Growing Impact of Technology on Real Estate
The EisnerAmper Real Estate Services group held an interactive panel discussion recently in their Metropark office. The program, focused on technology’s impact on real estate, featured Jeremy Halpern, vice president of Atlantic Realty Development Corp.; David Simson, vice chairman, Newmark Knight Frank and Deborah Friedland, managing director in the Corporate Finance Group of EisnerAmper and head of the firm’s Hospitality Advisory Services. Jordan Amin, a tax partner at EisnerAmper, moderated the session.
The panel explored a wide array of topics, from the way technology has sped up the process of closing a deal, including using virtual reality goggles to envision space build outs, and having more information available at quicker speeds, to the management of a property and the increasing need to keep up with technology to attract and retain tenants. Ever changing technology and generational differences are altering what tenants and guests are looking for and expect, touching on every sector of real estate.
It’s hard to believe that just a decade ago, people began paying their apartment rent online, while today, some apartments are moving away from typical keys and using technology that allows you to unlock a door with your phone.
When looking for commercial space, companies are trying to stay competitive with changing work environments and seeing an increase in hoteling, the technological flexibility to work from home, and more collaborative work spaces. Residential tenants are not only looking for adequate space in their own apartment, but for buildings with amenities such as the most up-to-date technology, wellness centers, communal work spaces and conference rooms which are available for tenant use. The hospitality industry has seen a shift in certain consumers desires for smaller pod- or hostel-style hotel rooms, which feature smaller individual rooms but offer larger public spaces with technology areas and social offerings.
The panel discussed the increasing uses of virtual reality for a variety of applications including previewing a luxury resort for a guest as well as larger issues posed by technological advances such as manual labor being replaced by robotics dovetailed with a discussion of how Uber and driverless cars will affect parking needs in both commercial and residential areas.
The speed of change brought on by technology continues to accelerate. Real estate leaders are changing with the times to get ahead of trends and set a course for future growth.