Business
Just 5% of CRE companies have achieved their AI goals. Here’s why
Diminishing perspective of downtown London skyscrapers
Chunyip Wong | Istock | Getty Images
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The commercial real estate market has been historically slow to modernize, and yet it appears to be accelerating its adoption of artificial intelligence.
Companies are moving beyond initial testing and exploration into more targeted applications that aim to redefine value, according to a new survey from JLL.
The survey of more than 1,500 senior CRE investor and occupier decision-makers across various industries found that, while still in the early stages, organizations are making AI a priority in their technology budgets. They are also moving from using it just for efficiency to focusing on how it can grow their businesses.
JLL found that 88% of investors, owners and landlords said they have started piloting AI, with most pursuing an average of five use cases simultaneously. And more than 90% of occupiers are running corporate real estate AI pilots, according to the report. Compare that with just 5% starting AI pilots two years ago. The adoption is fast, but not entirely easy.
Just 5% of respondents said they have achieved all their program goals, while close to half said they have achieved two to three goals. Much of the efforts are still experimental, without much growth.
“If you think about commercial real estate, traditionally, it is not a quick technology adopter, and it’s usually skeptical,” said Yao Morin, chief technology officer at JLL. “So the high number of adoptions is actually quite surprising to me. What is not surprising on the flip side is that only 5% actually thinks that they have achieved all the goals. This is pretty aligned with a lot of other industries as well.”
The reason they’re not hitting their goals is because the goal line has moved. Companies have gone beyond just wanting to do certain tasks faster, or so-called operational efficiencies. Now they are tying AI to their revenue goals.
For example, some are using it to help them improve their investment risk models, making investment and portfolio decisions based on the output of AI. That will require big changes to the fundamental way they operate.
“When you really start moving towards the revenue side, the margin expansion side, then it’s going to require a lot more than just using a technology,” Morin explained. “You can’t just say, ‘Well, I’m saving you 10% to do this particular thing.’ Companies need to actually rethink their operating model, to rethink how they organize to actually achieve the savings.”
And so companies are investing heavily in AI, despite economic headwinds. More than half of investors surveyed by JLL have been able to get significant budget growth over the past two years in the space. Their No. 1 spend is on strategic advisory on technology or AI, and most report their budgets have increased solely due to AI. After that, the spending goes to upgrading both cyber- and data-security measures and infrastructure for AI integration.
Morin said what she found really surprising is that while most think companies will start using AI for simple tasks, or, low-risk, low-hanging fruit, that was not at all the case.
“Our survey showed the opposite. We are getting to a point of sophistication, beyond this initial skeptical phase, where companies are really focusing on the competitive advantage to pressing business problems, using AI to solve instead of [just] those simple low-risk operations.”
Business
Houses without lounges are a reality for renters
Kevin PeacheyCost of living correspondent
Ella MurrayHomes without lounges are becoming a reality for renters on tight budgets faced with a lack of available lets.
Nearly a third of homes advertised on flat-sharing website SpareRoom in the first half of the year had no living room.
Ella Murray, aged 22, who shares with three other people in London, said: “At this stage in my life I’m not willing to sacrifice money for more space.”
Landlords say turning a lounge into a bedroom helps them cover their higher mortgages and other extra costs, while meeting demand from tenants.
But a lack of communal space means many renters are living and working in one bedroom putting them at risk of social isolation.
Some also point out the “false economy” of being forced to go out to socialise which can cost more than a night in with friends.
Cost-of-living pressures
Students living away from home might expect to rent in a property where the front room has been converted into a bedroom.
But these latest figures suggest this is a reality for young professionals renting in their 20s and 30s.
Analysis by SpareRoom, shared with the BBC, shows:
- Some 30% of adverts for a room posted on the platform in the first half of the year were for places without a living room
- That proportion was higher in London, at 41%
- Birmingham saw an increase from 16% to 22% of adverts with no living room in the five years from 2020
The data covers flat or house shares only, and does not include any studio, or one-bedroom listings.
Official figures show average UK monthly private rents increased by 5.5%, to £1,354, in the year to September.
As costs rise, there are 10 prospective tenants on average chasing every available rental property, according to the latest Rightmove data.
A landlord turning a lounge into a bedroom provides an extra place for a tenant. It could also mean lower rent payments for each tenant but potentially more rent overall for landlords covering higher mortgage repayments seen in recent years.

Ella and her three housemates split the rent of £3,000 a month dependant on the size of their bedrooms, but their home does not have a living room.
“We have a decent-sized kitchen with a dining table which is where we hang out instead. We would definitely socialise more if we had a living room,” she said.
She said the rent was cheaper as a result, and – living in London – it was the norm among her friends in other rental properties in the city.
