Irrespective of industry, location or client base, technological advancement is indiscriminate in the wave of disruption it brings. This disruption has become the new norm for businesses, and commercial real estate is no exception.
While the gravity of disruptive forces varies across industries, there remains a unanimous element - technology and more broadly, data. The fusion of technology and data has given rise to a dynamic new sub-sector of real estate, PropTech. Given its far-reaching effects, PropTech has been gaining traction in recent years as one of the biggest game-changing trends in real estate.
But while technology has empowered the rise of PropTech, it is underlying data that will ensure its proliferation in commercial real estate.
Big data goes by many definitions. It refers to a critical mass of data sets. Functionally, it is responsible for gauging predicative behaviour, trends, or customer tendencies.
With the Internet of Things (IoT) and plethora of data available, the real estate sector will continue its race to leverage data. Most visibly perhaps, it will harness data more strategically to optimise user experiences.
So where does the use of data in commercial real estate in Asia Pacific and the globe currently stand? To answer this question adequately, it is important to first understand that the real estate sector cuts across a wide spectrum of property-related operations, ranging from brokerage to property management and valuations to workplace solutions.
Given this background, commercial real estate providers are looking at data sets to build specific solutions and provide more actionable intelligence for clients.
For example, PropTech solutions now extend to harnessing data sets including leasing and sales activity, development site trends, building, asset management data, residential sales and valuation portfolio data.
Digging deeper, more sophisticated workplaces allow users to reserve desks, automatically adjusting the lighting or temperature to individual preferences - all through an app.
Elsewhere, using data gathered from meeting room bookings and office usage patterns emerge, enabling facilities management operators to maximise efficiencies of space.
They will be able to map out peak periods of space usage and shut down power and water supply when they are not in use, or place unused zones in a low-power mode to maximise energy savings.
Considering this, commercial real estate providers are looking at data sets to build specific solutions and provide more actionable intelligence for clients.