San Diego-based Measurabl has quietly built one of the most widely used commercial real estate data platforms. They now have over 30,000 commercial buildings using their software on nearly 7 billion square feet of space across 70 countries. Within the U.S. alone, Measurabl covers approximately 7% of commercial floorspace. Their service revolves around their ability to help property owners and managers understand their environmental, social and governance performance (this is referred to as ESG for those who are into the whole brevity thing). They do this by providing tools that help collect, analyze and report non-financial data like energy and water consumption, waste and carbon dioxide output and expenses such as travel and capital expenditures.
When they reached out to me about this new funding round I was able to talk to Heather Otto, SVP of Marketing about what their expansion plans are. She told me that they were focused on having ESG become a rating methodology in capital markets. When I asked her if she thought that the property industry would start using sustainability metrics in their decision-making process she told me, “The reality is they already are. We already see ESG factored into green loans from leaders like Fannie Mae and ING. Boston Properties offering green bonds. We believe ESG will somehow be factored into every real estate transaction.”
Heather told me that the money would help Measurabl increase their R&D and expand their partnership program. As for new products she said, “We will continue to enhance our core SaaS platform’s feature set by adding new capabilities around tenant spaces, in other words, individual areas within a building, and data acquisition via third-party integrations. We will also expand our flexible reporting options.” They are also actively expanding internationally they already have a foothold in Europe and the Middle East and are about to open up to the Asian market.
Since a building’s value is tied not only to what its rent roll is but also to the efficiency of its operations, it makes sense that these types of accreditations would start to become more important. Also, as office tenants start to be more mindful of the environmental impact of the buildings that they occupy we might see more important put on understanding sustainability for many leasing decisions. Either way, it stands to reason that the way we understand buildings in the near future will include a lot more information about their overall consumption and waste.