Ten X CRE Data

Delivered April 12th, 2018

Part

of four

Part

Ten X Buyers

When searching and purchasing commercial real estate, buyers now mostly prefer to use the Internet to search on commercial real estate property websites. Throughout their search, social media platforms, like Instagram, and influencers on Twitter, Facebook, LinkedIn, and YouTube, contribute to their decision-making. Blogs also contribute by serving as information centers for industry news, trends, and ideas.

DIGITAL TOOLS and CHANNELS Preferred by Commercial Real Estate BuyersSEARCH PLATFORMS
In the Digital Age, the Internet has become a prevalent presence in all industries and facets of life, including commercial real estate (CRE). With the constant availability of the Internet, a real estate media company, inMotion, says that today's buyers usually start their commercial real estate search by going online and visiting corresponding websites. To do their searching, 90 percent of buyers use mobile search. When buyers use computers, however, they use the browsers Internet Explorer, Mozilla Firefox, Google Chrome, and Safari to varying degrees. Internet Explorer sees the most usage at 42 percent of buyers. Meanwhile, only 24 percent, 18 percent, and 14 percent use Firefox, Chrome, and Safari, respectively.

COMMERCIAL REAL ESTATE PROPERTY WEBSITES
Based on the data above about how buyers begin their online search, the commercial real estate property website is key in reaching out to buyers. As 90 percent of buyers use mobile search, a website then needs to be mobile-responsive, or it must have a mobile counterpart.

Zooming into the pages of the website itself, according to key findings by inMotion, buyers spend the most time viewing pictures and scouring the leasing page and tenant list. Web pages that garner the most views, however, are the property information, location, and photo gallery pages. Pictures in the photo gallery, in particular, receive an average of 3.9 seconds of attention per image. In spite of this information, inMotion concluded that the most important element on a commercial real estate property website is the leasing page. Many buyers want to see a PDF file that show a property's floor plan. This finding is based on data that showed 38 percent of viewers exit a leasing page, on average, for lack of the aforementioned PDF file. Leasing pages with PDF files, on the other hand, only experienced 26 percent of viewers exiting the pages.

INSTAGRAM
Social media platforms, particularly Instagram, also play a role in the decision-making of commercial real estate buyers, according to commercial real estate marketing agency, Brower Group. These buyers want images to see properties in which they are interested and for content value, and Instagram perfectly allows buyers to have those images. In fact, commercial real estate companies are already utilizing the platform. For a few examples, the International Council of Shopping Centers have as much as 2,695 followers that the company engages using photos, videos, and contests. The Instagram account, Cool Working Space, markets work spaces to its 5,500 followers. DTLA Real Estate has 778 followers for its urban photography Instagram feed. Lastly, Murro Hill only has 9 Instagram posts but 544 followers.

COMMERCIAL REAL ESTATE INFLUENCERS
On the social media platform of Twitter, however, buyers look to influencers instead of images for their decision-making, as attested by the thousands of followers of these influencers. These influencers mainly use Twitter, but they also have Facebook, Instagram, LinknedIn, and YouTube accounts, which only widen their reach and influence. Each influencer is described more fully below:

1. Coy Davidson - He has a popular blog named The Tenant Advisor, and almost all top commercial real estate news outlets have featured him.  He has been in the industry for approximately 25 years and he currently has 32.2 thousand Twitter followers.

2. Jimmy Neuer - He has a corporate real estate blog called Neuerspace, and he has been in the industry for 18 years. He has 2,074 followers on Twitter.

3. Michael Beckerman - He founded The News Funnel, which features real estate content. He also serves as the CEO of cretech.com, a commercial real estate technology website. On Twitter, he has 5,800 followers.

4. Jonathan Schultz - On his blog at jonschultz.com, he discusses trending topics in the industry and shares his content to his 2,508 Twitter followers.

5. Duke Long - Rather than blogging like the influencers above, Long instead offers podcasts and webinars about the commercial real estate industry. He has 10.4 thousand followers on Twitter.

