Commercial real estate investors and their leaders are optimistic about the industry, but they’re also concerned about inflation, rising interest rates, and a potential recession. A possible solution… commercial real estate technology or “property technology”, which is also known as “proptech” software.
A Software Solution for CRE
Property technology can be a range of solutions that improve how real estate is developed, marketed, managed, and occupied. The industry tends to lag technologically, but factors have accelerated adoption in recent years.
Digital Transformation
Need for Efficiency & Sustainability
Advancements in Technology
Consumer Preferences
Commercial Real Estate Investors Take Notice
Commercial real estate has begun to look at occupants more like customers, as evidenced by emergent business models like real estate as a service. Property operators need innovative ways to enhance user experiences while improving operational efficiency and sustainability. Today, with the rapid pace of innovation, property technology streamlines operations, increase energy efficiency and address occupants’ current and future needs.
4 ways digital marketing can drive growth
Digital marketing can help property owners reach a wider audience, improve brand visibility, and generate leads.
1) Virtual tours and 3D renderings of properties that help potential occupants to better understand a property’s layout, condition and amenities 24/7—without leaving the house. Because digital tours and renderings can showcase properties under construction, they can also help real estate professionals line up occupants in advance of properties’ openings.
2) User-friendly online platforms allow potential occupants to search and filter listings to find properties that meet their needs. Digital platforms may help increase listings’ accuracy and transparency, giving potential occupants a more complete view and understanding of the property.
3) Predictive analytic tools that use past and present industry data to drive informed decisions. For example, by analyzing supply and demand trends, local market dynamics and consumer behaviors, these tools can help property owners and operators hone their marketing strategies and determine property pricing.
4) AI-powered chatbots and other digital customer service tools can quickly respond to inquiries. The tools can help increase efficiencies, streamline communication and provide potential occupants with the information they need to decide if a property is right for them.
Optimize Performance of Smart Buildings
Property technology will continue to accelerate the smart building concept, which use advanced technologies to monitor, control and optimize their systems. New software solutions can also help buildings become more energy efficient.
Accelerate Decarbonization: Automation and energy management systems can help reduce buildings’ carbon footprints. For example, the systems can adjust lighting, heating and cooling based on occupancy, weather conditions and other factors. Other tools can monitor the health of a building’s systems to provide predictive maintenance needs, which may also reduce costs.
Improve Occupant Comfort: Smart buildings can create a more comfortable environment by monitoring indoor air quality, temperature and humidity levels and adjusting them as needed.
Enhance Security: More robust, proactive security solutions, such as AI-powered video surveillance, remote monitoring, mobile credentials and cloud-based access control, can help increase occupants’ safety, limit owners’ liabilities and streamline building operations.
System Connectivity: Interoperability across building devices and systems can help property managers operate more proactively. New solutions provide a holistic, 24/7 view of the property and systems so preventative actions can be taken.
Improve Operational Efficiency
According to recent surveys, nearly a quarter of real estate leaders plan to optimize operations. New software and solutions can help streamline tasks such as rent payments, security deposits, maintenance requests, vendor management, and communications.
For property management, in particular, the current environment has exacerbated the long-standing issue of employee turnover. Increased costs in retaining and hiring employees continue to drive up business costs. Technology can improve efficiency and automate many routine or mundane tasks. By utilizing new technology, commercial real estate investors can reap benefits by attracting and retaining occupants.
- Improve productivity through increased output directly from automated tasks, allowing employees more time to focus on complex tasks and help occupants.
- Save money by streamlining processes to help reduce errors and decrease the risk of fraud.
- Use a centralized source of data with robust analysis and prediction capabilities to make informed decisions.
- Enhance communication and transparency with vendors, occupants, investors and other stakeholders.