Internet update

Citation

Almond, N. (2006), "Internet update", Property Management, Vol. 24 No. 2. https://doi.org/10.1108/pm.2006.11324bag.001

Internet update

The use of the internet for the sale of residential property has been well documented. It provides benefits for estate agency practices in being able to market property instantaneously and to a much wider audience, and can help track who is viewing details. For the public it eases the viewing process,. With details instantly loaded onto the web, individuals can take a virtual tour of their local high street to view properties on the market. My recent personal experiences testify this. Working in London means I have little time to browse agent’s windows in an area in which I do not live. Thus, the power of the internet enables me to view property in the comfort of my own home or office.

It is not just residential property that benefits from the internet. Commercial property does too. There are now numerous web sites for properties to let, especially the new high profile development schemes. The investment market too, is also benefiting. At Jones Lang LaSalle, there has been significant investment in the development of a web tool, Capital Markets Exchange (CMX for short), for the sale of investment properties. For the purpose of this editorial, I want to focus on CMX and highlight its capabilities. There are, of course, other systems providing a similar service, although in the past year these (UKPiP and PrimePitch) appear to have merged into one, the property exchange (www.propex.co.uk). At the time of writing, I also came across a site in the USA proposing the first online auction of property. If, by the time you read this, it is still running, then visit www.lfc.com/625R1 (please note most documents require registration to view).

By way of background CMX (www.cmx.joneslanglasalle.com) was launched in October 2001 as Jones Lang LaSalle’s primary online investment transaction platform, and was designed and built largely within the group. The site allows investors secure access (24/7/365) to Jones Lang LaSalle’s UK capital markets sales to view and manage their instructions online and to track the transaction process.

From the homepage you can gain access to some details freely (without the need to register). You have the immediate choice of viewing investment transactions from either our private treaty (investment) sales and from our regular auctions. A recent addition has been a section for our residential team which includes investments, land and development opportunities. Links to new home sales are also provided (for those seeking new buy-to-let opportunities). Finance and insurance services are also available by way of a link from the homepage, with access to the variety of research publications from Jones Lang LaSalle.

Figure 1 shows a sample screen from the investment sales link, and by scrolling, or using the search facility, you can view the investment sales currently available. It should be noted that this may not provide all investment sales; some may be restricted to registered users; in some cases, sales of particular properties may only be marketed to a limited number of individuals reflecting the flexibility of the system.

Figure 1

Sample screen shot from CMX

For more serious investors, you can register on the site. Registration is simple, and also includes the ability to log the types on investment you are after. Investors can then manage this over time, if their requirements change. Registering in this way means you will only receive notification of particular investments, rather than details of all new sales instructions. Registered users can also track details through their own in box. This will include details of instructions they have received, as well as any sales they have instructed Jones Lang LaSalle on.

On receipt of a new e-mail, notifying you of a new instruction, an individual can then log onto the site and view the property. Details provided include the e-brochure which effectively replaced the standard glossy marketing brochure of the property. Delivering details on-line dispenses with full information packs, thus an investor can go on-line and view the necessary details. In this way, the entire transaction process is made more efficient. Marketing and due diligence documents can be uploaded and viewed in real time – from the initial marketing phase through due diligence to the closing stage of the transaction. The documents made available will vary from transaction to transaction, but generally encompasses the following:

• •

  location plans and site maps;

• •

  building details;

• •

  tenancy schedules and covenant information;

• •

  planning;

• •

  service charge information;

• •

  title documents; and

• •

  building inspection reports.

Access can also be given to solicitors, so they too can view and download relevant information and undertake their own searches as required. Restrictions can also be placed on specific pages or documents, limiting access to certain individuals, this is particularly important as sales progress.

The system also helps to interact with clients. Draft documentation can be loaded onto the system for clients to approve. This is particularly useful when dealing with a portfolio of property spread across the UK or even Europe. For example, Gazeley, recently sold a portfolio of nine properties in Germany, France and Belgium in which CMX was used to market the portfolio, including all due diligence information, and to manage the final transaction.

In time, more and more property will be marketed in this way, helping to reduce the cost and time of the sales process. Eventually, the whole sales process, through to the signing of documents and contracts electronically, will mean the whole sales process can be completed on-line without the need to send hard copy documents. Where will we be in ten years time?

Acknowledgements

The views expressed are the authors and not those of Jones Lang LaSalle.

Nigel AlmondAssociate Director, Jones Lang LaSalleE-mail: Nigel.Almond@eu.jlll.com