Proptech has become one of the most reliable investments property owners can make to boost their properties’ performance regardless of the economic climate, Sylvia Crawford, Senior Director of Marketing Strategy and Planning at Arize, recently wrote for Newsweek.
Proptech continues to become more advanced, allowing building owners to operate their properties more efficiently and less expensively. For example, property managers can use smart lighting and thermostats to manage their buildings’ energy usage. Lighting and temperature setting adjustments can be scheduled based on the time of day, weather conditions and how many people are currently occupying a property. These adjustments can be made remotely, saving property management staff time and keeping energy costs low.
Additionally, proptech has helped extend property tour times. Smart community access to multifamily properties allows prospective tenants to tour available units on their own. The same concept can be applied to commercial buildings, which means staff do not have to stay at the property as long and more tours can be conducted throughout the day.
Embracing proptech can be mutually beneficial for building owners and tenants alike, according to Crawford. It can enhance the overall tenant experience with conveniences like keyless building entry, expedited visitor check-in and automated temperate control. When tenants are happy, they’re more likely to stay put, allowing CRE owners to keep their vacancy numbers down.
“There’s no doubt that renters want smart tech, which means there’s an opportunity for property owners to provide,” Crawford said. “Happy residents are more likely to renew their leases, which bodes well for your retention rate, occupancy rate, and bottom line.”
Proptech could also be one of the biggest differentiators CRE owners have at their disposal to help them stand out from their competitors. The combination of seamless, reliable in-building wireless connectivity and effective proptech can boost property management and provide tenants with great experiences. Location remains the top priority for prospective tenants, but after that, they will likely want to lease an amenity-laden building where they can most effectively operate. The CRE owner best equipped to make that happen will most likely secure the tenant.
Getting the most out of proptech
It’s not enough for CRE owners to just embrace proptech. It also has to work properly if it’s going to enhance building operations and tenant experience. That’s why Crawford recommends having devices that can connect to the same network, but also work well with each other. Having proptech devices that are compatible and that CRE owners can control from location is key to providing tenants with the features they want. It also allows for more efficient property management.
Steps CRE owners can take to ensure they’re making the most of their proptech include accessing their property’s needs, researching different technology solutions to find what will work best for their building and putting together a phased implementation plan that allows for tech solutions to be deployed gradually for a smooth transition and minimal disruption.
CRE owners should also educate tenants on proptech’s benefits, train building staff on the technology’s features and keep up with proptech advancements to maximize all that proptech can do, Crawford said.
“The time to embrace smart tech is now,” she said. “The benefits are clear — from operational efficiencies and energy savings to improved resident satisfaction and retention. Proptech is not just a trend; it’s a strategic tool for long-term success. Taking the initial steps towards implementing proptech can position your property for success in the digital age.”