AI agents are transforming commercial real estate (CRE) by automating time-consuming tasks like property research, zoning analysis, and document review. These tools process massive data sets quickly, providing insights that help brokers, developers, and investors make better decisions. Firms using AI report faster deal cycles, reduced costs, and improved efficiency. For example, JLL cut lease contract processing time by 30%, while CBRE reduced maintenance costs by 15% with predictive AI tools.
Key takeaways:
- Automated property research: AI analyzes trends, demographics, and financial data to identify investment opportunities.
- Zoning analysis: AI simplifies zoning research by consolidating data and providing precise insights.
- Owner contact retrieval: AI tools quickly gather and verify property owner details.
- Document review: AI speeds up lease analysis, flagging key terms and risks.
- Property management: Tasks like rent collection and maintenance scheduling are automated, increasing efficiency.
Platforms like Plotzy offer tailored solutions for CRE professionals, with pricing starting at $65/month. As AI adoption grows, CRE companies leveraging these tools are achieving faster deals, better market predictions, and streamlined operations, all while tackling challenges like compliance and data security. AI isn't replacing human expertise - it’s a powerful tool that enhances decision-making and efficiency.
4 Ways to Use AI in Commercial Real Estate
What AI Agents Can Do for Commercial Real Estate
AI agents are changing the game for commercial real estate professionals by taking over some of the most time-consuming tasks. The result? More efficiency, less manual work, and more time to focus on what really matters - high-value activities. Let's dive into how AI agents are reshaping research, analysis, and management in this field.
Automated Property Research
Traditional property research often feels like a scavenger hunt - digging through databases, filtering listings, and cross-checking information from multiple sources. AI agents take this burden off your plate. They can analyze economic trends, demographic data, local development plans, and financial metrics all at once. This allows them to pinpoint investment opportunities and offer personalized property recommendations based on buyer preferences, budgets, and even behavior patterns.
"Artificial intelligence has unveiled approaches that increased our knowledge of an asset class that was previously uncharted. The newfound insights fuel our pursuit of prospective acquisitions and prepare us to make smarter investment choices." - Ryan Elazari, Senior Director, Empire Management
Zoning Analysis and Maps
If you've ever tackled zoning research, you know how complex and time-consuming it can be. AI agents simplify this process by collecting zoning and land-use data from various sources and presenting it all in one place. Instead of sifting through municipal websites or deciphering dense zoning codes, professionals can access detailed zoning information through AI platforms.
For example, some platforms have digitized zoning data for over 9,000 cities, covering more than 100 million lots across 392 million acres.
"We use Zoneomics to truly understand the zoning of a property and drive sales of off-market real estate. With Zoneomics we get fast access to accurate zoning information in a high-quality professional platform that ultimately lets us scale and maximize our deal flow." - Cole Diauto, Realtor, KellerWilliams
Beyond individual transactions, these tools also help lenders streamline workflows, saving time and allowing teams to scale their operations.
Finding Owner Contact Information
Prospecting for property owners often means wading through assessor databases and other services to find accurate contact details. AI agents streamline this process by automating the search. They scrape contact information based on specific prompts - like property type or location - and process the data with AI-powered auto-dialers to verify phone numbers.
While some inaccuracies may occur, the speed and volume of data processing give AI a clear edge. Some platforms even bundle property data, contact details, and auto-dialing features, complete with AI-generated voicemails, into a single system. These solutions, which start at around $250 per month, offer a complete prospecting workflow that integrates seamlessly into broader commercial real estate operations.
Document Review and Lease Analysis
Reviewing leases and other documents can eat up a lot of time during due diligence. AI agents speed things up by analyzing lease agreements, summarizing key terms, and flagging unusual provisions. They can even compare lease terms against market standards, allowing legal teams and asset managers to focus on the big picture instead of getting bogged down in the details.
For instance, JLL's use of AI for lease contract analysis cut processing time by 30%, showing how AI can deliver real efficiency in commercial real estate.
Property Management and Task Automation
AI doesn't stop at research and analysis - it’s also making property management easier. Routine tasks like rent collection, lease creation, and maintenance scheduling can all be automated. AI even enables predictive maintenance by analyzing equipment performance data to schedule repairs before something breaks. These capabilities tie into the broader efficiency gains AI brings to commercial real estate, ensuring smoother operations across the board.
Plotzy's AI Tools for CRE Professionals
Plotzy introduces AI-driven automation tailored specifically for commercial real estate (CRE) professionals. The platform zeroes in on three time-intensive areas: property research, zoning analysis, and retrieving owner contact information. By streamlining these essential tasks, Plotzy allows brokers, developers, and land acquisition teams to focus on closing deals rather than getting bogged down in manual data gathering. This seamless integration of research and outreach makes it a valuable tool for the CRE industry.
