Real estate asset managers, owners and developers are transforming the way they manage their back offices, increasingly outsourcing their accounting and administration functions to third-party specialists.

To explore why, we turned to 16 top experts in real estate administration, for their insights on using third parties for property, fund and project accounting and administration.

Key takeaways

  • Outsourcing enables organizations to focus on their core competencies—delivering value for property owners, investors and occupiers.
  • Real estate investment managers need technology and resources to deliver more granular and detailed information about their real estate portfolios than most in-house back offices can typically provide.
  • In addition to helping reduce costs, outsourcing enables owners to improve data access and analysis, tap new accounting talent and know-how and enhance risk management.
  • Outsourcing often coincides with forming a new fund or business, expanding into new geographies or seeking an alternative to investing in new data platforms.
  • For ongoing operations and businesses, a lift-out—the transferring of a whole group from an owner to a third party—is attractive because it preserves teams, workflows and institutional memory.