By:  Megan Jackson

Did you know that recent industry data suggests 20% of Service Provider contracts have payment errors, costing Owners tens of thousands in lost and missing revenue each year? This is hardly surprising considering the complexities inherent in contracts, property dispositions, and the dynamic nature of service provider processes. Recognizing this, RealtyCom’s Accounting Department meticulously reviews revenue share reports and agreements and then coordinates with the service provider organizations to rectify any issues.

Revenue assurance is a crucial component of RealtyCom’s portfolio management functions. We routinely audit every property with a revenue share agreement, to ensure our client has received all funds due from service providers. Of course, our goal is to ensure proper payment to our clients going forward, but we often discover variances that lead to further collection efforts. Here are a few examples of recent discoveries:

• During a portfolio audit over 64 agreements, we recovered $392k.
• We’ve successfully recovered $1.2M in funds relating to recent development projects of which 51% of the properties audited had errors resulting in tens of thousands of dollars […]
  

By:  Bob Reiss

Not all cabling is created equal.

While Fiber optic and Ethernet cabling have been a mainstay for new developments and rewires in multifamily, coax is more prevalent in existing communities across the country. Due to its wide availability and potential for upgrades, coax still has its place.

Fiber optic is decisively the fastest – with capabilities of 100 Gbps (100,000 Mbps) depending on your location/network and devices/equipment. Ethernet by comparison may provide 10 Gbps and is widely used in managed Wi-Fi deployments today. Despite these capabilities Service Providers generally offer consumers, your residents, 1-2 Gbps options today.

Coax provides similar access to 1-2 Gbps internet service, and the expectation is continued enhancement as the marketplace demands.  In fact, some providers have already done market testing of symmetrical multi-gig and 6 Gbps speeds as early as Q4 2022 using coax cable. There’s clearly good economic reasons to maintain and upgrade coax systems and invest in new technology like DOCSIS 4.0+, Managed Wi-Fi leveraging coax to reduce capex, and other Hybrid-Fiber-Coax solutions.

• Coax has by far the largest market share, being the most common home run wire type in existing communities.
• Leveraging existing coax for Managed Wi-Fi and other deployments […]
  

By:  Sarah Mabry

In the dynamic landscape of multi-family (MDU) property acquisitions and dispositions, one critical aspect of the process – that may often get overlooked – is the formal assignment or assumption of the existing telecom contracts that, when executed poorly, can negatively impact your bottom line.

At RealtyCom Partners, we take pride in facilitating a seamless ownership transfer, without imposing added fees. We offer personalized assistance to our clients with a dedicated point of contact who manages every step of the process until payments are transferred. In what can take months of follow up with the Service Providers, our goal is to minimize your time and effort, allowing you to focus on more important responsibilities.

Understanding the Formal Assumption Process

1. Initial Assessment: Before initiating the formal assumption process, we conduct a thorough assessment of the existing telecom contract. Our team reviews 90+ touchpoints in the contract, identifying key clauses for any potential risks or liabilities and revenue streams associated.
2. Notice of Sale to Service Provider: Providing timely notice to the Service Provider ensures a smooth transfer, and often there are specific notice requirements included in your contract to adhere to. Continuity in service and minimal disruption in recurring revenue […]