New research reveals sustainability is seen as the biggest future trend in European real estate
24. June 2021
- More than a third (36%) of real estate asset management professionals think sustainability is set to be the biggest industry trend
- 87% of real estate professionals want to invest more in technology in the future
- Lack of knowledge about technology (48%) and a lack of understanding about its true benefits (45%) are the main reasons why the industry is lagging behind in digitisation
- Lack of communication is seen as biggest challenge across the sector (35%)
London, 24th June 2021 – New research about the trends, needs and challenges in real estate asset management undertaken by Drooms, the leading provider of virtual data rooms in Europe, reveals sustainability is set to be the biggest area of development for the sector in Europe. More than a third (36%) of European real estate professionals identify sustainably managed assets as the most likely significant future trend.
Other key trends identified by respondents included digitisation (26%) and Artificial Intelligence (21%). Digitisation is more highly ranked in Germany and Spain, while AI is identified more in the UK and France.
Lack of knowledge about existing technology (48%) and not understanding the true benefits (45%) are identified as the most common reasons for a delay in digitising the real estate industry, which is generally viewed as having been slow to do so. Real estate professionals are keen to exploit the potential of technology and how it can be used sustainably: 87% of respondents across Europe say they are very likely to increase their technology budget in the next two years.
More than one in three (35%) identify communication with all stakeholders as the biggest challenge in real estate asset management. Optimised data control could be the solution to this, with 70% of those who have implemented it having experienced an increase in efficiency and 46% having seen an improved flow in communication.
Alexandre Grellier, Co-founder and Chief Executive of Drooms, commented: “Our research highlights the pressing need for investment in technology to further digitise the real estate asset management industry and address the need for sustainable processes. It’s clear to see that digitisation within the industry plays a significant role in the success of ESG management.
“While this issue cannot be solved overnight, applying technologies already available will see the industry take those important first steps. A fast and secure flow of information is the best way to drive this change in asset management. Our digital solutions allow the immediate exchange of data and thus efficient workflows - no matter how large a portfolio is and how many thousands of users are involved."
Drooms PORTFOLIO transparently combines all stages of the entire lifecycle asset management process onto a single platform. It does not require any additional technologies, which is not only sustainable but also a highly efficient solution. Digitisation is the key to the professional implementation of ESG guidelines because data and its evaluation are the basis for successful ESG management. Only in this way can ESG guidelines, such as the reduction of consumption and emissions, be verified. The digitisation of documents of all kinds saves printed paper and the electronic processing of administrative procedures saves ways and contributes to the achievement of the climate goal.
For more information about Drooms’ real estate research, find all results here.
Drooms, Europe’s leading provider of virtual data rooms, grants companies controlled access to confidential corporate data across company boundaries and specialises in customised solutions across the entire value-added chain. In addition to securely handling confidential business processes such as commercial real estate sales, mergers & acquisitions and NPL transactions via Drooms TRANSACTION, Drooms PORTFOLIO maps all stages across the entire Lifecycle Asset Management process on a single platform. Currently, more than 25,000 companies across the world use Drooms, including leading global real estate companies, consultancy firms, law firms and corporations such as the METRO GROUP, Evonik, JLL, JP Morgan, CBRE, Rewe and UBS. The software specialists have concluded over 15,000 complex transactions with a total volume of more than EUR 500 billion.