LONGEVITY VS. LIQUIDATION

3 WAYS SENSOR TECHNOLOGY TRAFFIC COUNT DATA IMPACTS RETAIL STORE SUCCESS

Traffic Count

 

Of the many factors to consider when measuring the success of your retail store, it’s incoming traffic count data should be at the top of your list. The right location greatly influences business potential, but is more often than not overlooked by planners and brokers alike. This is where pedestrian and vehicle counts comes into play. Clear analytics on what your competitors miss effectively removes ambiguity and improves your chances of long-term success.

 

Let’s go over a few applications on how the right data can help you:

 

#1. IF YOU’RE A PROPERTY OWNER

Finding a good mix of tenants is important; however, maintaining long-term occupancy is a whole other challenge. After all, tenant success is tied to the business opportunity factor your space provides. Sensor traffic count data can help a tenant understand the value of a location, as well as their profit potential, based on quantifiable metrics. Keeping this information on hand allows you to engage in more authentic conversations that can result in your property leasing faster– and at a higher dollar amount, too.

 

#2. IF YOU’RE A PROSPECTIVE TENANT

Think about your marketing campaigns and visual display messages. They may be influential in driving shoppers to your location, but are you converting them when they walk in? It’s important to know how and when to staff employees accordingly. Comparing vehicle counts and pedestrian traffic, from inside and outside of one or multiple locations, can help you to determine why people walk in at the times they do and to run promotions when customers are most likely to see them.

 

#3. IF YOU’RE AN ANALYST

You’ve heard the phrase “time is money“. So, how much are you spending on spotting and evaluating your business trends? If you’re focused on maximizing revenue, connecting the dots has never been easier. Sensor technology with computer vision helps you to not only forecast day-to-day patterns, but also to leverage them by making quick adjustments on predictions as needed. Set the best business hours to yield the greatest opportunity for sales.

 

Want to know more applications specific to your business, reach out to us and schedule a live demo. 

5 CRE Trends to Watch in 2016

wcuall_crystalcityretail_hero_1456814107

Technology for commercial real estate has been picking up steam, with more and more apps and platforms designed especially for the industry. Millions in venture capital are being invested in the development of solutions to problems and obstacles to progress in commercial real estate. Technology is making us more efficient and productive in all areas, including customer relations, transactions, property management, project underwriting, and finance.

If the activity of the past year is any indication, we can expect the growing use of technology to continue into 2016. Look for developments that make us more effective communicators, record keepers, and dealmakers. At the core, our industry is still all about making connections, and the best digital tools for commercial real estate enhance that goal. We’ve chosen five areas that we expect will continue to be important in 2016.

Big Data

The power of big data is just sinking in for many of us. It’s helpful that this is not something you have to tackle on your own. Data analytics services like LoopNet, Compstak, Real Capital Analytics and Reis, Inc. tame the data waves and provide immediately usable figures on a tremendous range of market factors. Brokers are finding access to this information to be incredibly useful in understanding nuances of the market and in providing better customer service.  The idea of using data is not new, but being able to harness such massive amounts of data is. New approaches and ideas continue to develop, and big data will loom large for commercial real estate in 2016.

Crowdfunding

This approach to project funding and investing has taken commercial real estate by storm, and shows no sign of slowing. It’s predicted that over  $2 billion in capital will be raised via crowdfunding for real estate projects this year, a figure that has doubled since 2014. The number of crowdfunding sites devoted to real estate continues to climb. Recent reports put the number at 85 active sites in the U.S., but that number has likely grown since this post was started.

This type of transaction is popular for a lot of reasons: it puts projects in front of huge pool of qualified investors, often gets projects funding with blinding speed, and makes transactions efficient and transparent. Investors like it because they have unprecedented access to deals in what was once a game that only institutions and the immensely wealthy could play. We look for crowdfunding to continue to change the way we do business in 2016.

