Trends are emerging that will disrupt “business as usual” in the commercial real estate market. Dropped your crystal ball? No worries – we’ll fill you in…
Time’s they are a changin’ – redefining this market segment and plotting a new course:
• More general development
In this sixth year of recovery, office, industrial, hotel and residential development are expected to grow as the economy shapes-up, interest rates increase, and access to financing widens.
• Retail stalls, warehouses boom
As e-commerce continues to change the landscape with faster delivery options and the rise of online shopping/in-store pickups.
• Autonomous vehicles and car sharing
Could transform real estate markets – and parking situations. This includes drones and driverless vehicle technology.
• Flexibility is key
The process of identifying space to meet consumer needs (variable schedules, shifting calendars, shared space) will be accelerated due to high demand. Real estate owners should be looking to form partnerships with these shared providers.
• Multi-tasking environments will be in huge demand
Places where people can work/live/play 24/7 – on-site and without the 30+ minute commute. And this re-urbanization is underway globally.
• Rising capital investments
As institutional investors strive to take advantage of these changes and boost portfolios. Mergers/acquisitions will rise, and REITs could go private through buyouts.
• Customer migration to online real estate shopping, sales, and more
Tenants/customers looking for better, faster service will rely on the Internet for more data access (i.e.: who has the space they’re looking for at the best price), as well as the streamlining of property operations (hint: controlling heating and air conditioning systems/costs are only the beginning). Real estate owners must start investigating ways these evolving technologies can improve interactions with tenants and customers now if they want to ensure future success.
Don’t get stuck in the past, look into the future of commercial real estate. Take advantage of the next generation of real estate sales technology. Grow with the changing world with Properties Online today.