Vacancies Hard To Come By As Condos Become Boutique Hotels

FEATURE ARTICLE, JUNE 2008

Peter Boritz

As the condominium market continues to cool off, increasingly real estate developers and owners are finding their pot of gold at the end of the rainbow — in the form of boutique hotels. The motivation for this turn of events centers on the current profitability of the hotel market which has real estate companies gravitating to this lucrative sector.

For many years, the development of condos was priority number one with sales going through the roof. However, as the development rapidly increased, supply exceeded demand and a glut in product offerings took hold. As a result, intense competition for condo developments drove pre-sales and existing sales lower. This in turn hindered owners from achieving their sales targets and thus, spurred a disinterest in further condo development.

Taking up the slack in condo investment has been the conversion to boutique hotel and apartments. Property owners and developers in New York, for example, have grown tired of waiting for condos rentals to become fully occupied. Instead they are seeing an increased demand in boutique hotels and allocating their resources to capitalize on the upsurge in these projects. As an example, a record sale for a boutique hotel occurred when Istithmar, a Dubai-government owned investment group, bought the W New York Union Square hotel for $285 million. In addition, industry figures show that the average cost of a hotel room in New York is at all-time high of $300 a night, with average occupancy rates near 90 percent.

Conversions to boutique hotels are also appealing to owners as new construction has slowed due to the high prices for land and surging construction costs, which have driven up the value in existing hotels. As more and more domestic and international travelers are seeing the sights in the U.S., hotel demand is expected to stay strong in 2008. And boutique hotels with uniquely crafted rooms and luxury amenities are highly sought-after properties by sophisticated travelers.

This conversion is a significant trend that is changing the urban landscape of both hotel and condo markets on a local and national basis. In addition, owners like to be associated with upscale, high-end assets that project a strong brand image and an impressive cachet.

So as this transition continues to unfold, owners and developers must embrace ways in which they can truly determine the potential worth of their assets and maximize the value of these properties. The days of simply using traditional marketing methods to sell their portfolios are headed out the door. Today, savvy industry players realize that managing these transitions means thoroughly evaluating their portfolios and assessing their true space management needs and measurements.

Taking a complete inventory of a property’s portfolio is the essential first step in making the transition. Using highly sophisticated tools, such as RDM’s LaserDisto® measuring tools, helps owners to measure and document the true size and square footage of a unit, enabling an owner to enhance their marketing and management needs. This process alters how they can value their portfolios, providing them with the opportunity to raise their sales prices. These technology tools are more advanced in their applications, which allow for owners and developers to house this vital information.

As a result, this opportunity has forced all employees inside a real estate firm to pay greater attention to this trend. Implementing existing condition and due diligence surveys enables owners to get a “lay of the land” and by determining correct floor area calculations, can increase revenues. And increasing actual revenues will drive traffic to boutique hotels and profits to owners.

Peter Boritz is president of Real Data Management (RDM), headquartered in New York, which is the leading provider of real estate space and information management solutions.

http://www.northeastrebusiness.com/articles/JUN08/feature2.html

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Archstone Hires Real Data Management for Residential Marketing Solutions

NEW YORK, 16 June 2008

Real Data Management, the leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios, today announced that it is working alongside real estate giant Archstone to provide building surveys, space calculations, and floor plans for Archstone’s properties in several East Coast markets.
 
“Archstone remains one of the pre-eminent names in the residential real estate market and we are thrilled to add the company to our strong client list,” said Peter Boritz, President of RDM. “The residential market is an expanding line of business for us and our ability to provide a comprehensive platform of leasing, marketing, and management tools with a single point of contact save time and money for large firms like Archstone that are used to having several different service providers.”
 
Archstone, formerly the NYSE-listed real estate investment trust Archstone-Smith Trust, was acquired in October 2007 by Tishman Speyer and Lehman Brothers Holdings for $15.5B.  