Drones

Drone technology is here to stay, and new uses for these flying photographers are being dreamed up daily.  The real estate industry is exploiting this technology in some innovative ways. Drone images can be especially useful in selling or developing large commercial properties. An aerial view is the only way to get a really clear picture of a large site and its relationship to surrounding structures and roadways.

Drones are useful for structural assessments as well. They can be sent into tight places to uncover issues with structure, plumbing, or HVAC that would be invisible otherwise. New FAA regulations are set to be in place by September 30 that will clarify rules for commercial use of drones.  We expect this to create more possibilities for this technology and its use in commercial real estate.

Sensors

Sensor technology is another important tool with myriad applications. City planners have known for years the value of understanding pedestrian and traffic patterns in a given location. They are critical for planning optimal use of a space and for ensuring public safety and convenience.

The real estate industry, particularly the retail segment, has begun to apply this technology with great results.  Sensors have great ROI and set-up is simple. Services like Motionloft provide support and gather and aggregate data, so property owners or managers can access data at will and provide useful reports to tenants and other interested parties. As this strategy becomes better known, we expect to see it widely adopted in the business in 2016.

Mobile Everything

Finally, the ubiquity of Smartphones dictates that virtually every application has a fully functional mobile component. Our customers expect it, our competitors have it, and if it’s not mobile we don’t want it.  This is a trend that has tremendous staying power for commercial real estate.

Did we miss any critical trends? What do you think will be big this year?

 

Case Study for Integrated Analysis – StreetLight Vehicle Travel Metrics and Motionloft Pedestrian Sensors help the Great Wall of Oakland Analyze their Viewership

This analysis was done in conjunction with our friends at StreetLight Data. Thanks to them and to the team at Great Wall of Oakland. Also thanks to Ozumo restaurant and The Broadway Grand apartments for donating the location and powersource for the MotionLoft sensors.

The Great Wall of Oakland is a non-profit organization and a 100′x100′ projection installation in Oakland’s Uptown District. The Wall produces monthly projections of media art along with contributing to the economic and social health of Oakland and supporting artists in developing new work. The Wall, as it’s known by its friends, educates and enlivens the urban community, gives talented local artists a prominent place to screen their work, and to enriches the lives of the people who live and work in Oakland. As a free outdoors arts venue in the heart of Oakland, the Great Wall serves an extremely diverse population.

But the question emerges – how many people are educated and enlivened, and just how diverse is that population anyway? These questions are of more than passing interest – many art grants organization require estimates of how many people see the art they will be financing. The Wall’s prominent outdoor location makes this uniquely hard to measure (as opposed to say, a gallery location). Wall executive director Andrea Steves said, “We are working hard to increase our programs and positive impact in the community. But our great strength – being outdoor for all to see – also makes it tough to quantify the full impact of our work. In addition to funders wanting this information, we want to make sure we’re actually in the best location and showing at the best time – and that our projections are reaching as many people as possible.”

 

The Problem

The Wall, shown in Figure 1 below, is lit up with digital art one night a month. Both pedestrians and vehicles can see the art on The Wall these nights. To maximize viewers, The Wall’s shows are in conjunction with the Oakland Art Murmur which shuts town Telegraph Avenue to vehicular traffic each First Friday and hosts open gallery tours, street vendors, outdoor music, and more. The Wall is on Grand Avenue, just beyond the edge of the Art Murmur pedestrian zone (see Figure 2).

The challenge to measure viewers is threefold – first, pedestrian counts for specific times are very hard to get especially to compare First Fridays to other days/times. Second, ditto the pedestrian problem for vehicles. Third, The Wall staff has no way to assess the demographics of the viewers except to know from experience that people come from all parts of the Bay Area to visit Uptown Oakland during First Fridays.

Screen Shot 2016-01-26 at 9.41.13 AM

Figure 1: The Wall showing art, as seen from above.

Screen Shot 2016-01-26 at 9.41.47 AM

Figure 2: Map of Great Wall of Oakland and First Friday Art Murmur locations.

