Property management is important to the efficient and sustainable operation of buildings and infrastructure. As we near the end of the year and begin to shift focus to 2024, the world of property management is evolving rapidly. Advances in technology, changing demographics, environmental issues, and the need for greater cost-efficiency are constants in our work to manage commercial real estate. In this blog, we’ll look at emerging property management trends that are likely to shape commercial real estate and the property management industry in 2024.
Sustainability Remains A Focus
One of the most prominent trends in property management for 2024 is the increased emphasis on sustainability. Climate change concerns and a growing awareness of environmental issues have pushed organizations to adopt greener practices. Property Managers are focusing on reducing energy consumption, optimizing waste management, and integrating renewable energy sources into their building operations. Building certification programs like LEED and BREEAM are becoming standard tools of measurement among property management teams. Baseline metrics have been established and aggressive standards are focusing efforts to remain on the cutting edge of sustainable practices in commercial real estate.
In 2024, smart buildings become the standard. Technology is front and center as we use sensors and devices to monitor and control various aspects of building operations, including temperature, lighting, security, and occupancy. Real-time data that is collected not only provides historical reference, it enables facilities teams to make informed decisions, manage energy use, and enhance comfort. It should be mentioned that these activities occur through digital interfaces that make in-person tasks a thing of the past.
Predictive maintenance, occurring after analysis of data on building systems and components is another significant trend in property management. Rather than relying on fixed maintenance schedules as has been the norm for decades, Property Managers are using predictive algorithms to anticipate equipment failures. This proactive approach minimizes downtime, reduces repair costs, and extends the lifespan of critical assets. Predictive maintenance is also a cornerstone of sustainability plans aimed at reducing unnecessary energy consumption.
Remote Monitoring and Management
The impacts of COVID-19 on commercial real estate are focused primarily on the work environment, but impacts are also seen in building monitoring and management. These critical, behind the scenes tasks are more important than ever, and that trend continues in 2024. Facilities teams are increasingly using web-based platforms and remote monitoring technologies to oversee building operations from anywhere. This not only improves efficiency but also enhances the responsiveness of facilities teams to building conditions and tenant needs.
As the modern workplace continues to evolve, Property Managers and tenants are rethinking how space is used. The rise of hybrid work means that office spaces need to be flexible and adaptable. Property Managers must remain flexible and supportive of tenant needs while managing common areas with a matched focus. Offices will continue to accommodate a mix of remote and in-office workers. This trend will increasingly be marked by useful measurements of efficiency in terms of employee performance and building systems.
Tenant/Building User Experience
Office buildings in particular continue to change as hybrid work schedules, a reduction in occupancy nationwide, and a dedication to sustainability in management practices combine to impact real estate. A universal flight to quality mindset has the very best of the best in office properties managing the bulk of activity in the brokerage market. For Property Managers this means a dedication to capital projects that enhance user experience like fitness centers, public spaces, food offerings, etc. It is also clear that tenant programming in these top-notch spaces is critical to creating a comfortable and livable work experience. Creativity in these areas will continue to produce the best results and engage building users in a new relationship with their office space.
Health and Wellness Initiatives
The importance of health and wellness in the workplace was highlighted post-pandemic, and remains an important factor in 2024. Property Managers are implementing wellness programming at their properties that promote employee well-being. Efforts including yoga, cornhole tournaments, and other active pursuits and fitness offerings are here to stay. Efforts may also include measures that improve indoor air quality, ergonomic impacts, natural lighting, and generally create spaces that encourage physical activity and better mental health. These initiatives not only support tenant health but also contribute to increased productivity and job satisfaction for employers.
With the increasing frequency of natural disasters and other disruptive events related to weather, Property Managers are much more focused on disaster planning. Proper planning ensures that buildings are designed and equipped to withstand extreme weather conditions and have robust disaster recovery plans in place. Robust planning helps minimize downtime, protects the buildings value, and ensures business continuity and safety for tenants.
As we look ahead to 2024, sustainability, technology, predictive maintenance, and a strong focus on wellness and efficiency will be the driving forces that shape property management activities. By embracing these trends, facilities management professionals can lead the way in creating high-performing, sustainable, and healthy environments for all.