Your time and your real estate assets are very valuable not to use them correctly, don't you think?
To maximize both resources, there are currently technological tools that allow evaluating the "efficiency ratio" on investments, assessing in detail the financial impact of current income or even increasing productivity through the efficient use of space.
Certainly, the revolution of the Digital Age brought with it profound changes and transformations. Today, "big data" provides an exceptional reference point for companies to access a wealth of information that they did not previously have.
These tools, used to develop real estate market intelligence, allow different types of analysis to be carried out to understand and objectively find relevant trends in the environment.
It is essential that entrepreneurs are able to make informed decisions to maintain the balance between risk and the actions to be taken, otherwise they will not have any advantage over the real estate speculator.
How to financially maximize the real estate asset?
To achieve this, you have to make informed decisions and define a real estate strategy aligned with the business objectives.
First step: Carry out a Real Estate Efficiency Analysis (SAEI) by an Expert Consultant to have a clear knowledge of the current situation and determine the 'Customer Discovery' on which the entire strategy will be integrated.
Second step: Define the real estate strategy that can include high-impact decisions such as change of locations, sale of properties that negatively impact the P&L, reuse of spaces, purchase of real estate to reduce rental expenses, transformation of offices to open spaces or reduction of m2 due to policies for "home office," among multiple options.
What is the Real Estate Efficiency Analysis (SAEI)?
The Real Estate Efficiency Analysis Service (SAEI) contemplates 6 integral steps and is one of the most effective methodologies to know and align the specific needs of the client towards the achievement of their financial objectives.
In addition, maximizing resources is also a matter of efficiencies. With this in mind, the obligatory question is: Can the distribution of the physical space of the company have a direct impact on the profitability and productivity of its employees?
Efficiency of spaces
Investigating more on the issue of efficiency in spaces I found that certainly, by intelligently designing the distribution of the facilities, greater efficiency and lower costs are achieved. Studies clearly indicate that the workspace affects not only the image of a business, but also the performance and motivation of its employees. It is surprising to see how organizations pay little or no attention to designing spaces that are highly efficient and that are aligned to sustain the organizational culture of the company.
Each square meter is of high impact for the pocket and for the profitability of the company, and even more so if it is Class A buildings or exclusive areas within the city.
Certainly commercial real estate activity is cyclical and there are opportunities for financial efficiency on both sides of the cycle. To find them, data is key to making realistic real estate projections and valuations that contribute to the fulfillment of the business strategy: injecting capital, containing expenses, increasing productivity or finding efficiencies.
Allan Guevara III
Real Estate Consultant, Master Brokers