About Real Data Management

RDM is a New York-based leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios. For more than 30 years, Real Data Management has completed projects in more than 1,500 buildings exceeding 500 million square feet nationwide. Its products and services enable clients to achieve a high level of operational performance.

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Taking Advantage of New Tools to Grab Attention in a Challenging Market

Real Estate Weekly
By Peter Boritz, President, Real Data Management

Get noticed, get business. This maxim seems obvious to anyone in the business of buying, selling, or leasing real estate. Yet traditional real estate portfolios generally have been too slow to adopt new technologies for marketing and advertising.

Real estate professionals need to focus their time on the core competencies of their business instead of managing marketing campaigns or overseeing graphic design production.

With this in mind, Real Data Management has shifted additional focus toward real estate marketing and advertising services with the recent hire of Jay Machain as Creative Director. He will lead our team of veteran real estate professionals and established creative minds to design and implement full-service advertising and marketing plans for clients. Collaboration between professionals with industry knowledge and those who know how to capture attention visually is key to our new business unit, which is scaleable with current RDM information management services and a valuable addition to portfolio companies that aren’t current RDM clients.

Outsourcing this type of work to people with strong technical and industry background can take advantage of the available technology while staying focused on their primary business. Other industries, such as financial services, outsource this type of work to use new technologies without having to learn them in-house.

RDM is preparing for a sea change in the industry. Soon, real estate companies will find enormous value in mediums like online video, sophisticated e-mail marketing, animation, and social networks. The industry is already observing apartment brokers using low-quality video footage that’s easily captured on a PDA, uploaded to a computer, and published online. Instead of meeting that broker to view apartment features, prospective tenants can see it for themselves. This indicates a demand for tech-driven marketing in what has traditionally been a handshake business.

RDM has developed a full-scale virtual tour offering that uses the latest principles in digital marketing and design; this is just one example of technology brimming with potential for the real estate industry.

There were barriers that RDM considered in the development of its offering. Measurability will become important as web-based strategies surface. Solutions that ignore the need to evaluate their own performance won’t cut it. Newer measuring technologies like WebTrends and Google Analytics prove online measurement is now a refined science and far more sophisticated than print advertising measurement.

Many in the industry carry the misconception that newer technologies are capable of replacing sound investments and sales strategies that have worked for decades; this won’t happen. What will happen is a noticeable and measurable increase in the success of marketing plans.

Using these digital marketing strategies won’t create the best deals on the marketplace, but it will certainly drive attention to them and drive the leasing of vacant space and property sales. RDM is committed to capturing attention for its clients in the real estate industry’s crowded marketplace.

Peter Boritz is President of Real Data Management, a real estate technology and advertising firm.

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Newletter - December 2007

RDM Expands into New Markets in 2008

RDM now has the largest platform to deliver global Space Management Solutions. On the forefront are the Chicago and DC Metro markets, branching out from such areas as New York, Boston, Los Angeles and India to name a few. These markets have access to RDM’s Compressive Services and Technology to enhance the leasing, marketing, and management of portfolios.

RDM Takes the Trophy and Gives Back

Hard work, determination and outstanding team play helped propel Team RDM to their first championship in the Zogsports 3 on 3 Men’s Basketball League. In just there 2nd season, the team found winning to be contagious, and never relinquished their hold at the top of their division. The RDM work ethic installed within its employees carried over onto the court, as this scrappy bunch continually baskeball teamTeam from left to right: John Tabaniag, Ahmad Oloumi, Ian Diaz, Josh Olivero, and Ronaldo Valenzuela found ways to win, from tenacious defense and overall hustle, to timely shots and unselfish play. And though the team was weary and battered late in the season, the support and energy from the team’s colleagues, friends and fans rejuvenated the them in the playoffs allowing them to capture the title. As a result of their victorious season, a $300 donation was made by Zogsports to help Diabetes research. Congrats toTeam RDM for a fantastic season!