Main Features of Plotzy
Plotzy’s AI tools are designed to simplify and enhance the property search process. Here's how:
- Targeted Property Search: With filters for zoning, acreage, and other specific constraints, Plotzy helps users identify properties with high development potential. By focusing on permitted uses and potential opportunities, it ensures efforts are directed toward properties that matter most.
- Instant Data Retrieval: The platform consolidates crucial information like tax assessments, ownership history, and valuations from public records. This eliminates the need for multiple site visits and speeds up the research process.
- Integrated Contact Data: Users can move directly from research to outreach, saving time and maintaining momentum.
- Advanced Zoning Insights: AI-powered zoning research provides detailed information on permitted uses and height restrictions. Links to original sources are included for quick verification, transforming a traditionally tedious process into a fast and efficient one.
- Parcel Management and Mapping: Interactive maps allow users to annotate, categorize, and track properties in a single view. This organized approach ensures no opportunity slips through the cracks.
- Unstructured Data Search: Plotzy can even dig into municipal data like comprehensive plans and impact fees - critical elements for development projects that often require extra effort to locate.
Plotzy Pricing Plans
Plotzy keeps its pricing simple with two plans tailored to different user needs and deal volumes:
| Plan | Price | Best For | Key Features |
|---|---|---|---|
| Basic | $65/month | Individual brokers and smaller teams | Property data searches, owner contact information, and list management |
| Pro | $200/month | Brokers, developers, and land teams | Unlimited property searches, unlimited owner contact information searches, instant zoning answers, parcel search by permitted use, and advanced parcel filtering with zoning layers |
The Basic plan is perfect for brokers or smaller teams who need reliable access to property data and contact details without overspending. It covers the essentials for property research and managing prospect lists.
The Pro plan, on the other hand, is designed for teams handling larger volumes or more complex projects. Features like unlimited searches and advanced zoning tools - such as parcel searches by permitted use - can save countless hours of manual work, making it a smart choice for those managing multiple deals or intricate projects.
These pricing options make Plotzy accessible to a wide range of CRE professionals, ensuring that both individual brokers and larger teams can benefit from its capabilities.
How Plotzy Helps CRE Work
With 90.1% of companies now operating in hybrid work environments, the demand for efficient, remote-friendly tools has never been higher. Plotzy meets this need by delivering comprehensive data in minutes, eliminating the hassle of manual cross-referencing.
Its zoning research tools simplify complex municipal codes into clear, actionable insights, complete with source verification. This allows professionals to quickly understand restrictions and opportunities without getting bogged down in legal jargon. Additionally, the platform’s integrated workflow lets users seamlessly transition from identifying a property to contacting its owner, maintaining momentum during active campaigns.
For teams juggling multiple deals, Plotzy’s list management and visualization tools ensure that no detail is overlooked. By focusing on accuracy and up-to-date information, it minimizes risks tied to outdated or incorrect data, enabling CRE professionals to make informed decisions with confidence.
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Benefits of Using AI Agents in CRE
AI agents are transforming how commercial real estate (CRE) operates, bringing measurable advantages that enhance efficiency and profitability. These tools are reshaping workflows and delivering tangible outcomes.
Saving Time and Money
One of the biggest perks of AI agents is their ability to cut down on manual tasks, saving both time and money. For example, a real estate firm with 10 agents can save up to 40 hours a week by using AI-powered document management tools. That’s time that can now be spent on higher-value activities.
A case study from Inoxoft illustrates this perfectly. A growing real estate company that previously relied on manual market analysis adopted a custom AI assistant for pricing. The result? Tasks that used to take an entire day were completed in minutes. This 80% time reduction led to a 25% increase in property sales and profits within just six months.
AI also simplifies tenant communication by automating responses, scheduling, and follow-ups. Agents using AI-powered phone solutions have reported a 60% increase in qualified leads and a tenfold improvement in resolving queries. On top of that, AI in building management systems has resulted in energy savings of 15.8%, cutting down on overhead costs for property managers and owners. These efficiency gains ripple across all areas of CRE, enabling smarter, faster decisions.
Better Decision Making
Beyond saving time, AI enhances decision-making by analyzing vast amounts of data to uncover trends, opportunities, and risks. This data-driven approach helps CRE professionals move beyond gut instincts, offering a clearer understanding of market dynamics and areas for growth.
For instance, AI algorithms can assess buyer preferences, budgets, and behaviors to recommend properties tailored to individual needs, making property searches more efficient. Additionally, AI tools can process complex financial data and automate repetitive tasks, contributing to the rapid growth of the property technology market, which is projected to reach $32.2 billion by 2030.
