The real estate asset management firm, Resolute Asset Management, announces the creation of Recognyte, a new data science and technology division, to release a suite of advanced software solutions into the property tech market.
Recognyte’s thirty-strong team of software developers and machine learning experts has created Data Scout, Active Estate and Asset Dynamics. These technologies harness natural language programming, automated underwriting, geographical information system mapping and AI image recognition to offer a huge efficiency boost to real estate finance.
"The question was how do we vastly upgrade the quality of real estate information so that we can start to help our clients make and implement sensible decisions about their assets? We went out there and looked for systems designed to do that, but there were none,” said Bill Hancock, founding partner of Resolute Asset Management and founder of Recognyte.
A new dawn for the asset management industry
With the banking and financial sector poised for a significant rise in non-performing loans (NPLs) in the aftermath of the Coronavirus pandemic, the launch of Recognyte couldn’t be more timely.
When the financial crisis of 2007-2008 was followed by an unprecedented build-up of collateral in financial institutions, Resolute Asset Management pioneered advisory and real estate solutions that dealt with the problem of mounting bad loans, restoring balance sheets and credit flows.
Having developed capabilities for processing high volumes of real estate collateral and portfolio workflows in 2017, Recognyte technologies have been designed, tested and refined by senior asset managers at Resolute Asset Management to give real estate professionals near complete control of large portfolios for the first time, in order to maximise the value of their asset data.
“In the wake of the financial crisis, no one was prepared for the structural changes in the banking sector. As we anticipate the fallout of the global pandemic, our outlook is different: the sector has the know-how and now the technological capabilities to assist financial institutions to make a much smoother and faster recovery”, said Mark Miller, Chief Product Officer for Recognyte.
Supporting financial institutions to make a faster recovery
When first advised on how to manage high levels of non-performing loans, financial institutions faced out-of-date and poor-quality data for vast amounts of real estate collateral. The challenge was to find a way to clean and process all that data quickly, so that banks could act on advice and make better decisions. Using only traditional methods would have held back economic recovery for several years and was, therefore, not an option.
Data Scout uses natural language processing to remediate data, creating a detailed and precise digital identity of all assets. Each asset can now be located, properly understood, analysed and assessed, no matter how large the portfolio.
Portfolio management streamlined for private equity
Private equity firms buying up real estate assets inherit poor quality data from the banks, but also need a powerful solution to manage large portfolios containing high volumes of very granular asset data.
Active Estate streamlines portfolio management, bringing together real estate collateral workflows and asset data management on a single, powerful platform. The solution allows asset managers to understand complex and granular asset data at a glance, and can be customised to support the specific needs of the business.
Professionalised and effective property management
Asset management firms must closely track and monitor the condition of many large commercial assets in order to maintain and increase the value of properties for investors.
Asset Dynamics drastically reduces risk and uncertainty for property managers, providing greater financial control and oversight of property values. From site management and financial transparency to leasing strategies and legal issues, this solution enables strategic valuations and financial modelling that meet the business objectives of asset owners.
“There is no doubt that automated data remediation, underwriting, analytics and management tools represent the future of real estate and real estate finance. The independence of Recognyte will allow us to extend our leadership in this space”, said Richard Henshall, Interim CEO of Recognyte.