At last, we have a new resource that will bring clarity to the complex business ecosystem known as “Proptech” and you can find it right here with the launch of Real Estate Tech360, developed in a collaboration between CREtech and Kastle.
Why is that useful?
Well, real estate technology, or “proptech” is the application of information technology and platform economics to real estate markets, according to Wikipedia, and JLL estimates there are over 8,000 businesses in proptech, so people may need help evaluating the many players from which to choose.
Why so many?
Real estate is the largest asset class, but also perhaps the most inefficient. It involves barriers and frustrations which would not be tolerated in other competitive industries, such as manual purchasing and payment processing, long, labor-intensive production cycles, constrained supply, lack of flexibility for customer choice, disregard for environmental impacts, and more.
“The proptech sector has exploded in growth,” says Michael Beckerman, CEO, CREtech, “there is a great deal of confusion from customers who are overwhelmed with the amount of choices. Our goal in working with Kastle was to create a dynamic research report that would help the industry by organizing the solutions that are leading the way.”
Proptech is a response to this situation—if technological innovation can revolutionize other inefficient industries like banking, publishing, retail, music, hospitality, and more, why not real estate?
With proptech, many companies are trying to address these numerous pain points and introduce an innovative edge into each step of the process and revitalize existing systems. But who are these companies, and what pain points are they addressing?
Suppose you’re a commercial asset manager in a major US city today and your senior management is asking you to wisely invest in proptech this year to maintain profitability or to optimize energy management in the buildings you oversee.
Where do you even start to identify and evaluate the leading players in Portfolio Management or Energy Management or other property technology operation such as:
- optimizing space use?
- engaging tenants?
- streamlining transactions?
- marketing to prospects?
- securing offices?
- reserving amenity use?
The effort followed a rigorous process starting with a team of CREtech analysts that sifted through and heavily evaluated the thousands of real estate technology industry participants that could be identified in the public domain. These initial findings were then reviewed with a host of real estate technology venture capital firms and consultants to further refine with their “inside” expertise. Finally, the roster was vetted by a panel of real estate executives and experts to get to this version.
This new resource provides instant access to this list of businesses sorted into fifteen tech & software categories covering everything from construction, to tenant experience, to flex space, all designed to illustrate the evolving property technology ecosystem. Furthermore, Real Estate Tech360 lists the top companies to consider in each category—with company descriptions, stats and a link out to their site.
Kastle provided additional funding support for this CREtech research with the goal of delivering insights and creating tools to help the entire industry to grow. “We’re proud to partner with CREtech in creating a resource to help monitor the continued growth of the industry and assist customers in navigating the changing real estate environment and corresponding technologies integrations to meet their needs,” said Kastle CEO, Haniel Lynn.