Big data is revolutionizing the commercial real estate (CRE) industry, offering unprecedented pathways to maximize return on investment (ROI). Property owners are leveraging these insights to boost property values, achieve sustainability goals, attract high-value tenants, and make data-driven investment decisions.
At VidTech.com, we explore how big data empowers property owners to stay competitive and capitalize on emerging opportunities in the dynamic CRE market.
Why Big Data Matters in CRE
The intersection of data and property management is no longer a theoretical discussion. Industry leaders are utilizing Environmental, Social, and Governance (ESG) data to optimize their portfolios.
Chris Nunn, General Manager of ESG at Scape, Australia’s largest student accommodation provider, highlights its importance:
“Our investors expect robust ESG data reporting, driving us to optimize assets and reduce utility costs. Big data helps us meet these expectations while enhancing portfolio performance.”
From office buildings to residential rental properties, the demand for ESG data spans all asset classes. Global investors increasingly require transparency in sustainability metrics, pushing property managers to adopt sophisticated reporting systems.
How Big Data Transforms CRE Management
Gathering, analyzing, and utilizing data is key to addressing sustainability and operational challenges. Tools like Deepki streamline this process by consolidating disparate data sources.
Carl Brooks, CBRE’s Global Leader of Sustainability for Property Management, explains:
“Sustainability data comes from multiple sources—energy, utilities, waste, and more. Tools like Deepki aggregate this data, delivering clarity and actionable insights to enhance property performance.”
This clarity helps property owners decide whether to enhance or divest assets, ensuring investments align with long-term goals.
Big Data as a Capital Driver
For companies like Scape, big data has already unlocked new capital streams. By leveraging ESG data, Scape secured a $1.47 billion sustainability-linked loan with favorable terms.
“Achieving our ESG targets saved us $750,000 annually through reduced interest rates,” says Nunn.
The company’s targets included transitioning to 100% renewable electricity and obtaining Green Star ratings for core program assets. Such data-backed commitments enhance a property’s financial appeal while aligning with sustainability goals.
Protecting and Increasing Asset Value
Big data doesn’t just reduce costs—it actively protects and increases asset value. By identifying which buildings require improvement, property managers can focus resources effectively.
Brooks elaborates:
“We prioritize investments in underperforming buildings, protecting asset value and ensuring operational efficiency. Sustainable properties attract higher-quality tenants and maintain competitive rental income.”
In a competitive market, data-driven decisions position properties as more attractive options, safeguarding long-term revenue streams.
Sustainability and ROI in Challenging Times
Economic uncertainty often raises concerns about the feasibility of sustainability initiatives. However, experts argue that delaying action is costlier.
“The question isn’t whether we can afford to pursue net zero, but whether we can afford not to,” says Brooks.
Big data allows property managers to triage portfolios, mitigating risks while identifying opportunities. As the CRE market evolves, data is eliminating guesswork and empowering smarter investments.
Transform Your CRE Strategy with VidTech
Big data is shaping the future of commercial real estate, and VidTech.com is here to help you leverage its potential. Our cutting-edge property video solutions integrate 4K satellite imagery, drone footage, and data overlays, providing unparalleled clarity for your investments.
Whether you’re showcasing sustainable properties or analyzing portfolio performance, VidTech offers the tools you need to succeed in a data-driven world.
Discover the future of CRE with VidTech. Let’s make smarter, data-powered decisions together.