Faster Deals and Prospecting
AI speeds up the deal lifecycle by automating processes like lead generation, contract drafting, and document preparation. Agents leveraging AI for tenant interactions have reported quicker lease closures and higher commission earnings.
"Companies that figure it out first will put themselves far ahead of the pack." - Sean Ward, Executive Vice President, CBRE
By removing bottlenecks, AI allows teams to pursue multiple deals simultaneously, significantly boosting productivity.
Reducing Risk and Staying Compliant
AI also plays a crucial role in minimizing risks and ensuring compliance. It automates checks for zoning laws, building codes, and safety standards. AI systems can audit documents, cross-reference data, and flag non-compliance early, reducing potential legal headaches. For tenant screening, AI evaluates factors like credit scores and rental history while excluding demographic details to maintain fair housing practices.
On the maintenance side, AI predicts equipment failures and optimizes energy use in real-time. This proactive approach not only prevents costly repairs but also ensures properties meet safety and environmental requirements.
"AI agents in real estate step in where people often struggle or just can't keep up – like properly handling that lead that comes in at midnight, catching unrealistic pricing before it hurts, or helping investors who get stuck staring at too many numbers. They aren't here to replace anyone; they just help teams react less and plan more. Honestly, the companies using these AI agents are the ones saving tons of time, keeping more agents happy, and making moves faster without stumbling as much." - Maksym Trostyanchuk, Head of Delivery, Inoxoft
Future of AI in Commercial Real Estate
The commercial real estate (CRE) industry is experiencing a major shift, with AI and proptech markets set to grow rapidly. Forecasts show these markets expanding from $222.65 billion in 2024 to $303.06 billion in 2025, while the broader proptech market is expected to hit $90 billion by 2032. This growth highlights AI's transition from a buzzword to a core element in how CRE professionals operate.
AI with Smart Building Technology
Smart buildings are no longer optional - they're becoming the norm. The AI in Smart Buildings and Infrastructure market, valued at $13.4 billion in 2024, is projected to grow at an annual rate of 21.58%. This surge is fueled by the efficiency AI brings to building operations.
One of AI's biggest contributions lies in energy optimization. By analyzing occupancy patterns, weather conditions, and real-time energy demand, AI systems make precise adjustments, cutting energy costs significantly. For instance, AI-optimized HVAC systems can save offices up to 37%, residential buildings 23%, and schools around 21% on energy bills.
Consider The Edge in Amsterdam, which uses AI to regulate lighting, climate, and energy consumption based on sensor data. This approach not only reduces energy use but also enhances occupant comfort. Similarly, 45 Broadway in New York City implemented BrainBox AI, achieving a 15.8% reduction in HVAC energy use, saving over $42,000 annually while lowering its carbon footprint.
Predictive maintenance is another standout feature. AI continuously monitors equipment, spotting potential issues before they escalate. This proactive approach can cut equipment breakdowns by up to 70%. For example, an Arizona Solar Plant using AI-powered predictive maintenance achieved impressive results: 94.3% accuracy in detecting anomalies, 98.2% accuracy in fault localization, and a 47% reduction in unscheduled downtime. These improvements led to $425,000 in annual savings and avoided 1,960 metric tons of CO2 emissions each year.
Digital twins, virtual replicas of physical buildings powered by AI, allow property managers to test and optimize performance without making physical changes. This technology has shown to reduce energy usage by up to 20%.
"It's [smart technology in a building] required and, if you think of Maslow's Hierarchy of Needs and you apply it to buildings, having a safe and secure workplace is the most important factor." - Joe Aamidor, Aamidor Consulting
These advancements not only improve building operations but also influence investment strategies, as predictive analytics and automation open doors to new opportunities.
Predicting Market Trends for Investments
AI is transforming investment decisions by processing massive datasets and identifying key trends. According to McKinsey, machine learning can predict rent rate changes with 90% accuracy and other property metrics with 60% accuracy. This level of precision gives investors a significant advantage.
The emergence of Agentic AI, autonomous software capable of performing complex tasks with minimal human oversight, is pushing boundaries further. These systems don't just analyze data - they make decisions and act on their findings.
This has revolutionized client services. Christian Ulbrich, Global CEO of JLL, explains:
"Through our suite of AI tools and agents we can provide our clients with deep analysis and intelligent insights on their property portfolios. A complex process which used to take multiple weeks can now be delivered in real-time, allowing our people to deliver enhanced client experiences and better outcomes"
The rise of AI is also driving the data center boom. JLL predicts global co-location and hyperscale data center inventory will grow at an annual rate of 20% over the next three years. Meanwhile, Goldman Sachs estimates demand for data center power will surge 160% by 2030, fueled by increased AI adoption.
