Oracle Real Estate
Management
Why is Real Estate Management
Important?
“The workplace represents
a large portion of an
enterprise's overhead cost,
second only to labor costs.”
-Gartner, Drive Value Through
Workplace Change, Michael Bell,
16-January-2003
The Real Estate Market
Oracle Real Estate Management
Who do we define as the Real Estate
Market?
Entities that lease, own,or
manage buildings or facilities that
they lease, own, or manage
EVERYBODY has real estate
Real Estate Market by Segments
 Tenants
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–
May sublease acting as
landlord
Segmented by industry
 Building Owners
–
–
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Buy and sell properties
Segmented by industry
May outsource
management of
properties
 Developers
–
–
Construct from ground
up
May manage or
outsource
 Property Management
Companies
–
–
–
Don’t own or lease
anything
Provide real estate
management as a
service
May act on behalf of
Building Owners,
Tenants, or both
 Brokers
–
Facilitate real estate
transactions between
buyers and sellers
Real Estate Market by Industry
Other
Retail/Franchise
Commercial
Real Estate
Healthcare
Comms/
Utilities
• General business
• Manufacturers
• Professional Services
• Retail store
• Quick service/Fast Food
• Banks/Insurance
• Investment Real Estate
• Banks/Insurance
• Developers
• Hospitals
• Healthcare Services
• HMOs
• Wireless Carriers
• Wireline Carriers
• Power/Water/Gas
Government
• Army Housing
• Property Administration
• Military Stores
Higher Education
• Campus Management
• Dormitories
• Investment Real Estate
C
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P
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T
E
R
E
A
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E
S
T
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T
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Market Trends
 Entities that manage real estate are finally
starting to embrace technology
 Consolidation of software providers is causing
concern
 Many of the incumbent solutions built on old
technology and don’t have the capital to stay
current
 Current economics forcing them to manage their
real estate holdings and commitments better
Markets for Oracle Property Manager
 Corporate Real Estate
–
–
Large, multi-national
Telecommunications
 Commercial Real Estate
–
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REIT’s
Developer/Owners
 Retail Real Estate
–
–
Fast Food/Chain Restaurants
Banks/Insurance Companies
Corporate Real Estate
 Existing EBS Customers
–
–
Most of the setup already done
Fold real estate transactions into existing business
process
 Space Management
–
Understanding current utilization of space to drive
economic utilization of space
 Landlord Functionality
–
Supports subleasing of under utilized space
 Integration with Enterprise Asset Management
–
–
Natural extension of managing space
Integration to Supply Chain
The Oracle Real Estate Management
Solution Footprint
Oracle Real Estate Management
Major Functions of Real Estate
Construction
Management
Sales and
Lease
Marketing/
Administration
Deal
and Space
Management Management
Procurement
Facilities
Management
Oracle Real Estate Management
Construction
Management
Oracle Projects
• Site Selection
• Construction
• Leasehold
Improvement
• Build Out
• Rebilling
• Demolition
Sales and
Marketing/ Deal
Management
Lease
Administration and
Space Management
Oracle Sales/
Oracle Marketing
Oracle Property
Manager/
Oracle Financials
• Contact
Management
• Deal Tracking
• Collaborative
Negotiation
• Collateral
Management
• Lease Execution
• Milestones
• Rent Calculation
• Transaction
Processing
• Space
Administration
Procurement
Facilities
Management
Oracle Enterprise
Asset Management
• Facilities
Requests
• Maintenance
Requests
• Predictive
Maintenance
• Compliance
Oracle Real Estate Management
 Financials
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–
–
–
–
Oracle Financials
– Oracle Discrete Manufacturing
Oracle iReceivables
 Procurement
Oracle Advanced
– Oracle Purchasing
Collections
– Oracle iProcurement
Oracle Financial and Sales
– Oracle Sourcing
Analyzer
– Oracle iSupplier Portal
Oracle Internet Expenses
 Maintenance Management
–
Oracle Enterprise Asset
Management
 Projects
–
–
–
 Manufacturing
 Sales
–
Oracle Sales Online
 Marketing
–
Oracle Marketing
 Service
Oracle Projects
– Oracle iSupport
Oracle Project Billing
– Oracle TeleService
Oracle Project Collaboration
– Oracle Field Service
Solutions by Perspective - Landlord
 Financials
–
–
–
–
–
Oracle Financials
– Oracle Discrete Manufacturing
Oracle iReceivables
 Procurement
Oracle Advanced
– Oracle Purchasing
Collections
– Oracle iProcurement
Oracle Financial and Sales
– Oracle Sourcing
Analyzer
– Oracle iSupplier Portal
Oracle Internet Expenses
 Maintenance Management
–
Oracle Enterprise Asset
Management
 Projects
–
–
–
 Manufacturing
 Sales
–
Oracle Sales Online
 Marketing
–