 

The StreetLight + Motionloft Solution

Two types of technology were used to create this study. Motionloft computer vision-enable sensors to count pedestrians, and StreetLight InSight® GPS analytics technology. Motionloft installed four sensors around the Great Wall, and StreetLight utilized anonymous GPS traces from tens of thousands of vehicles around the Great Wall to create these analytics. (Motionloft and StreetLight donated the analytics/sensors to the Great Wall for the purposes of understanding viewership.)

Motionloft installed four sensors near The Wall, as shown in Figure 3. Only counts from the three starred sensors were used. The fourth, on Broadway, was installed to see how much foot traffic is “lost” from Broadway. These sensors collected data for several months, allowing us to compare “First Friday” activity to other Fridays and other weekdays for November and December of 2015.

Screen Shot 2016-01-26 at 9.42.15 AM

Figure 3: Screenshot from the MotionLoft platform showing the locations of pedestrian sensors and counts for one section of an evening.

 

Though First Friday is a pedestrian event, vehicle analytics matter for two reasons.

  1. Drivers on Grand have a great view of the Great Wall, especially in slower First Friday traffic
  2. Many First Friday “pedestrians” drive to the region and park nearby

Thus, StreetLight ran two analyses – one counting vehicles that pass in front of the Great Wall, and the other looking at the characteristics of these drivers as well as those who park in the First Friday region – where are they coming from?

 

The Findings

The pedestrian sensors created many valuable findings. First, as shown in Figure 4, below, on a typical First Friday, The Wall is visible to ~4500 pedestrians. This is a 170% increase compared to a normal Friday.

Screen Shot 2016-01-26 at 9.43.31 AM

Figure 4: Total Pedestrians who can view The Wall on First Fridays compared to other Fridays in November and December.

Screen Shot 2016-01-26 at 9.44.30 AM

Figure 5 – Average hourly pedestrian wall viewers for November and December by day of week and time of day.

 

In addition, as shown in Figure 5, Fridays evenings are always the busiest night-time hours for this location. Saturday evening comes in second. It is also to interesting to observe that the peak during lunch time on Wednesday and other weekdays is higher than the typical Friday night (though doesn’t last as long). If there are opportunities for The Wall that don’t need darkness to be visible, Weekday lunch could be a great future opportunity.

Finally, as shown in Figure 3, there are lots of potential viewers on Broadway who don’t make the turn down W. Grand. Similarly, lots of pedestrians make it as far as the Starbucks but not all the way past The Wall. The Wall is visible from the Starbucks door, and somewhat visible from the corner of Broadway and West Grand. This finding shows that sign boards at these two locations explaining the amazing art just a few steps away could be a good investment to drive up viewership.

The vehicular analysis also yielded many useful results. The first analysis looked at drivers passing in front of the Great Wall during the shows. We found that despite the nearby road closures, each First Friday between 4500 and 5500 vehicles can view the wall between 5pm and 11pm. This is a 16% increase over typical Fridays. While vehicles may contain more than one person (thus more than one “view”), it is also true that some drivers don’t look at the wall while driving so we did not adjust for occupancy. We note that the many stops due to crosswalks and stoplights just next to The Wall make it likely that everyone in the car will see the art.

Screen Shot 2016-01-26 at 9.45.08 AM

Figure 6 – Vehicle viewers on First Fridays versus other Fridays in late 2015.

 

Next, we pulled the Pedestrian and Vehicular data together to see how viewership compared on First Fridays during the evening. As shown in Figure 7, vehicle viewers dominate in the early hours while Pedestrians are higher in the later hours. This can be useful with thinking about the timing of different elements of shows.

 

Screen Shot 2016-01-26 at 9.45.35 AM

Figure 7 – Share of viewers by hour of the night during First Fridays.