6. Linda Day Harrison - She founded Brokerlist.com where she writes about commercial real estate innovation and technology. She has 4,260 followers on Twitter.

7. Jeffrey Sica - He has 1,392 Twitter followers, and his commentaries have been frequently featured on multiple financial news networks.

8. Barbi Reuter - She has been in the industry for 20 years and has amassed 13.2 thousand Twitter followers. She currently serves as the President of Cushman & Wakefield, a commercial real estate brokerage firm.

9. Warren Nagatani - He hosts webinars on YouTube and serves as the Vice President of Sales at a digital marketing platform called ProspectNow, which is geared towards the real estate industry. He has 1,173 Twitter followers.

COMMERCIAL REAL ESTATE BLOGS
For information on news, trends, and ideas in the commercial real estate industry, buyers turn to blogs, and the real estate media, inMotion, listed the topmost blogs that regularly produce content that buyers depend on. 

Among blogs by individuals, inMotion listed:
1) A Student of the Real Estate Game
2) CRE.tech
3) Commercial Tenant Resource
4) Commercial Real Estate Show
5) CRE Outsider
6) Calculated Risk
7) and Bo Barron.

Among blogs that discuss commercial real estate platforms and tools, inMotion included:
1) Sharplaunch
2) Apto
3) RealMassive
4) Honest Buildings
5) Property Metrics
6) Bigger Pockets
7) The Center of Shopping
8) The Balance Sheet
9) The Broker List
10) Compstak
11) and Aquicore.

Finally, the news portals that buyers rely on subscribe to include: 
1) The Real Deal
2) Globest.com
3) INC Magazine
4) Urban Land Magazine
5) WSJ Developments
6) CP Executive
7) CRE Radio & TV
8) Commercial Observer
9) The News Funnel
10) and Real Estate Tech News.

ConclusionIn summary, commercial real estate buyers nowadays rely on property websites via the Internet to search for properties. Even so, information and content from social media influencers and Instagram posts factor into buyer decision-making. Buyers also look to top blogs for news, trends, and ideas about the commercial real estate industry.

Part

of four

Part

Ten X Sellers

Our research indicates that digital engagement for CRE sellers is a changing landscape. In 2017, sellers said they primarily used digital tools for market research, file management, and property listing. 49% of sellers surveyed thought that social media was a key to growing their business, but only 28% were using it to market to potential customers. Among social platforms, sellers cite LinkedIn, Facebook, and Twitter as their most commonly used channels. 10 CRE trade journals, as well as information on their organization, traffic, audience, and ad prices have been provided for your convenience. 

FindingsCOMMERCIAL DATABASES & LISTING SITES
According to The Balance, commercial real estate sellers are advised to create a profile on commercial databases (CCIM) such as LoopNet, CityFeet, and CoStar. SharpLaunch also posted listing sites and databases, which include 42Floors, RealMassive, Truss, and more.

REAL ESTATE INVESTMENT CLUBS
 The Balance also recommends sellers join real estate investment clubs, such as REI Club and CRE Online. These clubs most likely have their own sites for members or related forums for their community.

MEETUPS
For networking purposes, sellers can meetup with local groups of investors in the area. Meetup.com has 186,591 members and 410 meetups for the commercial real estate industry. A directory of all meetups can be found here.

3D SCANS AND VIRTUAL REALITY TOOLS
According to Forbes, 3D cameras, such as Matterport 3D camera, can be used to create digital 3D representations online of the listing. They can be uploaded to online platforms such as Littlstar and InstaVR to create and track digital tours of real estate listings. Virtual reality tools can be leveraged to better sell real estate by allowing the client to have an "accurate depiction of the space" and providing an interactive experience. Matterport alone has "captured 400,000 spaces in over 70 countries" and received more than 100,000,000 million views. Matterport offers weekly newsletters and community forums for special interest groups on their website.

