There's a battle brewing in the property management software industry that could have far-reaching implications for real estate investors.
The battle is between RealPage, one of the largest property management software companies in the industry, and EliseAI, one of the fastest-growing artificial intelligence companies serving multifamily housing.
On October 7, RealPage notified customers that it was suspending all new property-level integrations with EliseAI indefinitely. Existing integrations would continue operating, at least for now.
At the center of the controversy is a fundamental question. Who actually controls the data generated by operating an apartment building?
To understand what's happening, we need to examine the relationship between these companies.
RealPage provides the underlying property management system. It maintains information about tenants, leases, rental payments, vacancies, maintenance requests, and financial transactions.
For many property operators, RealPage is the system of record. It's the database that sits at the center of their operations.
EliseAI started by automating leasing inquiries and resident communications. Its technology could respond to prospective tenants, answer questions, schedule tours, and handle routine conversations without requiring constant human intervention.
Over time, EliseAI expanded into maintenance, collections, renewals, and other operational functions.
The company recently raised $350 million at a reported valuation of $4 billion. It says its technology serves more than 6.5 million multifamily units. To put this in perspective, that's nearly 1/4 of the commerical apartments in the US.
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