Challenges in Commercial Real Estate: How Technology and Service Personalization Are Redefining the Post-Pandemic Future

Technology, through digital marketplaces and data platforms, has become essential for property owners and tenants to make informed decisions and adapt to the rapidly changing dynamics in the commercial real estate market. In a landscape where, according to SiiLA data, 75% of new office spaces and 26% of industrial spaces hit the market vacant, the need for these digital tools is urgent.

How do office and industrial property owners use digital tools to stand out in the market? The key lies in precise market data and tailored offerings that not only meet but also anticipate and exceed tenants’ evolving needs, making them feel understood and valued.

Emilio Romano is the CEO of Bank of America Mexico, which recently absorbed space at Puerta Polanco, Mexico City. Photo: SiiLA.

By: SiiLA News

10/18/2024

The pandemic has significantly reshaped the business landscape, and the real estate market is no exception. One of the most profound changes has been the way people and companies search for and acquire commercial properties. What was once a time-consuming and physically demanding process—visiting offices, making numerous calls to brokers, and relying on scattered information—can now be accomplished in a matter of minutes from a computer or mobile device.

Today, the search for commercial properties is more efficient than ever, thanks to the adoption of specialized digital tools and platforms. These tools have not only transformed how property owners and tenants access the market but also put them in the driver's seat, optimizing both the time and quality of their decisions. In fact, according to 2023 data from the National Association of REALTORS, 52% of buyers found the property they purchased online, reflecting the profound impact of digitalization on the real estate industry.

While technology has made searching for properties easier, allowing users to filter and personalize their options more efficiently to meet specific needs, the challenges in real estate go beyond digitalization.

SiiLA data shows that, over the past year, 75% of new office spaces came to market vacant, while in the industrial sector, that figure was around 26%. Despite this, industrial spaces have been leased far more quickly than offices. This contrast highlights the boom in e-commerce, logistics, nearshoring, and manufacturing growth in Mexico, which has driven demand for industrial spaces. Meanwhile, office spaces face the consequences of the shift toward hybrid and remote work models, reducing the need for large corporate offices.

A New Era of Expectations for Property Owners and Tenants

The digital era expanded access to property searches and marketing. Photo: Canva.

In this changing landscape, the challenges go beyond supply and demand. The expectations of both property owners and tenants have evolved significantly. As they adapt to these new market dynamics, both parties seek tools to help them navigate this shifting environment.

Today, property owners need to list their spaces on the market and ensure their properties stand out in an increasingly competitive environment. To achieve this, they need tools that allow for personalized promotion of their properties, highlighting key features such as strategic location, modern infrastructure, or attractive amenities for expanding businesses. Specialized platforms like SiiLA SPOT provide access to detailed information—including location, size, price, descriptions, and photos—allowing property owners to create a more attractive and customized presentation of their properties. This level of precision improves visibility and helps potential tenants schedule appointments more efficiently, without intermediaries, identifying the spaces that best suit their needs.

Carlos Garcés, Commercial Coordinator at SiiLA SPOT, emphasizes that this marketplace “gives clients their own identity, through the creation of a company page that brings together all of their properties in one place, allowing them to promote them more effectively and personally.”

Tenants, meanwhile, who seek flexible physical spaces with high-quality services and facilities can benefit from personalized marketing materials—such as precise data, detailed descriptions, and multimedia content (videos, professional articles)—that optimize the property marketing process. This comprehensive approach, supported by 360-degree marketing strategies, significantly reduces commercialization times and ensures each property resonates with its target audience.

The Importance of Data in Modern Real Estate Marketing

Using reliable data and comprehensive marketing strategies is essential in the modern real estate market. Photo: Canva.

Beyond marketing strategies, data use has been a key driver in this transformation, providing a solid foundation for decision-making and strategy development in the real estate market.

“Our platform allows users to find the total market availability and explore every corner of the property through interior and exterior photos, prices, and detailed features. This helps them decide whether the property is right for them or their clients and schedule an appointment with the broker or commercial director,” Garcés explained.

SiiLA SPOT is also powered by accurate market data, allowing property owners and developers to anticipate industrial and office trends. “Our platform is driven by the data we generate through Market Analytics, which allows us to offer precise and up-to-date insights for informed decision-making,” Garcés concluded. These insights optimize portfolio strategies, helping users minimize risks and maximize investment returns.

Want access to the largest platform of available commercial properties in Mexico? Visit SiiLA SPOT or email us at spot@siila.com.mx.

Latam

Mexico

National

CRE

SPOT

Other

ABOUT SiiLA

Founded in 2015, SiiLA is the industry leading REsource for comprehensive commercial real estate market insights, news and events across Latin America. The SiiLA suite of innovative products drive greater accuracy, efficiency, and strategic advantages for top players in the commercial real estate industry.