- Incomplete data sets from takeover bidding process.
- Extremely slow and tedious turnaround times during and after inspection process.
HappyCo Solutions Utilized
- “Manage” platform for cloud storage and integration package.
- Due Diligence Edition of “Inspector” mobile app for iOS
- Expedited professional services for complete setup, training and deployment.
- Data Analyst support to verify data and export cost reports.
- 76.6% savings in time spent inspecting, reporting and analyzing data
- $150M in assets transacted
- $4M savings across bids
Dominium leverages HappyCo’s inspection software to perform bullet proof Due Diligence on property purchases
Dominium is one of the largest and most awarded property management companies in the US. It provides professional landlord services to 21,460 units around the nation. As one of the largest owner and managers in the nation they are always looking for opportunities to purchase new properties. TJ McElroy is part of the Development & Acquisitions team at Dominium.
Problem – Time kills deals
Due Diligence inspections are time consuming and tedious. The biggest pain with due diligence inspections is making sure that you don’t miss a thing. If there are assets in the building that should be replaced failed to get reported during the due diligence process this throws the entire bid off. If the bid is off that means that Dominium is paying much more (in some cases, millions) than they should be.
The second problem with due diligence inspections is they take around 10 man hours to perform and around 20 hours to write reports and analyze the results. This manual nature of the current process has caused time-consuming setbacks and lots of money lost on bids and renovations. TJ knew he had to look for a solution to expedite the process of inspecting and reviewing potential properties.
“It used to take us around 30 hours of manpower to inspect, report and analyze potential properties” explained TJ McElroy. “Our ability to to handle large properties was very limited by the fact that we hadn’t upgraded our technology in this area of the business.”
Finding the right solution
Dominium looked at 3 other software providers before deciding to use HappyCo. The decision to use HappyCo was a combination of a few different factors; ease of use, flexibility of software and speed of rollout. TJ also mentions that “the responsiveness of the HappyCo team has been pretty impressive. Unlike traditional enterprise software purchases, we were able to get set up on a pilot site within a few days. The successful pilot gave us the confidence to roll it out to other sites.”
Solution – Accurate bids with 76.6% more efficiency
Dominium was particularly interested in how quickly they could perform due diligence inspections and reports, and how much time it could save the company. “Before HappyCo it was taking us 10 hours to inspect the average building and another 20 hours to write up and analyze the reports. Now we spend a little less than 5 hours inspecting the properties and 2 hours going over reports” said TJ.
Overall, Dominium has seen a 76.6% (23 man hours) savings in time spent inspecting, reporting and analyzing. TJ stated that because they are able to make more accurate bids that they have saved a lot of money by not over bidding and knowing exactly the costs needed to renovate or repair. Dominium is looking to expand the use of HappyCo’s software suite across their portfolio for operations and believe they will see huge savings when they do.