PUBLIC SECTOR COMMERCIAL REAL ESTATE MARKETPLACE Company Intro PUBLIC SECTOR COMMERCIAL REAL ESTATE MARKETPLACE PORTS CITIES COUNTIES UNIVERSITIES SCHOOL DISTRICTS PUBLIC UTILITY DISTRICTS REALTORS INVESTORS APPRAISERS DEVELOPERS SITE SELECTORS CURRENT TENANTS
“Build a piece of Software Origin: TechStar’s Startup Weekend “Build a piece of Software Connecting Buyers to Sellers, Automatically, Without a Realtor” Brent Grening, the Port of Ridgefield’s CEO, asked us to: WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
-$300,000 TAX-PAYER LOSSES “Ports act as their own Agent” Problem: Realtor Commissions = 6% “Ports act as their own Agent” (…and don’t need Realtors) $5,000,000 Sale Price -$300,000 X 6% Realtor Commission TAX-PAYER LOSSES $300,000 Commission WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
Solution: 83% less than a Realtor Commission $5,000,000 Sale Price X 6% Realtor Commission $300,000 Commission VS $5,000,000 Sale Price $250,000 X 1% PortEngine.Net TAX-PAYER SAVINGS $50,000 Platform Fee WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
Realtors Control: Relationships Communication Documentation Data Problem: Realtors Control Relationships Realtors Control: Relationships Communication Documentation Data (…and…6% Realtor Commissions Suck!...) …Ports are taxpayer-supported organizations… WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
We Automate: Relationships Communication Documentation Data Solution: Automation Relationships We Automate: Relationships Communication Documentation Data … We Automate Collaboration Between Buyers & Sellers … WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
Real Estate Listing Services: Competitive Landscape: Us vs. Them Commercial Real Estate - Only Real Estate Marketplace Economic Dev. Data Aggregator Property Owners are our Clients No Realtor-EDO’s act as Agent Automated Introductions 2 – Sided Marketplace Platform NOT Just a Listing Service Public Sector Customers Capital Improvements Database Direct Connect Buyer & Seller Buyer / Seller User Dossiers GIS Mapping & GeoFencing FoIA Compliant Document Vault Real Estate Listing Services: Residential Real Estate Listing Service Commercial Realtors are their Clients Data Aggregator ProFinder Tool “Zestimates” Mortgages for Sale Realtors on Staff WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
Value Proposition: Automation Solution: Automate your Real Estate Public Sector Customers Automated Introductions FoIA Compliant Document Vault No Realtor-EDO’s act as Agent Value Proposition: Automation GIS Mapping & GeoFencing Economic Development Data Aggregator Buyer / Seller Profile Dossiers Ports, Cities & Counties are our Clients Direct Connect Between Buyer & Seller Commercial Real Estate Assets Capital Improvements Database Real Estate Marketplace 2 – Sided Marketplace Platform Permit Processing Automation WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
SaaS 2-Sided Marketplace PortEngine's Defensible Mote 01 02 03 04 Business Model Innovation : Code Node Integration Public Sector entities rarely use Realtors Public Sector Organizations act as their own Agents. Extremely Fraternal = Internal referrals to other organizations WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
Public Sector Commercial Real Estate Marketplace Ports Economic Development Organizations Developers Public Sector Commercial Real Estate Marketplace Countries Cities Investors Realtors WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
Go-To-Market Strategy Embedded PortEngine’s Code Into Partner Website’s Develop Professional Relationships Join Economic Development Organizations WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
Direct Connect to Buyers Product: Embedded Code Our Code + Embedded into our Partner’s Website = Direct Connect to Buyers WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
Product: Embedded Code Our Code + Embedded into our Partner’s Website = Shorter Time on Market WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
More Profit for Sellers Product: Embedded Code Our Code + Embedded into our Partner’s Website = More Profit for Sellers WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
