Written by: Gracie Criger
Gracie is a student at The University of Cincinnati studying Real Estate. She is currently interning with Colliers | Columbus on the research team. Keep reading for an overview on artificial intelligence and it's positive impacts on commercial real estate.
A concept that is shifting the workplace is artificial intelligence, and it is happening fast. AI is slowly being implemented into the daily lives of most people whether they know it or not. Opening a smartphone with Face ID is enabling AI to see in 3D using 30,000 infrared dots to scan and recognize a face. AI is not new, but it is impacting companies like never before. 54% of executives say that AI solutions have already increased productivity in their businesses. The possibilities for impacting CRE are insightful and beneficial for the near future.
The power to analyze large amounts of data to predict trends in the real estate market, including supply and demand, pricing, and investment opportunities is invaluable to investors. AI-powered platforms can help property managers streamline operations, monitor building performance, and identify maintenance issues before they become major problems leading to cost savings and improved tenant satisfaction. AI-powered chatbots and virtual assistants can provide 24/7 customer support, answering common questions and resolving issues. Additionally, AI can be used to optimize energy usage in commercial buildings, reducing costs and improving sustainability.
One unique way in which AI is impacting commercial real estate is using computer vision technology. This technology allows machines to "see" and interpret images and videos, which can be used in several ways in the CRE industry. For example, it can be used to analyze drone footage to assess the condition of a building's roof or facade, identify potential safety hazards, or monitor construction progress. Computer vision can also be used to track foot traffic in retail spaces or measure occupancy rates in office buildings, providing valuable data to property owners and managers. Additionally, computer vision can be used to analyze floor plans and identify potential design flaws or inefficiencies, allowing architects and developers to optimize building layouts for better space utilization and energy efficiency.
Understanding the impact AI has on CRE is exciting but there is also lots of unknown. Anyone familiar with the processes of CRE knows that is not typically a fast process to close a deal. Introducing high level AI into the daily use of CRE experts, this could change. The ability to analyze large amounts of data can be done at an expert level in record time. Brokers will be able to have the projected economical state of the market figured out based on intelligent recommendations, weeks in advance of needing it. AI has the potential to transform the commercial real estate industry by improving efficiency, reducing costs, and providing valuable insights to investors and property managers.
The second and third paragraphs were written by AI using a software called ChatGPT developed by the company OpenAI, using zero plagiarism.