Data is being called the secret weapon of all contemporary businesses.
Within the commercial real estate scene, data has become the foundation of the industry’s progress. However, the focus is moving away from data collected from the building’s tenants. Right now, the industry is concerned with data surrounding the building itself.
Nothing is more valuable than data… expect maybe how you leverage it. As data becomes a vital commodity for commercial real estate, we’re all challenged to find better applications for data and analysis.
Here’s how data is expected to become increasingly pivotal for commercial real estate success into 2021 and beyond.
What Kind of Data is Collected?
Data collection in CRE will be spanning everything from operations, utilities, security, tenant movement, and more. In short, if it’s happening in a building, data will be collected.
Improving a building’s efficiency will only be possible through astute data collection and observation. Data allows commercial buildings to be responsive. This enables CRE to begin taking a preventative stance over maintenance, energy usage, and tenant management. By working with data, CRE pros can find perfect solutions to their issues.
Data shows us what we need to know and analysis shows us what we need to do. Shaping data-driven strategies and protocols are the only way to improve a commercial portfolio’s efficiency and profitability.
Helping CRE Cope with COVID
However, those baselines of CRE’s data collection are being expanded in the wake of 2020’s pandemic. As data becomes increasingly important, access to building data will be vital for both owners and tenants – especially in the era of the coronavirus.
Data has an amazing capacity to help us mitigate the risks of COVID. Air quality control, social distancing surveillance, and even predictive tracking of outbreaks are all a part of the new normals of CRE’s data collection. Whether it’s in the office space, retail, industrial, or multifamily, data will play a frontal role in keeping the people of CRE safe.
Data’s Place in the Future
As CRE evolves its data leverage, the role that information plays in the industry is expected to become more centralized. An organized and accessible database of collected information will help commercial real estate adapt to the future’s unexpected circumstances.
Data will be in charge of solving the biggest problems weighing down on the commercial real estate industry. Buildings are pressured to be more sustainable, more secure, and better equipped to operate safely during the pandemic-recovery period.
The end result of data integration with CRE will be a more resilient and stable industry. When individual assets begin flexing their data capacities, the entire network of commercial buildings will become stronger. Better building operations means better buildings, and it’s all thanks to data.
The human mind can’t comprehend everything. Fortunately, data is adding a strategic dose of clarity, helping CRE professionals maintain control even in the face of mass uncertainty.
Don’t underestimate the power data will yield over tomorrow’s commercial real estate arena. Make sure that you’re leveraging your commercial portfolio’s data well to prepare for the coming CRE trends.