Commercial real estate assets have always been local, but capital and partners are national or global. CRE technology is reconciling this dichotomy by enabling the commercial real estate professional to expand their network and create efficiency in the deal flow. Capstak will go over the entire CRE Tech Landscape, and discuss how technology has already impacted the industry and where it will continue to impact brokers' deal flow. See more at www.Capstak.com

1. Impact of Technology on Commercial Real Estate
Capstak, Inc., © 2017
September 2017
Heather Goldman

2. About the Lecturer: Heather Goldman
• Web 1.0: CapitalThinking
o Web-based enterprise software platform for CRE capital markets
• Founded 1999; venture-backed, acquired 2004 CapitalStream
• Web 2.0: Capstak + Capstak Capital
o Market network for CRE deal professionals
• Founded 2015; angel funded, www.capstak.com
• Link to Capstak corporate video

3. CRE Tech is Here
TECHNOLOGY IS HELPING THE INDUSTRY SOLVE REAL PROBLEMS
• Assets are local, but capital and partners are national / global
• Data & information needs to be actionable
• A deal-centric / asset-centric view
• To create cost-efficiencies in the deal sourcing and asset management
process
• Enabling the industry professional, not disintermediating
• Saving time, money and effort

4. What’s Different This Time Around
EVERYTHING
• The Internet is a fact of life
• Cloud-based ‘rent-as-you-go’ services, e.g. AWS
• Mobile
• Open-source code
• APIs for ease of integration, replacing legacy systems
• Skilled work-force native to these technologies
• Dramatic reduction in the cost to design, build and support
• SMEs/CTOs are partnering to create real commercial solutions

5. CRE Tech Landscape

6. Real Solutions for Industry
Massive industry and its fragmented nature have left the CRE market lagging other industries in the
overall adoption of technology
--- Tech industry is offering Service, Data + Tools Solutions to drive change ---
Marketplaces / Platforms
Listing + Search Services
Investment Crowdfunding
,
Leasing Management Services
Data, Valuation & Analytics
Property/Building/Construction Management
Virtual Viewing CRM
News + Content Providers
Services Solutions Data + Tools Solutions

7. CRE Transaction Timeline
THE LIFE-CYCLE OF THE DEAL = $$$$$

8. Centralizing Solutions around the Deal/Asset
IT TAKES A VILLAGE = 3% TO 5% FEES IN EVERY DEAL
CRE Professional
CRE Tech

9. Marketplaces – Bringing Best-In-Class to CRE
Best in class technologies in
other industries will power
solutions for CRE
Marketplaces are facilitators
of deals; People are still
important
CRE solutions will be hybrids
combining the best of mobile
and cloud delivery with
actionable data and
information

10. Underwriting the Impact of Tech on CRE
IT WILL BE MASSIVE
• The Sharing Economy
• The Internet of Things (IoT)
• Power storage and distribution
• Driverless / electric cars
• Bitcoin
• Drone technology
• Robots
• Big Data