Apr 06, 2023
By Johanna Morse

Modern Corporate Real Estate Technology is Essential in Today’s Climate – Here’s Why

Your organization’s real estate portfolio is likely the second-greatest expense after personnel. Managing this expense, whether you own or lease properties, requires an effective and efficient approach to ensure you can oversee your assets now and make plans to meet future objectives of your business. Having one solution to manage the end-to-end lifecycle of your entire real estate portfolio can make your process easier and provide you with valuable benefits.

More Visibility

At its core, a single solution can help your organization improve visibility and control over your portfolio. When all your property information is stored in one place, managers can

  • Keep track of contracts, financials, and critical dates
  • Ensure compliance with accounting standards
  • Quickly identify issues and opportunities

With all this information consolidated in one system, it becomes much easier to see the big picture, make strategic decisions, and maximize the return of investment of your properties. By adding in additional data—like space utilization and occupancy data—you can also see how your properties are being used and whether there are opportunities to adjust.

Increased Efficiency

A single source of truth also empowers your different departmental teams to collaborate more effectively. For example, in many cases, real estate teams need to work with space planners to determine how space is utilized and whether they need to expand or decrease their footprint. As the transaction manager is reviewing contract options and critical dates, they can easily access the same data that the space management team uses and updates frequently—including utilization, occupancy, and space survey information—when reviewing their floorplans. Collaborating on one platform allows teams to access the most recent information, eliminates the risk of human error when creating reports, and provides both teams with a better scope when developing future strategic goals.

When third-party contractors are brought in to help manage and evaluate an organization’s real estate plans, having one place to collaborate is critical. There are a lot of stakeholders, tasks, and information that needs to be shared as contractors find opportunities to acquire new buildings, advise on renovations, or even recommend downsizing to help your business improve the ROI of your real estate footprint. Being able to visualize and assess the health of all properties in the portfolio based on the status, behavior of KPIs, and metrics helps everyone stay on the same page and can help save time and increase efficiency.

Reduced Costs

By automating processes and eliminating redundant manual tasks, you can reduce labor costs and the overall time spent on administrative work, freeing up time for more strategic activities. Additionally, automatic alerts can remind key stakeholders of critical dates, so that no additional fees are charged, or lease expirations are missed.

When all financial details are collected and stored in the same platform, your real estate team can easily conduct a comparative analysis to determine where costs can be reduced. The alignment of your company’s budget strategy and all the financial and footprint data points can easily be assessed through one lens of whether it makes financial sense to reduce, sell, or buy more properties for your portfolio. All these metrics can then be used to execute transactions and track them in the future, so your company can continue to make fiscally responsible decisions.

The future of corporate real estate management is changing rapidly. Some organizations are choosing to forgo the office and make remote work permanent; some are mandating people back full or part-time. There is no doubt this landscape will change dramatically over the coming years, and a transparent view into your portfolio at all stages is now a necessity—not a luxury.