Building  Owners  and  Managers  Association  International

Building Owners and Managers Association International

Benchmarking Income and Expense Data Helps Buildings Perform Better

March 15, 2011

FOR IMMEDIATE RELEASE

(WASHINGTON—March 15, 2011) Benchmarking is one of the most important ways to improve performance in commercial buildings, helping building managers track operational indicators, identify trends and target areas that need improvement. With owners, investors and tenants all scrutinizing the bottom line more closely, tracking building performance is more critical than ever.

The Building Owners and Managers Association (BOMA) International’s Experience Exchange Report® (EER) is the most comprehensive resource for financial performance information on private and public office buildings in the U.S. and Canada. It includes both national analysis of real estate markets and city market–level reports, as well as reports for special use facilities, such as medical office buildings, corporate facilities and financial buildings. Widely used throughout the industry for more than 90 years, the report helps building owners and managers compare performance, market their buildings to prospective tenants, justify their budgets to stakeholders, perform due diligence and more.

BOMA International collects actual income and expense values annually through the EER Online Survey, available at www.bomaeer.com.  Once the survey is complete and closed, BOMA aggregates the data into reports that present the average, median, upper and lower quartiles of key office building income and expense measures, such as office rents, retail rents, utilities, cleaning, repairs/maintenance and other key expenses. Any office building with office occupancy greater than 70 percent can participate in the survey, which is free.  Submitters also receive a number of benefits for participating, including discounts on EER market reports, once the new study is published in June. The more office buildings that submit, the more useful the data is for property professionals, economists and other industry analysts, as wider data sets generally confer more reliable analysis. The 2011 EER Survey is open through March 31.

The income and expense market–level data collected through the EER survey was used to develop BOMA’s recent Economic Impact Study, The Contribution of Office Outlays on the U.S. and State Economies in 2009, which shows the broad impact of commercial real estate on the nation’s economy. This report, based on EER data, presents a comprehensive economic "calling card" for local, state and Federal lawmakers to understand the impact commercial real estate has on our nation’s economy . For example, according to BOMA’s Economic Income Report, more than one million jobs are directly supported by office building operations.

"Whether comparing cleaning costs, performing due diligence or preparing to enter a new market, property professionals rely on data in the EER to help gauge their performance and refine their management strategy," remarked BOMA International Chair Ray H. Mackey, Jr., RPA, CPM, CCIM, partner and chief operating officer, Stream Realty Partners, L.P.  "The quality of the data is directly proportional to the number of people who share their data with BOMA. Because the industry relies on the EER, it’s critically important that we all submit our data."

"We’re asked throughout the year how our budget compares to other buildings in our market and we turn to the data in the EER to answer that question," says Transwestern’s Central Region Senior Vice President Karrie McCampbell. "The information we get from the report is really valuable and we use it all year long. It is the industry standard and people recognize the fact that it’s the tool you should use to compare your property’s performance."

The 2010 EER, with data from 2009, contains data from more than 768 million square feet across 4,200 buildings in 250 markets. A partnership with industry research firm Kingsley Associates brought the report online in 2008, which allows users to query data by market, submarket, building size, building type, age of the building and ownership type. Individual building data is kept in the strictest confidence and only aggregate, market–level data is published

To learn more about the EER, the EER survey and to submit your data, visit www.bomaeer.org.

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About BOMA International
The Building Owners and Managers Association (BOMA) International is an international federation of more than 100 local associations and affiliated organizations. Founded in 1907, its 16,500-plus members own or manage more than nine billion square feet of commercial properties. BOMA International’s mission is to enhance the human, intellectual and physical assets of the commercial real estate industry through advocacy, education, research, standards and information. On the web at www.boma.org.

Contact
Lindsay Tiffany
Manager of Media Relations
(202) 326-6365
ltiffany@boma.org