The persisting uncertainty amidst the pandemic has been causing changes across markets. As players within the property industry adjust to the changing market conditions, the obvious and prevailing factor that facilitates these changes has been the inevitability of using technology. Here are four ways digitalization may transform the property sector:
Growth of e-commerce
Since the start of the quarantine period, a lot of businesses have embraced the use of online platforms to keep their businesses operating. Even after the lifting of quarantine, real estate practitioners, primarily retailers, are likely to embrace e-commerce. With greater demand for online retail, real estate firms providing warehouses are also expected to increase storage capacity and may consider modernizing them to increase efficiency.
Innovation in Property Management
Developers and occupiers have been able to communicate with their clients during the quarantine period through digital integration. Post-lockdown, people are expected to continue practicing social distancing. With this, real estate firms may opt to expand the functionality of their digital systems to offer a more seamless virtual experience for their clients. This may include developers’ adoption of property management applications and provision of virtual tours to clients as an alternative to physical oculars.
Modernization of Building Specifications
As stricter health standards are expected to be followed, landlords carry the responsibility of revisiting their projects and ensuring that they apply the necessary facility adjustments. Some real estate developers may consider integrating augmented reality or virtual reality platforms in building facilities to make sure of lesser physical contacts and to monitor and detect anomalies and body temperatures. While not all landlords are expected to retrofit their buildings with the latest technologies, many are still likely to pursue building upgrades including following LEED and WELL standards to meet end-user needs.
Rise of Data Centers
Compared to other countries in the Asia Pacific region, data centers have not been as prevalent in the Philippines. But with most businesses forced to continue their operations through digital means, heavier internet traffic and larger data usage have become more apparent. As more companies turn to technology to ensure the sustainability of their businesses, demand for data centers or spaces that can house computer systems and equipment can potentially increase.