We live in moments of uncertainty. The market constantly pushes the question about the future of commercial real estate, about medium and long-term trends, about how it will affect and what they can do to “combat” the impact of economic recession. Countless questions need to be answered to establish the best business plans and maintain commercial assets’ profitability.
From an architectural point of view, many of these questions are difficult to answer, and we do not have a “crystal ball” to predict the future. We can still point out a series of actions, criteria, and trends to consider in any new development or repositioning.
The boom and demand in the real estate and construction sectors and reforms require products and technical procedures that cannot be left to chance. The latest trends and construction details used by leading real estate and architects include top quality materials such as aluminum and PVC.
The first-class works require “intelligent” materials, which offer protection and quality of life to the occupants, both in the summer and in the winter, for those who prefer tranquility and relaxation. All implemented in high-level buildings for businesses and other commercial clients.
The emerging trends in the commercial real estate sector
- The new purchase model: eCommerce
While there is a lot of talk about the online purchase process of everyday goods, we must ask ourselves what we can expect from buying or selling real estate. What’s happening in real estate buying is what’s called Research Online By Offline (ROBO), and Google’s impact on commerce.
This phenomenon conditions the strategic plans for commercial development and implementation of the traditional real estate sales process. The integration of physical and digital commercial spaces is imposed. Although the closure will continue to be an offline trend is that online recruitment has more and more weight.
- Changes in the configuration of offices
The design of commercial projects is already incorporating the concept of health and wellness and the internet of things. It is part of this new trend that seeks to improve the lives of people inside buildings. Many commercial projects are also beginning to consider co-working solutions to ensure that common spaces of the projects can be used to generate rental income.
- Search for sustainability
The need to build spaces with greater energy efficiency, water-saving, and less ecological impact is a reality contrasted by the market. The developments LEED® certified are increasingly numerous projects built under these standards and have demonstrated efficiency in maintenance, amortize the price of its implementation. The buyer values these factors very positively.
- Evolution of commercial logistics
According to CBRE, traditional distribution or logistics is witnessing a transformation carried out by large commercial operators of Amazon’s stature. Thus, these companies are revolutionizing the conventional distribution of commercial products.
These strategies are modifying the traditional parcel business models and putting pressure on other businesses and department stores, which must integrate these solutions into their logistics to compete and adapt to the change in distribution models.
The dimensions, locations, and configurations of the industrial and logistics centers will change predictably. While changes in consumer and purchasing habits will affect the industrial real estate sector, influencing the design of real estate spaces and promoting the incorporation of more areas of electric loads and express pick-ups, among others.
- Automated valuation systems
In the future, the real estate valuation will be carried out through automated mechanisms to the extent that the subjectivity in the valuation is eliminated. There is access to real transaction data that supports these processes. This system, which is currently being imposed for residential assets, will also be used with commercial assets.
All the variables that influence the preparation of valuation can be parameterized. These automated methods will allow the real estate sector to become more sophisticated and more like the stock market, with more regular valuations and transparent indices that provide more flexible and secure access to the real estate markets. This will bring transparency and attract new investors to the property market.
- The irruption of small and medium-sized companies
This 2020 will also be a year for the appearance of small and medium-sized companies, which will be able to resist the economic moment based on analysis, efficiency, and decision. Those who decide to start project development may opt for a demanding force that is not used to their scale, as some large developers are in the process of reducing their investment plans for this year.
Small and medium-sized real estate companies will be able to acquire better land, better locations, as they find themselves in a market where the “big fish” are more cautious in their investment plans.
- Stagnant land price
In a market of little movement and contracted demand, everything indicates that the price of land will suffer marginal increases this 2020. Opportunities in land prices will be punctually given in properties that correspond to companies with flow needs and that have assets in land or companies that need to relocate, among other cases.
- Commercial real estate projects must benefit from future-forward plans
To assimilate the modern-day needs and requisites of commercial projects, partners must also take into account the commercial contractors who are responsible for planning, development, construction, and launch of projects. In this regard, Bob Moore Construction, a company in the United States that has carried a robust reputation since 1946 in commercial, industrial, and multifamily general contractor and design-build services. The design-build services of Bob Moore Construction are trusted by leading commercial entities spread out in the United States’ landscape of the business sector. The contractor is committed to safeguarding the ambitions of its clients by strictly adopting an “on time and in budget” policy for completion of all commercial real estate projects.