Automation, the use of AI, and disintermediating business models are having major impacts on the commercial real estate (CRE) industry, according to a new report from Altus Group.
The report is based on a global survey of 400 CRE executives at firms with assets under management of at least US $250 million. CRE firms are automating processes or applying AI and machine learning in the following ways:
· 41% of firms are using automation for benchmarking and performance analysis
· 39% for scenario and sensitivity analysis
· 36% for budgeting and forecasting
· 19% are using AI and machine learning for scenario and sensitivity analysis
· 16% are using AI and machine learning for accounting and property management
New business models associated with the sharing economy, co-working, and e-commerce are disrupting the CRE industry by cutting out middle steps and processes to create greater efficiencies. This is evident in financing, funding, and transacting processes.
Related Stories
Codes and Standards | Jul 26, 2017
New ISO standard on video fire detectors will help identify fires more quickly
The standard marks the first comprehensive international specification for this equipment.
Codes and Standards | Jul 25, 2017
Geotechnical solutions prevent building distress due to expansive clay soils
The condition is the most common geologic hazard in the U.S.
Codes and Standards | Jul 24, 2017
Non-union labor gaining ground in New York City
President of contractors’ group says competitive pricing is spurring more open shops.
Codes and Standards | Jul 20, 2017
New tallest tower west of the Mississippi built to stringent seismic standards
L.A.’s new 1,100-foot skyscraper dominates city’s skyline.
Codes and Standards | Jul 20, 2017
Chicago rises to the top of U.S. cities in percentage of LEED or Energy Star office buildings
Certified office buildings reach 66% in windy city.
Codes and Standards | Jul 19, 2017
Economic impacts of climate change will jump over next two decades
Average annual cost to buildings and infrastructure from eastern storms to rise by $7.3 billion.
Codes and Standards | Jul 18, 2017
Energy modeling yields accuracy within 4%, says new study
Results of the study support the usefulness of the practice.
Codes and Standards | Jul 13, 2017
Net Zero Energy rebranded as ‘Zero Energy’
ILF aims to make new certification the sole standard for highest performing buildings.
Codes and Standards | Jul 13, 2017
New York City creates $10 million fund to help women- and minority-owned firms win construction contracts
The money is earmarked for up to $500,000 surety bonds per contract.
Codes and Standards | Jul 12, 2017
New International Building Code allows weather-resistive barriers above 40 feet
Danger of propagating flames now deemed negligible.