The industrial sector is booming and technology has definitely supported the transformation of this part of the industry.

Charlie Wade

The level of innovation was already a trend prior to Covid-19 and the onset of the global pandemic only accelerated this movement, with many industrial landlords turning to technology to ensure their businesses remain on track in the face of unprecedented challenges.

Being online and tech-enabled has ensured easy access to critical lease and tenant information, enabled employees to work collaboratively in a remote world and given teams the ability to manage relationships with tenants as customers’ needs evolve at an accelerated pace.

However, the industrial sector must further adapt and innovate, especially in the way it uses data. The reality of Covid-19 has meant that it is vital for landlords to stay ahead of their leasing, asset and investment management strategies, and be proactive in response to increasingly volatile market conditions. So, how can this be done?

Smart factory concept

Source: Shutterstock/NicoElNino

Information and data need to be at the heart of the business strategy. Various companies in the industrial and logistics sector are aware of the transformational power and future-proofing potential of data, but most are focused on potential future benefits rather than how they can use data today.

As a result of the progress the commercial real estate industry has made, using data to make real-time portfolio decisions that drive real outcomes is no longer an abstract concept. Information can be tracked centrally, giving industrial landlords complete visibility on portfolio performance.

This enables them to execute new leases and renewals, regear transactions on the best terms and get the insights they need to anticipate any risks and build a proactive investment strategy.

Using data to make real-time portfolio decisions that drive real outcomes is no longer an abstract concept

As the impact of Covid-19 continues to be felt, being armed with data and insights also becomes powerful in terms of understanding the impact of the pandemic on your business in real-time. For example, by systematically capturing insights on changing tenant requirements, industrial landlords can identify new opportunities to expand relationships, or safeguard themselves against tenant default.

Ultimately, those industrial landlords that understand the power of technology and data, and use it to their advantage, will be best positioned to navigate the continued market volatility and capture maximum tenant demand, whatever the future holds.

Charlie Wade is EMEA managing director of VTS