DIGITAL MARKETING PLATFORM SOFTWARE
 SharpLaunch is an example of a CRE marketing software that is used by CRE companies like CBRE, Foundry, and MMG Equity Partners. Another company, CREOP, provides a software platform to create designs for marketing media and presentations for commercial real estate sellers.

Organizations & Journals/Publications SharpLaunch provided a list of their top CRE trade journals and publications for anyone in the industry, including sellers. Although a blog, SharpLaunch is a reputable company (CRE marketing platform) that uses the blog for its own company articles. Information on their ad prices have been provided as well as information on the organization itself for your convenience:

1. Building Owners and Managers Association (BOMA) International
Magazine: 17,000 readers, $800 to $8,775 ad prices
E-Newsletter: 20,000 subscribers, $900 to $2,940 ad prices
Website: "35,000 unique visitors per month," $620 to $3,600 ads

2.  CCIM 
CCIM Institute is an organization providing CRE education programs. Members are eligible for the CCIM designation, which is the "industry's most prestigious certification."

Magazine: 13,000 subscribers, $1,580 to $5,540 ad prices
E-Newsletter: 12,000 subscribers, $1,200 to $2,500 ad prices
Website: 66,000 visitors/month, $500 to $2,000 ad prices

3. Commercial Real Estate Development Association (aka NAIOP)
NAIOP is an organization for CRE professionals in "office, industrial and mixed-use real estate" and provides networking and education for their members. 

Their NAIOP Development magazine is published quarterly and is a "valuable and trusted source on the latest industry information and happenings for commercial real estate professionals."

Magazine: 20,000 subscribers, ad prices start at $2,045 
Website: ad prices start at $795 

4. Commercial Property Executive
Commercial Property Executive provides data analysis and critical market research to an audience of "more than 30,000 senior-level decision makers, representing the 5,000 organizations with the greatest buying power in commercial real estate."

Print Editions: 30,000 subscribers, $4,820 to $5,950 ad prices 
Digital Magazine: 24,218 subscribers, $2,380 to $8,925 ad prices
E-Newsletter: 90,592 subscribers, $1,200 to $3,500 ad prices
Website: 106,673 visitors/month, $50 to $84 CPM ad prices

5. Multi-Housing News (MHN)
MHN provides current "news, information and analysis to over 49,000 senior-level decision makers, representing organizations with the greatest buying power in multi-housing real estate."

Print Editions: 49,000 subscribers, $4,820 to $5,950 ad prices 
Digital Magazine: 37,153 subscribers, $2,380 to $8,925 ad prices
E-Newsletter: 71,268 subscribers, $1,200 to $3,500 ad prices
Website: 73,386 visitors/month, $50 to $84 CPM ad prices

6. Urban Land Institute
Urban Land Institute has more than 39,000 CRE industry professionals in its organization and publishes a bimonthly publication.

Print Editions: 60,000 subscribers, $4,200 to $10,580 ad prices 
Digital Magazine: ad prices starting at $400 
E-Newsletter: 60,000 subscribers, $1,500/week for ads

7. National Real Estate Investor (NREI)
NREI publishes a "comprehensive overview of the industry to its readers," who are from disciplines like property management, investment, and corporate real estate.

Print/Digital Magazine: 87,000 subscribers, $3,200 to $9,000 ads
E-Newsletter: 72,000 subscribers, $850 to $1,000 per day
Website: 152,000 unique visitors/month, $50 to $125 CPM

8. ICSC
ICSC has 70,000+ members in over 100 countries and provides resources, connections, and insights on the "global retail real estate industry." Their magazine is "the retail industry's most valuable resource."

Shopping Center Magazine: 67,000 readers, $1,600 to $5,280 ads
Website: 110,000+ unique visitors/month, $15 to $40 CPM ads

9. National Association of Real Estate Investment Trusts (NAREIT)
NAREIT is the global voice for "REITs and publicly traded real estate companies with an interest in U.S. real estate and capital markets." Members are REITs and businesses that finance, own, and operate real state, as well as those that service, study, and advise those businesses.

