Life In The Fast Lane: Enodo Score Is Thriving Post Accelerator Life
After one conversation with angel investors Susan Tjarksen and Lee Kiser, Enodo Score chief technology officer Marc Rutzen had convinced them his concept would change the commercial real estate world. The startup is a patent-pending predictive analytics platform that objectively quantifies the investment potential of multifamily investment properties. Susan now serves as the company's CEO and Lee is the chief strategy officer.
With funding in hand, Marc set out to drastically shift the way the multifamily market operates. After graduating from the Elmspring Accelerator incubation program, the analytics platform is extremely close to making that lofty goal a reality.
"No one understood how crucial Microsoft Office Excel would be to running a business until people started using it. Then they couldn't conceive running their operation without it. Enodo Score will soon be the same way," Susan tells Bisnow. "It will be a new, foreign concept to the industry at first, but once professionals start using it they will wonder how they ever did their job without it."
A property's Enodo Score is determined by deep-mining data in more than 3,500 categories/variables affecting a property's value. A proprietary algorithm is then used to convert the results to a score for the property.
"Enodo Score takes all the traditional investment parameters—such as cap rate, ROI, price per square foot, etc.—and gives it a context," Lee tells Bisnow. "We believe in the very near future, 'What is your Enodo Score?' will be a much more commonly asked and relevant question than 'What's your cap rate?'"
If Lee and Susan are correct about the company's bright future, it stands to reason that the time spent in Elmspring's program provided useful tools.
"The program was really helpful in building the relationships with people on the technology side," Marc says. "I had the real estate connection already. The connections to people who have capital and have the people who have technology was very valuable."
Marc also says the accelerator allowed the company to learn the intricacies of startup funding rounds.
"Financing real estate is very different from financing startups and it's very useful in that way," he says.
As Enodo Score ends its tenure at the Elmspring Accelerator and begins its private beta, the CRE startup now boasts an impressive Board of Advisors.
“I’ve spent 20 years operating and investing in tech startups in everything from e-commerce to enterprise software, and most recently the burgeoning CRE tech space, which is on fire. Enodo Score has a tremendous opportunity to capitalize on this multitrillion-dollar industry by enabling CRE professionals to make more profitable decisions through big data and machine learning,” says Christopher Deutsch.
His colleague, Dr. Patrik Fiegl, who is also on the board of advisors, agrees. “How often do information searches on the internet flood us with data points which we are still left to turn into real insight," he asks. "Enodo Score strives to convert the flurry of real estate, economic and local data into actionable insight for brokers, investors and developers."
"I was thrilled to join the Enodo Score team," says data scientist Massimo DiPierro. "The Enodo Score founders have more than a good idea. They have demonstrated deep knowledge of the market, have assembled a team of experts, and are not cutting corners in the execution of their idea."
"We have metrics to rate everything in life," board member Thad Wong tells Bisnow. "Having a universal metric to track will eventually take a significant amount of the guesswork out of real estate investing."
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