Locale portfolio growth sees a five-year high in 2023

• Locale reports 18% surge in Annual Recurring Revenue (ARR) in 2023  
• Locale’s portfolio expands by over 6.24 million sq ft year-on-year in 2023 – a five-year high for the company
• The acquisition of marketing, communications and events agency Evergreen Reputation has bolstered its experiential offering

Locale, UK’s leading occupier experience platform, can today reveal that its annual recurring revenue (ARR) has surged 18% in 2023 – a five-year high – according to its latest H2 2023 PropTech Perspectives Report. With a renewed focus on enhancing the occupier experience amongst the real estate industry, 60% of new revenue was driven by Locale’s existing client base whilst almost 20% came from new clients.

This resulted in portfolio growth over 6.24 million sq ft of residential, commercial and mixed-use UK real estate in 2023 – the largest since 2018. The 18-year old business also boasts a 92% client retention rate.

Following the restructuring of the business, which saw the streamlining of the customer journey, and a brand refresh, Locale unveiled its acquisition of Evergreen Reputation, a marketing, communications and events agency, bolstering its experiential offering.

Data analysing Locale’s portfolio of over 80 million sq ft of UK real estate in 2023, also showed a 30% increase in engagement with the platform overall and a 29% increase in monthly active users – further indication of increased usage in the proven platform. With occupiers now expecting a smoother and more seamless experience, discerning real estate players are recognising the need to rethink and reshape their operating models to place end-user experience at the heart of what they do.

Instant communication, aligned with wider portfolios where relevant, is crucial. Witnessing a 23% year-on-year surge in the volume of announcements posted through our system underscores the importance of this approach. People now expect access to information and services on-demand. This is demonstrated by a 33% annual year-on-year growth of our digital forms, permits, and licences module, a 28% increase in activity for key management and a 25% increase for reactive helpdesk management.

Guy Windsor-Lewis, Chief Executive at Locale, commented: “The shackles of the pandemic have been broken and now we are bathing in calmer economic and political waters, green shoots have certainly sprung in the adoption of technology. The way we work, live, and play is evolving faster than ever and expectations from employees and occupiers have undergone a profound shift in recent years, prompting discerning real estate companies to rethink and reshape their operating models to place end-user experience at the heart of what they do.

“Bullish business growth combined with an enviable 92% retention rate and overall increased usage of our platform is further testament that our asset-agnostic platform is a proven solution. And yet, we have not rested on our laurels; we have refined our consultative approach to deliver the right mix of occupier experience services, implemented a process to continuously enhance and evolve the functionality of our platform in line with the needs of building teams and occupiers, and expanded our experiential services.

“Our quest to empower clients to achieve their goals and create a more tech-equitable landscape remains steadfast, cementing the trust and confidence the real estate industry needs in tech.”

Download the full report: www.locale.co.uk/h2-2023-proptech-perspectives-report