Archive for March, 2025

How AI and Data Centres are Reshaping Real Estate Investment

Posted on: March 20th, 2025 by Spybey Digital

Yesterday, we hosted our latest UK Commercial Real Estate Breakfast Roundtable, where industry leaders and innovators came together to discuss the latest trends shaping the sector.

Our key theme? The role of AI and the growing importance of data centres in commercial real estate.

With AI transforming property management, valuations, and investment decisions, and the increasing demand for data centre infrastructure, the landscape of real estate is evolving rapidly. Investors, developers, and funders must stay ahead of these shifts to make informed decisions.

From AI-powered analytics to the rise of data centre real estate, here are the key takeaways from the discussion, which dived into what’s driving change in the market and what industry professionals need to know.

AI’s Role in Shaping Real Estate Investment and Management

Artificial intelligence is no longer just a concept of the future—it’s actively influencing how real estate assets are valued, managed, and operated. AI-driven tools are allowing property professionals to work smarter and more efficiently while gaining deeper insights into market trends.

Predictive Analytics for Property Values and Market Trends

AI is revolutionising real estate forecasting by analysing vast amounts of data to predict future property values, rental yields, and market trends. Machine learning models use historical data, economic indicators, and consumer behaviour patterns to give investors a more accurate picture of potential returns.

AI-Driven Property Management and Operational Efficiency

Smart building technology is optimising asset performance like never before. AI-powered systems can:

These tools not only improve operational efficiency but also enhance tenant satisfaction, making properties more attractive to occupiers.

Tackling Data Privacy and Security Challenges

With AI relying on vast amounts of data, security risks are a growing concern. Real estate professionals must implement robust cybersecurity measures to protect sensitive tenant and operational data, while complying with evolving privacy regulations such as GDPR.

The Data Centre Boom: Location, Infrastructure, and Sustainability

The surge in AI, cloud computing and digital services has led to an unprecedented demand for data centres. These facilities require strategic site selection, reliable infrastructure, and a strong focus on sustainability.

Meeting Demand for Data Centre Real Estate

As businesses rely more on digital storage and computing, investors are increasingly turning to data centres as a lucrative asset class. Prime locations near major cities or tech hubs—such as London’s ‘Silicon Roundabout’—are seeing high demand due to their connectivity advantages.

Infrastructure Challenges in Power and Connectivity

Data centres require vast amounts of electricity and high-speed internet connections. Key considerations for developers and investors include:

Navigating Sustainability and Regulatory Pressures

Energy efficiency and carbon reduction are top priorities for the data centre industry. With increasing regulations around emissions and power consumption, developers must focus on sustainable building materials, energy-efficient cooling systems, and carbon offset strategies to meet ESG (Environmental, Social, and Governance) criteria.

Investment Shifts: AI-Enhanced Valuation and New Asset Classes

As AI continues to evolve, it is reshaping the way properties are valued and expanding opportunities for investors in emerging asset classes like data centres.

How AI is Redefining Property Valuations

Traditional property valuation methods rely on historical data and manual appraisals. AI-driven valuation models, however, can:

These AI-enhanced insights give investors a competitive edge in identifying high-performing properties.

Mitigating Risks in Tech-Driven Real Estate Markets

While AI and data centres present exciting opportunities, they also come with risks. Investors should:

Where is AI Heading in Commercial Real Estate? Our Take

AI is everywhere right now—and commercial real estate is no exception. At PRE, we see AI as a game-changer that can help improve efficiency, accuracy, and the way we deliver services. While it’s still evolving, its ability to process large-scale data, predict trends, and automate tasks is something we’re keeping a close eye on.

So, where do we see AI making the biggest impact? We’re already exploring how it can support our surveyors and CAD technicians, particularly in report production and quality assurance. By integrating AI into our processes, we hope to speed up outputs while maintaining the high standards our clients expect.

On the other hand, AI isn’t perfect. Accuracy and data security are big considerations, and like any new technology, it comes with risks. As AI develops, firms will need to strike a balance between automation and human expertise—something we believe is key to making it a valuable tool rather than a complete replacement.

