Exploring the Future of Commercial Real Estate at Realcomm 2024
Last week, the InnerSpace team had the pleasure of engaging with some of the brightest minds in real estate at Realcomm 2024 in Tampa, Florida. This year’s focus was on tackling the challenges and exploring the innovative solutions that are shaping a new paradigm for safer, more efficient, and engaging buildings. As commercial real estate (CRE) needs to evolve rapidly, events like Realcomm are crucial for supporting industry leaders in adapting their spaces to best suit their teams. It was enlightening to connect with CRE professionals and discuss how our product meets the growing needs for space utilization, ensuring privacy and security without costly hardware installations.
Key Takeaways and Insights from Realcomm 2024
The Intentional Use of Office Space
A major theme at the conference was the transformation in how office space is utilized. The traditional approach of showing up at the office simply because it’s a workday is declining. Instead, when employees come to the office now, it is purposeful and based around collaboration, connection, and creativity.
During a session at the show, ZenSpace CEO, Mayank Agrawal, shared "the office itself is becoming a coworking space. There's a noticeable change in how and where people work." Flexibility and choice are becoming hallmarks of modern work cultures. InnerSpace CEO, James Wu, highlighted this shift, noting, “employees now choose office visits based on specific needs for collaboration or concentration, marking a significant departure from traditional office use patterns, and what attracted an employee into the office yesterday may or may not be true for them tomorrow”
Embracing Hybrid Work Models
Hybrid work models are becoming the norm across various industries, reshaping both physical offices and operational models. This approach promotes a balance of structured in-office interactions and the freedom of remote work.
However, it also presents challenges such as maintaining consistent communication, managing project timelines across different time zones, and preserving company culture in a dispersed environment. Gensler Technology Director, Steve Woods shared, "what is the integration play? Why do we have the technology? Why do we have the space? Otherwise, people won’t come to the office. Mandates don’t work. The water cooler effect is true to an extent, but we need to deeply consider how the human experience relates to the product." InnerSpace’s sensor-free technology aids companies in understanding how spaces are used down to departments and groups, allowing for more informed decisions about office layouts and work policies.
AI and Technological Innovations
AI's integration into CRE operations was a key focus at Realcomm 2024. AI is increasingly seen as essential for automating routine tasks and optimizing business processes, allowing human talent to focus on strategic and creative activities. AI applications in CRE range from automated building management systems that enhance energy efficiency to sophisticated data analytics that predict space utilization trends.
Accenture Managing Director - Intelligent and Digital Workplaces, Michael Przytula, highlighted how AI helps optimize real estate footprints by aligning office space requirements with actual usage. This supports a financial model that emphasizes efficiency and productivity over mere cost reduction. Inland Real Estate Group Senior VP, Head of Technology Strategy, Sunder Pappu, shared, "Developing a sound AI strategy involves a solid data foundation and governance strategy. How will you assess, deploy, and continuously monitor technology? All data needs to be underpinned with a sound education strategy. Talk to data versus printing reports. Be curious and take action. Ask yourself the right questions. Do you have a data foundation? If not, the AI strategy won’t do what it needs to."
Zaha Hadid Architects Co-Head of Analytics + Insights, Arjun Kaicker, demonstrated how immersive technologies and AI are used to create spaces that engage all five senses, thereby enhancing the occupant experience. By integrating advanced analytics and insights, Kaicker illustrated how spaces can be designed not just for functionality but also to enhance emotional and sensory experiences, making the physical environment a key component of workplace satisfaction and productivity.
Challenging the Productivity Paradigm
A significant theme at the conference was the challenge against traditional productivity metrics using occupancy data. HOK Director of Thought Leadership, Interiors, Kay Sargent, emphasized that the true measure of productivity should not be how many hours employees are logging but the value they bring to the organization.
This new perspective is vital as it shifts the focus from quantifiable metrics to qualitative outcomes like innovation, employee satisfaction, and overall contribution to the company's goals.
Building on the theme of productivity, InnerSpace CEO, James Wu, argued for a more nuanced view that considers varying patterns of presence and activity within the office. This perspective challenges businesses to rethink how they measure productivity and design their spaces to cater to the diverse needs of their workforce.
Redefining Real Estate with Adaptive Spaces
The concept of adaptive and coworking spaces has gained prominence, reflecting a shift in how CRE is perceived and utilized. Today, buildings are seen as dynamic spaces that adapt to the changing needs of their occupants. This adaptability is crucial for accommodating the fluctuating demands of a hybrid workforce and fostering environments that encourage creativity and collaboration. Arjun Kaicker's examples of smart, adaptive building designs underscore this shift, illustrating how AI can create self-evolving buildings that adapt to real-time occupants' behaviors and preferences.
Realcomm 2024 has set the stage for a revolutionary approach to commercial real estate, one that embraces technology as a partner in crafting human-centric work environments. As we navigate the new era, the insights shared during the conference will undoubtedly play a crucial role in shaping strategies that are not only effective but also empathetic to the needs of the modern force. Brookfield Properties Executive VP, Business Technology, Soheil Pourhashemi, highlighted "given market challenges, how do we pay for all this innovation? Be agile. Create proofs of concept today to implement tomorrow. Focus on long-term value. Upskill your teams. How do you improve efficiency with new technologies?"
We are motivated every day by the crucial role we play in creating offices where people thrive and do their best work. At InnerSpace, we believe you should not just count people, but make people count. Accenture Managing Director - Intelligent and Digital Workplaces, Michael Przytula, shared "Why are they even coming to the office? You have to drill down to the why. What are they coming to do? Then you can understand the services needed, how to design the office and its capabilities." And we agree! We’re eager to demonstrate to you how we can quickly provide the best and necessary data, sensor-free, to ensure your workplace is highly functional, fostering employee well-being and boosting productivity through superior workplace intelligence.
Contact us and talk with one of our experts today to see the benefits in action!
