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PUBLIC SECTOR COMMERCIAL REAL ESTATE MARKETPLACE

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Presentation on theme: "PUBLIC SECTOR COMMERCIAL REAL ESTATE MARKETPLACE"— Presentation transcript:

1 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

2 “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: | |

3 -$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 % Realtor Commission TAX-PAYER LOSSES $300,000 Commission | |

4 Solution: 83% less than a Realtor Commission
$5,000,000 Sale Price X % Realtor Commission $300,000 Commission VS $5,000,000 Sale Price $250,000 X % PortEngine.Net TAX-PAYER SAVINGS $50,000 Platform Fee | |

5 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… | |

6 We Automate: Relationships Communication Documentation Data
Solution: Automation Relationships We Automate: Relationships Communication Documentation Data … We Automate Collaboration Between Buyers & Sellers … | |

7 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 | |

8 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 | |

9 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 | |

10 Public Sector Commercial Real Estate Marketplace Ports
Economic Development Organizations Developers Public Sector Commercial Real Estate Marketplace Countries Cities Investors Realtors | |

11 Go-To-Market Strategy
Embedded PortEngine’s Code Into Partner Website’s Develop Professional Relationships Join Economic Development Organizations | |

12 Direct Connect to Buyers
Product: Embedded Code Our Code + Embedded into our Partner’s Website = Direct Connect to Buyers | |

13 Product: Embedded Code
Our Code + Embedded into our Partner’s Website = Shorter Time on Market | |

14 More Profit for Sellers
Product: Embedded Code Our Code + Embedded into our Partner’s Website = More Profit for Sellers | |

15 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 | |

16 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 | |

17 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 | |

18 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

19 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 $ $ Asset Value $ $ $ | |

20 Actual & Projected Revenue
Q *3 Properties Pending Escrow $12,940 Fee Expected 12 Month X $750 MRR Begins June 1st *$75,000 Accounts Receivable | |

21 $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 | |

22 $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 | |

23 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 | |

24 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 |

25 $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 | |

26 John Laine, Founder / CEO John@PortEngine.Net 503-490-5889
Thank you  John Laine, Founder / CEO


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