A reasonable starting point for a 25-person commercial real estate firm is the national fully managed IT benchmark of $100 - $250 per user/month, then a separate allowance for each property's network, carrier, security and infrastructure exceptions. The right budget funds a repeatable operating model, not a generic support contract.
Nationally, fully managed IT planning benchmarks run $100 - $250 per user/month.
In This Article
- What should a 25-person CRE firm include in its monthly IT budget?
- How should several properties change the budget?
- Should we choose fully managed IT or co-managed IT?
- What property technology costs should stay outside the per-user budget?
- How can a CRE firm avoid surprise IT spending?
- Frequently Asked Questions
What should a 25-person CRE firm include in its monthly IT budget?
Begin with the people and business systems that operate across the portfolio. That recurring budget normally needs to cover employee support, endpoint management, identity administration, core network oversight, cybersecurity controls, cloud administration, backup oversight and documentation.
Then separate property technology from employee IT. A building may have carrier handoffs, an MDF or IDF, amenity Wi-Fi, cameras, access control, building systems, tenant technology requests and equipment installed by past vendors. Those items may share network dependencies, but they should not disappear into an undifferentiated per-user budget.
For a 25-person organization, the national fully managed IT benchmark of $100 - $250 per user/month is a useful planning range because scope varies. Security tools, backup requirements, support hours, Microsoft licensing, server coverage, compliance needs and the number of networked locations can all move the included service level.
A practical budget also distinguishes operating expense from capital work. Managed support and monitoring are recurring costs. Replacing a failed firewall, adding fiber, correcting undocumented cabling or completing a suite turn-up may require a separately approved project or lifecycle reserve.
The takeaway: fund the employee operating baseline monthly, then manage building-specific technology through a visible property and lifecycle plan.
How should several properties change the budget?
Multiple properties do not automatically require identical technology spend. Site A may have a clean network closet, documented carrier handoff and current access control. Site B may have inherited switches, shared vendor credentials and no usable circuit record. Treating both sites as the same creates either underfunded risk or unnecessary replacement.
The better model is a portfolio standard with documented exceptions. Define what every property must have, such as a current inventory, network diagram, owner for key systems, credential process, monitoring expectations and escalation route. Then record where a property cannot meet that standard and why.
Property managers should be able to see which work is recurring, which is a one-time correction and which is a future lifecycle decision. That gives leadership a basis for comparing sites without pretending that every building has the same carrier options, construction history or tenant obligations.
Risers and carrier coordination deserve their own line of sight. A suite turn-up can involve demarcation points, building pathways, tenant schedules, access coordination and provider handoffs. Learn more about riser management services for commercial properties when those responsibilities are part of the portfolio's operating model.
The takeaway: the site is local, but the budgeting method should be consistent across the portfolio.
Should we choose fully managed IT or co-managed IT?
That decision depends on who owns the daily operating responsibilities. Fully managed IT is generally appropriate when the firm wants an outside technology partner to take primary responsibility for support, maintenance, security operations and planning within the agreed scope.
Co-managed IT is appropriate when the organization has internal technology leadership or staff that will retain defined responsibilities. Nationally, co-managed IT planning ranges run $60 - $160 per user/month. That range is a planning guide, not a settled rate, and scope depends on what the internal team retains and what the provider operates.
| Operating model | Best budgeting use | Planning range | Questions to resolve before signing |
|---|---|---|---|
| Fully managed IT | External team owns the primary day-to-day technology operating role under an agreed scope. | Nationally, $100 - $250 per user/month. | Which security, backup, network, licensing, onsite and property-system responsibilities are included? |
| Co-managed IT | Internal IT retains defined responsibilities while an outside partner provides agreed tools, expertise or coverage. | Nationally, planning ranges run $60 - $160 per user/month. | Who owns escalation, vendor management, after-hours response, documentation and change approval? |
Do not compare quotes by the per-user number alone. Compare the responsibility map. A lower quote may leave backup testing, network equipment, onsite dispatch, compliance tasks, project engineering or property-system coordination outside the recurring agreement.
