Technology is Making Investing in Commercial Real Estate Easier

Posted on: Monday, September 11th, 2017, under Commercial Real Estate, Real Estate Investing, Technology.

Bob Samii

Commercial real estate investment has always been built on relationships. Traditionally, those relationships were built upon face-to-face interactions and lots of paperwork. Technology is changing that, making investing in commercial real estate all that much easier.

Technology increases organization, boosts efficiency, and helps people connect. Because technology is making investing more streamlined, new investors are empowered to enter the market. They can search for properties online, use online tools to research investment strategies, and even complete transactions online.

Investors can easily form relationships online, and the information that previously took weeks to collect and consider can now be created and examined within a few hours. These trends are helping to attract new commercial real estate investors:

More Data Is Available

The vast amount of data available can save time for commercial real estate brokers and allow them to provide property and market data to potential investors much more quickly. In the past, this data had only been available to professionals and insiders.

In addition, tech-driven investment platforms can help investors more easily find investments because data, insights, and trends are easily accessible and located in one spot. Investors can learn about properties and the market, and make smart decisions.

Details Are Easy to Access

Owners can create detailed online listings that provide potential investors with everything they need to know about properties, including history, location, tenants, and the local market. Technology better enables owners to tell their property’s story and discuss investment opportunities and philosophies.

Technology allows for a clear expression of value propositions and other essential details so that no surprises come up. Technology also enables investors to access information about their properties in real time and on demand.

New investors and a younger generation of investors are more drawn to CRE investing as information becomes more easily accessed online. With information and investment opportunities readily available, investors can build knowledge, and the flow of information and completion of transactions is easier than ever before.

How Good is CRE Big Data? Three Ways to Use Big Data to Your Advantage

Posted on: Tuesday, August 8th, 2017, under Commercial Real Estate, Data, Technology.

Bob Samii

The term big data sounds incredibly complicated, implying vast layers of statistics and trends to translate and then use to make solid predictions. It’s intimidating to those who not only don’t have access to big data, but who are also inexperienced in harnessing its power to make proactive and well-informed decisions.

By anyone’s estimation, though, big data is a valuable tool that reveals new trends and opportunities for those in commercial real estate. In fact, solution providers who give their clients enough content and numbers to navigate through all stages of the buying process are chosen 95% of the time over those who do not. Everyone is potentially accessing the same numbers as everyone else, but it’s the sort of questions these stats prompt that matter.

It’s clearly crucial to understand and use big data. How? Here are a few ways to turn the numbers into sales:

 

  1. Creating a comprehensive site evaluation. Office buildings equipped with sensor technology can provide real-time foot and vehicle traffic statistics and predictions. Such unstructured data, when merged with the property information already available in structured data outlets, creates a strategically tight target to identify appropriate tenants. Also crucial to consider are past price negotiations and loans, the current state of the property, maintenance costs, and policies. Transparent transactions are the goal.
  2. Predicting client behaviors and preferences. Well-researched assessments of a property help targeted buyers make decisions, whether they’re new tenants or currents tenants deciding whether to extend leases. Unstructured data that monitors leasing trends and stays current on related topics appearing on social media streams and via online opinions has a direct connection to identifying focused business opportunities. For example, with insights gleaned from recent increases and interest in shared office space, large offices are now being divided into smaller units to attract start-ups and sole proprietors, bundling shared services all tenants will need regardless of their industries. This is a clear response to predictive unstructured data layered with structured information.
  3. Revolutionizing property technologies. The needs and expectations of potential buyers and tenants are changing on a dime, and the only way to process and implement the most recent developments is by keeping current with big data. Analytics including every important entity in the sales process, as well as the use of smart sensors to manage up-to-the-minute energy resources on property, are necessary to acquiring and keeping buyers engaged.

 

Big data is all about making insider information available to those who formerly had limited access. One of the biggest complaints about big data is that major corporate players with deep pockets have invested in compiling data to be uniquely useful; it’s the governance of the data that gives smaller players pause. Transforming the numbers into meaningful and accessible business intelligence across the commercial real estate industry is the ultimate goal of the new big data. Using its power is the key to enabling innovations in the commercial real estate industry, as well as enabling growth, continued smart development, and profits.

Gain access to CRE Big Data through our innovative platform, built for Commercial Realtors. Sign up today.