eQ automates real estate fund cash flow modelling and forecasting across multiple property funds with ModelTree

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Introduction

eQ is one of Finland’s leading asset managers, managing also a broad portfolio of real estate funds structured as both special investment funds (ESR) and limited partnerships (KY). As these funds grew in scale and complexity, eQ needed a robust portfolio management solution to support advanced cash flow modelling, and forecasting. To strengthen its investment operations across both property and fund levels, eQ adopted ModelTree as the core platform for real estate modelling and analytics.

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Problem

Before adopting ModelTree, eQ faced several operational bottlenecks:

• Manual Cash Flow Updates: Consolidating historical financial data and property data across funds and properties required repetitive manual work each month, increasing the risk of delays and errors.

• Fragmented Forecasting: Projecting fund and property-level cash flows involved disconnected models with limited forecasting capabilities, slowing down decision-making.

• Complex Modelling Requirements: Modelling property income, expenses, debt structures, interest rate derivatives, and fund-level cash flows in one place, in a multi-user environment, was increasingly challenging as the business grew.

• Limited Transparency Across Teams: Analysts, asset managers, controllers and fund directors needed a shared platform to collaborate on financial planning, performance tracking, and scenario analysis.

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Solution

To address these challenges, eQ implemented ModelTree across its real estate funds. Key features of the solution include:

• Automated Historical Data Feeds: ModelTree integrates directly with eQ’s accounting, property management and budgeting systems to automatically update cash flows every month, removing the need for manual input.

• Forecasting Engine: Fund and property-level cash flows are projected using ModelTree’s forecasting tools, which allow accurate forward-looking analysis of income, expenses, loan payments, and capital flows.

• Comprehensive Modelling: The platform models each asset’s business plan – including properties, loans, funds, and interest rate hedges – providing a full picture of financial performance.

• Budgeting: Budgets are tracked against actuals within ModelTree, enabling clear comparisons.

• Profitability & Valuation Tools: New property acquisitions are evaluated with integrated profitability analysis, DCF-based valuations, and exit price modelling to support investment decisions.

• Collaborative Workflows: Property and asset managers update asset business plans within the same platform used by fund directors and analysts – ensuring alignment from asset-level operations to fund-level strategy.

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Results

eQ’s adoption of ModelTree has led to measurable improvements across its real estate investment operations:

• Automation & Accuracy: Automated monthly updates from eQ’s source systems reduce manual work. 

• Streamlined Forecasting: With built-in forecasting tools, fund and property-level projections are generated now faster and with greater consistency.

• Unified Platform: By consolidating budgeting, profitability analysis, and cash flow modelling into a single platform, eQ has improved transparency and internal collaboration.

• Scalability: As new funds and properties are added, ModelTree’s flexible structure supports ongoing growth without increasing operational workload.

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Conclusion

With multiple property funds and a large real estate portfolio, eQ needed a modern solution to manage modelling and forecasting. ModelTree now serves as the core tool for fund and asset-level cash flow management, budgeting, and decision support. From monthly accounting data to long-term forecasts and exit strategies, ModelTree enables eQ’s real estate team to operate with efficiency, accuracy, and full control over the financial lifecycle of their funds.
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Ready to simplify fund and property-level modelling and analysis? ModelTree empowers your investment teams with automated cash flows and advanced forecasting tools. Contact us to learn more.

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