Introducing RDM Advertising

Continuing to grow, RDM introduces a new line of service to our clients: Advertising — a logical move in the direction of introducing technology to the Real Estate industry. Jason Machain Creative Director RDM Advertising Jason Machain Jason Machain will be leading this project, bringing a Graphic Design / Marketing background having worked with such companies as HBO and Barnes & Noble.com in New York City. “We live in a time of rapid technological change, yet the real estate industry has been slow to adapt.” says Jason. RDM Advertising will take advantage of cutting edge technologies to create modes of communication that allow our clients’ efforts to reach their full potential – interactive Flash sites, email blasts, company identities and more contemporary, eye-catching fliers to name a few. Our team is made up of senior people who understand the real estate business inside and out, believe in high-quality service and make it our goal to provide you with the best solutions to drive in business.

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2008 To Bring Continued Growth in Building Sales, New Investors and Increased M&A Activity for Real Estate Office Sector, Says RDM

NEW YORK, December 2007

The commercial real estate office sector will experience significant growth in 2007 as new players will jump into the market and enhance the upward growth pattern exhibited in 2006, according to RDM, a leading provider of real estate space and information management solutions in the real estate industry.

RDM believes many factors will contribute to the anticipated growth in the office sector, which include:

• How the M&A uptick is driving the rapid consolidation of the real estate industry

• An increase in the demand for stronger, faster due diligence methods by using technology - prospective M&A buyers using innovative methods to make decisions in short turnaround times (48 hours or less) when making bids

• Building sales will be the rage and will grow in size, spurring greater bidding and interest among acquisitive owners

• Vacancies will continue to drop for the office space sector as more properties are snatched up

• New sources of investment in the sector will increase from two primary sources: hedge funds and Middle East investors

• Property owners and developers will speed up their convergence to technology as they realize the benefits of reduced operating costs, increased productivity and enhanced planning through technology

“The real estate industry is a turning point in maximizing their speed and effectiveness in managing their portfolios,” said Peter Boritz, president of Real Data Management (RDM). “As a result, we’re seeing tremendous growth in our business, and in many cases, are being called upon to help facilitate huge transitional projects for our clients.”

RDM’s business realized a strong year in 2006, as the company’s business grew XX% in revenues and by XXXXXX in square footage that it oversees. The company benefited by being a strong consultant to its clients and through its leading-edge products and services.

About RDM

Real Data Management (RDM), headquartered in New York, is the leading provider of real estate space and information management solutions. For over 25 years, RDM has provided technology and services to the Corporate, Commercial and Residential real estate communities.

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RDM Launches RealAccess: Residential, the First Real-Time Solution Providing Real Estate Data Accessible Worldwide

NEW YORK, October 2007

Accessing residential real estate data has always been a challenge faced by the real estate industry. Now, for the first time ever, residential portfolio leasing and management will be at your fingertips, anytime from any location.

RDM (Real Data Management), the New York-based leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios, today announced the launch of RealAccess: Residential™, the first-of-its-kind real-time solution that provides residential real estate data over the web from any computer in the world or wirelessly from a PDA or cellphone. Key features of RealAccess: Residential™ include:

• Secure access from anywhere

• Customizable user access levels

• Links with your accounting system for real-time information

• Sort information for quick views of lease expirations, lease types and unit types

• Print and email Marketing Rental Floor Plans

• Renew leases and create new leases with a click of a button

• Upload photos and documents for other users to access

• Track Move In/Move Out schedules with the Real Access Calendar

As part of the development process for designing RealAccess: Residential, RDM retaining Navigant Consulting, the specialized independent global consulting firm, to assist in overseeing the product’s development by teams in India and Israel.

“As the real estate industry moves into an online, 24/7 environment, providing real-time data online has become more crucial than ever,” said Peter Boritz, president of RDM. “With real estate transactions taking place at light speed, buyers and sellers must have a cutting-edge solution like RealAccess: Residental™ that will provide users with immediate access to data needed to more efficiently manage and lease the operations of residential portfolios.”

