4 Questions Asset Managers Can Answer with Lobby CRE
Asset Managers are the glue that holds the organization together. Whether collaborating with Property Managers or providing reports to the Finance team, the work of an Asset Manager is never done. That’s why it’s important to have centralized, instant access to property and portfolio-level data. With Lobby CRE’s fully configurable dashboards, you can quickly locate, share, and export data with internal or external stakeholders to answer critical questions about the portfolio’s and make informed decisions about next steps to optimize performance.
Read ahead to learn 4 questions that asset management software, like Lobby CRE, will enable you to answer with ease.
1) How Does the Portfolio’s Performance Compare with the Market?
Asset Managers are responsible for managing and monitoring property and portfolio performance. As such, it’s important that you track and understand how each property stacks up against similar properties in the market. Lobby CRE’s benchmark capabilities make it easy to compare ‘apples to apples’ within any Metropolitan Statistical Area (MSA). With configurable dashboards, you can easily visualize how your portfolio ranks against the market.
P.S. The configurable dashboards can be shared internally and externally to streamline reporting and help external stakeholders keep a pulse on performance.
2) What is the Property’s Operating Expense Ratio?
The Operating Expense Ratio is calculated by dividing the property’s actual operating expenses (less depreciation) by its gross operating income. For example, a building with operating expenses of $40,000 a year that brings in $100,000 of gross income would have a 40% operating expense ratio.
This metric is useful for two reasons: it provides insight into how well the property is being run and it provides an easy basis for comparison between multiple properties. Simply put, the expense ratio signals how much of a property’s income is used towards expenses. Additionally this ratio provides insights into the property’s operations. These insights can either reveal a need for change in how the property is managed or indicate successful property management.
Lobby CRE helps you track the operating expense ratio in an easy-to-access dashboard. The operating expense data extracted from Lobby CRE equips you to view how your properties are operating and identify opportunities to improve operations to cut costs.
3) What are Occupancy Rates Across the Portfolio?
With Lobby CRE, you can compare property performance and occupancy rates against competitors and other similar properties in your portfolio. You can create dashboards to easily visualize and track per-property or per-unit occupancy rates and quickly identify trends such as how many 1-bedrooms are fully occupied. This information is important because it gives you insights into how 1-, 2-, and 3-bedroom units are performing against one another.
4) Where are Opportunities to Improve Operational Efficiency?
Operational efficiencies have always been important. But as costs of goods, labor, and operating expenses rise, identifying new opportunities to scale the business are more critical than ever.
With data from Lobby CRE, you can extract meaningful insights to make decisions that will increase operational efficiencies. For example, it’s easy to notice when NOI drops, but it might be difficult to determine that it dropped because vacancies increased. Combining property and financial data plus leveraging benchmarks could reveal opportunities for improving operational efficiencies.
ABOUT LOBBY CRE
Lobby CRE transforms CRE asset management with automated operational and financial data intake, intelligent performance analysis and reporting, industry benchmarking, and configurable dashboards – all within a single platform.