And what about data centres? With the huge demand for secure, high-performance data infrastructure, we’re looking at how our Area Measurement Reports and site surveys can support developers in site acquisition—helping them plan for the future in this rapidly growing sector.

AI is here to stay, but it’s about knowing how to use it wisely. We’re excited to see where it takes the CRE industry and how we can continue to adapt and innovate.

Looking for expert advice on property valuation, investment strategies, or sustainability? Get in touch with our team today to explore how we can support your real estate portfolio.

 

15 Lessons from 15 Years Running an SME Chartered Surveying & Property Consultancy Firm

Posted on: March 4th, 2025 by Jason Antill

Running a property consultancy or Chartered Surveying firm as an SME comes with unique challenges. You’re balancing technical expertise with commercial strategy, managing client relationships while staying profitable, and navigating a sector that’s constantly shifting due to economic cycles, regulatory changes, and evolving client demands.

If you’re building or scaling your own SME in this field, here are 15 key lessons to help you avoid pitfalls and maximise success.

 

1. Cash Flow is King – Manage It Relentlessly

In professional services, revenue often lags behind work completed. Clients may delay payments, disputes can arise, and large invoices don’t always mean immediate cash in the bank. To safeguard your business:

 

2.Hire Slow, Fire Fast Technical Skills Aren’t Enough

In surveying and property consultancy, technical expertise is vital but it’s not everything.  A surveyor who lacks commercial awareness, client management skills, or attention to deadlines can cause serious problems.

 

3. Clients Value Relationships Over Price

If you’re constantly competing on price, you’re in a race to the bottom. Clients who choose you purely because you’re the cheapest will leave the moment they find a lower fee elsewhere. Instead:

 

4. Diversification Protects Against Market Downturns

The property sector is cyclical. If your business only offers one core service, you’re vulnerable to market shifts. For example:

If commercial leasing slows, refurbishment projects may increase.

 

5. Economic Shocks Will Happen – Build Resilience

Whether its Brexit, Covid, or a property market crash, external factors will test your business. You cant predict the future, but you can prepare for uncertainty:

 

6. Office Location and Image Matter

If you’re working in commercial property, your office isn’t just a place to work it’s part of your brand. Clients take you more seriously when you’re in a central, professional environment rather than a backstreet office. However:

 

7. Work-Life Balance is a Challenge, But You Can Manage It

Surveying and property consultancy is deadline-driven, and clients often expect fast responses. If you’re not careful, the business can consume your life. To avoid burnout:

 

8. A Strong Core Team is Your Greatest Asset

In large firms, clients expect to deal with different departments. In an SME, they expect continuity. Your team is critical to your firm reputation and client retention.

9. Systems and Processes Save Time and Money

In surveying and property consultancy, wasted time means lost revenue. Every hour spent on inefficient admin is an hour not billed to a client.

 

10. Your Reputation is Everything

Property is a relationship-driven industry, and bad news travels fast. One poorly handled project, one broken promise, or one bad client experience can have long-term consequences.

 

11. Networking Opens Doors You Wont Find Online

Many of the best projects never go to tender. They’re awarded through relationships.

Attend industry events, even if they don’t immediately generate work.

Join professional groups and engage in discussions.

Keep in touch with past clients they may not need you now, but they might in six months.

12. Be Open to New Markets and Opportunities

The property industry is evolving. Whether it’s sustainability, PropTech, or international expansion, staying relevant means keeping an eye on emerging trends.

 

13. Marketing and Thought Leadership Take Time but Pay Off

Many SME consultancies rely purely on word-of-mouth, but this limits growth.

 

14. Not Every Client is Worth It

Bad clients aren’t just frustrating they can hurt your business. Warning signs include:

 

15. Enjoy the Journey – It’s More Than Just a Business

Running an SME isn’t just about revenue it’s about building something meaningful.

Success in property consultancy isn’t just about financial results – it’s about reputation, relationships, and resilience. Stay adaptable, invest in the right people, and keep your business moving forward.