“RDM is re-architecting its Real Access residential product by using best of breed vendors from across the globe including Columbus Application from Israel for the graphics engine, and Diaspark from India for the software development,” said Rob Vasta, [TITLE] of Navigant Consulting. “The new system will uniquely position Real Access to be a cost effective and innovative solution for residential management corporations around the world.”

About RDM

RDM is a New York-based leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios. For over 25 years, Real Data Management has completed projects in over 1,500 buildings exceeding 500 million square feet nationwide. Its products and services enable clients to achieve a high level of operational performance.

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News Corporation Signs RDM for Corporate Space Management Services

New York, October 2007

RDM, a New York-based leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios, today announced that News Corporation has implemented RDM’s RealAccess solution for corporate space management services.

The RealAccess solution has been implemented in two News Corporation properties on the East and West coast.

“We are very pleased to be providing News Corporation with our RealAccess solution, which will assist them in the management of their employee occupancy needs,” stated Peter Boritz, president of RDM. “We look forward to working together with News Corporation to drive its business forward.”

About Real Data Management

RDM is a New York-based leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios. For over 25 years, Real Data Management has completed projects in over 1,500 buildings exceeding 500 million square feet nationwide. Its products and services enable clients to achieve a high level of operational performance.

About News Corporation

News Corporation (NYSE: NWS, NWS.A; ASX: NWS, NWSLV) had total assets of approximately $62 billion and total annual revenues of approximately $28 billion. News Corporation is a diversified entertainment company with operations in eight industry segments: filmed entertainment; television; cable network programming; direct broadcast satellite television; magazines and inserts; newspapers; book publishing; and other. The activities of News Corporation are conducted principally in the United States, Continental Europe, the United Kingdom, Australia, Asia and the Pacific Basin.

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RDM Expands to the West Coast as IDS Real Estate Hires RDM in Los Angeles

NEW YORK, May 2006

RDM, a New York-based leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios, today announced that IDS Real Estate, a Los Angeles-based private real estate developer and manager with offices in Orange County and San Diego, has hired RDM to help it assess its real estate space through software, building re-measurement and analytic calculations of portfolios.

This transaction for RDM represents its initial expansion to the West Coast and the validation of RDM’s platform – significantly augmenting its presence to a new region. The firm now services the New York and New Jersey region, the northeast area via the Boston market, the southeast region near New Orleans and Miami and the Midwest in Chicago.

“This tremendous business opportunity will allow RDM to expand into its business presence into a completely new territory, consistent with our growth platform,” stated Peter Boritz, president of RDM. “We see 2007 and 2008 as an important timeframe for RDM as the firms grows its businesses to meet our customers’ demands. We’re very excited to serve one of West Coast’s leading real estate managers and provide them with our cutting-edge real-estate services.”

RDM will supply its cutting-edge core services for several IDS buildings in the Los Angeles area. In addition, RDM partnered with Los Angeles-based Environetics, a leader in interior architectural design, space planning and project management to assist in fulfilling the project.

“We’ve had a terrific working relationship with RDM,” said Richard Lehman, executive vice president and director of design at Environetics, “RDM, which exclusively handles square footage calculations, completed their accurate calculations in a very timely manner.”

Added Boritz: “Environetics was an ideal partner for this project. We look forward to working with them again on another West Coast real estate project in the near future.”

About IDS Real Estate

Los Angeles-based IDS pursues opportunities that generate exceptional returns. Through dynamic teamwork, we strive to provide superior real estate services by anticipating the evolving needs of tenants and owners. The firm provides from a wide variety of services including property, asset, and development management to advisory services, facilities management, construction management, marketing, information systems, and finance.

About RDM

RDM is a New York-based leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios. For over 25 years, Real Data Management has completed projects in over 1,500 buildings exceeding 500 million square feet nationwide. Its products and services enable clients to achieve a high level of operational performance.

