RealPage to Acquire Modern Message
Enables Complete Resident Engagement Solution that Boosts Leasing, Retention and Revenue
RICHARDSON, Texas--(BUSINESS WIRE)-- RealPage, Inc. (NASDAQ:RP), a leading global provider of software and data analytics to the real estate industry, has agreed to acquire Modern Message, Inc., the multifamily real estate industry’s leading resident engagement solution. Modern Message has seen rapid adoption of its platform by over half the property management companies in the NMHC Top 50.
Modern Message’s flagship resident engagement platform, Community Rewards, builds meaningful engagement through a fully mobile UI that is motivating, rewarding, fun and interactive for property residents. Higher engagement leads to greater resident loyalty and referrals, which boosts property reputation and value.
The Modern Message platform uniquely rounds out the RealPage® ActiveBuilding® resident portal platform, which is the industry leader in payments, resident communication and monetization of rentables and amenities. RealPage plans to combine the two platforms to offer property management companies a complete renter engagement solution with significant benefits:
- Exceptional engagement that drives increased leasing, retention, resident use of payments and eCommerce transactions for amenities and other services
- Proven resident behavior motivation via a high-value, points-based rewards program where residents accumulate points that can be redeemed for a property’s amenities, reward cards and third-party marketers’ discounts and perks
- Improved property reputation, a known driver of lead to lease conversion rates
- A data-driven solution for benchmarking engagement and reputation
- Enhanced communications that build connections between onsite teams and residents
- A user-friendly, community branded, mobile interface that will work with any popular property management software platform
- Automation of the delivery of any lease or renewal incentives offered to residents or prospects
Jon Pastor, Senior Vice President of Consumer Solutions at RealPage
“Modern Message provides a unique boost to our already powerful resident engagement platform. The two solutions joined together enable our clients to give residents a rich rewards experience, boost ancillary revenue, resident loyalty and reputation scores, and see greater adoption of their RealPage solutions. In short, we will be able to offer clients and residents the full potential of a resident portal.”
John Hinckley, Co-founder of Modern Message
“This is a great time to become part of the RealPage team. ActiveBuilding will be the perfect gateway to deliver Modern Message’s resident engagement programs to a broader industry audience while maximizing results. We are also looking forward to exploring new opportunities that may arise from the combined platform. It’s beyond exciting.”
Mike Ivey, Co-founder of Modern Message
“We immediately saw that RealPage shared our vision for resident engagement and loyalty. As a result, we are thrilled to continue on our mission and introduce our existing clients to the expanded capabilities available once the two platforms are combined. In the meantime, we will continue to support the Modern Message platform and deliver the same excellent service our clients have come to know and expect.”
RealPage expects to retain Modern Message’s employees and operations, which will be moved from downtown Dallas to the RealPage corporate headquarters in Richardson, Texas. The completion of the acquisition remains subject to certain standard closing conditions, which RealPage anticipates will be satisfied this week.
RealPage provides a technology platform that enables real estate owners and managers to change how people experience and use rental space. Clients use the platform to gain transparency in asset performance, leverage data insights and monetize space to create incremental yields. Founded in 1998 and headquartered in Richardson, Texas, RealPage currently serves over 18 million units worldwide from offices in North America, Europe and Asia. For more information about RealPage, please visit https://www.RealPage.com.
About Modern Message
Modern Message is the leading resident engagement, loyalty and rewards platform for the residential real estate industry. Their product is a differentiated engagement suite that drives higher benchmarkable resident engagement and reputation. Modern Message, with headquarters in Dallas, Texas, serves over 4,700 communities in 49 states, comprising more than 1.8 million residents. For more information about Modern Message, please visit https://www.modernmessage.com. Software Equity Group was Modern Message’s exclusive advisor on the transaction.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains “forward-looking” statements relating to RealPage, Inc.’s intent to combine the RealPage and Modern Message platforms and the ability of the combined platforms to offer property management companies a complete renter engagement solution with significant benefits, including exceptional engagement driving increased leasing, retention, resident use of payments and eCommerce transactions for amenities and other services, improved property reputation as a driver of lead to lease conversion rates; the ability of the combined platforms to increase ancillary revenue, resident loyalty and reputation scores, and greater adoption of RealPage solutions for RealPage clients; and the expectation that RealPage will retain the Modern Message employees and other operations. These forward-looking statements are based on management's beliefs and assumptions and on information currently available to management. Forward-looking statements include all statements that are not historical facts and may be identified by terms such as “expects,” “believes,” “plans,” or similar expressions and the negatives of those terms. These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Additional factors that could cause or contribute to such differences include, but are not limited to, the following: (a) the possibility that general economic conditions, including leasing velocity or uncertainty, could cause information technology spending, particularly in the rental housing industry, to be reduced or purchasing decisions to be delayed; (b) an increase in insurance claims; (c) an increase in client cancellations; (d) the inability to increase sales to existing clients and to attract new clients; (e) RealPage’s failure to integrate recent or future acquired businesses successfully or to achieve expected synergies including the acquisition of Modern Message; (f) the timing and success of new product introductions by RealPage or its competitors; (g) changes in RealPage’s pricing policies or those of its competitors; (h) legal or regulatory proceedings; (i) the inability to achieve revenue growth or to enable margin expansion; (j) changes in RealPage’s estimates with respect to its long-term corporate tax rate or any other impact from the Tax Cuts and Jobs Act; and (k) such other risks and uncertainties described more fully in documents filed with or furnished to the Securities and Exchange Commission (“SEC”) by RealPage, including its Annual Report on Form 10-K previously filed with the SEC on February 27, 2019 (as amended on November 5, 2019) and Form 10-Q filed on November 8, 2019. All information provided in this release is as of the date hereof and RealPage undertakes no duty to update this information except as required by law.
Source: RealPage, Inc.
Released January 22, 2020