Corporate real estate technology is changing so quickly that even the most progressive leaders can have trouble keeping up.
To help you understand the technology driving the evolution of real estate, we put together a list of the three most influential real estate technology trends.
3 Corporate Real Estate Technology Trends to Know
1. The Internet of Things
Internet of Things (IoT) sensors have been one of the most valuable pieces of real estate technology in an innovative CRE’s toolbox for a few years now. But what is changing is how they take advantage of the Internet of Things.
When IoT sensor technology first started becoming popular, the primary application was to improve how building systems operated — specifically, HVAC and lighting. The underlying goal was to create more energy-efficient buildings using IoT sensors to identify the occupancy and traffic patterns of the property and then create corresponding heating/cooling and lighting schedules.
While energy efficiency remains a top function of IoT sensor technology, CRE leaders have expanded its utilization to enable a more holistic, data-driven approach to managing the company’s real estate portfolio. Now, they are using IoT sensors to make buildings safer with intelligent security systems and healthier with smart hygrometers. They’re leveraging the data to better understand how the design of a space impacts how individuals engage with it and move through it.
Corporate real estate leaders are now using IoT sensors in conjunction with other advanced technology—including space management software—to support more proactive decision-making.
2. Artificial Intelligence and Machine Learning
Whereas in the past CRE leaders analyzed the data collected by IoT sensors over a period of time to inform future decisions, now they are using IoT sensors along with artificial intelligence (AI) and machine learning to enact change on the spot based on real-time data.
Machine learning is a subset of artificial intelligence that allows workplace management software to more accurately predict outcomes and “learn” how to perform functions using data gathered from various sources, including IoT sensors. IoT technology and machine learning algorithms enable CRE leaders to go a step further and make property decisions before there’s even an issue.
For example, using these technologies, CRE leaders can have their property managers execute intelligent asset maintenance. With intelligent asset maintenance, the workplace management software uses its previous “experience” to recognize an asset has a potential issue. Then it automatically creates a service ticket, long before the asset malfunctions or breaks down. IoT technology and machine learning help CRE leaders avoid costly damage to both the property and their reputation.
3. Optimizing the Tenant Experience
Even though investments in technology by CRE leaders have traditionally been focused on managing buildings, conserving energy and improving operations, there’s a new initiative that’s been picking up speed: optimizing the tenant experience. Both the Deloitte 2019 Commercial Real Estate Outlook and CBRE’s EMEA Occupier Survey Report 2019 identify increased tenant centracity as a priority for CRE leaders this year.
But what exactly does this look like? Here are a few examples
- Installing digital signage to keep occupants informed about important announcements and offer helpful information, such as weather forecasts and sports scores
- Using mobile apps to share announcements about upcoming events and send emergency alerts, instead of sending multiple emails to each individual occupant
- Using wayfinding to help occupants navigating through the building
- Offering an augmented reality experience so potential tenants can visualize the space, personalized for them, before signing a lease
- Embracing the concept of space-as-a-service and using technology to optimize the space based on how occupants engage with it
The impact of technology on corporate real estate is obvious. And as time goes on, technology will become even more entwined with how CRE leaders make decisions.
That’s why it’s crucial for you to stay up to date on the latest real estate technology trends. To hear more about how smart leaders are using technology to enhance the built environment, subscribe to our Workplace Innovator podcast.