What’s your biggest challenge right now in growing or managing your SME?

 

I’m always free for a chat do get in touch for a coffee. JASON ANTILL BSc (Hons) MRICS Managing Director

 

 

We Survived To 2025…..Now What?

Posted on: March 3rd, 2025 by Jason Antill

Not bad with reported UK commercial property take up being slow in 2024, still high interest rates & inflation, supply of suitable space remaining limited, close to recession and week GDP growth with economic downturn, not forgetting transport and trade union strikes…. HERE’S HOW

  1. Quick recap: although we were slightly lower on our revenue we increased our profit from last year! We did over 200 surveys of more than 8 million sq ft from a mixture of commercial sectors although largely % industrial. Pretty good, when commercial property transactions are down with secondary locations and assets suffering…tenants rising bias to prime?!

 

  1. We were laser-focused on our target clients! PropCos, Asset Managers and collaborating with other consultants where best suited (also don’t forget it goes both ways), however not discounting the larger institutions. We made sure and reinforced clients about being multi-disciplinary able to include not only offering Measured & Sustainability but also Building and Project Management!  Which gave clients a one stop shop. We had the pleasure of working with the likes of some great clients, you all know who you are, big high five and thank you!

 

  1. We eliminated nonessential processes! but kept high quality output and service to clients.  Getting feedback from clients and the PRE team highlighted how we could be better and more efficiently.  Moving the head offices from South London to Central London Soho, we can be closer to projects and clients.  Transport links around outer London, M25 and the southeast.

 

  1. Do a great job! Each project has its challenges. Being able to do more than one service line for the same project saves the client on cost and time.​ 80% of our clients are repeat customers or come through word of mouth as recommendations.

 

  1. We built our own tech from scratch! We sat down with a tech company who helped build surveying software tools to drive huge efficiencies across PRE surveyors workflow…. meaning our survey team save 20-30% on projects as before and leverage it to scale up.  We built an APP too!

 

  1. The PRE Team! Are our bricks and mortar to the company and clients.  A good culture is always important to us.  Trying to get the right balance isn’t easy.  Although from the start we have always embraced flexible working hours and remote working, in 2024 made a decision to move to a better location, nicer offices with breakout areas decent coffee machine, being together as a team has made a huge difference.

 

  1. Conduct extensive training.  Having taken on apprentices who spend one day a week on their course, this brings in new ideas and relevant CPD for the company to also learn. We’re hiring for a few new roles. Do contact us and perhaps catch a coffee in Soho.

 

  1. Our outlook and plans for 2025.  This year we are excited to be celebrating 15 successful years in business having founded the company in 2009 producing commercial EPC’s we now have 24 services.  Watch this space for celebrations…..We plan to expand cross sell all service lines to help existing and new clients,  Measured, Building, Project & Sustainability however still keep our core values, competitively priced, offering a high end delivery with repeat business relationships.

 

  1. Sponsorship and Charity. We continued to sponsor and attend networking events. These include being one of the main sponsors of PropSail in its 6th successful year.  Our 10 year of involvement in Oxford Brookes Real Estate Society (OBREMS) mentoring scheme for 2nd year students with c.500 students having benefited.  Being part of The Worshipful Company of Chartered Surveyors and help chair The Livery Lite for the next generation of property professionals.  Charities include Story of Christmas, Ellen MacArthur Cancer Trust and James’ Place to name a few.  Do take a look at their websites.

 

  1. What’s the Future for UK Commercial Property. Being at the coalface and UK nationwide, we found in 2024 the months very unpredictable.  Several UK property consultant research teams are showing 2024 investment volumes by sector at their lowest.  Rachel Reeves has confirmed that the spring Statement will take place on 26 March 2025.  What affect will this be for the property profession and in store for all of us in Q2?

However we are optimistic and believe that this is now the year for opportunities and growth.

Please do get in touch for a catch up or coffee.

JASON ANTILL MRICS
Founder & Managing Director