Earlier this year, RealPage, a provider of software and data analytics to the real estate industry, announced plans to expand its apartment data offerings with the $75 million acquisition of Axiometrics, a provider of apartment market data.
RealPage also announced that it entered into a “long-term” deal with Real Capital Analytics, a provider of multifamily sales transaction data and analytics.
The company said at the time that it expects the deals to create the “most-referenced apartment data analytics solution” in the country.
Well, it turns out that RealPage isn’t done expanding yet.
The company announced Monday that it reached an agreement to acquire Lease Rent Options and related assets from The Rainmaker Group for $300 million in cash.
Lease Rent Options is a revenue management solution that empowers optimized pricing for over 1.5 million apartments, the company said in a release.
According to RealPage, by adding Lease Rent Options to its recent data-related deals, the company is “better positioned to penetrate an emerging global market opportunity to optimize operational and transactional yields for rental housing assets.”
RealPage adds that the deal expands its real-time lease transaction data, which it expects to improve optimization of new and renewal prices for rental housing leases.
“With many apartment markets softening around the U.S., now is the right time to bring together the best data-science talent, a comprehensive lease-transaction database, and RealPage’s powerful suite of pricing, demand and credit optimization tools into one comprehensive platform,” Steve Winn, the chairman and CEO of RealPage, said.
“Price optimization creates real opportunity to increase asset values and yields from the nearly $3 trillion of apartment stock in the U.S. that turns over at approximately $150 billion per year,” Winn continued.
“As revenue management becomes more broadly accepted, we expect our combined platform to drive accelerated, sustained revenue growth in our asset optimization product family over the long-term,” Winn concluded. “We believe we have all of the components necessary to offer solutions that bring efficiency and precision to the apartment real estate sector which has historically lacked the solutions available in other investment classes.”
According to a release, Rainmaker Group’s founder and CEO, Bruce Barfield and the company’s chief operating officer and founder, Tammy Farley, are expected to remain with the company to run its gaming and hospitality division, but agreed to “work closely” with RealPage during a transition period immediately after the acquisition is closed.
The companies expect the deal to close during the second quarter of 2017.