WHAT IS QUALITY RATING?
Real Quality Rating was set up in October 2016 in response to asset owners seeking better tools to understand the underlying quality of their assets.
Our mission : to reveal the quality of commercial real estate assets in collaboration with stakeholders, for the benefit of stakeholders and public savings, by the launch of a new rating agency. The benefits of ratings for the CRE market are to:
» improve the performance and effectiveness of investment and lease decisions;
» enable coordination of market players based on shared knowledge of quality and not only prices; and
» support the development of impact investing.
Quality Rating acts as a bridge between the ‘real world’ (alongside its assets, with their intrinsic characteristics as well as the the perception of the market players related to these assets), and the financial world. It includes all assets, regardless of their actual quality.
Besides, this Quality Rating highlights a concrete and useful rating allowing comparability and surveillance.
116 characteristics & 355 modalities
» Location quality
» Building quality
» Workspace quality
» Contractual quality
OUR APPROACH: COLLECTIVE INTELLIGENCE
Our Rating highlights the building quality as it is perceived by the different market players, and thus is based on collective intelligence of the market.
The acutal measure of this ‘quality’ is modelised and calculated by a rating algorithm, using the preference analysis of a representative sample of market players, involved in the ecosystem of financial markets.
It is not normative, and replaces the usual model of one building / one expert, with the model: one building / market players collective intelligence.
It is also
» Holistic: it includes the entirety of physical dimensions (location, building, workspace) of the asset. Each dimension incorporates all characteristics: functional, environmental, and social.
» Based on the latest research on: real estate economics, cognitive intelligence and experimental economics.