2-Sided Marketplace 405 95 3 3 Ports 1 City 1 EDO Sellers Buyers Solution: What We Built 2-Sided Marketplace 3 Ports 1 City 1 EDO Sellers Buyers 405 Properties 95 Buyers 3 Interested Buyers Worth $250M ($2.5M Contracted Revenue) 27% MoM Growth $2500 Lease X 60 months = $150,000 X 1% PortEngine Fee = $1,500 $4000 Lease X 36 months = $144,000 X 1% PortEngine Fee = $1,440 $1,000,000 Sale X 1% PortEngine Fee = $10,000 $12,940 at Close of Escrow WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
1% $4,000,000,000 $32,315,000 + WA Ports WA Cities $25,000 Build Cost How We Make Money: 1% + MRR 1% WA Ports = $4,000,000,000 MARKETING FEE (All properties sold or leased) TAM WA Cities $25,000 Build Cost $1,500 MRR + = ECONOMIC DEV DATA (Land Use Policymaking) $32,315,000 TAM WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
Public Sector: Commercial Real Estate Market Size: Real Estate Public Sector: Commercial Real Estate Average Asset Value $50,000,000 Each Public Ports 564 Counties 3,144 Universities 4,140 School Districts 13,684 So, in June of 2017, we decided to go after the 5 Trillion dollar commercial real estate market. The question is… How do we do this… Right? Cities & Towns 19,354 TOTAL $2,044,300,000,000 Total Asset Value 40,886 WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
TRACTION TO DATE Embedded Code Nodes: Port of Chehalis Port of Ridgefield Port of Camas / Washougal City of Ridgefield Southwest Washington Contractors Association Embedded Code Nodes: $50,000 + $750 MRR City of Ridgefield Added the Economic Development Planning Program $50,000 Investment Added the Capital Improvements Section Port of Camas / Washougal $120,000 Investment Initial Funding $25,000 $75,000 Development Rev. Port of Ridgefield $50,000 Investment Winner: Startup Weekend, Vancouver Port of Chehalis Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q1 2019 Q2 2019
Properties Under Contract Traction $50,000 Revenue Contract Services $25,000 $75,000 95 56 Buyer Profile Dossiers 36 12 4 405 403 Properties Under Contract 244 120 7 $260.000.000 $250.000.000 Asset Value $225.000.000 $108.000.000 $31.000.000 WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
Actual & Projected Revenue Q 1 2019 *3 Properties Pending Escrow $12,940 Fee Expected 12 Month X $750 MRR Begins June 1st *$75,000 Accounts Receivable WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
$1B in on-boarding real estate assets Sales Pipeline $1B in on-boarding real estate assets $225,000,000 $25,000,000 +$1,500 MRR $250,000,000 $225,000,000 $25,000,000 +$1,500 MRR $100,000,000 $10,000,000 $10,000,000 +$750 MRR $50,000,000 WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
$250M $2.5M $175,000 $750 Properties Under Contract How We Get Paid WE’VE SECURED Properties Under Contract $250M = Contracted Revenue over 10 years $2.5M $175,000 $750 (Non-Dilutive Capital) Economic Development Software Solutions Monthly Recurring Revenue 12 Months WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
Exit = Acquisition $6,000,000,000 162 Acquisitions $37M Average LoopNet.com Apartments.com ApartmentFinder.com April 28th 2011 March 4th 2014 April 29th 2015 $860,000,000 $585,000,000 $170,000,000 Cozy.com Nov 8th 2018 $68,00,000 Realla.co Oct 18th 2018 Price Not Disclosed ForRent.com Sept 12th 2017 $385,000,000 WestSideRentals.com Feb 17th 2017 Price Not Disclosed MMM August 25th 2015 $400,000,000 Parsons Brinckerhoff Sept 3rd 2015 $1,350,000,000 Lewis Berger July 31st 2018 $400,000,000 WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
PortEngine.Net | Vancouver, WA | 503.490.5889 The Ask $1,000,000 Use of Funds: (Biz Dev / Marketing / Scaling) 10% Discount S.A.F.E. (Lead Investor Preferences) $5,000,000 Cap PortEngine.Net | Vancouver, WA | 503.490.5889
$1B $50M Team Experience: in Real Estate Transactions Our Team Team Experience: $1B Founder / CEO CEO Business Development Interim CTO in Real Estate Transactions $50M in Software Development Port of Ridgefield Port of Chehalis Port of Camas Port of Columbia Port of Walla Walla Port of Mattawa WWW.PortEngine.Net | John@PortEngine.Net | 503-490-58289
John Laine, Founder / CEO John@PortEngine.Net 503-490-5889 Thank you John Laine, Founder / CEO John@PortEngine.Net 503-490-5889