Navigating Managed Services in Commercial Real Estate: A Comprehensive Guide from RealFoundations CEO Dan Sterk

The real estate market in the United States is currently facing challenges due to high prices and tight inventory, cutting into the booming industry. The commercial real estate (CRE) industry, like every industry, is also grappling with the consequences of digital transformation. Dan Sterk, CEO of Managed Services at RealFoundations (RF), explains how outsourcing a managed services team can be a cost-effective, flexible, and scalable way to meet the ever-changing demands of the entire real estate ecosystem.

Sterk highlights some of the prominent examples of managed services within commercial real estate that improve operational performance, increase data transparency, and contribute to organizational stability. Managed services benefit everyone in the real estate ecosystem, from portfolio managers to owners/operators, investors, and tenants, by streamlining critical processes and providing ongoing improvement across portfolios.

RealFoundations offers managed services that help solve unique challenges in the commercial real estate industry, such as elasticity, willingness, and cost. By providing a dedicated team of industry experts and resources at hand, companies can avoid overworking limited internal teams and reduce errors, turnover, and recruitment efforts.

Technology advancements have also transformed the way RealFoundations interacts with customers, allowing for seamless remote work and holistic tech stacks that integrate all systems. Tech advancements such as RPA, AI, and chatbots have also changed the way owners and operators manage portfolios, enabling quick-response capabilities and enhanced tenant experiences.

Data management plays a crucial role in today’s business environment, especially with the rise of AI, making it essential for commercial real estate companies to prioritize data quality and protection. When considering investing in AI, business leaders should focus on understanding the types of data collected and stored, data security, and granular control over the data.

Digital transformation has played a significant role in the evolution of the real estate industry, transforming not only the leasing application process but also the configuration and infrastructure of buildings themselves. With accelerated digital transformation and technology advancements, the real estate sector can better retain customers, boost ROI, and reduce operating expenses.

Companies considering outsourcing to a managed services provider should ask specific questions to identify the best firm to partner with, such as readiness to leverage sourcing, knowledge about the asset class in the real estate industry, expertise in the functional area, performance record, and use of leading practices and technology solutions. By asking the right questions, companies can make informed decisions and select a provider that best fits their needs.