Outlook 2020

Technology has created huge changes to the property markets and real estate industry in 2020. We asked Chris Hancocks from our Futures team, and Ross Hodges from our Global Innovation Hub what they see as the proptech to watch in 2021. 

Over the last 40 years, Europe’s population aged 65+ has almost doubled in size. Meanwhile, 55% of people now live in cities, and single-person households are increasingly standard. In our Demographic Outlook report, we examine how real estate is reacting to these trends – and where the opportunities lie in 2020.

Change is the “new normal” – and in 2020, the real estate sector is likely to face the continuing effects of a global economic slowdown, trade wars, and the further polarisation of politics and an ongoing talent shortage.

The construction industry is not typically thought of as a driver of change – and its buildings are still assembled in largely the same way they were 50 years ago. Now we're seeing tech solutions to address rising construction costs.

Currently, buildings are responsible for 40% of energy consumption and 36% of CO2 emissions in the EU, so it is critical that the real estate sector plays its part in helping achieve climate goals.

Who will be the risk-takers?

In our Social Change Outlook report for 2020, we look at the most important factors driving change in the new decade – not just for society in general, but also for the future of real estate.

New mindsets will drive change

Today’s retail sector is undergoing major disruption, fuelled by a set of powerful technological, social, demographic and economic forces.

The concept of mixed use property development is undergoing a revolution. The new generation of developments will be altogether different: genuine multi-functional spaces that increase flexibility, create experiences, and provide maximum connectivity.

2020’s headline news is that logistics real estate will continue to be driven by key trends in e-commerce, technology, and labour availability.