the world population now connected to the Internet through some form of smart device. What this means for billions of people across the globe is that instant connectivity and ease of use now form an integral part of their lives.
The contemporary consumer feels quite comfortable with using devices and apps to simplify and streamline their work and personal activities. This has led to, among other things, the rise of the gig economy, where temporary work positions allow freelancers to earn money through online work platforms such as Uber or Airbnb. The appeal here is increased flexibility and more control over work hours and income. Consumers use technology to find information, relax, shop, transact, get around and keep abreast of local and world affairs. In short, digital innovation has transformed the way the average consumer now expects to interact with the world; it has served to place the power of choice, autonomy and independence firmly in their hands – something to which they are now very accustomed.
The top disruptive trends in real estate The rumbles of digital disruption have been felt in the property investment industry for some time now. In response, most real estate businesses have moved their services online to cater to a digital market. Online portals with search engine capabilities allow prospective buyers to browse through the agent’ s current listings, based on a selection of specific criteria.
But digital disruption in real estate goes a lot deeper than that. According to the Silicon Valley Innovation Centre and the MIT Centre For Real Estate, the top disruptive trends in property investment include smart buildings, shared space, crowdfunding, big data, fibre optics, the Internet of Things( IoT) and virtual reality( VR).
Smart Buildings Smart, or‘ intelligent’, buildings make use of technology to reduce operational costs, streamline building management, save energy, improve IT infrastructure and increase productivity and security.
Like the Green Building movement, a top priority for the smart building sector is the effective use of key resources, such as water and electricity. Smart LED lighting systems already exist that can measure motion, light levels and temperature and then automatically adjust a building’ s energy use. Lights can be auto switched on or off depending on the time of day and whether a room is occupied.
Further improvements in artificial intelligence( AI) capabilities could very possibly lead to a complete transformation of the built environment, resulting in the development of what some are calling‘ cognitive buildings’. In fact, app-based technology is already being used in Amsterdam in ingenious ways. The Edge is a smart office space that‘ learns’ employees’ schedules, the cars they drive, where they should park and which desks they can use for the day ‒ all through their use of a dedicated app. It can apparently even adjust the temperature and light in an environment based on an employee’ s preference.
Smart Homes One of the biggest draw cards for automation in the residential arena is convenience. Home automation systems( such as those offered by Nuru Intelligent Buildings in South Africa) converge home technology ‒ i. e. media centres, intelligent lighting, geysers, garage doors, surveillance systems and smart irrigation ‒ to work together from one interface, such as a smartphone, tablet or PC. Managing a property is now as simple as the swipe of a tablet screen, all thanks to ongoing developments in property technology.
Shared Space Commercial real estate is being revolutionised by the latest trend of co-working, or shared office space. As the name would suggest, co-sharing environments allow individual professionals and / or businesses to work from one shared office environment. These spaces generally boast all the amenities, including high-speed Internet, conference rooms for meetings or hosting events, kitchen facilities and the like.
This flexible setup appeals to entrepreneurs and small business owners, who do not then have to worry about long term rental commitments, accommodating growing or shrinking staff numbers, or kitting out or maintaining a full office space of their own. A further appeal is that it enables collaboration between professionals across or within industries, as physical boundaries like walls and doors now become obsolete.
A recent BiZCommunity article on developing Africa’ s future cities forecast a“ greater demand [ in South Africa ] for shared space, flexible office work spaces and a mix of fixed and variable spaces from tenants.” It added that lease agreements will“ become more layered, with arrangements for flexible space to meet either peak demands or for meeting the needs of short-term special projects”.
At the Edge in Amsterdam, for example, employees don’ t have designated desks. Workspaces are assigned to employees daily via the app, according to their schedules, which means they could find themselves sitting or standing, in a booth or meeting room, or on the balcony even, depending on the information they have captured in their diaries.
www. reimag. co. za MARCH 2017 SA Real Estate Investor 11