Real estate controlling

What is real estate controlling?

Real estate controlling refers to the structured tracking, analysis, and management of one or more properties based on individual attributes, key performance indicators, and relevant dimensions. It encompasses both the detailed examination of individual properties—for example, in terms of CAPEX (capital expenditures) and OPEX (operating expenses)—and the comprehensive evaluation of entire real estate portfolios. The goal of real estate controlling is to create comprehensive transparency regarding costs, risks, progress, and profitability, as well as to make the entire real estate lifecycle manageable.

The Importance of Real Estate Controlling in the Real Estate and Construction Industries

Real estate controlling is an indispensable component of professional project development, property management, and real estate management. It enables:

• Comprehensive transparency: All relevant project and cost data is systematically recorded, analyzed, and evaluated.
• Informed decisions: Clear metrics and management tools enable precise control over investments and initiatives.
• Risk Mitigation: Early detection of cost overruns, delays, and financial risks through systematic risk management.
• Economic Optimization: End-to-end management of CAPEX and OPEX processes enhances the efficiency, quality, and profitability of real estate investments.
• Portfolio Overview: Whether it’s a single property or an entire portfolio, all real estate holdings can be analyzed and optimized in a comparable manner.

Areas of Responsibility in Real Estate Controlling

Real estate management covers the entire lifecycle of a real estate project—from planning through the construction phase to commissioning and operation. This includes, among other things:

• Cost planning: Compilation and structured management of all project costs, taking cost accounting models into account.
• Budget Management: Monitoring budgets and the use of funds as the foundation for successful financing.
• Order Management: Overseeing outsourced services and contracts to ensure quality and on-time delivery.
• Change management: Reviewing and approving additional services to prevent incorrect decisions.
• Risk Management: Identifying, assessing, and monitoring project-related risks as part of the decision-making process.
• Procurement Processes: Structured tendering and awarding of contracts in compliance with the requirements of the real estate industry.
• Billing processes: Review and approval of invoices for transparent cost tracking.
• Scheduling: Monitoring milestones and project progress for efficient project management.
• Cash flow planning: Analysis and forecasting of cash inflows and outflows to ensure liquidity.
• Reporting: Providing transparent reports to stakeholders, including tenants, investors, and management.
• Forecasts for n-projects: Proactive management across multiple projects to drive sustainable value creation.

Related terms

• Project controlling
• Cost management
• Portfolio Analysis
• Property Management
• Risk Analysis

Real Estate Controlling in PROBIS

With the PROBIS control module, PROBIS offers a comprehensive, digital controlling system platform for real estate management. The module covers all core areas:

• Budget Management: Precise control and flexible adjustment of budgets to ensure optimal resource utilization.
• Order & Amendment Management: Complete transparency regarding contracted services and additional costs.
• Risk Management: Systematic identification and assessment of project-related risks as the basis for informed decisions.
• Procurement processes: Digital support for tendering, evaluation, and awarding contracts.
• Billing & Cost Tracking: Comprehensive tracking of all invoices, payments, and approvals for seamless cost control.
• Schedule & Progress Planning: A reliable overview of project status and milestones for efficient management.
• Cash Flow & Forecasts: Real-time analyses for individual properties and n-projects to support strategic management.
• Reporting: Clear, transparent reports for banks, investors, tenants, and internal stakeholders.

With these features, PROBIS enables efficient, transparent, and forward-looking real estate management—across all project phases and throughout the entire real estate lifecycle.

Conclusion: What is real estate controlling?

Real estate controlling involves the structured management and monitoring of costs, schedules, risks, and key performance indicators throughout the entire lifecycle of a property or portfolio. With PROBIS, companies gain a powerful tool for analyzing CAPEX and OPEX data, managing budgets, identifying risks, and successfully bringing real estate projects online. This lays the foundation for sustainable success and optimized real estate investments.