Commercial Real Estate has historically lagged behind other industries when it comes to incorporating advanced technology into everyday practices. This reluctance is no longer true. Moving forward, technology for commercial real estate is a must, in large part because of these 3 factors.
Competition has never been more intense in the CRE industry. Demand is high, causing prices for commercial properties to increase. Firms must fundraise, prove they have the best yields and be able to recruit top talent. CRE firms need to have an edge and today, technology is providing that edge. Now it is easy for firms of all sizes to implement technology for commercial real estate that will make an immediate impact. There are thousands of data processing systems, mapping solutions, analytics databases, marketing software, CRM platforms and more. If your firm doesn’t present top technology, you are now lagging behind in the industry.
Demand for real-time information is coming from all ends of the CRE industry: investors, landlords and brokers. Today, there is an expectation to have real-time data. In the past, CRE firms had been taking hours to manually pull portfolio insights from spreadsheets. This is no longer acceptable. Similarly, brokers are demanding mobile resources and apps to use in the field. Leasing agents spend more than half of their time in the field, but don’t have the same mobile technology solutions as other industries, or even counterparts in residential real estate.
You guessed it; the force behind so many institutional changes across the country is also making an impact in the commercial real estate industry: Millennials. The millennial demographic is expected to surpass the Baby Boomers as the nation’s largest segment by the end of 2016. The next generation of industry leaders require different skill sets, that millennials possess: increased collaboration, affinity for technology solutions and increased expectations for service. Millennials are embracing technology that can provide insights and advancements in these areas. In order to recruit top millennial talent, a firm must prove that technology for commercial real estate is a top priority.