REIT Magazine: 45,600 subscribers, $2,975 to $14,385 ads
NewsBrief (weekly for members): 6,000 subscribers, $5,000 ads
E-Newsletter: 84,500 subscribers, $5,000 ads.

10. Real Estate Forum
Real Estate Forum is "the industry benchmark and longest running commercial real estate publication." Publications offer actionable intelligence, research, and trends to help CRE professionals.

Digital & Print Magazine: 61,169 subscribers, $3,500 to $7,500 ads

Social MediaLINKEDIN
Between 51% and 72% of CRE sellers use the professional networking platform LinkedIn as part of their workflow. Sellers are primarily using this tool to meet and share information within the industry, so it may be of special interest. In a survey conducted by LinkedIn, 53% of their users said that their primary use of the site was to seek commentary from other professionals on specific markets, tools, or events, and 43% were logging into the site primarily to look for news related to their specific industry or market.  

CRE sellers using LinkedIn participate in a number of industry-specific groups. The largest of these groups include: 
— International Council of Shopping Centers (60,000 members)
— Pete Asmus’ Real Estate Networking Group (Investor Strategies) (569,000 members) 
— Pete Asmus’ Commercial Real Estate Investment, Development, & Property Management (124,000 members)
— Corporate Real Estate (169,000 members)
— Technology for Commercial Real Estate (13,000 members)
— Commercial Real Estate Executives (19,000 members) 
— Social Media Commercial Real Estate (10,000 members)

FACEBOOK
 80% of CRE sellers have Facebook accounts, making Facebook the most-used social platform in this group. Sellers use Facebook for marketing, personal networking, and professional information exchange. Professional discussion groups for CRE sellers exist, but are not as large as those on LinkedIn. The largest US-based professional interest group for CRE on Facebook is Commercial Real Estate Network, with just over 16,000 members. 

TWITTER
CRE sellers and investors use Twitter to track opinions and commentary related to the market. My research did not reveal the use rate for Twitter among CRE sellers, but it seems substantial based on the audience of followers for large industry accounts. Top CRE industry accounts on Twitter include: 
— CCIM — CCIM Institute (24,500 followers)
— Michael Lagazo — ICSC Chair, Senior advisor, retail, for SVN Asset Advisory Group (19,700 followers)
— Barbi Reuter — President PICOR (13,200 followers) 
— Michael Bull — Host of CRE Show (14,000 followers)

Twitter users track and participate in conversations using hashtags, and CRE users are no exception. Common CRE hashtags include #CRE, #commercialrealestate, #realestate, #CREMarketing, #CRETech, #proptech, #retail, #office, #officespace, and #multifamily.
CONCLUSIONDigital tools, channels, organization membership communities, and publications have been provided, including 10 organizations with publications. Information on the organizations' members, traffic, and ad prices have also been detailed.

Social media tools are used by CRE sellers in much the same way that they are used by the public. LinkedIn leads the way as a source of professional discussion and networking, Facebook has the largest user base, but its effectiveness for professional purposes may be diluted by its popularity for personal networking, and Twitter provides quick insight into events and opinions.

Part

of four

Part

Ten X Brokers

Overview
The preferred method to communicate or market to commercial real estate brokers is through social media sites, more specifically Instagram, Twitter, YouTube, Facebook and LinkedIn. Other ways to reach out to brokers is via the top commercial real estate websites or on websites such as CREpress, thebrokerlist, Buildout, and Duke Long’s blog.  Networks that focus solely on CRE like RealConnex, and blogs by influencers can also be utilized in marketing to brokers.

Key Findings and Methodology

Our research focused on various ways a business can connect with the CRE brokers. We found that commercial real estate buyers prefer the internet to compile information in order to make informed decisions. Therefore, brokers are realigning their own strategies to be more socially active.  They use applications that increase their productivity and are able to market themselves to a larger target audience. Brokers use social media in order to: work on their SEO strategies, upload photos on Instagram, use Instagram and Facebook Live, upload videos on various social platforms, create LinkedIn profiles, use Facebook and Twitter accounts, hashtag research, and actively engage in Facebook groups.  They are able to offer exclusive walkthroughs or post videos of listings, which are much more accessible to the customers. They also publish articles which are of interest to their audience.

