The Life of Commercial Real Estate Data
Unlocking the Power of Data: How Dottid is Transforming the Commercial Real Estate Industry
From the moment you set your sights on a new deal to processing move-out for a long-time tenant, every CRE process holds useful data that can help you expand, improve, and diversify your portfolio. We’ll break down the life of a CRE deal, the components of asset management, and how data can make your operation more efficient and profitable.
First, let’s talk deals.
A standard CRE deal involves a few steps, each requiring attention to detail and parties from at least two to three groups. These steps cover finding investment property, identifying potential tenants, evaluating your chosen location, and negotiating your deal. Dottid makes deals faster, easier, and more trackable by collecting the right data at each of these points. Here’s a breakdown of the commercial real estate process for deals:
Step 1: Prospecting
The first step in commercial real estate deals is finding properties that meet the needs of your portfolio. You can research and outreach on your own, browse online listings, work with a real estate agent, or network with other industry professionals to discover possible locations.
The Dottid Difference: Identify New Opportunities
Track market data and research in-tool to analyze trends, rental and occupancy rates, and demand. Keep a list of properties and tenants that fit your portfolio, and get a convenient reminder in your Dashboard, so you don’t forget them when it’s time to find a new tenant or make a new investment.
Step 2: Due Diligence
Once you’ve identified a property that interests you, ensure everything is up to par. Research ownership and title histories, review any zoning or code violations, and obtain a property inspection to uncover hidden problems. This is also the time to review the property’s income and expense reports and determine its possible future valuation.
The Dottid Difference: Risk Management
By collecting the data you found in the due diligence stage, you can identify any risks and take steps to minimize future losses.
Step 3: Negotiations
Once you’re satisfied with your results from step two, you can begin negotiating with sellers. Equipped with the information you’ve gathered, go into this step with a firm idea of what you want and limits for flexibility. Any deal may require compromise, so it’s important to know where you’re willing to give and take. Once you reach an agreement, you can close your deal with confidence.
The Dottid Difference: Efficient Access
While traditional real estate deals took place via phone, fax, paper, and email, Dottid has combined all comms into a simple, easy-to-access platform. Access and share all your data with one click to make commercial real estate negotiations a breeze.
What’s next for your new asset?
You’ve completed your transaction—signed the paperwork, paid the closing costs, and are now the legal owner of a brand-new asset. Can data still help you as you move into the asset management phase of your new commercial property? Absolutely. Beyond the investment stage, a new world of data-enhanced opportunities arises—from improving tenant experience to making smart decisions regarding capital expenses. Earn more capital, streamline operations, and home in on better marketing demographics when you maximize these data collection opportunities:
Tenant Information
Utilize demographic and contact information to help understand your tenant population and make informed decisions about marketing and management. Read up on lease terms, rent prices and square footage to better understand your tenants’ preferences and build pricing and leasing strategies. Monitor building amenity and technology usage to allocate capital for upkeep and improvements, and most importantly, collect tenant feedback to identify areas for improvement.
Financial Data
Track income and expenses—like utility payments and building staff salaries—to create detailed budgets, establish a solid rationale behind rent increases, identify opportunities for cost savings, and evaluate property performance year-over-year. These data-driven insights can help you make informed decisions, identify opportunities for capital expense projects, and optimize revenue.
Lease and Rental Data
With the right tools, lease and rental data will be available at a glance so you can stay ahead of renewals, plan timely marketing campaigns, and schedule property improvements during prime renewal seasons. You can also use this data to identify your most lucrative prospects and avoid missed opportunities to bring in more valuable tenants.
Communications
Complaints, requests, and general feedback are great data sources for optimizing tenant experience, leading to more renewals and a more stable portfolio. With data visibility, tenant communications can be available to your whole team, so you never miss an opportunity to solve a tenant’s problem or improve their experience.
The Dottid Difference: Efficiency
As the only all-in-one commercial real estate asset management platform, Dottid lets you work smarter, not harder, by providing essential data and insights to every member of your team. No more wasted time shuffling through different platforms or reformatting disparate data sources into accessible spreadsheets. Put your data to work for you and get a demo today.