By 2015, the newly private Parkway Properties found itself managing disparate construction and project management teams. Growth and convergence came rapidly to Parkway beginning in 2006 in the form of mergers, leadership changes, asset sales, and acquisitions. It was Parkway’s desire to achieve an open culture built on transparency and collaboration.
Poised to lead the Houston Class A commercial real estate market, the level of distinct, highly specialized and dissimilar tools, spreadsheets, and practices simply wouldn’t scale. Furthermore, without a common platform, movement within groups and communication between them was challenging, at best. Dynamic change sent Parkway searching for a new technology partner three years ago.
“Our team was not equipped with the resources necessary to handle the growth and consolidation. Technology and the leveraging of it seemed key to things that we needed to accomplish.”
According to Parkway, Honest Buildings arrived at a “very appropriate time” in their life cycle, both to address their business needs and to develop a flexible, more efficient culture.
"I still remember thinking after one of our early meetings that I couldn't believe something like this hadn't been on the market yet. This is so logical. I love solutions that meet a need."
Parkway needed a technology partner capable of putting different teams on a common platform while allowing for visibility and insight into historical data. Honest Buildings provided a platform sufficiently robust to support their move from suburban to urban markets while undertaking extensive repositioning projects.
In their words, “a lot of technology seemed to be popping up.” Their concern, however, was that they might not be designed to streamline the flow of information, standardize communication and information sharing while accommodating a large volume of projects. Honest Buildings brought all project management teams together, streamlining administrative tasks, allowing teams to focus on their core competencies.
Honest Buildings created value for Parkway in three distinct ways. First, Parkway demonstrated ROI as operational efficiencies drove shorter renovation cycles, making spaces available for lease sooner.
“Utilizing Honest Buildings for the bidding and tracking of each project, we have begun to see up to a 20% reduction in time to build out the spaces, which gives us a considerable competitive advantage in securing tenants at our assets.”
Improved visibility into project costs and timelines drove more accurate assumptions and underwriting asset practices. Honest Buildings provided Parkway with flexible operating models, making their teams increasingly agile. Even as acquisitions and growth continued, Honest Buildings allowed them to standardize their practices driving cost-effectiveness throughout the organization.
“Without Honest Buildings, we would have been faced with at least a six-month learning curve to understand each project manager’s methodology.”
Lastly, Honest Buildings’ platform “bought them months of time” in aligning new teams during a critical period of transition. A platform purpose-built for their business needs
Parkway is a leading real estate owner and operator in Texas. Their portfolio consists of approximately 8.7 million rentable square feet of class A office assets in the Houston, Texas market. Mike Fransen joined Parkway in 2006 and is currently responsible for Parkway's operations as the Chief Operations Officer.