The Answer to Real Estate’s Fragmented Data Lies with AI
Regardless of the impressive advancements made to modernize the commercial real estate (CRE) sector, there remains a chasm in the way the industry tackles asset identification through data. The problem of connectivity between systems and intel is rooted largely in the fact that there has never been a single, uniform way to distinguish properties and their respective records.
A building addressed “123 4th Street” might be identified this way in some systems, but recorded as “123 Fourth Street” in others. People scouring for this same property might use either of the two conventions above, or search via “123 4th St.”, shortening it completely. Such disparity often leads to a multitude of machine-learning redundancies and errors for the end-users, especially in sprawling organizations where data is nothing short of abundant.
This is a problem the industry has been working to resolve for years. As a result, respected enterprises are partnering with real estate data providers using big data and machine learning to cleanse, centralize and connect their own industry insights and gain property intelligence. The market needs a long-term alternative to how properties are identified and associated records are collected, verified, stored and shared.
By leveraging machine learning algorithms, data providers can provide a new level of standardization to equip companies, like brokerage giants CBRE and JLL, with better data organization and ultimately fuel their property intelligence.
Bridging the Gap in CRE Data Sanctity
When we at Reonomy first developed our national platform in 2017, we realized that, in order to successfully stitch and organize records on more than 50 million different properties, there had to be a unique asset identifier to unlock such connectivity. Considering the millions of ways assets can be located, recorded and misinterpreted by machines, not having a one-of-a-kind property “genome” was precarious.
To address this, we created a proprietary digital code, the Reonomy ID, to assign to each and every asset across the country. This identifier serves as the backbone of our platform while ensuring data sanctity and entity resolution. It’s also the same technology that permits other companies to integrate Reonomy’s data with their own internal systems, all while maintaining governance of their information.
Given the size and speed that major brokerages move at, such standardization is essential, especially as companies grow and scale. Technology like the Reonomy ID unlocks a new level of connectivity—one that harnesses integrations for better accuracy, centralization and analysis.
The Advantages of Digital Connection
Without one system of record, singular datasets and disjointed records can lead to oversights and missed opportunities. For large firms and brokerages, disjointed property information requires meticulous work to verify and consolidate without the right technologies to do so.
Data providers embracing this technology can successfully centralize and integrate organizational information to create a single source of truth—one that fuels better market insights and stronger decision-making for internal stakeholders. Plus, the benefits are far-reaching.
CRE enterprises can connect distinct datasets, whether proprietary or third-party. Regardless of how siloed or disconnected a business’s data might be, machine learning can be applied to resolve, fuse and centralize their people, property and company information, allowing businesses to augment their intel with accurate and reliable data, creating an arsenal of thorough insights.
Guesswork and anecdotal evidence are eliminated and replaced with a data-driven strategy harnessed to forecast market trends and pinpoint future opportunities. For example, firms can fully understand sales history, debt records and portfolio trends across full markets and asset classifications to identify potential strategic investments. By weaponizing their insights and driving analytical decision-making, companies are armed to accelerate organizational growth while enhancing competitiveness.
In short, this technology pioneers a new standard of accessibility and connectivity for enterprises looking to augment their CRE data.
In an industry that’s been deprived of data validation for so long, solutions like ours are moving brokerages and firms forward, into the age of connection. Armed with a database of accurate, up-to-date insights, these businesses can successfully harness data to fuel strategic decision making needed for the future of CRE.