MIPIM 2017: Drooms uses Machine Learning for Automated Data Analysis in Real Estate Transactions
27. March 2017
Cannes/Frankfurt/Zug, 14 March 2017 – Europe’s leading provider of virtual data rooms, Drooms, is helping the real estate sector to move towards a future of automated data analysis in online due diligence processes by using machine learning. The motto for this year’s MIPIM is “New Deal for Real Estate” and focuses on the digital revolution and its effects for the real estate industry. Above all else, radical changes to real estate transaction processes are expected. As a general rule, each real estate transaction contains the same information – from details about the building itself and the tenancy structure to management and finances. With the help of “Natural Language Processing”, Drooms analyses various file formats and is therefore able to independently analyse data room content and filter out relevant information for user evaluations. With the help of a team of computer linguists, Drooms has built up a semantic database of words, synonyms and language patterns in order to analyse documents uploaded to the data room. An overview of the results, known as “Findings”, supports the individual assessment of potential opportunities and risks in addition to the direct further processing of information.
Automation should also help to shorten the coordination process for Q&A processes between the parties involved in a real estate deal. Q&A processes are occasionally complex in nature. However, the drag and drop function ensures that these are now intuitive. Questions are automatically allocated to respective people or groups once a dedicated supervisor for specific data room index points has been nominated. The dashboard grants a clear overview of the entire process at all times. Jan Hoffmeister, Chairman of Drooms: “The use of automated workflows gives the industry the opportunity to reformulate business processes and overcome the challenges presented by digitisation. The use and further development of machine learning in virtual data rooms will cut costs and minimise risks in the long run.” Moreover, the virtual data room Drooms NXG facilitates a compliant approach as all user activity as well as questions and answers are recorded in the data room and can be exported on completion of the project.
In the past few years, Drooms has continually expanded and now employs over 100 staff from 23 countries at various locations across Europe, including Frankfurt, Vienna, Paris, Amsterdam, Madrid, Milan and Zug. More than 25,000 companies around the world use Drooms, an owner-managed company which has already helped to securely, transparently and efficiently process several thousand complex transactions such as commercial real estate sales, M&A and IPOs.
To find out more about Drooms NXG virtual data rooms, visit our YouTube channel.