Proptech is now mission critical
Technology and innovation improve the buildings Nuveen owns while enhancing their value and potential income for our clients. Technologies that unlock greater efficiencies and value for the real estate industry, known as proptech, were once considered nice-to-have amenities. However, in today’s market, proptech has become mission critical for operations.
Technology and real estate have fundamentally different time horizons. We expect constant upgrades to our smartphone apps and demand far-reaching high-speed internet access, while the real estate lifecycle can span decades. But real estate providers are now expected to provide the same higher levels of customer service delivered in the consumer world.
Proptech drivers at a glance
The real estate industry has come to understand that technology has the power to improve net operating income, grow assets under management and attract and retain top talent. Proptech has been influenced by three primary drivers: consumer behaviors, efficiency enablers and technological advancements.
Real estate practitioners quickly developed technologies to replace in-person workflows during the pandemic. However, once the benefits of such technologies are understood, they tend to have staying power.
To close real estate transactions remotely, agents relied on virtual tour technology, occupiers adapted to touchless access control and e-signatures became commonplace.
Existing technologies and tools are being applied to the built world in novel ways. These tools improve the efficiency of workflows, provide actionable insights to make better investment and operational decisions, and prove critical to managing the carbon footprint.
Consider climate technology. Nuveen is renovating properties with more efficient climate control systems, light filtering windows or solar powered energy generation.
Real estate owners, tenants and investors are demanding more from their properties. New technologies in various stages of adoption may be years away from going mainstream, but real estate practitioners should understand their future significance for the built world.
Blockchain, the metaverse and autonomous vehicles will significantly impact the (not so distant) future of real estate.
In this issue
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