Listings are advertised on many commercial real estate websites. These websites offer multiple types of incentives to lure brokers, such as the ability to: 
•	add listings for free for a limited time, 
•	add listings for free after a paid advertisement for property owners,
•	utilize tools to help manage the purchasing process(listing-closing),
•	post an unlimited amount of listings for a set price,
•	introduce new network features for associations or multi-office brokerages,
•	form real-time connections with tenants,
•	find deals, services, or vendors on a free online platform.
These incentives are helpful in the event that the brokers see the client as competition.

We located a preexisting list of the top Instagram accounts that buyers visit for CRE information. These are the key influencer's accounts which the brokers would be targeting to reach their customers. 

Social networks have become prevalent to the point of being obligatory for brokers.  Outside of the usual players, there are now networks that focus solely on CRE like RealConnex.  RealConnex is an online platform that connects brokers to capital, investments, and services. It is often time-consuming and expensive for real estate brokers to prospect and find new customers. An industry-specific networking platform enables brokers to streamline the process of building rapport with developers, sponsors, investors or lenders. 

Despite extensive research on social media sites, retail-specific sites, media outlets, and other resources, a triangulation could not be done for providing a demographic breakdown of buyers. There is not a preexisting demographic breakdown of brokers and the digital tools/communication channels of these demographics was not found. 

Conclusion
Social media accounts and blogs mentioned can be used as a source of marketing their website and reaching the right buyers. For example, you can connect with one of the CRE influencers for marketing their website through their social media account because the brokers will also be targeting the same accounts to reach out to the customers. The use of social media is prolific for advertising and brand communication. The top real estate websites currently offer incentives to attract brokers, despite some brokers viewing them as competition.

Part

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Part

Commercial Real Estate Changes

Over the past five years, US commercial real estate has moved towards continuous growth and the change was driven by factors such as employment gains, strong demand pushes and growth in economy, not to mention that commercial real estate prices have continuously increased on year to year basis. Technology companies have changed the dynamics of the market both for the industry and the average consumer.
IntroductionOur research team conducted an extensive search to understand and give an overview of changes and shifts in the commercial real estate industry in the past five years, along with a special focus on the impact that digital/online influence has had. The value of U.S. commercial construction put in place, expressed in billion U.S. dollars, went up from 53.16 billion USD in 2013 to 86.95 billion USD in 2017. National CREI index, based on 10 variables pertinent to the performance of U.S. industrial and office markets, closed at record 130.5 points in 2017, and  commercial real estate prices have increased every year. Meanwhile, newer digital/online solutions are being developed to provide the consumers with opportunities that help them explore the properties or share owned space more easily for a profit.

Quantifying factors of analysisThe report comprises changes in various real estate indicators (both industry facing and consumer facing), the driving factors behind the change, qualitative analysis of the nature of change, including the reasons behind the change, and specific instances of companies  pertaining to the impact of digital/online influence.
Findings:
A. The value of U.S. commercial construction put in place in billions U.S. dollars  (2013 – 2017)

 The value of U.S. commercial construction put in place in billions U.S. dollars went up from 53.16 billion USD in 2013  to 86.95 billion USD in 2017.  Although the rate of increase varied, it never went down during the 5 years duration from 2013-2017. This information can be seen from both consumer side and industry side as indicators of increased demand and scope for more work.

B. Changes in the SIOR Commercial Real Estate Index (CREI)

i)The SIOR Commercial Real Estate Index (CREI)

The SIOR (The Society of Industrial and Office Realtors) Commercial Real Estate Index (CREI) is an attitudinal survey of local markets completed by commercial real estate market experts (SIOR members). A survey is conducted quarterly that helps measure the state of the commercial real estate market for the United States.