 

Lastly, as shown in Figure 8, we analyzed the origins of visitors to First Fridays. We only looked at visitors by vehicle, thus missing visitors who bike and transit to the event. We found a significant spike in parking events in the vicinity. In addition, the event draws a different type of visitor. Figure 8 shows the ZIP codes of origin for vehicular First Friday visitors. Trips originate from throughout the Bay Area, including lower income parts of West and East Oakland as well as Fremont, as well as across the Bay in San Francisco (and go beyond the map, which we zoomed in to be a little more legible). This shows the wide economic and geographical reach of public art viewed during First Fridays.

 

Screen Shot 2016-01-26 at 9.46.05 AM

Figure 8 – ZIP codes of origin for First Friday visitors who drove and parked in the First Friday district.

 

Figure 9 shows the difference in this trend for First Fridays compared to other Fridays. The darker orange the zip code, the more likely someone from that ZIP code is to go to the Uptown district on First Friday compared to a normal Friday. White ZIP codes are about the same. Purple ZIP codes means a First Friday visitor is LESS likely to be from that ZIP compared to a normal Friday visitor. As this map shows, First Friday pulls a different crowd – especially more people from West Oakland – a mixed income neighborhood, downtown San Francisco, Berkeley (especially UC Berkeley) and other more distant ZIP codes. In other words, First Friday pulls an even more geographically distributed crowd than a typical Uptown Friday and the Great Wall is seen by folks from all over – West Oakland, downtown San Francisco, Marin, Berkeley, and more..

 

 

Screen Shot 2016-01-26 at 9.47.36 AM

Figure 9 shows the difference in this trend for First Fridays compared to other Fridays. The darker orange the zip code, the more likely someone from that ZIP code is to go to the Uptown district on First Friday compared to a normal Friday. White ZIP codes are about the same. Purple ZIP codes means a First Friday visitor is LESS likely to be from that ZIP compared to a normal Friday visitor.

Next Steps

StreetLight and Motionloft will continue to explore applications of combining our technologies and analytic approaches to help clients. For The Wall, this report will be used to help in fundraising. Finally, we’ll help The Wall analyze other potential locations for new Walls and installations, gauging which ones could have the biggest impact on the community.

We welcome comments and questions at this link. Also be sure to check out new shows at The Wall if you’re in the Bay Area!

Top Five Holiday Shopping Days of 2015

Though many reports have stated that shoppers are making more online purchases this holiday season, at Motionloft we are still seeing a steady flow of consumers who head to the shops, but what days can retailers expect the biggest rush?

When we looked closely into individual shopping days nationwide, we were not surprised to see that busiest shopping day in retail centers is still Black Friday (Nov 27th) as shoppers take advantage of retail deals. However we were interested to see that several subsequent days hit similar traffic volumes- within 85% of the traffic that what was seen on Black Friday. We also see a significant last minute rush right before the Holidays. Below you’ll see the top five busiest shopping days of the 2015 season.

Screen Shot 2016-01-07 at 5.35.30 PM

No surprise that three of the top days are the days closest to Christmas. Many consumers still procrastinate, and delay their shopping until the last minute. Online shopping does not allow for this level of procrastination due to shipping constraints. We also see that many customers leverage their weekends in Mid-December to stock up before the big rush in almost as many numbers as Black Friday itself!

There is no doubt of the impact of online shopping to omni-channel retail sales, and traditional shopping patterns to brick and mortar locations. Therefore having access to real-time pedestrian traffic data during the holiday season becomes even more imperative to retailers and property owners alike. This data enables them to understand volumes, track year over year changes, and ultimately better prepare and serve that traffic to maximize revenue during the holiday season.

3 Ways Pedestrian Counts Can Change Our Cities For the Better

Technology is a constant in society, and enhances our lives in ways we’re not aware of every day. The use of sensor technology to monitor pedestrian, bicycle, and vehicle traffic, particularly in central business districts, is an important part of city planning and design. It can inform a range of decisions for city government as well as private businesses.