The takeaway: choose the model that assigns every recurring responsibility to a named owner.
What property technology costs should stay outside the per-user budget?
Per-user managed IT pricing is designed around people and their business technology. It is not a reliable proxy for every building device, cable pathway, camera, door controller, carrier circuit or tenant improvement requirement. Those systems need an inventory and a clear ownership model before they can be budgeted responsibly.
In This Article
Nationally, fully managed IT typically ranges from $100 - $250 per user/month. A per-device model can be useful when a portfolio has many managed endpoints or network devices, but the scope must state exactly which devices count and whether property systems are included, excluded or handled separately.
For building technology, ask whether cameras, access control, guest Wi-Fi, common-area equipment and vendor remote access are inventoried, segmented, documented and assigned an accountable owner. Physical security and IT often meet at the network, so a change to one side can affect the other. See business video surveillance systems and structured cabling and low-voltage services for related property infrastructure considerations.
The takeaway: per-user support and property infrastructure are connected, but they are not the same budget category.
How can a CRE firm avoid surprise IT spending?
Start inventory first, architecture second. Create one record for each site that identifies network equipment, circuits, carrier contacts, demarcation location, Wi-Fi, cameras, access control, building-system connections, warranty status, vendor contacts and administrative ownership. An incomplete inventory should be treated as a planning gap, not a reason to guess.
Next, set a minimum standard and an exception process. The standard can define naming, documentation, credential ownership, monitoring, backup expectations, change approval and acceptance testing. The exception process should state what evidence justifies a deviation, who approves it and when it must be reviewed again.
Third, create separate categories for operational support, planned lifecycle replacement and unplanned remediation. That prevents a circuit issue, inherited device failure or tenant buildout request from being presented as an unexplained overage in the monthly IT budget.
Vendor credentials are a recurring control point. GDS Technology's Built, Wired & Secured podcast discusses vendor access lifecycle for building systems, including the value of tying access to active work orders, current contracts and shared facilities accountability.
Commercial real estate customer Therese described the value of a support approach that explains the issue and prevention steps: "Brian clearly explains what is happening and shows you ways to help prevent the issue from happening again. He is great to work with." That is the practical standard for budget conversations: resolve the immediate issue, document the cause and reduce repeat work where possible.
GDS Technology serves multi-location organizations nationally, with offices in Norcross, Georgia and Carmel, Indiana. For firms evaluating ongoing operating support, review managed IT services alongside the property-level ownership and exception process.
The takeaway: predictable technology spending comes from documented standards, visible exceptions and planned lifecycle decisions.
Frequently Asked Questions
What is the first IT budget number a 25-person CRE firm should use?
Use the national fully managed IT benchmark of $100 - $250 per user/month as the first recurring planning range for employee-focused technology support. Then identify what that scope includes and create separate budget categories for property infrastructure, lifecycle replacements, tenant work and inherited-site remediation.
Does a per-user IT price cover cameras, access control and building networks?
Not automatically. Per-user pricing is usually built around employees and their core business technology. Cameras, access control, carrier circuits, common-area Wi-Fi, network closets and building systems should be identified individually, assigned an owner and explicitly included, excluded or governed by a separate agreement.
How much should a CRE firm reserve for project work?
The appropriate reserve depends on the condition and documentation of each property, so it should not be guessed from employee count alone. Build a site inventory, identify lifecycle dates and record known exceptions. Use that evidence to separate planned upgrades from urgent remediation and tenant-driven project requests.
Is co-managed IT less expensive than fully managed IT?
Nationally, co-managed IT planning ranges run $60 - $160 per user/month, while fully managed IT benchmarks run $100 - $250 per user/month. The difference reflects retained internal responsibilities and scope. Compare ownership of support, security, vendors, documentation and escalation before deciding which model costs less overall.