The Commercial Real Estate Index (CREI) is based on a survey questionnaire with ten topics. The topics covered are: (1) recent leasing activity; (2) trends in asking rents; (3) trends in vacancy rates; (4) subleasing conditions; (5) levels of concession packages in leases; (6) development activity; (7) site acquisition activity; (8) investment pricing levels; (9) the impact of the local economy on the property market; and (10) the effect of the national economy on the property market. 

ii) Q4 2017 : SIOR commercial real estate index closes 2017 at a record level

-In Q4 2017, “The national index, based on 10 variables pertinent to the performance of U.S. industrial and office markets, closed at 130.5. An index value of 100 shows a balanced market, meaning that the current value of the national index is pointing to growing conditions, having surpassed its historical average. The figure represents the highest value since the index’s inception in 2005, and the fifteenth quarter with a value above the 100-point threshold since the Great Recession.”

-Q4 2016 : Spurred by employment gains, SIOR index closed 2016 at its highest level on record “The SIOR Index increased 4.2 points during the 4th quarter of 2016, moving from 119.0 to 123.2., keeping the Index value above the 100-point threshold for the 11th consecutive quarter. The index was 0.3 percent higher on a yearly basis. The SIOR Index measures ten variables pertinent to the performance of U.S. industrial and office markets”

As noted in earlier paragraph, an index value of 100 shows a balanced market, therefore, an increase from 119.0 to 123.2 indicates a growing condition for US commercial real estate at the end of 2016.

Specifically for the consumer side,  “In terms of tenant concessions — 19 percent felt that tenants were benefiting from moderate concessions to deep discounts to rents (23 percent last quarter); 34 percent of respondents found a market in normal negotiating balance; 47 percent thought the market favored the landlord” by the end of Q4 2016.

-Q4 2015 : Strong demand pushes SIOR index to record Level

By the end of Q4 2015, “Office and industrial markets advanced in the fourth quarter; with the SIOR Commercial Real Estate Index increasing 1.9 points (1.6 percent), moving from 120.0 to 122.8, putting the CREI over what is considered the balanced market threshold at 100 points for the seventh consecutive quarter since the last recession, and the highest CREI value since the fourth quarter of 2007. The SIOR Index measures ten variables pertinent to the performance of U.S. industrial and office markets”

Specifically for the consumer side, in terms of tenant concessions—20 percent felt that tenants were benefiting from moderate concessions to deep discounts to rents (22 percent last quarter); 33 percent of respondents found a market in normal negotiating balance; 46 percent thought the market favored the landlord.

- Q4 2014 : Growth in the economy lifts SIOR markets to highest post-recession levels

By the end of Q4 2014, “Office and industrial markets reflected the positive economic environment in the fourth quarter. The SIOR Commercial Real Estate Index, representing fourth quarter 2014 data, gained 3.9 points. The national index, based on 10 variables pertinent to the performance of U.S. industrial and office markets, closed at 116.3, the highest value since the first quarter of 2007. An index value of 100 shows a balanced market, meaning that the national index has surpassed its historical average, and is pointing to growing conditions. The figure represents the third quarter with a value above the 100-point threshold since the Great Recession.”

Specifically from the consumer side, “less than 30 percent of SIORs feeling that tenants benefited from concessions.”

- Q4 2013, The value of SIOR CREI increases 

Q4 2013 could not be found from our source, therefore we triangulate the value by calculating average decrease in points for a year

Triangulation:

Q4 2014 Closed at 116.3
Q42015 : Closed at 122.8
Q42016: Closed at 123.2
Q4 2017: Closed at 130.5 

Q4 2017 - Q42016 Decrease in points 130.5 – 123.2 = 8.3
Q4 2016 - Q42015 Decrease in points  123.2-122.8 = 0.4
Q4 2015 - Q42014 Decrease in points   122.8 – 116.3 = 6.5
Avg Decrease in points/year : (6.5+0.4+8.3)/3 = 5.07

Therefore, Q4 2013 is triangulated to be closed at : 116.3-5.07 =111.23

-Summary (Q4 2013 - Q4 2017)

Q4 2013 closed at : 111.23
Q4 2014 Closed at 116.3
Q42015 : 122.8
Q42016: 123.2
Q4 2017: 130.5 

This shows that from 2013 to 2017 US commercial real estate market experienced a steady growth as well as thoroughly performing better than the balanced market condition.

