Harbor Group Management Co. Launches LeaseLock to Disrupt Traditional Security Deposit Model

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Apr 12, 2023, 09:17 ET

Top NMHC Manager provides value to residents with security deposit replacement

LOS ANGELES, April 12, 2023 /PRNewswire/ -- LeaseLock, the leading lease insurance and financial technology provider for the rental housing industry, today announced Harbor Group Management Co., LLC (HGMC) has implemented LeaseLock lease insurance across the majority of assets, in a move that leads the multifamily industry toward smarter loss protection.

HGMC is an award-winning property management company currently operating nearly 58,000 apartment homes and 5.4 million commercial square feet across the United States. In 2023, the National Multifamily Housing Council recognized HGMC as the 31^st largest manager of apartment properties in the United States. The announcement comes on the heels of LeaseLock eclipsing $6 billion in leases insured.

"Our industry has realized dynamic shifts over the past few years, and we are constantly looking towards innovative solutions that can optimize our business while better serving our residents," said HGMC President Robert Friedman. "As the industry continues to evolve, LeaseLock has emerged as the sustainable security deposit replacement, and we're pleased to deploy their insurtech technology across our communities."

Lease insurance enables more renters to gain access to apartment homes that may have been otherwise unattainable with a traditional security deposit requirement. LeaseLock leverages AI to analyze historical financial data and customize coverage by asset, which has generated over $38 million in total coverage for HGMC. The premier insurtech solution provides coverage to improve debt recovery, while drastically reducing deposit administration and regulatory risk.

"LeaseLock provides a valuable service to our residents, and we're pleased to offer technology that improves the quality of life for our residents while having a positive impact on our portfolio," said Cindy Dethlefsen, Operations Program Manager at HGMC. "We look forward to a successful partnership with LeaseLock."

Leveraging a deep integration within the native operating software, LeaseLock streamlines claims management at move-out so on-site teams aren't saddled with deposit management responsibilities. HGMC has maximized account balance absorption with LeaseLock, gaining 2.5x more coverage by claims paid compared to the average retained security deposit. The elimination of security deposits also removes the opportunity for contentious resident conversations and negative reviews that often accompany deposit refund disputes.

"We're thrilled to partner with HGMC. This is a world-class operator dedicated to pushing the industry forward," said LeaseLock President Ed Wolff. "LeaseLock was built to serve both the resident and the operator, and we are pleased to bring on new clients dedicated to providing residents more affordable move-ins in this challenging environment while also modernizing loss protection for properties."

NMHC Top 50 operator LeaseLock clients include Greystar, Cushman & Wakefield, Avenue5 Residential, Harbor Group Management Co., Western Wealth Communities, RKW Residential, Pegasus Residential, and S2 Residential. Top ownership clients include Goldman Sachs, PGIM, ColRich, Strata Equity Group, GoldCor, Olive Tree, TruAmerica, Pillar, Trinsic, and Goodman Real Estate.

About LeaseLock
LeaseLock financial technology is driving the next revolution in residential real estate.
Rental housing providers achieve more valuable, efficient properties—and a better resident experience—with LeaseLock. They can put more people into homes more quickly, while improving net operating income, mitigating bad debt, and streamlining site operations.

LeaseLock's AI-driven risk platform leverages multiple data sources and smarter risk assessment to optimize lease insurance coverage at the property-level, leading to better lease conversion, stronger property performance, and reduced regulatory risk. Deployed seamlessly within existing property management software, LeaseLock makes the move to modern leasing swift, simple, and straightforward. LeaseLock has insured over $6 billion in leases backed by insurance rated A (Excellent) by A.M. Best. Our global investors include SoftBank Ventures Asia, Wildcat Ventures, Westerly Winds, Vertex Ventures US, Liberty Mutual Strategic Ventures, American Family Ventures, Moderne Ventures, Mucker Capital, and Hivers & Strivers Investment Fund.

Contact:
Marlena DeFalco
[email protected]

SOURCE LeaseLock