CRE energy management is the use of new technology and systems to manage energy consumption costs and behaviors in CRE spaces. The uniqueness of CRE energy management lies in the variety of potential tenants and types of businesses that may lease CRE space. In other words, CRE providers may face a combined demand for energy management in the retail area, office spaces, meeting places, for-profit educational institutions, and even small-scale manufacturers. As published by Building Owners and Managers Association International, the recent “Commercial Real Estate Technology Trends 2018” report noted several opportunities for CRE providers to leverage technology to improve profitability and improve tenant engagement. Building owners and asset managers must understand the top CRE energy management trends and what they mean for their organizations’ future.
Demand for Eco-Friendly, Automated Systems Increases
One of the most significant trends in CRE energy management will be the demand increasing for eco-friendly, automated systems. Technology, including artificial intelligence, machine learning, and the Internet of things (IoT), has changed the way CRE Facility Managers and providers operate. Through these technologies, managers can supervise more facilities, without necessarily visiting each location, and as a result, problems within such facilities and their needs can be addressed as soon as possible.
Eco-friendly systems have the added benefits of reducing energy consumption costs and improving asset life expectancy. This effectively reduces total cost of ownership and gives Facilities Managers a 360-degree view into a facility’s assets. More importantly, gains from energy savings can be used for reinvestment in other parts of a facility, transforming facility management from a cost center to profit center.
Cities and States Are Tightening Building Transparency Requirements
Although political turmoil has characterized the past two years, CRE providers should be mindful that cities and states are tightening the transparency requirements for buildings. Oversight organizations may request additional documentation to prove the energy-efficiency of facilities, and CRE providers that do not implement eco-friendly initiatives could face a stiff backlash from the public. In the preservation of brand value, CRE providers will need to invest in new technology, including CRE energy management software, that provides proven results.
Artificial Intelligence in CRE Energy Management Software Is More Popular and Affordable
The technology necessary to leverage artificial intelligence in CRE in energy management has become more affordable today through the use of software-as-a-service (SaaS) platforms. These platforms effectively level the playing field for companies that want to take advantage of advanced technologies, without the steep investment costs of an on-premise solution.
Data Sharing Is Essential to Collaboration and Results
The way CRE providers use data is also a defining factor in CRE energy management. A single group managed traditional systems, but modern technology allows for the sharing of information. According to Eric Matisoff via InfoWorld, data democratization, the process of sharing and enabling access to data, will help all team members work together and make effective decisions. The democratization of data will continue throughout energy management by giving everyone, ranging from facility management professionals to tenants, access to the information necessary to reduce energy use and overhead costs.
Align Your Property Goals With These Trends Now
CRE providers are on the cusp of a revolution in CRE energy management. The facility management industry is moving toward energy-efficient processes and automation at full-speed, and it is impossible to stay competitive and cost-effective without implementing the technologies identified in the top trends of CRE energy management. Learn more about what your organization needs to do to get started by contacting ENTOUCH online or calling 1-800-820-3511.