The American Planning Association endorses the use of pedestrian counts for all types of city planning considerations. According to this group, the counts can be applied to improving city centers in 3 areas: mobility, safety, and pleasure.

 

Mobility

How easily pedestrians can move around in the city depends on several factors:

Conflicts with vehicular traffic – here pedestrian counts are very useful in determining where to install traffic lights, and determining the signals’ timing as well as whether to include pedestrian prompts, such as the Walk or Don’t Walk signals. A low pedestrian count at an intersection might be used to justify installing a flashing light rather than a timed traffic signal.

Sidewalk congestion- an overly congested sidewalk can force people to slow down or spill over into the street.  Pedestrian counts help planners avoid this issue by providing sidewalks of appropriate width, based on the typical traffic for the area.

Availability of pedestrian routes- Using land inefficiently can cause pedestrians to take longer routes than necessary to their destination. Pedestrian counts help planners identify destinations and provide optimized routes to get people where they want to go, safely and efficiently.

 

Safety

The most important factor in pedestrian safety is the amount of conflict with vehicular traffic.  Pedestrian counts can be used to study how people are responding to traffic signals. They’re also used to compare the rate of pedestrian and vehicle accidents related to the sidewalk traffic at a particular location.  They can tell planners whether a given intersection has a greater than average percentage of jaywalkers, which indicates that improvement is needed to make that crossing more efficient and safe.

A great example of the use of data to improve safety is the Vision Zero Initiative, a multinational effort that focuses on reducing pedestrian and vehicular fatalities.  These efforts look at how traffic calming and rerouting projects can impact pedestrian and vehicle traffic trends, and ultimately what patterns might be higher or lower risk.  Deployment of pedestrian counting technologies like Motionloft can surface these patterns in real-time.  

      

Pleasure

Being a pedestrian can be a very enjoyable experience, if the district is well planned.  How the routes are laid out can greatly enhance the pleasure and comfort of walking in the city. Things like canopies, trees, and artwork are strategically placed using information that includes pedestrian counts.

 

Screen Shot 2015-11-18 at 3.41.07 PM

City Garden, St Louis, MO

 

A great example of a well planned public space is the City Garden in St. Louis, MO.  The park design took careful consideration of utilization of space by taking pedestrian counts, and in-person observation methods to appropriately design the placement of art pieces and the parks lighting.  By taking these factors into consideration the city created a public space that naturally invites visitors to enjoy its space.

Data on pedestrian, bicycle and vehicle traffic is becoming more widely available, and it’s useful in many areas besides city planning. Management of events that temporarily increase congestion in a given area is made much more effective when these counts are considered. Businesses can make better decisions when they’re selecting locations for retail stores.

Cities use pedestrian counts to help determine downtown property retail values, and chart their overall rise and decline as well. For private business, the uses for this type of information are just starting to be explored. It is already an important tool for planners, and probably has an effect on each of us every day, whether we’re aware of it or not.

 

Motionloft Expands Presence to Mexico

Screen Shot 2015-10-23 at 3.38.24 PM

Motionloft has gained a full service sales office in Mexico City as well as extended coverage to over 18 states in the country of Mexico with the relationship of newly created Motionloft MX (MLMX). The Motionloft global solution has installation, connectivity and immediate data delivery to a new market and client base.

In addition to the applications used by the United States customers of property owners, retailers and cities, Mexico offers unique opportunities with shopping centers, public government and private infrastructure.

“Motionloft Mexico has an incredible opportunity in three main sectors, FIBRAS (REITS); global retailers, and businesses whose income depends on understanding traffic flow of people and vehicles,” said Eduardo Neuman, founder of MLMX.