C. Changes in commercial real estate prices for US (Q4 2012 - Q42016, both end included)

From a consumer’s point of view commercial real estate prices for US changed from 5.3 % in Q4 2012 to 5.9% in Q4 2016 with the maximum being 15.5% for Q4 2013. It is to be noted that during this time period, i.e. from q4 2012 – q4 2016, the value never went into the negative zone, indicating that the commercial real estate prices always increased, though in various degrees. Q4 2016 was the latest data available and, therefore, has been taken as the last data point.

D) Impact of Digital/Online Influence

The technology industry and players like Airbnb, Zillow, WeWork and RealtyMogul are transforming the long cherished beliefs of the industry and the interaction of its players — tenants, owners, financiers, and agents. 

The real estate asset class is the largest class in the US at $50 trillion, which is the reason why technology is hungry to play in this historically analog world, since the Commercial Real Estate (CRE) is a huge market. More specifically, residential housing is the single largest “tangible” U.S. real estate asset class, worth roughly $26  trillion, and commercial real estate accounts for another $24 trillion.

That’s why Airbnb is merely the first of many technology startups to capitalize on this greenfield opportunity by changing the very definition of real estate and the value of owning it. Indeed, many high-flying sharing economy companies prove that individuals increasingly prefer the value of access versus asset ownership.

The technology industry and players like Airbnb, Zillow, WeWork and RealtyMogul are transforming long cherished beliefs of the industry and the interaction of its players — tenants, owners, financiers, and agents. The premise of the tech disruptors is simple: let the CRE companies own the assets and we will own the platforms that enable residents and tenants to access what they need, when they need it, whenever they need it, using today’s real time, Big Data and cloud technologies.

E ) Specific Instances of the Impact of Digital/Online Influence : - Industry Facing

1. Hightower and VTS, software solutions that help real estate professionals and owners manage the sales and leasing of properties, announced a $300 million merger to combine both services under the name VTS. The company focuses on helping real estate professionals track deals and manage space in real-time, and collaboratively. VTS, inc. is a  US company.

2. CBRE, the world’s largest commercial real estate services and investment firm announced the acquisition of Floored, a NYC based company that creates interactive 3D graphics and technology for the hospitality and real estate industries

Therefore, It can be seen that commercial real industry players (industry – facing) are increasingly being influenced by digital solutions offered by tech startups in the commercial real estate space.

Specific Instances of the Impact of digital/online Influence : - Consumer facing 

1. NYC-based startup SquareFoot similarly provides users with a platform that aggregates online listings but takes it a step further. The company offers leasing advice, and brokers there serve as concierges, who focus their efforts on guiding businesses through the entirety of the leasing process. As a bonus, features built into SquareFoot's platform allow brokers and tenants to easily communicate, share notes, schedule tours and manage everything online.

2. Floored developed a solution to this problem by building software that turns 3D data into interactive virtual worlds. Floored Inc. designs, develops, and sells 3D modeling software for commercial and residential real estate companies. The company was founded in 2012 and is based in New York, New York. 

3. Matterport Inc., another company head quartered in Sunnyvale, California creates VR renderings of the insides of properties but it also allows anyone to create the 3D models using a special depth-sensing camera and share them over the Internet.

Therefore, it can clearly be seen that newer digital/online solutions are being developed to provide the consumers with opportunities that helps them to explore the properties as if they were there.

ConclusionIn conclusion, over the past five years the US commercial real estate has moved towards continuous growth. The change was driven by factors such as employment gains, strong demand pushes, and growth in the economy. Commercial real estate prices continuously increased on year to year basis. Technology companies have changed the dynamics of the market both for the industry and the average consumer.