The pandemic has had a significant impact on the real estate industry. But the silver lining is that it has accelerated certain trends, and therefore, the future is going to be quite exciting. For example, the demand for real-time geospatial data has increased. Understanding what’s changing around us and then using data to make better decisions has become more important than ever. I think that the change is about looking forward, not backward.
Similar solutions for different needs
On the commercial side of real estate, adding footfall data to Points of Interest (PoI) database can provide insights into the changing patterns of human activity in certain areas. This helps people who are looking to invest in commercial properties and their tenants in retail brands to get ahead of the curve. Today, big commercial players are looking for more granular, up-to-date and forward looking datasets, and almost all of these are location-based.
On the residential side, one of the big changes that has taken place in the last one year is that people have started to rethink about how and where they should live — the impact of an area on their health or the sustainability of their building. Datasets based on such information are becoming increasingly important. From a planning perspective, the opportunity to do things better locally is very significant. In countries like Australia, local governments are looking to implement ideas like that of a ’20-minute city’ — a setup in which one has all essentials within one’s vicinity.
“Today, big players are looking for more granular, up-to-date and forward looking datasets, and almost all of these are location-based.”
Technology as a differentiator
Technology is reshaping the real estate industry. For instance, the much talked about Internet of Things (IoT) is providing good traction to companies; it’s adding measurable value to how buildings are designed and operated. Further, micro-sensors are being deployed to save energy and measure its utilization. Going forward, technology infrastructure and digital connectivity will become a key differentiator for cities, if not countries. This has been the case for markets in Australia, Singapore and the UK, where we operate. It is interesting to see how markets in India and Indonesia will behave. These markets have huge growth potential, especially once connectivity becomes ubiquitous.
Soon, connectivity will become a criteria for certification. Already there are companies that certify buildings based on the quality of connectivity. In a world where children are getting education online at home, the need for strong Internet connection is being viewed as a basic human right. I think this is something to watch very closely, and efforts and investments by governments will be a critical factor.
