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 | Jan 11, 2021
Zero Energy Buildings growth driven by government policy, stringent codes, technologies
Restraints include high upfront cost, and lack of universal definition and approaches.
Codes and Standards | Jan 11, 2021
HUD releases new Fair Housing Act design and construction requirements
First update of ‘safe harbors’ in 15 years provides better clarity for design and construction firms.
Codes and Standards | Jan 8, 2021
Court ruling gives UpCodes upper hand in fight over building codes database
Battle over IP property claims by ICC and other codes bodies continues.
Codes and Standards | Jan 8, 2021
Houston creates tax incentives for green stormwater elements
Businesses that install green roofs, rain gardens, permeable pavement, and rainwater harvesting are eligible.
Codes and Standards | Jan 7, 2021
Trump’s classical design aesthetic mandate for federal buildings likely to be felt for years
May limit the number of firms that could compete for contracts.
Codes and Standards | Jan 7, 2021
Workers on some of Virginia’s major construction projects sue subcontractors for wage theft
Projects include new General Assembly Building, outpatient facility at Virginia Commonwealth University.
Codes and Standards | Jan 5, 2021
EPA finalizes first major update to Lead and Copper rule
Will accelerate pace of lead service line replacement.
Codes and Standards | Jan 5, 2021
Flood risk for affordable housing expected to triple by 2050
Some communities will have 90% of their affordable housing at risk.
Codes and Standards | Jan 4, 2021
Ranks of remote workers expected to double in five years
Nearly 23% of employees will work from outside of offices.
Codes and Standards | Dec 28, 2020
CSI and ASTM standards can now be connected through a central location
CROSSWALK web service accesses standards specific to projects from feasibility to turnover.
