium amenity, as it demonstrates management's commitment to resident convenience and well-being. By showcasing their investment in package logistics, owners and operators can position their communities as attractive and desirable options for prospective residents.

Benefits Beyond Residents

The financial and logistical burden of replacing stolen items can be significant, straining not just residents but also onsite teams, suppliers and shippers. Less than 15% of package thefts are reported to law enforcement and fewer than 10% of package thieves are ever arrested. Because of this, the expense of and solution to the problem has shifted to residents, onsite teams, suppliers and shippers.

For onsite teams, utilization of a third-party package delivery system can make all the difference. Employees are no longer needed to accept packages, log them, organize a package room or retrieve packages for residents. There is also a marked reduction in handling complaints from residents who have missing items. This transfers a massive amount of time previously designated for package management to more beneficial, revenue-generating endeavors, including building relationships with residents and increasing occupancy.

For suppliers and shippers, the benefits translate to savings in time and costs. The cost to ship a package typically runs at about 10%-15% of the retail price of the item. It's easier for retailers to simply refund the purchase or to replace the item. However, this might lead to increased prices of goods. Additionally, some retailers won't accept liability, pushing it onto carriers. Regardless of policy, it's a financial burden they'd love to shed. For all parties involved, brand reputation is also a major consideration. Everyone wants to minimize risk but keep everyone happy at the same time.

Package theft isn't going anywhere, anytime soon. Third-party offsite delivery services resolve the package theft issue for both managers and residents and help to mitigate a growing problem for retailers.