New Hotel Technology Likely to Bring Sticker Shock
	ProLogis Takes R&D to Rooftops
	CoreLogic Completes Acquisition of Australian-based RP Data
	Real Estate Deal Website Launched in Dallas

The need for a new generation of computers, data centers and security equipment for the nation’s hotels is driving up the expense of technology in the hospitality industry, says Mitesh Shah, chief executive officer at Atlanta-based Noble Investment Group, a privately-held company that invests in and manages hotels.

“The average [technology] cost for a 400-room hotel has been about $50,000 a year. That cost is going to go up as the brands start implementing new technology to take the place of systems that have been in place for quite some time,” says Shah. “That cost could be significant. It could be several hundred thousand dollars in additional costs over the next three, four or five years.“

That’s a major investment for a company like Noble, which manages 10,000 hotel rooms at 51 hotels in the U.S. under such brands as Marriott, Hilton, Hyatt and Starwood. The company has recently contracted with 12 new hotels, says Shah.

The upgrades involve both communications that make life more convenient for travelers, and the unseen hardware that makes hotels function more smoothly. “A lot of computers were bought in 2006, 2007. We’re looking at a replacement of that. You’re looking at replacement and expansion of business data centers, and security costs for IT (information technology).”

Hackers are more aggressive than ever, and the cost of protecting hotel systems has risen accordingly, says Shah. Not only does a company have to replace computers, it also has to ensure that the latest encryption software is in place. But protective measures involve not just encryption, but also thwarting any compromise to corporate systems and executive communication.

Although it may not be "new" news, the ProLogis Rooftop Photovoltaic Test Site in Denver still represents one of the most progressive technology projects in the commercial real estate industry.

ProLogis, one of the largest industrial real estate companies in the world and thus one of the largest owners of flat roofs (think big industrial buildings), long ago began thinking about how to maximize revenue by using its rooftops. One of the first major projects was the Kaiser Distribution Park in Fontana, California, where ProLogis leased 607,000 sq. ft. of roof space to Southern California Edison for the purpose of building a large, utility grade solar array.

Over the years, ProLogis has continued to develop its solar program and take full advantage of the green revolution. In order to maximize shareholder value and minimize risk, ProLogis simply leases the rooftops to utilities and third party investors who cover the material and installation costs. For ProLogis, this is an additional revenue stream that will only become more stable as renewable energy becomes increasingly more important.

As they strive to grow, major hotel brands are looking East, to India and China, but not just to build new hotels, because many already have properties in place. Instead, they want to “own” the corporate customer in China, India, or Brazil — to instill loyalty to their individual brands.

“How do we, if we’re Marriott, or Hilton, Hyatt, or Starwood, make that company loyal to our company, to our brands?” One way to impress a partner or client is to provide a seamless communicating process through better technology, says Shah. “If you’re China’s investment management arm and you’re loyal to Marriott, you want to just talk to your person at the Marriott Marquis in New York. You don’t want to have to go through 1-800-Marriott or to the website — you want a connection point.”

Real estate analytics firm CoreLogic, which had previously held a 40% equity interest in RP Data Ltd., has completed its acquisition of all the outstanding shares of the publicly traded company based in Brisbane, Australia.

RP Data provides residential and commercial property information, including electronic property valuations and consumer reports, throughout Australia and New Zealand. RP Data serves more than 10,000 clients, including a significant market penetration with real estate agents, appraisers and financial institutions.

“We look forward to the extension of CoreLogic products and intellectual property into the Australia and New Zealand markets, and further business expansion into the Asia Pacific region,” says Anand Nallathambi, president and CEO of CoreLogic (NYSE: CLGX).

Dan Slaven, a Dallas entrepreneur, has launched RealEstateDealSheet.com, a membership-based website for commercial real estate professionals prospecting for new deals. Slaven is president and chief executive officer.

The website provides information on completed deals and listed properties to developers, architects, lenders and equity providers. Its profiles also attract brokers, owners, tenants and leasing agents.