How to Maximize Multifamily Laundry Room Revenue

by Lauren Schultz September 18, 2025 0 Comments

The Opportunity Most Property Managers Overlook

In most multifamily buildings, the laundry room is treated like a utility. It’s there. It works (most of the time). Residents use it, and the quarters get collected. But here’s what too many owners miss: a well-run laundry room can do more than cover costs. It can produce steady, predictable, high-margin income.

At Midwest Laundries, we work with hundreds of buildings—some generating a few hundred dollars a month, others pulling in thousands. The difference isn’t luck or size. It’s strategy.

This is how the most profitable buildings do it.

Step 1: Ditch the “Set It and Forget It” Mindset

The worst-performing laundry rooms have one thing in common: they haven’t been touched in years. Same old machines. Same pricing. No data. No upgrades.

A laundry room is like any other income-generating amenity. If you want to increase revenue, you need to treat it like a business unit.

Start by asking:

• Are the machines reliable and in-demand?
• Are we pricing based on cost recovery, or market value?
• Is the payment system helping or hurting usage?
• Do residents know when machines are available?
• How often are service issues slowing down revenue?

Most property owners don’t realize they’re leaving money on the table until we walk them through the numbers.

Step 2: Upgrade Your Equipment to Increase Throughput

Older machines take longer, break more often, and use more water and energy. That means downtime, higher bills, and frustrated residents. Upgrading to modern, energy-efficient washers and dryers has a measurable impact on:

• Cycle speed: Faster turns = more residents served
• Utility savings: Modern machines use less water and power
• Revenue per square foot: More usable hours per day
• User satisfaction: Fewer complaints means higher retention

We’ve had clients see a 20–40% revenue bump just by swapping in newer equipment.

And here’s the good news: You don’t always have to pay out of pocket. We offer flat-rate leasing options that let you upgrade with no upfront cost, no revenue sharing, and no maintenance headaches.

Step 3: Use Payment Systems to Increase Access and Track Revenue

Mobile payment systems don’t just make life easier for residents. They make it easier to generate and manage income.

The systems we install—PayRange, Laundroworks, Kiosoft—come with:

• Dynamic pricing options (peak/off-peak)
• Usage analytics (know which machines drive revenue)
• Remote access (update pricing, run reports, issue refunds)
• Real-time performance data

That means you’re no longer guessing. You’re making decisions based on actual numbers. If machine 2 is doing 4x the volume of machine 5, you’ll see it. If weekend traffic spikes, you can raise prices for peak hours.

That’s not just convenience. That’s control.

Step 4: Price Smarter, Not Higher

We’re not saying crank the price up across the board. Residents notice that—and they’ll push back. What we do recommend is precision pricing.

Smart strategies include:

• Variable pricing: Charge slightly more during high-demand times
• Bundled cycles: Offer pre-paid cycles at a slight discount
• Machine-tiered pricing: Charge more for larger machines that handle bigger loads

If your washers are always full on Sunday nights, raise the price for those hours. If your high-capacity dryer is underused, lower the price for a month and monitor the result.

Small, strategic changes can boost monthly revenue without upsetting your tenant base. We've helped properties increase income by 10–15% just through pricing adjustments.

Step 5: Minimize Downtime With Better Service Support

Every minute a machine is down, you're losing money. Fast, reliable service is non-negotiable.

That’s why all Midwest Laundries clients get:

• Same-week service calls across Illinois, Indiana, and Wisconsin
• Access to OEM parts and our full-service team
• Preventive maintenance schedules to reduce breakdowns
• Remote diagnostics with supported systems

We run the numbers with clients all the time: the revenue lost from one broken machine often exceeds the cost of a service contract. And if you're leasing equipment through us, all repairs are included. No waiting. No surprise bills.

Step 6: Promote the Laundry Room Like the Amenity It Is

If you're investing in upgrades, let your residents know. You’d be surprised how often buildings update their systems but fail to communicate it—leaving usage flat.

Simple things that help:

• Post clear signage in the laundry room
• Send out a notice via email or building app
• Highlight the upgrades during tours and move-ins
• Include payment app info in welcome packets

Most residents don’t mind paying for laundry, they mind paying for a bad experience. Show them that it’s being improved, and they’ll use it more.

Midwest Laundries' Real-World Approach

We don’t just drop off machines and wish you luck. Every installation, every system, every pricing plan is built for the realities of your property. We’ve helped everyone from small 12-unit walkups to 300-unit high-rises turn underperforming laundry rooms into stable, low-maintenance revenue sources.

And we’re not guessing. We see the data. We know what works.

Final Word: Revenue Starts With the Right Plan

A laundry room doesn’t have to be a liability. It can be one of the most consistent income streams in your building, if it’s managed the right way.

That starts with the right equipment, the right payment system, the right pricing model, and a partner who knows what they’re doing.

We’ve helped hundreds of property owners take their laundry rooms from passive to profitable. Let us show you how.

FAQs

Q: How much can I realistically make from my building’s laundry room?
A: That depends on unit count, resident profile, machine quality, pricing, and layout. We've seen buildings earn anywhere from $300 to $3,000 per month. After a short consult, we can give you a ballpark estimate based on your specific setup.

Q: What does a new system cost to install?
A: It varies by building, but in many cases, our leasing model eliminates the upfront cost entirely. One monthly rate covers equipment, install, and service. No revenue sharing, no maintenance fees. We’ll build a plan around your budget.

Q: Can I still generate revenue if I include laundry in the rent?
A: Absolutely. We help clients track usage internally and build the cost into rent in a way that protects margins. You won’t get direct swipe income, but you can offset the value through pricing and efficiency. We’ll show you the math.

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