What do you do if you want to enhance decision-making in Corporate Real Estate using artificial intelligence?

In my experience the biggest value add of AI right now is in the mundane, repetitive tasks, that employees do not enjoy doing, there is a huge opportunity to improve the daily work of real estate professionals - increase their job satisfaction and focus their time and more value add tasks. AI should take over deal scanning, lease reading etc.

Using AI in corporate real estate transcends traditional decision-making. It integrates vast data sources, from market fluctuations to demographic changes, allowing for more precise predictions and strategic planning. This technology helps in identifying cost-saving opportunities and optimizing investment outcomes. By leveraging AI for enhanced data analysis, businesses gain a competitive advantage through rapid, informed decisions that keep them ahead in a dynamic market. Embracing AI is not just innovative; it's a smart shift towards future-proofing your real estate investments.

Data colleagues is the key! With the notion of garbage in garbage out, you need to share more valid data to get a the model trained well.

Data collection is the first and most transactional step in amassing data value. The real challenge is to build data quality over time. In my experience it is most successful where the organization builds a culture of data quality and invests in the journey towards better data value. This includes things such as creation of base artifacts, e.g., a data dictionary; building a data strategy and the systems architecture that enables it, and; embedding human data stewards in the organization who have data caretaking as part of their annual performance objectives. This is a long view approach and will differentiate these players in the market.

Is your analysis telling you what to do next? If it's not, it risks being a very fancy rear view mirror. Instead, the AI can nudge the reader, or even instruct the reader to do something or act. This is where AI creates actionable value.

The predictive analysis is good but it can be the game changer when you make it customised and that is happening only when the buyers or the receiving end of the data risk appetite also being taken into consideration.

We see risk managements as one of the key areas, where workflow automation & AI can significantly save resources and ensure a standardised approach. - Scanning through large chunks of filings, filtering out key information, that would take a human analyst hours can be done in minutes. - Comparing leases, deals, real estate fund documentation to best practise, and custom metrics. - Mundane tasks such as transforming unstructured data such as pdfs in a custom structure that works with the companies in house databank, or excel calculations - it might seem simple, but we believe that here is a great opportunity for AI.

This is an area with tremendous efficiency gain opportunity. Why?Because there are so many relevant variables, nearly infinite options for blocking/stacking/configuration, and creating options has traditionally been very time-consuming. AI powered software can quickly propose a few ideal options. It will still be important for expert “reality checking”. But those experts can review and tweak…rather than create and continuously iterate.

When it comes to boosting decision-making in Corporate Real Estate using AI, it's crucial to team up with cybersecurity experts to keep our data safe and secure. While AI can provide useful insights, it's always wise to double-check the recommendations with human expertise, ensuring we consider the broader context, ethical implications, and the unique nuances of the corporate real estate world. This balanced approach, blending AI-driven analysis with human validation, allows us to make smart and strategic decisions while minimizing risks and staying compliant with cybersecurity measures.

One key thing to remember is that AI & automation is a completely new approach to a very traditional industry. Changing the way things are done is not always easy - even if there is a tangible benefit. Staff and team members have to be on board, and embrace the technology - we do not see a replacement for human analysts - more a differentiation in human and machine automation tasks. Talk to us if you are interested in the topic and want to find out more!