Smart, Green, and Profitable: The Real Estate Revolution Is Underway

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FM newsroom – proptech trend, AI, tokenisation, ESG. The real estate sector is entering a new chapter—one defined not just by bricks and mortar, but by algorithms, data, and intelligent design. At the PropTech Connect global conference in London, the world’s leading property and technology experts outlined how digital transformation is reshaping the built environment. From AI-driven maintenance to tokenised ownership models and carbon-neutral operations, the foundations of tomorrow’s real estate are already being laid today.

From AI-driven maintenance to tokenised ownership models and carbon-neutral operations, the foundations of tomorrow’s real estate are already being laid today. The enormous interest in the event made one thing clear: proptech—the fusion of property and technology—is not just a trend, but a revolution. Economx has collected the most critical trends that define not only the future but also the present of the real estate sector.

Sustainability and ESG: The Non-Negotiable Core

Achieving carbon neutrality has become an urgent challenge, driven by a convergence of EU regulations, investor expectations, and rising tenant awareness.

Energy-efficient systems, solar panels, heat pumps, and sensor-based building operations are no longer innovations—they’re the new baseline. Yet Europe faces an even greater task: the mass renovation of older buildings. Under the European Union’s tightened energy directives, by 2050 all residential, public, and commercial buildings must operate with zero emissions, from construction through occupancy.

In practice, this means that green performance is now directly tied to asset value—and property managers who delay retrofitting risk being left behind.

Artificial Intelligence: From Data to Decisions

Predictive maintenance systems, automated valuation models, and tenant behaviour analytics are rapidly becoming standard practice.

Major global advisory firms are now investing heavily in AI-driven platforms that help investors optimise portfolios, cut costs, and forecast performance. In building operations, AI “agents” are taking over day-to-day control, interpreting vast volumes of data to ensure efficiency and resilience.

Blockchain and Tokenisation: Redefining Transactions

Digital transactions are becoming the norm. E-signatures, virtual contracts, and secure document management have streamlined dealmaking, but blockchain is set to take things further.

Blockchain technology enables faster, more transparent property transfers while opening the door to tokenisation—the conversion of real-world assets (RWAs) into digital tokens. This allows investors to buy and sell fractional shares of buildings, enhancing liquidity and accessibility.

Banks, funds, and real estate investors are increasingly exploring these models, seeing tokenisation as a bridge between traditional property investment and the decentralised finance world.

Smart Buildings and Immersive Experiences

According to experts at the London conference, IoT-enabled buildings are fast becoming the new industry standard. With networks of sensors and real-time monitoring, properties can self-regulate heating, cooling, and lighting, cutting energy costs while enhancing comfort. On the tenant side, mobile apps are now central to daily operations—from reporting maintenance issues and paying bills to managing community events.

At the same time, virtual and augmented reality (VR/AR) technologies are transforming the leasing and investment process. Remote investors can “walk through” developments from thousands of miles away, making confident decisions without ever stepping inside a building.

Flexible Ownership and Hybrid Work: The New Normal

The rise of fractional ownership, co-living, and community investment models is reshaping how people access and invest in property. These models lower entry barriers and offer flexible, shared alternatives to traditional ownership.

Meanwhile, the office market is undergoing a profound reinvention. Far from disappearing, offices are becoming centres of corporate culture and collaboration rather than just workplaces.

The office market can remain attractive only if it proves the added value of flexibility and technology. Agility, simplification, and sustainability are now the pillars of long-term profitability.

The Inevitable Revolution

Despite the pace of change, optimism prevailed at PropTech Connect. Technology, as participants agreed, does not replace it; it enhances. It empowers developers, investors, and tenants alike to build a smarter, greener, and more inclusive future for real estate.

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