Since the 2010 authorization for FIBRAS (REITS), Mexico has experienced a real estate boom in shopping centers all across the country. In Mexico City alone, with over 20 million inhabitants, there are more than 6.5 million square meters (65 million SF) of commercial space, 33% of the national total. Infrastructure in Mexico uses private businesses for public parking lots, and highway toll booths. Motionloft technology can replace the current manual solutions used, with great accuracy and real time data. For government applications, Motionloft will provide studies to determine traffic patterns in order to provide the basic public services such as housing, public transportation, metro and hospitals.

“We’ve created an opportunity for organizations to see a dashboard view of what’s happening around them,” said Mark Cuban, American businessman, investor, and owner of the NBA’s Dallas Mavericks. “Combining our advanced analytics systems with the exploding need in Mexico creates a game-changing solution for counting vehicle and pedestrian traffic.”

Why You Should Care About the Lack of Pedestrian Data

 

2gsHa9i6zZ

Our industry is, at its core, about people and how they use space. This fundamental idea drives our quest for information that will aid us in making the best decisions to move the business forward.

One area that is getting increased attention is the importance of an accurate picture of traffic around a given property, be it retail, office or residential. Understanding peak times as well as where the people are coming from can inform decision-making and help avoid costly mistakes.  Traditionally, vehicle traffic is the most commonly counted, and this task was left to local government and departments of transportation.  Although the data might be accessible to business, they are usually not kept up to date and do not accurately reflect traffic volumes in developing areas. Another aspect of an area’s traffic –pedestrian activity- has mostly been overlooked and certainly under-utilized by commercial real estate.

A 2014 Transportation Research Board report echoes the sentiment that a lot of valuable information is being missed when we fail to monitor pedestrian traffic:

“Many potential sources of pedestrian and bicycle volume data are not being used. The feasibility of using these sources, including addressing privacy and security issues and extrapolating to estimate 24-hour counts and annual counts, needed to be investigated. Once investigated, guidance for practitioners on the use of existing, new, and innovative methods and technologies could be developed.”

According to the report, non-motorized (including pedestrians and bicycles) traffic is different from vehicle traffic in these ways:

  • Volumes are more variable than motor vehicle volumes –this makes estimation much more difficult.
  • Trips tend to be shorter and for different reasons
  • Motor vehicles are easier to detect
  • Less work has been done in pedestrian counting than motor vehicle counting, and technology is more limited.

Government entities and other groups find pedestrian counts useful in tracking changes in activity over time, assessing the impact of new infrastructure, prioritizing projects, and understanding networks and potential volume for transportation. These same topics are useful in commercial real estate planning and development, and can inform decisions relating to investment and transactions as well.

Local and state governments recognize the importance of accurate pedestrian data to complete and informative data collection on a given area. It gives the real picture of how people use the city space and makes it easier to plan effectively and improve the area to benefit the people who live, work, and play there. It is the same for commercial real estate. Many of the considerations of city planners and transportation analysts are also important in our industry, and a lack of data puts us at a disadvantage.

Fortunately, sensor technology has developed rapidly over recent years, and it’s become a viable option for commercial real estate professionals as well as government entities. Around the clock, instantly available statistics are tremendously valuable, and sensor platforms like Motionloft add value to the data. They handle software and device maintenance, prepare reports, and provide comparisons between multiple properties.

In a world where knowledge is power, using technology to automatically generate the information we need to excel makes good sense. As the importance of pedestrian data to understanding the overall activity in an area becomes clear, look for continued improvements in services that deliver that knowledge in an efficient and usable way.

 

ICSC Western Conference Recap: What You Missed

IMG_3671

We’re just back from an invigorating trip to San Diego for this year’s Western Conference and Deal Making, presented by the International Council of Shopping Centers. It was our first time participating in this conference, and we’re glad we could be there. Motionloft had a booth in the Convention Center, and a lot of our current clients stopped by to say hello. San Diego was a beautiful site for the conference, and the programs were excellent!

