Have questions about property management software and how it drives value in commercial real estate? Let’s break down the primary ways this tech can make life easier for you and your property teams, boost tenant satisfaction, drive revenue – and make your buildings run smoother.
What is property management software for commercial real estate?
The best property management software is made up of purpose-built tools designed to help you stay on top of building operations and maintenance, juggle leases, keep your finances in check, and boost net operating income (NOI). Some products include dedicated solutions to power sustainability, tenant experience, vendor management and more.
Unlike generic spreadsheets or CRM systems, this software is tailor-made for the unique challenges of property management.
Who are the users and buyers of property management software?
The main users for property management software include:
- Commercial property owners, asset managers and landlords managing their own portfolios across office, retail, and industrial buildings (to name a few)
- Third-party property management providers (like JLL) working on behalf of property owners
- Commercial occupiers keeping tabs on their rent, maintenance, and finances (though the technology chosen by occupiers may be different in some cases)
When should CRE companies increase their investments in property management software?
You might be wondering, “Do I really need this?” At this point in the game, the answer is most certainly “Yes”. In fact, our recent Property Management Trends Report found that 97% of CRE professionals planned to keep or increase their software investments in 2024. Here are some signs it’s time to make the leap:
Your portfolio is growing, and spreadsheets just aren’t cutting it anymore
Your teams are drowning in paperwork and manual tasks
You lack actionable insight into the performance of your buildings
Your accounting and property management processes are siloed and disconnected
What are some key benefits of property management software?
Switching to a modern property management software can be a game-changer for commercial property teams. Here’s why:
- Scalability: It grows with your business
- Efficiency: Streamlines processes and automates manual tasks
- Compliance: Provides an audit trail for regulations
- Communication: Acts as a central hub for client, tenant, and supplier interactions
- Reporting: Offers comprehensive and unique insights into your full portfolio that you don’t normally see
Common features of property management software
Building operations features
- Work order and incident management
- Preventive maintenance and inspections
- Certificate of Insurance (COI) tracking
- HVAC management and equipment inventories
- Energy optimization and sustainability
- Vendor management (including bids, contracts and purchase orders)
- CapEx planning and project management
- Tenant communications
- Amenity and resource reservations
- Secure visitor access
Leasing features
- CRM for managing communications
- Critical date reminders (rent reviews, lease breaks, renewals)
- Document storage (leases, insurance docs, photos)
Accounting features
- Full financial management
- Real-time budget and expenditure views
What does AI software mean for property management?
While artificial intelligence (AI) applications for commercial real estate are still relatively new, development of these tools has opened up a whole world of possibilities. Here are just a few examples of the potential AI holds for property management specifically:
- Predictive maintenance: AI can analyze data from sensors and building systems to predict when equipment is likely to fail, allowing for proactive maintenance and reducing downtime.
- Energy optimization: AI algorithms can optimize HVAC and lighting systems based on occupancy patterns, weather conditions, and energy prices, leading to significant cost savings and improved sustainability.
- Automated reporting: AI can generate comprehensive reports on building performance, occupancy rates, and financial metrics, saving time and improving decision-making.
- Tenant experience: AI-powered chatbots and virtual assistants can provide 24/7 support to tenants, handling inquiries, maintenance requests, and providing building information.
- Lease management: AI can assist in analyzing lease documents, extracting key information, and providing insights for negotiations and renewals.
And that’s really just the tip of the iceberg. In 2024, JLL announced JLL Falcon, the first proprietary, purpose-built AI platform specifically for commercial real estate.
Which property management software is best?
Picking the right software can feel overwhelming, but here’s a quick guide:
- Assess your needs: What features (above) are must-haves for your business?
- Consider scalability: Will it grow with you?
- Check compatibility: Will it work with your existing systems? (Example: if you already have an accounting system like Yardi in place, with your new building operations software integrate to keep your data in sync?)
- Read reviews: What do other users say? (For example, Building Engines has a host of customer reviews on G2.)
- Try before you buy: Request a demo! Most vendors will be happy to schedule a live demo of their platform.
How is property management software priced?
Pricing can vary widely depending on the provider and features. One common model is based on square footage, where customer pay a set rate ($) per square feet managed on the technology, as an annual subscription fee. (These modals often include volume discounts based on the amount of square footage and other factors.)
Other models include tiered pricing, in which different feature sets (ex: Pro, Premier, Platinum) are purchased at different price points.
Remember, the cheapest option isn’t always the best value. Consider the long-term benefits and potential ROI when making your decision.
Other FAQs about property management software
Is property management software difficult to implement?
With proper planning, implementation can be smooth. But it does take planning. Top-tier technology providers offer support, training and dedicated implementation teams to help you get started.
Can property management software integrate with other business tools?
Many solutions offer integrations with accounting software, CRM systems, and other business tools. Building Engines’ Prism platform, for example, is built on an API-first infrastructure, making it easy to integrate with popular systems for account (like Yardi), tenant experience, risk management and more.
Is my data secure with property management software?
Reputable providers use robust security measures to protect your data. Look for software that offers encryption, regular backups, and compliance with data protection regulations.
What is Building Engines?
Building Engines, a JLL company, is a leading provider of property management technology for commercial real estate. Building Engines customers increase building efficiency, deliver exceptional tenant experiences, and reduce operating costs with Prism – CRE’s most innovative software platform for building operations and performance.
There you have it. The right property management software can be a real lifesaver for commercial real estate professionals. It streamlines your operations, keeps you organized, and helps you provide top-notch service to your tenants. Ready to take your property management game to the next level? Start exploring your options today!
Want a closer look at Building Engines’ Prism platform for CRE property management?
Request a demo or take a self-guided product tour today.
