What’s in Store for Commercial Real Estate in 2019?
With the new year comes a new outlook on the real estate market. Trends are always evolving in this growing field and staying on top of these trends is the key to success when planning your commercial building dreams. Here’s a peek as to what 2019 has in store.
These days, technological advancements affect every field out there – including commercial building and management. Contributing over $953.1 billionU to GDP, real estate has undoubtedly caught the eye of tech companies. Their goal is to make building, selling, and developing more dependent on technology in the future – likely a benefit to everyone involved. Expect new platforms for doing business, marketing, and hiring.
Speaking of technology, expect to see more demand for AI in commercial building. AI can help improve efficiency in building management and will have an effect on the future design of our commercial spaces. Systems can analyze how the space is best used by its tenants, allowing for increased safety, more useful amenities, and restructuring of layout, opening hours, and more. The benefit? Happy, successful, long-term tenants.
Evolution of Retail
While retail brick-and-mortar stores aren’t going anywhere, the consistent demand for e-commerce and drop-ship businesses is something for commercial builders, investors, and landlords to take into consideration. Lease and term agreements should be adapted to meet the needs and expectations of other businesses that need office space like medical, fitness, and warehouse facilities. How can buildings evolve to best suit these kinds of businesses? How can leases be structured to make it feasible and valuable for retail operators to continue to rent physical space? 2019 will bring these types of questions to the forefront.
Commercial builders in 2019 are catering to the fancies of their tenants to a whole new level. Many investors and landlords need an edge to win tenants over their competition. This means developing their buildings with amenities you can’t turn down: rooftop gardens, co-working areas, restaurants, movie theaters, laundry service.
A hot topic for the past several years, sustainability will continue to be a selling point for many commercial buildings. Businesses not only want to keep their costs and footprints low, but want to feel they are contributing and supporting bigger players in doing the same. Consider greener design and management solutions in your commercial projects for 2019.
There’s never a dull moment in commercial real estate. Businesses and tenants change endlessly and to keep up with it all, trend spotting is key. Take on 2019 with a clear view of where the market is headed.