Currently, most real estate related metrics focus on portfolio related measurements and have few means to gauge the actual utilization and performance. There are five key real estate metrics: Utilization rates (as measured by both allocation and actual usage); Amount of space required per demand driver; Corporate real estate costs (expenses and capital) and workplace resource costs (which also include measures of other infrastructure costs) as a share of corporate revenue and corporate expenses; Measures of corporate real estate costs and workplace resource costs per amount of space and per demand driver; Corporate real estate overhead and management costs per demand driver.
Read Why do business professionals choose ready-to-use KPIs? to find out the answers to these questions:
Ideally, you need to have a strategy (in a form of a strategy map) before you start thinking about the ways to measure its execution (KPIs). Don't have a strategy map yet? Use free Strategy Map Wizard to create a strategy map for your current business challenges. The wizard will:
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bonus.
Among some of the sectors that bear an intimate relationship with a given nation's economy, Investment in property is one such area. This makes the sector highly prone to changes and fluctuations that keep occurring in it. However, this domain of property investment is a immensely lucrative section that send people put their funds in it.
Consequently, one has to be very cautious while stepping into the world of property investment. Ups and downs in prices can be too fast to be noticed, thereby making it mandatory to 'keep a check on how things have been progressing'.
A complete and manageable portfolio is managed by those who are frequent investors in such fields. Therefore, it gets important that a 'performance measurement and management tool' be brought into place. In this sense, BSC (balanced Scorecard) is often the solution to tracking and following problems that arise in the issue of 'investing in property'.
Entities that are frequent investors in property employ such strategies to hand over their 'performance tracking difficulties' to those.
By regularly keeping checks on the way things have been taking their course, one can ensure that maximum benefits are derived from experience and intellect.
In all, BSC serves the purpose of bringing together the facts and observations on a single platform. This in turn, helps in making fruitful decisions and conclusions based on those when it comes to 'putting money in property'.
This is the actual scorecard with Property Investment Indicators and performance indicators. The performance indicators include: equity value, future property value, irr, price/ sq ft, annual return on investment, pre-tax annual cash flow, monthly return on investment, pre-tax monthly cash flow, price to income, rent ratio, risk metrics.
Download a trial version of Property Investment Evaluation Balanced Scoreboard or purchase a full version online.
How is this book different from 796 other book titles about KPIs on Amazon?
"Before writing a single line, I formulated some guiding principles, one of them was: "If our clients ask, "How can I find a good KPI for..." - I want this book to provide a perfect answer."
