Innovation is essential. The need for the Real Estate and Construction industry to embrace innovation in long term business strategies is inevitable.
In this 255-page document, we provide insights into the current innovative developments in the Real Estate and Construction industry: what is going on in the world of innovation, what trends are driving change and how can innovation be of real added value to business. In the first section of this overview, we elaborate on the key success factors for leveraging innovation and the way in which KPMG can support Real Estate and Construction companies and society in doing so. Subsequently, we show the important innovative trends in the Real Estate and Construction sector and showcase various practical examples of innovation solutions. The central part of this publication is our structured list of 740 innovations, including key company info and characteristics such as the position in the Real Estate value chain and the respective field of expertise of a company. In the final section, we provide insights into several PropTech Ecosystems around the globe that contributed to the realization of this publication.
We are confident that this will be an insightful read for you.
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A bird’s eye perspective on post-Covid-19 recovery in the international Real Estate market
Pandemic drove down office use by 2,8x while office use for collaboration was up by 15%
~ 23,3 billion USD was invested into PropTechs during 2020
In the first quarter of 2021, global Real Estate transaction volumes totaled ~ 183.8 billion USD
Despite a mid-year dip, global rent levels increased through year-end 2020 and ended with a full year increase of 2.9%
54% of the Real Estate industry believes Covid-19 is forcing sustainability considerations up the agenda
88% of the Real Estate industry believes Covid-19 has encouraged interest in flexible office concepts and new business models
This report classifies innovations into nine categories
Consists of innovations that digitize traditional processes. This enables the processes to analyze more data, be accessible online and real-time while making them more efficient and user friendly. Read more about them from page 40 of the report.
Entail innovations that create the opportunity for Real Estate to be flexible in time, location and environment. Workplaces can be allocated 'anywhere' and 'anytime'. Read more about them from page 102 of the report.
Healthy workplace and living
Innovations in healthy workplace and living focus on the physical working environment, ranging from air purity to office treadmills for walking meetings, optimizing employee satisfaction, health or productivity. Read more about them from page 112 of the report.
Contribute to new ways of constructing Real Estate. This may include architectural benefits or enhancements in construction materials and processes (e.g. 3D printing, modular building and wooden skyscrapers). Read more about them from page 118 of the report.
Internet of Things (IoT)
Applies to innovations that connect multiple devices, systems and/or buildings with the aim of making Real Estate more efficient, sustainable and user-friendly. Read more about them from page 130 of the report.
New ways of funding
Are innovations that aim for making funding less complicated, more accessible and/or increase liquidity for both the demand and supply side. Read more about them from page 148 of the report.
Platforms to connect
Allow users to connect and interact with stakeholders (e.g. buyers/sellers, owners/tenants, or construction parties and maintenance). These could essentially result in optimized communication, collaboration and knowledge-sharing. Read more about them from page 158 of the report.
Focus on aspects such as ESG, energy savings, water-efficiency and circular economy in order to sustain our natural resources. Drivers may be regulatory changes, sustainability agendas or cost reductions. Please also have a look at page 20. Read more about them from page 208 of the report.
Virtual reality and 3D mapping
Replicates an environment using computer and/or drone technology or allows users to create an alternative reality (e.g. BIM). Read more about them from page 224 of the report.