John Carona, founder and CEO of Associa, the world's largest manager of homeowners associations, appeared on the Building Texas Show to discuss the company's origins, the role of HOAs in Texas, and its expansion into Europe. The episode, hosted by Justin McKenzie, was recorded at Associa's Richardson headquarters.
Carona started the business 18 months after graduating from the University of Texas at Austin, where he worked three jobs to pay for school. "We started out with just two employees, myself and one rather elderly assistant who I loved dearly," he said. The company has since grown to 24,000 employees, adding one client at a time and through more than 200 acquisitions. Associa now acquires 25 to 30 management firms each year.
Addressing common criticisms of HOAs, Carona emphasized their financial benefits. "The most important thing homeowners associations do is they preserve the value for the owners themselves by adding some degree of conformity, some reasonable rules and regulations," he said, noting that property values in communities with mandatory HOAs grow faster than those without. He also cited surveys showing that over 95% of residents appreciate the experience, while the company works to address concerns of the remaining minority. Associa surveys each board of directors three times a year to identify issues early.
Carona attributed Associa's success to technology and employee training. "We live in the Amazon age. People want more for less," he said, stressing the need to deliver timely and cost-effective services. The company operates 340 branch offices across 44 states, allowing employees to move between markets without leaving the firm. Associa has been voted a national best place to work for nine consecutive years, a point of pride for Carona.
On international expansion, Carona revealed that Associa recently acquired the number two operator in Spain and expects to become the market leader by December. This marks the beginning of a three-to-five-year rollout across Europe, including the UK, France, Italy, and potentially Germany. While terminology varies, such as "stratas" in Canada, the service remains consistent.
For prospective homeowners in Texas's booming region, Carona advised scrutinizing transportation, location, and build quality, as Texas does not license builders. "From time to time, bad actors can come on the scene," he warned. The full episode is available on the Building Texas Show website and wherever podcasts are heard.
