Commercial Real Estate Proptech Idea - Thoughts?

Commercial Real Estate Proptech Idea - Thoughts?

Member since 2020 · 14 posts · 8 votes

I'm about to launch a proptech company (with my friend that's a software engineer) that allows CRE firms to aggregate, organize and search for their CRE offering memorandums (as well as internal documents such as investment memos, appraisals and underwriting models). Some of the benefits of the software are listed below:

[1] Quickly search for and narrow down relevant deals by any combination of filters: geographical location on a map, deal size, broker, square feet, property type, etc…

[2] Pull relevant information from past deals and deals currently on the market - Return metrics, property details, deal documents, etc...

[3] Compile all ancillary deal documents and relevant data into one location in the cloud - accessible across all departments in a company.

[4] Outsource your data entry into the system (OMs, Investment Memos, Appraisals) that saves your internal resources - $10 – 20 / OM (or other deal doc.).

[5] Pipeline tracking: Track deals as they progress through “Marketing Phase, “Underwriting”, “Closing”, “Hold” and “Dead”.

There's a huge demand for market / property data - CRE firms pay $10 – 20k / user / year for a company I won't name with monopoly in the industry :). However, a lot of times investors have the best data on their own file systems but can't track down the information because it's buried away in documents on their computer drives.

Been working as an CRE underwriting analyst / associate for 7+ years and think this would help a lot of smaller to middle market CRE firms.

We're looking for initial few users that can provide feedback.  Any interest?  Feedback?

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  • Ronald RohdePro Member
    Attorney · Dallas, TX · Member since 2016 · 5k+ posts · 2k+ votes
    4y

    I'm interested. Where are you getting data? Just pulling from OMs? 

    I don't see that being a reliable source of data

  • Member since 2020 · 14 posts · 8 votes
    4y

    Great!  We're wrapping up the MVP in the next few days.  Will set you up an account so you can take a look....would love your feedback.  Agreed that OM info isn't the best - we're starting with the broker underwriting metrics (still good to have as a reference point) but then we're going to quickly add Internal Underwriting / Investment Memo and Appraisal sections.  

  • Ronald RohdePro Member
    Attorney · Dallas, TX · Member since 2016 · 5k+ posts · 2k+ votes
    4y
    Quote from @Will Butler:

    Great!  We're wrapping up the MVP in the next few days.  Will set you up an account so you can take a look....would love your feedback.  Agreed that OM info isn't the best - we're starting with the broker underwriting metrics (still good to have as a reference point) but then we're going to quickly add Internal Underwriting / Investment Memo and Appraisal sections.  


     Okay sure, lets take square footage of a building. Where are you pulling? tax assessor website? flyers? memorandum of lease (if recorded)? often those are inaccurate and may not reflect leasable sq ft. 

  • Member since 2020 · 14 posts · 8 votes
    4y

    Ronald - The system is for family offices, brokerages, and private equity firms with healthy deal flow that want to input their internal documents into a cloud-based information system and organize / data mine that info for insights.  I don't think you get it.  You're a self-employed attorney that reviews legal documents for mom and pop transactions and don't have a clue for institutional underwriting / leasing / portfolio management side.  No idea why you are commenting.

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