Oracle Marketing
 Service
Oracle Projects
– Oracle iSupport
Oracle Project Billing
– Oracle TeleService
Oracle Project Collaboration
– Oracle Field Service
Solutions by Perspective – Tenant
 Financials
–
–
–
–
–
Oracle Financials
– Oracle Discrete Manufacturing
Oracle iReceivables
 Procurement
Oracle Advanced
– Oracle Purchasing
Collections
– Oracle iProcurement
Oracle Financial and Sales
– Oracle Sourcing
Analyzer
– Oracle iSupplier Portal
Oracle Internet Expenses
 Maintenance Management
–
Oracle Enterprise Asset
Management
 Projects
–
–
–
 Manufacturing
 Sales
– Oracle Sales Online
 Marketing
– Oracle Marketing
 Service
Oracle Projects
– Oracle iSupport
Oracle Project Billing
– Oracle TeleService
Oracle Project Collaboration
– Oracle Field Service
Streamline Real Estate Management
Site Selection
& Acquisition
Construction
Management
Operations and
Facilities
Management
Site / Asset
Disposal
• Identify site candidates for lease or purchase
• Review and approve acquisition
• Track costs & progress of construction projects
• Schedule resources (labor, materials, equipment)
• Service facilities and assets
• Meet financial obligations (e.g., lease payments)
• Track individual and aggregate site profitability
• Determine whether to keep or close site
Site Selection and Acquisition
Oracle Products
 Site Selection
–
–
Planning next store opening
or office opening or
relocation
Intensive data analysis
 Acquisition
–
–
Opportunity management
from a Landlord
perspective
Project management from a
Tenant perspective
Oracle Sales and
Financial Analyzer
Oracle Discoverer
Oracle Daily Business
Intelligence
Oracle Sales Online
Oracle Marketing
Oracle Projects
Oracle Project Collaboration
Oracle Financials
Oracle Internet Expenses
Deal Management
Expedite Time to Lease with Collaborative Negotiation
Create Collateral
Manage Opportunities
Virtual Collaboration
• Property brochures
• Websites
• Track progress of deal
• Share among team members
• Share documents and drawings
• Version track living documents
Build
Collateral
Market
Track
Opportunities
Collect
Cost
Negotiate
Execute
Market Property
Opportunity Costs
Close the Deal
• Lease spaces or
entire properties
• Leverage contacts
• Site inspection
• Travel costs
• Collect signatures
• Begin abstraction
into Oracle Property
Manager
Build Relationships
• Capture history of all interactions
• Use in positioning on next opportunity or
opportunity with same entity
Construction Management
Oracle Products
 Corporate and
Retail/Franchise
–
–
–
Leasehold improvements
Refurbishments
Store build outs
 Commercial Real Estate
–
Building construction
Oracle Financials
Oracle Projects
Oracle Project Collaboration
Oracle iProcurement
Oracle Purchasing
Oracle Sourcing
Oracle iSupplier Portal
Oracle Discrete (Project)
Manufacturing
Operations and Facilities Management
Oracle Products
 Operations
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–
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Financial management
Lease execution
Space management
 Facilities Management
–
–
Facilities request execution
Preventative maintenance
Oracle Financials
Oracle Property Manager
Oracle iReceivables
Oracle Enterprise Asset
Management
Oracle Projects
Oracle Project Collaboration
Oracle Purchasing
Oracle iProcurement
Oracle iSupplier Portal
Oracle iSupport
Comprehensive Property Management
Improve Lease and Space Administration
Set Terms
Pay & Receive
Take Action
• Capture property info
• Establish contract
• Create transactions
• Automate approvals
• Exercise options
• Ensure compliance
Create
Lease
Assign
Transact
Monitor
Execute
Analyze
Allocate Space
Track Milestones
Summarize
• Assign tenants
• Partition floor space
• Identify key dates
• Send alerts
• Determine utilization
• Calculate profitability
Maintain & Leverage
• Capture performance and changes to terms
• Use for future decisions & negotiations
Facilities Management Solution
 Enterprise Asset Management
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Self-Service Work Request
Extension of eAM
 Customer Relationship Management
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Oracle iSupport
Oracle TeleService
Oracle Field Service
Site/Asset Disposal
Oracle Products
 Corporate
–
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Excess capacity
Consolidation opportunity
 Retail/Franchise
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Under performing stores
Unused store fixtures
 Commercial
–
–
Low profitability
Consistently high vacancy
rates
Oracle Financials
Oracle Property Manager
Oracle Discoverer
Oracle Sales and
Financial Analyzer
Oracle Real Estate Management
 Financials
–
–
–
–
–
Oracle Financials
– Oracle Discrete Manufacturing
Oracle iReceivables
 Procurement
Oracle Advanced
– Oracle Purchasing
Collections
– Oracle iProcurement
Oracle Financial and Sales
– Oracle Sourcing
Analyzer
– Oracle iSupplier Portal
Oracle Internet Expenses
 Maintenance Management
–
Oracle Enterprise Asset
