Realogic Analytics, Inc.
REALOGIC ANALYTICS, INC.
Consulting and Technology Services Throughout the Life Cycle of an Asset
www.Realogicinc.com
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October, 2006
Tools & Articles
Resource Downloads

In This Issue:

Realogic Introduces Additional Services
Capital Markets Services

Realogic possesses a diverse real estate investment and analysis skill set, making us uniquely qualified to provide the breadth of experience and expertise necessary to assist lenders throughout the entire loan process, from initial sizing through closing.

Our multi-level onsite team, working with support from our corporate office if needed, provides a variety of services to help identify transactional strengths and weaknesses, some of which include:

  • Loan Sizing
  • Underwriting Support
  • Site Inspections
  • Loan And Property Due Diligence

As always, our services are guided by rigid quality control and review processes to ensure consistent, timely and accurate deliverables.

Our clients rely on Realogic to leverage their internal resources, increasing overall efficiency and managing production volume to meet tight deadlines. We welcome the opportunity to put our experience and expertise to work for you, increasing your efficiencies and maximizing the value of your portfolio.

For additional information or to discuss a project, please contact Jim Pettinger at 312-782-7325 or jpettinger@realogicinc.com.

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Case Studies

Due Diligence Support

Situation
Two large US investment bank's lending units required due diligence support on a transaction involving 140+ limited service hotel properties.

Solution
Realogic mobilized its due diligence team and provided the following services:

  • Underwriting: Realogic underwrote each asset while addressing the issues of stabilized vs. unstabilized assets, securitization and rating agency requirements.
  • Site visits throughout the country: Each asset was visited to assess the relative strength of the asset compared to its competitor set.
  • 3rd party report review. Realogic reviewed and abstracted the engineering, environmental and appraisal reports for consistency, errors and reasonableness.
  • Written summaries of the findings were prepared to provide the client with an instant view of each assets performance, strengths and weaknesses.

Realogic's ability to harness its industry expertise and technological capabilities produced a consistent, accurate and well documented package that allowed the banks to focus energy on their customer.

Model 9,000 tenant portfolio in Argus™

Situation
A client called with an immediate need to model a 9,000 tenant portfolio in Argus™. The client was in competition with several industry counterparts to acquire the portfolio and timing was of the essence. Fortunately, source documents were available; unfortunately the documents were in Adobe PDF format.

Solution
Realogic gathered its analytical team and devised a process that:

  • Converted all pdf files into MS Excel files
  • The Excel files were migrated into MS Access.
  • Using OpenArgus™, all Access files were imported into Argus™ v12.
  • All Argus™ files were reviewed and forwarded to the client.

The client was at an advantage during the bidding process due to Realogic's ability to provide current financial information via Argus™ models.

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Best Practices Case Study
Integration of lease data into accounting program

Situation
Several of Realogic's abstracting and Ellipsis® clients were struggling with integrating their lease information, acquired during the due diligence process, with their accounting programs. The clients believed manual entry of the data from Ellipsis® to their accounting system was the only option.

Solution
Realogic has developed links to several accounting systems that seamlessly upload data abstracted in Ellipsis®. Thousands of leases have now been transferred from the due diligence process to accounting in a matter of HOURS instead of WEEKS, and clients are able to bill tenants immediately. The data is gathered one time and then spread throughout the organization, significantly reducing the number of hours required to do this in the past.

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Resources from Realogic

Argus™ tip
If you include recoveries in the market LC calculation, Argus™ will NOT include recoveries in the LC calculation when the tenant rolls, if the initial base lease in the rent roll pays no recoveries.

Ellipsis® Date Calculator tool
The purpose of this tool is to determine the date that is a specified number of calendar or business days prior or subsequent to a specified date.

When abstracting leases, the date calculator is useful in determining the notification date for an option when the lease documentation provides an effective date and the number of days prior to the effective date that notification must be provided.

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Argus™ Training

Upcoming Training Opportunities
Scheduled Chicago Classes:

Beginner
11/2
12/7
1/4/07
2/1
Advanced
11/3
12/8
1/5/07
2/2

Dyna™ and Ellipsis® Training
Available upon request.

In addition to our monthly training classes, we also offer private classes to companies that have multiple people interested in training. Our private classes can be held in our Chicago offices or onsite, whichever is most convenient.

Additional training information:

  • Follow our standard Beginner and/or Advanced training agendas
  • Customize an agenda to cover the basics and focus on certain areas within the program based on client wishes.
  • Flexible training date options

For more information, please contact John Johanson, jjohanson@realogicinc.com or call 312-782-7325

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Welcoming New Personnel

Chris Roberts
Chris recently joined Realogic as a Senior Lease Analyst. His duties include the abstracting and management of due diligence and lease administration projects. Chris graduated from Northwestern University School of Law in 2004.

Denise Kasper
Denise joined Realogic Analytics as a Manager. Denise is responsible for lease abstracting services and management of due diligence projects including specialized projects. Prior to joining RLA, Denise spent 3 years as Controller for Spectrum Real Estate Services managing all financial aspects of each of their properties as well as subsidiaries of Spectrum Real Estate Corporation and Merger Industries. Prior to Spectrum, Denise spent 8 years with Equity Office Properties, 6 of which in Property Management and Lease Administration and the last 2 on the accounting conversion design, implementation and training team.

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This newsletter is prepared and distributed courtesy of Realogic Analytics, Inc.. For additional information on any topic covered or to learn more about Realogic, contact Realogic at 312.782.7325 or via email at jjohanson@realogicinc.com If you would like to be on our mailing list for this newsletter, please visit http://www.realogicinc.com/archive.asp . To unsubscribe, please reply to this email with "Unsubscribe" in the subject line.