The commercial real estate (CRE) industry is undergoing a transformative shift, fueled by emerging technologies that are streamlining acquisitions and enabling smarter, more strategic decision-making. Once grounded in traditional, manual processes, CRE is now entering a new era where tech-enabled transactions are not only improving efficiency, but also maximizing the value of property data across the lifecycle of a property.
From Static Reports to Actionable Data
In the technology-reluctant CRE industry, acquisition teams often still rely on PDF-formatted due diligence reports – documents that are often reviewed once, then archived. But more recently, the industry is outgrowing these static formats, which fall short in terms of interactivity and long-term utility. The traditional approach of reading and manually extracting meaningful insights from them is time-consuming and error-prone.
In order to shift to tech-enabled transactions, CRE is adapting its approach to property data collection differently, starting at due diligence. Mobile data collection apps deployed in the field can be seamlessly integrated into management software or analytics platforms, allowing acquisition teams to analyze findings with precision. This not only reduces human error but also improves data hygiene – ensuring that datasets are accurate, consistent, and usable across multiple platforms and stakeholders.
Dashboards for Smoother Transactions and Smarter Decisions
A critical benefit of tech-enabled transactions is the ability to transform raw due diligence data into interactive dashboards that support real-time decision-making. One example is SiteLynx, a cloud-based platform that supports CRE due diligence and asset management by providing users with tools to order, organize, and share reports. It can also sort, filter, analyze, and visualize data from those reports.
Through customizable dashboards, SiteLynx users can review an individual property or compare an entire portfolio, while sorting by attributes such as geography, property use, condition, criticality/priority, building systems, and other KPIs. Leveraging a dashboard, an acquisition team could review all assets in a portfolio and quickly sort to see which properties meet acquisition criteria and which have red flags. Other users in the same organization could also access tailored views, whether they’re focused on risk analysis, pro forma modeling, capital planning, or facility operations.
Beyond the Transaction: Data That Works Harder and Smarter
Traditionally, acquisition reports such as Property Condition Assessments (PCAs) were scoped for short-term risk management. PCAs collect hundreds of valuable data points about a property – data that was frequently discarded after the acquisition, when asset managers often found themselves ordering separate Facility Condition Assessments (FCAs) to again gather property data (some redundant, some deeper) for capex budgeting purposes. This disconnect is owed to both an organizational challenge and a technology one – acquisition and asset management teams within the same organization are often siloed with little to no communication between them. They also lacked the tools to easily share and use the same data.
More recently, technology is creating a bridge between the two sides, facilitating more robust property data collection, seamless data sharing between groups, and improved analysis for both risk management and budgeting decisions. This incentivizes acquisition teams to align PCA scopes with long-term asset management goals from the outset. By collecting more robust data during acquisition, organizations can avoid duplicative efforts and spending, speed up onboarding, and create continuity between acquisition and asset management teams.
Future-Proofing Investments with Forward-Looking Data
The savviest CRE investors are looking beyond the deal itself, leveraging their due diligence consultants to gather forward-looking data that supports long-term value creation. Acquisition due diligence increasingly includes reporting around building performance standards compliance, energy and water efficiency, climate resilience, COPE data for insurance underwriting, or even solar feasibility. This reporting provides insights into how a property will perform under future regulations, changing tenant/consumer expectations, and evolving climate risks – key data that positions the asset for success over its entire hold period. As the number of data points collected during the real estate lifecycle grows, so does the need to manage the data in a central, holistic platform that facilitates transparency, decision-making, planning, and implementation across an entire portfolio.
Conclusion: A Smarter Way to Transact
Tech-enabled transactions are no longer a “nice to have” in CRE – they are essential for firms looking to gain an edge in a fast-moving market. Whether it’s real-time dashboards, future-proofed reporting, or improved integration across acquisition and asset management, the benefits of these technologies are clear: faster decisions, lower costs, and smarter investments.
To get the most from your next acquisition, consider how tech-enabled solutions can transform your due diligence process – and empower your team with data that drives long-term value.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.
