PropTech has moved beyond being a buzzword to be one of the strongest innovation drivers for the property industry, according to JLL.
Globally, PropTech tools are providing tangible benefits to the real estate industry in terms of delivering business efficiencies, attracting and retaining talent and meeting the evolving needs of tenants, and the hunt is continuously on to identify the next data transforming development that will give businesses an edge.
With the view that a data-driven, technology-first approach creates value for clients and shareholders, JLL created its global venture fund, JLL Spark, back in 2017.
JLL Spark is focused on identifying early-stage tech firms that are reshaping commercial real estate with game-changing hardware and software developments.
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Earlier this year, Hawke's Bay-based company, Re-Leased, became the first New Zealand firm to be supported by JLL Spark.
Its unique PropTech software integrates with the biggest global cloud-based accounting software companies to deliver seamless finance solutions to organisations.
JLL’s Managing Director, Todd Lauchlan, says that PropTech will revolutionise the industry, and New Zealand is leading the way.
“Firms like Re-Leased are disrupting the status quo; creating greater efficiencies for the property industry globally, and critically, positively contributing to sustainability initiatives. It’s exciting to see a New Zealand-based company leading the way, and JLL is confident in Re-Leased’s potential growth.”
Trends that are hot – and help the bottom line
Globally it seems everyone’s now talking about returning to the office, and technology is being used to increase productivity by creating solutions that enhance productivity and motivate workers.
Products that monitor and analyse usage patterns enable businesses to optimise their office space and deliver better employee experiences as well as cost savings.
Early-stage tech firms that are reshaping commercial real estate with game-changing hardware and software developments are seeing strong gains in terms of customer growth and capital investment.
A great example of this is VergeSense, which delivers a platform that utilises anonymous and contextualised data to fully understand physical space and how people are using it in real-time.
Through a combination of hardware, software, and advanced computer vision AI, VergeSense provides businesses with a fact-based, quantitative understanding of how their real estate investment is being used.
The software captures data such as desk availability, conference room utilisation and shared space use – which can inform commercial decisions and identify potential real estate cost savings.
Some businesses have gained an advantage in terms of the tenant and employee experience by incorporating a human-centred perspective into the technical solution.
Businesses are using the various tech platforms to bring all their core tenant services together including entertainment, resource booking, mobility, visitor management, sustainability and wellness as well as convenience services such as dry cleaning.
These services streamline the workplace experience and provide businesses with usage and sentiment data that can help tailor employee engagement strategies.
In a competitive marketplace, these tenant- and employee-oriented platforms have already shifted from being a ‘nice-to-have’ to a ‘must-have’.
This technology is not just limited to the business realm. Livly is an intuitive, tenant-focused App tool that provides management, concierge and maintenance services for Build-to-Rent apartment residents.
Removing friction points and providing all property services in one place creates a win-win solution of increased tenant satisfaction and property management efficiencies.
Sustainability savings
Tech solutions that help organisations deliver on their sustainability goals are increasingly in demand. Businesses want to measure, manage and lower their energy consumption, water use and waste.
Equally, employees increasingly want to work in buildings that have been designed in a way that is sensitive to the environment and has the certification to prove it.
PropTech solutions designed specifically to help building owners deliver sustainable operations and accelerate their sustainability journey are highly sought after.
Turntide, another company backed by JLL Spark, combines technology solutions to deliver building controls and intelligence that drive down energy consumption – in some cases by more than 60 per cent - to deliver compelling environmental and commercial benefits.
PropTech is no longer the future of real estate. It’s here, and it’s shaping the way we build, manage and engage with our buildings.
Balancing the dynamic between owners, investors, tenants and their staff has always been at the heart of successful commercial real estate. Now we have the tools to remove friction points and collectively generate positive social, environmental and economic outcomes.
- Article supplied by JLL