While these innovations reshape the investment landscape, they also bring ethical and privacy challenges to the forefront.
Ethics and Data Privacy in AI
As AI transforms operations and investments, it also raises new ethical questions. The ability to collect, analyze, and act on sensitive data comes with significant responsibilities.
Transparency is key. Property managers need to be upfront with tenants about how AI is being used. This openness builds trust and ensures compliance with evolving data regulations.
Preventing bias is equally important. Regular audits of AI outputs can help identify and address unintended biases, particularly in areas like tenant screening, property valuations, and investment recommendations. Left unchecked, biased algorithms could lead to unfair outcomes.
Data security is becoming more complex as AI systems handle larger volumes of sensitive information. Compliance with privacy laws is essential when collecting and using tenant data.
Striking the right balance between innovation and ethical responsibility is crucial. Janelle Penny, Editor-in-Chief, BUILDINGS, sums it up:
"AI tools aren't perfect, but they can help you tackle certain tasks so that you can spend more time on the parts of your work that need the human touch"
Michael Villegas from IA Interior Architects echoes this sentiment:
"AI complements human expertise, it doesn't replace it. The best results come from a partnership between AI-driven insights and human intuition, innovation and problem-solving capabilities"
AI is enhancing human decision-making, not replacing it. Companies that integrate AI thoughtfully, while addressing ethical and privacy concerns, will be well-prepared for the future of commercial real estate.
Conclusion
AI is reshaping the commercial real estate (CRE) landscape by speeding up processes and improving decision-making. The market for AI in real estate is forecasted to grow from $222.65 billion in 2024 to $303.06 billion in 2025, reflecting an impressive 36.1% annual growth rate.
"AI is a transformative force reshaping real estate operations."
This shift is more than just theoretical - it's delivering tangible results. For instance, Royal London Asset Management reported a 708% return on investment, 59% energy savings, and a reduction of 500 metric tons in annual carbon emissions thanks to AI-powered automation.
Experts in the field stress that AI doesn’t replace human expertise but enhances it. Raj Singh, Managing Partner at JLL Spark, notes:
"AI is helping to streamline our industry. As venture capital investors, we have seen many experiments with the latest AI capabilities, and the key to making the leap from pilots to successful products hinges on data quality, workflow integration and intuitive output interfaces."
For CRE professionals, the key lies in blending AI-driven insights with their industry knowledge. By gradually adopting AI tools in areas with the most impact and staying informed about the latest advancements, professionals can streamline operations and close deals more effectively. AI has evolved from being a novel experiment to becoming a core part of modern CRE operations.
The future will favor those who can merge AI's capabilities with their own expertise, creating efficient workflows while maintaining the personal connections that are crucial for successful deals.
FAQs
How can AI agents improve decision-making in commercial real estate?
AI agents are transforming decision-making in commercial real estate by processing massive datasets to reveal insights into market trends, property valuations, and demographic shifts. This empowers brokers, developers, and investors to make well-informed decisions while minimizing risks.
On top of that, AI tools provide predictive analytics, helping stakeholders anticipate market changes and adjust strategies to capitalize on future opportunities. By streamlining complex tasks such as zoning analysis, filtering parcels, and retrieving owner contact information, AI not only saves time but also enables faster, smarter decision-making.
What are the main advantages of using AI for managing and maintaining properties?
Using AI in property management and maintenance brings some clear benefits. For starters, automation takes care of routine tasks like scheduling, accounting, and tenant communication. This not only saves time but also reduces the chances of human error. With these tasks handled, property managers can shift their focus to bigger-picture goals.
When it comes to maintenance, AI steps up with predictive maintenance. By spotting potential problems early, it helps avoid costly breakdowns and unexpected downtime. This means fewer equipment failures and lower maintenance costs overall.
AI also plays a big role in boosting tenant satisfaction. It handles follow-ups automatically, offers personalized services, and ensures smooth communication. The result? Happier tenants, better retention rates, and a more positive experience for everyone involved - whether they’re residents or commercial tenants.
How does Plotzy ensure compliance and protect data security in commercial real estate?
Plotzy prioritizes compliance at its core to tackle the specific data security challenges faced by the commercial real estate (CRE) industry. The platform is built to protect sensitive information while meeting stringent privacy laws and industry standards.
To deliver strong security, Plotzy employs tools like encryption, secure data storage, and tightly managed access controls. These measures not only protect client information but also simplify the process of keeping up with changing regulatory demands in the CRE sector.
