"Compiling the data from property management software and putting it into a spreadsheet was a three-day process. Rentlytics fully automates the information for us in an instant.”
Eddie Reiner - Director of Asset Management, Pensam Residential
Pensam Residential no longer relies on spreadsheets to analyze portfolio performance.
An alternative investment and asset management firm, Pensam focuses on commercial and residential real estate ventures throughout the United States. Eddie Reiner, Director of Asset Management at Pensam Residential, explained that his team focuses specifically on active asset management to generate risk-adjusted returns for investors. This requires analyzing a large amount of accurate and quickly accessible data — no small task in the world of real estate.
“We realized as an asset owner that the multifamily industry is behind the times in terms of data, information, and analytics,” Reiner explained. “We were eager to find an improved solution.”
Pensam Residential has access to a huge amount of data, but struggled to manage all of it efficiently using spreadsheets alone. It was time-consuming as well as expensive for analysts to manually pull data and analyze it across the portfolio, Reiner noted.
“We have so much data, but how do you use it?” he said. “While managing a large portfolio of multifamily assets, we developed sophisticated spreadsheets to analyze our portfolio.”
However, even these spreadsheets quickly became difficult and expensive to maintain. Leadership decided to look for a software solution that could help solve their data struggles and chose Rentlytics.
“The founder of Rentlytics comes from a real estate background; he’s experienced the frustrations that we’ve experienced,” Reiner noted. “Rentlytics was able to understand our needs and our desire to customize and slice and dice data to get actionable results. Now we have new metrics, new KPIs, and new insights that we utilize daily.”
From Manual to Automatic
Pensam immediately saw measurable time savings and ROI in using Rentlytics. They were able to stop the slow and manual process of data input and analysis, Reiner noted.
“Without Rentlytics we’d still be living in a spreadsheet-driven world,” he said. “Before, I had to tell my data analyst I want to look at effective rents in South Texas. Compiling the data from the management software and putting it into a spreadsheet was always a two to three-day process. Now, Rentlytics is able to fully automate the information for us in an instant.”
Instead of wondering what’s happening within a certain market, Reiner is now just a few clicks away from an incredibly detailed report that shows him exactly what’s happening down to the individual unit and floor plan.
“Rentlytics leveled the playing field for us — the asset manager — and our operating partner on site,” he noted. “Rentlytics is able to provide a one-stop shop for me and my asset management team. We can now instantly understand and evaluate everything from turn costs, pricing, concessions, and everything else in between.”
In addition to simplifying the analysis process, Rentlytics also allows the entire team to have constant access to in-depth portfolio information no matter where they are.
“As asset managers, we’re always on the road,” Reiner explained. “Going to Texas or Chicago and meeting with different managers around the country can be a challenge so it is crucial to speak the same language as your managers – and that language is data. The numbers don’t lie.”
Rentlytics is now the central location for all of Pensam Residential’s portfolio data, which helps drive transparent communication across the portfolio, according to Reiner.
“Rentlytics made data accessible to us and to our management teams at the same time,” he said. “It makes site visits much easier, smoother, and efficient. When I come in, I have looked at the effective rents, the operating income, and all the variances that are going on in Rentlytics, and the manager has as well. Everyone is looking at the same data and we’re able to communicate in an effective manner.”
Reiner predicted that in the next few years, everyone in multifamily will begin to understand the true value of data-driven multifamily real estate.
“Rentlytics is not only bringing data analytics to the forefront of the multifamily industry; it’s leveling the playing field for management teams across the country,” Reiner said. “Big data and analytics is clearly going to penetrate the industry on a global basis in two to three years. If you’re using Rentlytics now, you’re already one step ahead of the game.”