She works in musical theatre, and said she would be more inclined to rent somewhere with a living room were her wage to increase and were she to move in with a partner.
Hannah CarneyHannah Carney, 26, also shares a property without a lounge and says none of the places she had rented since she was 18 had a living room.
She says she misses having a “chill place that is social” and it means she and her flatmates probably spend more on going out for dinner and drinks.
“I’d love to say that all properties should have a communal area. I wish that was the norm, but I know it’s not realistic,” she said.
The best she and her flatmate could do, she says, is to have movie nights in a box room that they also use to hang their washing.
Matt Hutchinson, director of SpareRoom said: “We’ve had so many messages from people who met their best friends and partners in flatshares, who’ve raised families or started businesses together.
“Those kinds of stories will become rarer if communal, sociable spaces within homes are not protected. Sadly, loneliness is alarmingly common.
“With rents as unaffordable as they are now, it’s understandable people are looking for ways to cut the cost of living.”
Chris Norris, chief policy officer at the National Residential Landlords Association (NRLA) said the “root of the challenges” was too few rental homes to meet demand.
The NRLA said some landlords, facing a difficult outlook, were moving into offering multi-occupancy homes so their businesses remained viable enough to carry on.
“With rising costs and the expectation of smaller margins to contend with, some landlords will certainly be looking at how to use their investments most efficiently and meet demand effectively whilst delivering high-quality private rented homes,” Mr Norris said.
At the more extreme end of the scale, the BBC has previously uncovered illegal house-sharing in multi-occupancy homes.
Business
ASEAN eyes investment in tourism, food industry | The Express Tribune
Federal Minister for Investment and Board of Investment (BOI) Chairman Qaiser Ahmed Sheikh
ISLAMABAD:
Federal Minister for the Board of Investment Qaiser Ahmed Sheikh held a meeting with a joint delegation of Asean ambassadors and high commissioners at the Board of Investment (BOI) office.
During discussions, Qaiser Ahmed emphasised the strategic importance of Asean countries as vital partners of Pakistan. He briefed the delegation on the pivotal role of Special Economic Zones (SEZs) and the Special Investment Facilitation Council (SIFC) in promoting investment opportunities nationwide.
He highlighted that these zones provide a structured, investor-friendly environment designed to foster sustainable industrial growth, attract foreign direct investment and create employment opportunities.
All representatives of the Association of Southeast Asian Nations (Asean) expressed keen interest in sectors such as tourism, the food industry and other emerging markets that offer considerable potential for investment and bilateral economic collaboration. The minister noted that Pakistan is actively introducing incentives to enhance investment prospects in key sectors, including information technology, infrastructure, textiles and mining.
The delegates acknowledged the vast investment opportunities available in Pakistan and reaffirmed their willingness to explore potential collaborations across multiple sectors. Discussions also centred on strengthening trade and investment linkages, enhancing regional connectivity and streamlining investment procedures to facilitate mutually beneficial partnerships.
Business
Aadhaar future roadmap: UIDAI sets up expert panel to craft Vision 2032; explores AI, blockchain and quantum tech – The Times of India
The Unique Identification Authority of India (UIDAI) has set up a high-level expert committee to make Aadhaar technology future-ready, with focus on scalability, data security, and resilience against emerging cybersecurity threats, according to an official statement issued on Friday.The committee, chaired by UIDAI Chairperson Neelkanth Mishra, includes UIDAI CEO Bhuvnesh Kumar, Nutanix founder Dheeraj Pandey, MOSIP head of engineering Sasikumar Ganesan, Trilegal partner Rahul Matthan, Amrita University Professor Prabaharan Poornachandran, Michigan State University Professor Anil Jain, UIDAI Deputy Director General Abhishek Kumar Singh, Sarvam AI co-founder Vivek Raghavan, and IIT Jodhpur Professor Mayank Vatsa.“Recognising the rapidly changing technological and regulatory landscape, the UIDAI has embarked on a comprehensive strategic and technological review to shape the next decade of Aadhaar’s evolution through a new ‘Aadhaar Vision 2032’ framework,” the statement said.The Vision 2032 roadmap will not only sustain Aadhaar’s technological leadership but also reinforce its role as a secure, inclusive, and people-centric digital identity, the statement added.The expert panel will draft the Aadhaar Vision 2032 document, outlining a framework for next-generation Aadhaar architecture aligned with India’s Digital Personal Data Protection (DPDP) Act and global privacy and cybersecurity standards.According to the UIDAI, the Vision 2032 framework will leverage advanced technologies such as Artificial Intelligence, Blockchain, Quantum Computing, Advanced Encryption, and next-generation data security systems to ensure that Aadhaar remains secure, scalable, and adaptable to the evolving digital landscape.
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