This conference is a gathering of people from all segments of retail and it’s a terrific opportunity to meet face to face with clients and partners. With an estimated attendance of 12,000, it ran from Wednesday through Friday, and was packed with knowledgeable speakers and a wealth of networking opportunities. Special Industry Group sessions focused on Retail and the Next Generation, Finance, and Alliance. There were sessions on omni-shopping, accounting, specialty leasing, and more. An especially interesting session for us dealt with tools that cities and real estate developers could use to fully utilize sites for potential developments. The panel included both city officials and real estate professionals interested in making the most of underused urban spaces.

These two groups seem to be collaborating more with property owners, working toward the shared goal of attracting more retail to urban areas. We saw a significant number of municipal groups and city representatives at this year’s conference. This sort of partnership is ideal for gathering and effectively using the kind of data that we collect. Traffic and pedestrian counts are powerful indicators of site potential and optimal use. With the involvement of municipal groups the effort can be well coordinated and more useful overall.

Much of our time at the conference was spent in meetings with retailers, property owners, and municipalities. We had some great conversations with leading CRE professionals too; everyone seemed excited by the networking opportunities at the event. Some of the best discussions were serendipitous meetings at our booth in the conference hall.

We set up 3 sensors (naturally) at our booth, and gathered live data throughout the show. Motionloft had 5,253 people pass by our booth in total on both days with 4,136 on Thursday and 1,117on Friday. It was great to be able to use these operating sensors to describe our service to visitors. Real estate brokerage JLL also used our sensors at their booth, to monitor the traffic passing and entering their conference booth.

Based on our conference experience, we expect to see city planners and property owners working closely to make the best possible use of urban spaces. They’re utilizing data and digital tools to guide decision-making, and we think the process will continue to improve as input from everyone involved is taken into account.

The Western Conference was a success for us, and we look forward to returning. There is nothing like gathering and networking with your industry to get your ideas stirring and enthusiasm renewed. There was a lot of interest in our products, and we’re excited about moving forward with new projects.

 

The Real Estate Industry’s Love/Hate Relationship with Technology

ou73Q5Y7ThYou may be reading this on a tablet or phone, and you may have integrated technology into your work with great success. Still, the real estate industry overall, and commercial real estate in particular, is notorious for being reluctant to adopt new technology.

Part of the issue may be the sheer size of our industry. Commercial real estate in the U.S. represents around $15 trillion in assets, and involves a wide range of professions, from brokers to banks to builders. This sort of sprawling industry can certainly benefit from technological innovation, and many are finding tools to improve performance and efficiency. It just takes time for the idea to get around in many cases. Once a product is seen to be useful to others in the field, people tend to hop on board, but most are not interested in being the first to try a new technology. People are busy. Finding good tools takes time. Learning new technology can be frustrating.

One of the ten major points of 2015’s Emerging Trends in Real Estate report from Urban Land Institute is our industry’s “love/hate relationship” with technology. The discussion suggests that this will intensify, but at the same time mentions that there is less fear of disruption. The industry is beginning to look ahead to new technologies being developed to determine what opportunities they will present rather than focusing on potential problems.

Meanwhile technology is changing the way that space is used and how we think about location.  Commercial real estate professionals are beginning to take advantage of the wealth of data that tech tools can provide – detailed information on markets and individual properties, easy and concise property comparisons, and services that package data for ease of sharing and analysis.

There’s no avoiding technology in any business, and we can view it as an obstacle or an opportunity. Time spent exploring tools that have potential for improving efficiency is not wasted, and will pay off in the future. Still, it’s important to be selective and rely on expert guidance to save time.  Read up on what industry leaders are using and make it a practice to keep your eye on developing applications. Events like CRE/Tech Intersect are devoted entirely to showcasing and discussing new technology for the industry. Even if you can’t attend, the information is there for you online.

While commercial real estate’s relationship with technology is not quite where we’d like it to be, it appears that the industry is becoming more comfortable with seeking out new tools that meet our needs, and in response there’s a lot of work going on here at Motionloft to create technology that’s customized for CRE professionals.