Real Estate and Technology had Effect on Commercial

Although it seems an endless supply of other shoes fall into the economic abyss present, seems to be a general consensus that commercial properties are a great success. The shoe could come at the end and other commercial properties is relatively unknown or simply not thought about the technology. The developed countries of the world except a few, have never had a potentially devastating economic cycle with the level of technology we have seen available. What technology can make a big impact on the duration of the downturn in commercial real estate and its impact on the economy in general. Our daily dose of eye popping layoffs is, the question on the agenda of every company, how to reduce costs. If you try to reduce the cost of a typical question to try first the number of people, can be cut and the amount of reduction in productivity can not be tolerated. But with all this technology we now have the opportunity to reduce costs, while the same amount of productivity. It was not a viable option in previous recessions, but this time, companies can begin to work the people back home, it’s all thanks to advances in communication.

People have for years telework, but with the expansion of communication technologies, with an economic slowdown reduced cost to hire between a group of employees and cutting to choose the building was much easier. The last time we saw an increase in teleworking was the attacks of 11 September and the catalyst was the fear of travel and an unstable economy. Audio and video sales and the increased use of technology was the latest in fashion. The big problem then was that the technology was a bit “more difficult to handle, and they all returned to their old habits of work after the crisis. The difference now is that the technology has come a long way and the new catalyst for the economic crash, I think, be a catalyst for greater than 11. The inconsistency and complaints about the use of technology for basic operational issues have disappeared. I recently spoke at a conference on this subject and I have a very simple question. Someone has an email to the person next to them in the office? Everyone looked around, like a trick question, but the reality is that there is no difference between sending an e-mail in the compartment next door or around the world. It is now the same restrictions on almost all types of voice, video, text, IM, etc., and the connection to all the buzz word in 2009 as Unified Communications known.

Carrier arms race between cable and telco has is a push for mega-bandwidth ideal for end users to deal with them, they have inadvertently to millions of households is crucial for high-speed track. In addition consumers in a position to be that most employees access to enterprise applications have been transferred to applications on the Web-based secure can be accessed via the Internet through these networks must be great. Supported by real that is so robust, the main concern of a businessman is to send an employee home to the potential downturn and loss of productivity. However, there are sophisticated systems for monitoring the progress of employees and the company at a distance that can solve this problem. Even if it were not for all office workers allowed to do that at the end are no longer productive possible to think less cold water, coffee breaks, lunch and long term. There is an argument that the employees, certain social aspects that connect to an office to lose each other, but officials put less emphasis on long journeys without waking up and at the beginning and end anywhere as happy with their work. So what does all this have to do with the real estate market? In short, all deliveries will be reduced to the level of technology physical demand for offices. Office space is always a kind of property that is less desirable because of its vulnerability to economic pressure was.

More than ever, companies are trying to reduce space and weight loss, and offices will be even more difficult. With more space on the market, rinse and repeat footprint. Excess space deflate ultimately reduce the rental rates of cash flows, and reduce the market value of real estate. Over the last 12 months have shown us anything because we do not help the recent trends in this market. Purchase of commercial real estate investors try to take advantage of recent trends, so that future profits will be squeezed in the short term. Why? For even if the economy recovers companies are not willing to pay a fee for the space they take from teleworking. Estimate last year, the Gartner Group, that 137 million teleworkers in the world were, “The fungal growth, companies learn more about the benefits of teleworking and their return on investment very profitable, and learn the dissemination and use of online recruitment and online recruiting, “according to a report InnoVisions Canada. So who is the subject of the warrant, but what affect the technology? On the retail front, there is a whole generation, accustomed to their life-line behavior and includes the purchase of products. Those born 60-70 are a generation, one foot in the past and build another brick in the generation of clicks in the future. When I see, I would say that there are certain things I’m not comfortable buying online, but my younger colleagues and friends have no problem, what you buy anything online. This is a generational change and add pressure on the retail property market over the business cycle. Take, for example, to Blockbuster and Netflix important initiative length movies online orders. At that time the service was to be used to send the DVD set at home, without a foot in a store. Many of the major cable and satellite industry are trying to allow the exercise of 1,000 titles your cable and satellite, and even now, on demand are important, but the absence of Title volume.

On another front Telco development of a stable broadband-over-IP solution, and allow Microsoft tried in the case of downloads directly to your Xbox entertainment system via the Web. How many empty stores and Blockbuster Video stores is that you press on the market? Well, what kind of digital media, and one might say that is an exception because it is so easy, but the technology allows the administration of many other services that are delivered directly to our doors. People are still shopping? I would say yes, because it seems that many people have to a hobby shop (better this time), but with our young people are more introverted and more accustomed to all that we can perhaps less than before on a per capita basis. not destroy the effectiveness of mobile technology office space or commercial space as a whole, however, it is important to understand in an economy, technology and the economy to bottom, are always necessary in a lot less. Commercial Real Estate has always been a good investment alternative, but the last 12 months have shown that investing in such property is the most experienced and most importantly, to understand an open mind, what the flow and value measure of future cash flows. You bet against technology has never been a very sound investment strategy and it is certainly not set the time for everybody to head in the sand, literally. You may remember the story of the young man who opened a typewriter store, because I thought that computers just a trend for children were more confrontation? Thought.

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