Management
 Projects
–
–
–
 Manufacturing
 Sales
–
Oracle Sales Online
 Marketing
–
Oracle Marketing
 Service
Oracle Projects
– Oracle iSupport
Oracle Project Billing
– Oracle TeleService
Oracle Project Collaboration
– Oracle Field Service
Oracle Real Estate Management
Key Value Propositions
 Optimize construction execution keeping projects on-time
and on-budget
 Reduce administrative costs by automating lease
execution and optimizing space utilization
 Lower maintenance cost with efficient work order and
preventative maintenance execution
 Provide data transparency through a single repository of
real estate activity data
Oracle Property Manager
Functional Update
Oracle Property Manager

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
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


Property Definition
Space Management
Lease Administration
User Definable Billing and Payment Terms
Rent Increases
Variable Rent
Recoveries
Full Integration to Receivables and
Payables
Recoveries
 Oracle’s term for our support of Common
Area Maintenance (CAM) functionality
 Open design to accommodate any
recoverable expense
 Integration to Oracle General Ledger but
also supports other expense sources
 Solidifies our footprint for Commercial
Real Estate Management
Recoveries Value Propositions
 Automates process of CAM billing and
reconciliation
 Minimizes errors throughout the recovery
calculation
 Ensures complete recovery of all CAM
and other expenses through integration
with Oracle General Ledger
Dynamic Location Naming
 User Definable Labels
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–
Building – Floor – Office
Land – Parcel – Section
 Addresses needs across markets
–
–
Retail
 Mall – Level – Unit
Communications
 Site – Tower – Area
Date Effective Space Definition
 Supports markets that offer or manage
flexible space
 Allows for definition of prospective or
future space
 Provides robust data model for
sophisticated spaces planning and
reporting
Oracle Property Manager
Key Value Propositions
 Reduce operating costs by automating lease
execution
 Minimize contractual and financial risk with
Milestone Management
 Identify cost savings/revenue opportunities with
Space Administration capabilities
 Provide data transparency through a single
repository of lease activity data
Oracle Property Manager
Current Initiatives
Real Estate Daily Business Intelligence
Role Oriented
Page
Key Performance
Indicators
Management
Summaries
Links to DrillDown Reports
CAD Capabilities - Autodesk
 Available NOW!
 Effort to “standardize” integration between
Autodesk and E-Business Suite
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–
White Paper on integration
Reusable templates
 Starting with Oracle Property Manager data but
will include Oracle Enterprise Asset
Management data as well
 Public Views created and supported by Oracle
Development
Real-Time CAD Integration
170 Systems Initiative
 170 MarkView Document Management
and Imaging System™
–
The 170 MarkView Document Management
and Imaging System™ enables businesses
to capture and manage 100% of their
information online, regardless of its original
source or format.
170 Systems Initiative
 Proposed Solutions
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Image of lease document available during
lease abstraction
Intelligent linkage between Reference field
and specific place within the lease
document
Electronic audit package distribution as
support for Recovery (CAM) calculations
Automation of lease abstraction process
Oracle Property Manager
Customers
Oracle Property Manager Customers
 Many Customers Live, Implementing, or
Planning Implementations
 Spanning Multiple Countries
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Australia
Canada
Denmark
France
Hong Kong
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Ireland
Japan
Korea
Kuwait
Mexico
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New Zealand
Philippines
Qatar
South Africa
Spain
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Commercial
Real Estate
REIT
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Taiwan
United Arab Emirates
United Kingdom
United States
Venezuela
 Across Many Industries
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Financial
Services
Healthcare
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High Tech
Manufacturing
Public Sector
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Retail/Restaurant
Services
Telecom
Oracle Property Manager CAB
 Members
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Cross Industry representation
Landlord and Tenant representation
 Meetings
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Physical meetings every 6 to 8 months
Virtual meetings in between
 Activities
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Enhancement prioritization and voting process
Regular correspondence with Product Analysts
Beta testing engagements
Co-Development opportunities