Methodology | Reonomy

The data behind Reonomy Research

Reonomy supplements public data with data sets from various private data sources – notably transaction data, location for mapping, legal entity, and individual ownership data. Using machine learning and unique property identification strings, Reonomy then stitches together all the data sources on the parcel level with a single identifier. The resulting data set is Reonomy’s universe of US properties: over 50 million properties across all 50 states.

Reonomy’s approach to data gathering and management enables Reonomy Research and users to have the closest to complete coverage of US commercial property.

Property Types Covered

Multifamily
Industrial
Retail
Office
Hospitality
Commercial General
Land
Other

Market Glance

The Reonomy Market Glances are regular data releases which are constructed and maintained at an individual Market level. A “Market” is a combination of a geographic area and property type. The Market Glances bring together aggregated transaction data at the metropolitan statistical area (MSA) level for a given property type.

Reonomy will be publishing refreshed Market Glances on a monthly basis, allowing for users to monitor recent changes, in addition to accessing the many years of historical data available for their use.

For additional information on the Market Glances or RPI, or interest in Markets not publicly available, please contact reports@reonomy.com

Market Glance Components

Price Index

A value-weighted price index based on recorded transactions.

Market Share

Percentage of total properties (by count) in the market in focus.

Sales Mix

Percent of total sales by property type in a given time period.

Sales Volume

Total dollar aggregate of transacted amounts for the specific market, property type and time period. Excludes large portfolio transactions.

Monthly Transactions

Total count of transactions for the report specific market, property type and time period. Includes portfolio transactions, but only those properties which transacted in the specific market.

Noteworthy Sales

Noteworthy sales in a particular market by property type.

Reonomy Price Index (RPI)

The Reonomy Price Index (RPI) series is a family of composite sales price indices measuring the change in transaction prices across the major commercial property types in the US. Indices within the series are subdivided by geography (metropolitan statistical area, state, region, national) and commercial property type (multifamily, office, industrial, retail, hospitality, land). Each index tracks the monthly change in the recorded sales price on square-foot basis for the specified geographic market and property type.

RPI FAQ'S

What properties are in the RPI?

While the Reonomy database is comprehensive, the RPI series includes only the major commercial property types: multifamily, office, industrial, retail, hospitality, land.

What does the RPI measure?

RPI measures the price fluctuation of markets by asset type over a set series of time. There are significant differences to how the RPI is measured compared to other indices that track commercial property prices. Most notably, the RPI measures actual past property sale prices broken down by time period to price per square foot.

What is the Composition of the RPI?

The composition of the RPI is dynamic and changes from period to period, depending on the reported transactions for a given property type, geographic market, and period. Prior to launching and publishing any of the indices in the RPI series, each potential market (geography and property type) is assessed for depth of activity.

What are the requirements for a property to be added to the RPI?

Before a property can make it into the RPI, it must meet the following criteria: located in the geographic market covered by the index; categorized as the property type covered by the index; transacted within the designated time period; transacted for $10,000 or more.

How is RPI Data gathered?

Reonomy gathers data from multiple public and private sources. While the data is pulled and refreshed daily, the original data sources vary based on publication and making the data accessible. For more information on Reonomy’s robust data aggregation and data cleaning process see “Reonomy’s Data”.

What is the RPI Index Methodology?

The Index is set at 100 starting first quarter of 2000. Calculations are based on quarterly changes of aggregated property prices per square foot. Each property’s price is weighted by its market value (value-weighted).