Commercial real estate owners and operators all over the world are using proptech as the latest weapon in the real estate industry’s fight to be more sustainable. “PropTech,” is the term used to describe the broad application of technology to real estate markets. It refers to the myriad tech companies working to transform the real estate industry, based on a rapidly changing digital landscape and ever-shifting consumption trends and patterns.
PropTech aims to make owning, leasing, or working in a building easier and more efficient for everyone, whether it be through reducing paperwork for property management or streamlining transactions between tenants and landlords.
In this article, we will focus specifically on how property technology offers a unique opportunity to enhance operations while simultaneously reducing carbon and energy footprints at new and existing buildings.
Energy-efficient properties or smart buildings are the structure that uses technology to automate a building’s operations including lighting, heating, and security. Smart buildings increase efficiency to minimize energy waste.
PropTech conserves energy by automatically adjusting the lighting, temperature, and ventilation based on the requirements at a particular time. The research suggests the energy expenditure accounts for almost 19% of the total operational cost of a building. For most of the small-scale and medium-size companies, a 10% reduction in energy can positively impact their profitability by 1.5%.
Understanding and optimizing energy output of buildings is only one of the ways that properties can reduce their carbon emissions and achieve more sustainable operations. There is also a growing need to measure, understand, and eliminate the waste that ends up in our landfills and oceans. Waste management solutions present a great opportunity for properties to reduce their waste at a larger scale and make a substantial impact.
Why Develop Proptech?
Technological innovation has revolutionized several other industries and now we can’t imagine living without Uber, Venmo, Doordash and so much more. The same benefits — streamlined efficiency, better customer experience, simpler processes and of course sustainability — can and should be apparent in the real estate industry. With PropTech, companies are trying to address these pain points and introduce an innovative edge at every step and revitalize existing systems.
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