JLL acquires Building Engines, Boston-based construction operations technology company for $ 300 million
CHICAGO- JLL announced that it has entered into an agreement to acquire Boston-based Building Engines, a market-leading building operations platform that transforms the way properties are managed, delivers exceptional experiences for operators and tenants and improves net operating income (NOI) in the world’s most successful commercial real estate portfolios (CRE).
JLL will acquire Building Engines for a cash purchase price of approximately $ 300 million. The transaction is expected to close in the fourth quarter of 2021, subject to customary closing conditions, including regulatory review.
The Building Engines cloud platform is a comprehensive, easy-to-use system that brings together all the technologies and applications used to operate buildings in one place. Its comprehensive capabilities streamline work orders, make maintenance more efficient, and simplify interactions between building tenants, management and staff. âBuilding Engines joining JLL represents JLL’s continued commitment to technology leadership and providing the best technology to our investor clients,â said Sharad rastogi, president of JLL Technologies (JLLT), a division of JLL.
âTogether, JLL and Building Engines will accelerate the digital transformation of buildings around the world. Jay Koster, President of Investor Services for the Americas for JLL, continued, âThe combination of JLL’s expertise in building management, Building Engines’ primary building operations software platform and the JLLT’s CRE technology leadership will accelerate the transition of real estate operations from manual and reactive activities to technology-based, automated or digitized activities.
Building Engines serves more than 1,000 clients who rely on its platform to manage critical operational needs on more than 3 billion square feet and 35,000 properties worldwide. Its enterprise-class platform, which will continue to be available to all property owners and their service providers, evolves as an investor’s portfolio grows, from building to larger environments. and more complex. Additionally, the platform’s open API infrastructure includes over 30 integrations with other building operations tools, unifying an increasingly fragmented set of building operations applications into a single user experience. for all property managers.
âWe have set ourselves the goal of being the primary building operating platform for CRE, guided by our vision to deliver an exceptional experience for everyone in every building and to increase net operating income for our customers. customers, âsaid Tim Curran, CEO of Building Engines. âThe building operations software landscape has become very fragmented, resulting in a disconnected experience for investors, operators, tenants and occupants. Our open platform and growing suite of product modules aim to address this problem, with solutions that have proven to be indispensable for CRE operators and investors. By joining forces with JLL, we can realize this vision faster, at scale, and become the system for recording construction operations around the world.
JLL and Building Engines have a long-standing relationship serving common customers, and Building Engines already integrates with the software in which JLL invests and uses. Together, the companies intend to leverage Building Engines’ open platform to create a comprehensive ecosystem of building operations applications by integrating JLLT’s robust technology product portfolio, the technologies in which it invests. through the global venture capital arm JLL Spark, and the broader landscape of CRE software providers to meet the needs of real estate investors.
Building Engines will operate within JLLT and Curran, who joined Building Engines as Director of the Board of Directors in 2011 and was appointed CEO in 2017, will serve as Executive Managing Director, Building Engines, reporting to Rastogi. Building Engines will continue to serve existing clients and real estate investors around the world to help them maximize the value of their assets, and JLL Property Management clients who use Building Engines will now benefit from a closer alignment between technology and the services of JLL.
William Blair acted as the exclusive financial advisor to Building Engines in this transaction.
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