JLL Continues Proptech Expansion, Launches In-House Valuation Tools
JLL said its new Valorem proptech platform "provides a single tool for clients to organize and manage their portfolio, property and valuation data." Within Valorem, JLL has launched an Automated Valuation Model for real-time multifamily rental market valuation data.
The algorithm-based program uses statistical models, valuations and proprietary data to estimate market values for multifamily properties.
“Our AVM automates the risk and valuation process,” JLL Valuation Advisory Chief Product Officer Tyrone Hodge said. “Whether you need to instantly assess portfolio risk or a portfolio solution to monitor values, our products support always-on insights for smarter lending or investment decisions.”
Though both tools offer instant valuation insights, neither eliminates the need for a human touch on valuations, JLL Valuation Advisory, Americas CEO Tony Lenamon said. The new technology is “only one significant part of the larger picture of a property’s value,” and can also act as a tool for appraisers, Lenamon said.
Valorem is JLL's latest entry into the proptech market. The firm last year made several investments in the sector, including its purchase of data analytics platform Skyline AI in August, and its $300M acquisition of Building Engines, a cloud-based building operations platform. In December, JLL announced it invested in and partnered with HqO as a way to offer new services to clients as they bring workers back to the office.
The company has continued to pursue technology solutions across multiple sectors this year. In January, it acquired a Sacramento-based startup called Hank that uses AI to streamline building operations systems.
Last year was a solid one for the entire proptech sector: The industry received a record amount of venture capital investment in 2021.