About Environetics

Environetics has long been a leader in interior architectural design, space planning and project management. Founded in New York in 1947 as Saphier, Lerner & Schindler, the firm changed its name to SLS Environetics in 1959, the same year the firm’s Los Angeles office was established. In 1994, the Los Angeles office became its corporate headquarters. Environetics creates innovative custom interiors for selected market sectors, including financial, entertainment, high tech and corporate office environments.

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RDM Expands East Coast Presence to D.C./Virginia Region as Monday Properties Hires RDM in the Territory

NEW YORK, April 16, 2007

RDM, a New York-based leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios, today announced that Monday Properties, a New York-based private real estate owner, operator and developer with significant holdings in Washington, D.C., has hired RDM.

This transaction for RDM represents an expansion of RDMs existing business in the greater Washington, D.C. area and the validation of RDM’s platform – significantly augmenting its presence and capabilities on the East Coast. The firm now services the New York and New Jersey region, the northeast area via the Boston market, the southeast region near New Orleans and Miami and the Midwest in Chicago.

“This tremendous business opportunity will allow RDM to expand our East Coast business presence into the D.C. region and beyond, consistent with our growth platform,” stated Peter Boritz, president of RDM. “We see 2007 and 2008 as an important timeframe for RDM as the firms grows its businesses to meet our customers’ demands.”

RDM will supply its cutting-edge core services for seven buildings Monday Properties recently acquired in the greater Washington, D.C. metropolitan area. RDM will assist Monday Properties in assessing its real estate space through software, building re-measurement and analytic calculations of portfolios.

“As Monday Properties grows, we’re proud to serve one of Washington, D.C.’s leading real estate managers,” added Boritz. “This announcement will allow us to provide Monday Properties with our leading real-estate services, and at the same time, enlarge our profile on the East Coast.”

About Monday Properties

Founded in 1997, Monday Properties is a New York City-based private real estate owner, operator and developer. The firm’s full-service capabilities include asset management, property management, construction management and leasing and development expertise. Monday Properties is focused on the East Coast of the United States, with particular emphasis on New York City and Washington, D.C. It currently owns and/or manages approximately 7 million square feet of property, including 4 million square feet in Manhattan and 3 million square feet in the greater Washington, D.C. metropolitan area.

About RDM

RDM is a New York-based leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios. For over 25 years, Real Data Management has completed projects in over 1,500 buildings exceeding 500 million square feet nationwide. Its products and services enable clients to achieve a high level of operational performance.

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John P. Day, a Leading New York Real Estate Service Firm, Landlord and Developer, signs RDM

NEW YORK, April 2007

RDM, a New York-based leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios, today announced that Joseph P. Day Realty Corporation, a nearly 100 year-old New York real estate service firm, landlord and real estate developer that supports corporate and institutional clients, has hired RDM. RDM will assist Joseph P. Day in assessing its real estate space through software, building re-measurement and analytic calculations of portfolios. In addition, RDM will provide Emergency Action Plan (EAP) floor plans to Joseph P. Day. “Joseph P. Day’s long and successful history of operating in New York is a testament to its vision of being a leading real estate service company and we’re happy to be working side-by-side with the firm,” stated Peter Boritz, president of RDM. “As the company continues to grow its presence in the thick of the competitive real estate market, we will look to complement its offerings with our leading-edge services to benefit its clients.”

About Joseph P. Day

Joseph P. Day is habitually sought out by sophisticated corporate and institutional clients for its expertise, marketing and financial acumen in the real estate world. For nearly a hundred years, the firm has been a recognized force in the real estate community. In commercial leasing, property management, real estate analysis and investment sales, Joseph P. Day has forged a set of credentials and a reputation for stability that are universally acknowledged.

About RDM

RDM is a New York-based leading provider of real estate technology and consulting services for commercial, residential and corporate real estate portfolios. For over 25 years, Real Data Management has completed projects in over 1,500 buildings exceeding 500 million square feet nationwide. Its products and services enable clients to achieve a high level of operational performance.

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