Commercial Investment Real Estate September/October 2019 | Page 40

Adapt
Die
Four tech experts weigh in on
innovation and its impact on all
sectors of commercial real estate.
by Nicholas Leider
A
mazon isn’t just an online book retailer, just as
IBM was never solely about keyboards and micro-
chips. These companies leveraged innovation to
become global giants that changed everyday life
for billions. With technology affecting commercial real
estate — from multifamily to industrial — the success
stories of tomorrow are dependent on making the right
decisions today.
While no one can predict the future, some have spent
years studying technology and its impact on commercial real
estate. To gauge what’s ahead for the industry, we talked to
four tech experts in commercial real estate: Michael Beck-
erman, CEO of CREtech; Gary Beasley, CEO of online
marketplace Roofstock; Noah Isaacs, co-CEO at Bowery
Valuation; and Nate Loewentheil, senior associate at ven-
ture capital firm Camber Creek.
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September | October 2019
Though much of the corporate world shudders when they
hear the word disruption, Beckerman, CEO of CREtech,
a leading event, data, and content platform focused on tech
in commercial real estate, sees it in less turbulent terms. “I
don’t use words like ‘disruption’ because I don’t think that’s
what is happening,” he says. “I prefer to use language like
‘tech enhancement’ because that is truly the biproduct of
technology’s impact on CRE.”
Viewing technology’s role in commercial real estate,
Beckerman believes it’s not how tech developments change
the nature of business; it’s about who prepares to succeed in
a digitally advanced marketplace. “It’s going to be a tale of
two types of professionals — those who embrace tech and
those who do not,” he says. “Every segment in the industry
will be affected by technology, resulting in increased effi-
ciency, enhanced transparency, and greater access to data.
Those who embrace tech will emerge with greater market
share and profits. Those who don’t will be the laggards.”
New means of communication can change how business
is conducted, says Beasley, CEO of Roofstock, an online
marketplace created for investing in single-family rental
homes. “Real estate used to be solely relationship-driven,”
he says. “Twenty years ago, most brokers didn’t even have a
website; now everyone does. Instead of fighting the current,
be an early adopter and use it to get an advantage over those
who resist change.” Beasely’s online platform allows buyers
to access vetted homes and related data, while sellers can
market homes without disrupting tenants. The personal,
handshake-based way of doing business isn’t the only way
to do business, though communication remains an integral
part of the equation.
Commercial real estate, in particular, may seem like an
industry hesitant to change, especially when so many poten-
tial advancements could disrupt the industry, whether it’s
drone delivery, artificial intelligence, or increasing last-mile
delivery demands. Not every “next big thing” turns out to
be a winner, so resistance is a reality across the industry.
COMMERCIAL INVESTMENT REAL ESTATE
Predicting an Uncertain Future