Construction monitoring for banks financing real estate

Definition of concept and service

Bau·mo·ni·to·ring
/ba͜u/ˈmɔnɪtərɪŋ/
Substantiv, Neutrum [das]

[qualitative and quantitative collection and analysis of project data for lenders to systematically reduce the financing and construction risks of real estate projects]
[erroneously still often called bank controlling or controlling for banks]

Due to high capital intensity, project developments / property developer investments is connected with high risks Errors at the beginning and during the course of a project can pose serious risks to the success of the project. High Transparency towards banksinvestors and supervisory bodies is essential and is therefore required by law. As a result of the amended MaRisk requirements, lenders are therefore dependent on the technical and digital expertise of external project controllers from the real estate industry for construction project financing in order to create uniform standards based on existing norms = Construction monitoring.

The implementation of a sound construction monitoring of projects / portfolios is increasingly necessary.
Active control is achieved by early analysis of data and risk identification. This gives financiers and investors security. The strict requirements of BCBS239, Basel III and the amended MaRisk must be observed. By means of a risk analysis of the real estate, construction projects are evaluated according to technical aspects within the framework of technical due diligence (TDD), among other things. These services are just as much a part of construction monitoring as the digital recording of costs, deadlines and qualities and their structured evaluation.

Standardised service profiles help to establish digitalised early warning systems in the market and create cost stability and security for lenders and customers.

Aim of the platform
Creation of a digital platform / development of a network for all parties involved in the process of bank-financed project development

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