Technology is turbocharging the fourth industrial revolution the world over. In the Middle East, the wheels are in motion to bring cutting-edge technology, such as Internet of Things (IoT), to the real estate industry.

The UAE has prioritised the adoption of technology to make the best of early opportunities, including in sectors such as property technology (proptech). With the UAE working hard to stay ahead on the global tech leaderboard, the country’s real-estate sector has much to look forward to.

BRINGING TECHNOLOGY AND REAL-ESTATE TOGETHER IN THE UAE

Real estate in the UAE stands to gain much from the Fourth Industrial Revolution. For instance, a 2020 report noted that tokenising real world assets through blockchain could have multi-pronged benefits for UAE markets. Real-estate emerged as one of the top two areas that could be highly impacted by tokenisation.

Private players are paying attention to proptech developments in the region. Real estate company Aldar Properties recently announced its accelerator program, Aldar Scale Up, in February this year. The program is open to proptech startups worldwide. It will give five participating startups a chance to partner with Aldar for pilot projects in the UAE, across areas such as energy management, smart cities and biodiverse ecosystems.

Upgrades are taking place at the government level as well. The Dubai REST app, which provides services such as an artificial intelligence-based smart valuation process, addressed 1.4 million smart digital service requests last year. The app is developed by Dubai Land Department.

PROGRESS THROUGH POLICY

The UAE government’s recently announced Operation 300bn highlights the relevance of technology for the country. One of its objectives is to promote technology in the logistics, real estate and infrastructure sectors. This, in turn, is expected to drive industrial growth and economic diversification.

The UAE government also made moves to capitalise on technological growth prior to Operation 300bn. In 2017, the Ministry of Cabinet Affairs and the Future announced a strategic plan for the country’s development amidst the Fourth Industrial Revolution. 

Aimed at making the UAE a global technological hub, the strategy highlighted a number of focus areas, including cities, mobility, grids and supply chains.

 The Crown Prince of Abu Dhabi, His Highness Sheikh Mohammed bin Zayed Al Nahyan’s comments on the strategy reflect much of the country’s outlook towards the future. “Our reliance upon knowledge and scientific thinking to achieve total development is the only way to bring our nation ahead to the stage of qualitative, non-oil production,” he said.

 

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NASA: THE FIRST CASE OF THE DIGITAL TWIN

Apollo 13: the seventh crewed mission in the Apollo space programme, the third meant to land on the moon, the spacecraft Odyssey now 330,000 kilometres away from Earth, its critical oxygen tanks exploded, leaking precious supply into space. And just like that, the mission is changed: bring the three astronauts onboard back alive.

The world is watching — by now everyone has heard the infamous broadcast, ‘Houston, we’ve had a problem.’ Mission Control is struggling, how do you navigate a spacecraft from so far away, and one that’s badly damaged, its configurations now wildly shifted away from its original — just how do you predict it?

So, NASA turns to its high-fidelity simulator, a replica of the crippled Odyssey. The simulator’s flexibility, its adaptability let Mission Control predict reactions and trajectories, and soon they’re able to steer the astronauts to re-entry. Odyssey finally splashes down in the South Pacific Ocean. The astronauts are severely dehydrated, pushed to their limits, but alive.

DIGITAL TWINS: A GROWING TREND

Though the name was not in use yet, experts contend NASA’s Apollo 13 rescue mission of 1970 is the first use case of a ‘digital twin’. A virtual doppelganger to guide smart decision-making. Today, a digital twin leverages real-time data collected off sensors to study and predict a physical asset.

Ford, for instance, creates seven distinct digital twins of each of its models to troubleshoot and make improvements to automotive design, production, and operation. They also use digital twin technology to detect and eliminate energy and efficiency losses at their production facilities. Amazon creates digital versions of its customers to tailor its marketing to individual behavior patterns.

Digital twins find use almost everywhere: manufacturing, construction, healthcare — you could build a digital twin of a patient, improve outcomes. And you could build a digital twin of an entire city. Singapore, for instance, has a USD-73-million live three-dimensional digital replica to improve energy consumption, monitor traffic flow, and for disaster planning. Shanghai, too, uses a virtual clone. In fact, Dublin, Helsinki, Jaipur, and Boston all leverage digital twin technology.

BUILDING 'SMARTER' CITIES WITH DIGITAL TWINS

The UN tells us the world is increasingly migrating to its cities, that the global urban population will swell to nearly 70 percent by 2050, and that’s going to put a tremendous strain on infrastructure. City governments around the world are now turning to digital twins to build the city of the future — a city that can sustain the weight of its people.

With a digital twin in place, urban planners and policymakers can use data gathered through Internet-of-Things (IoT) technology to create and run simulations in virtual neighbourhoods. Which policy would best ease traffic congestion, which would optimise waste management, and asset and resource allocation? Which policy would best reduce our carbon footprint? Digital twins are the key to creating sustainable smart cities.

New studies indicate the number of cities with digital twins will rise to exceed 500 by 2025. And a recent analysis reveals that the use of the technology in key industries could deliver combined incremental benefits of USD 1.3 trillion of economic value and reduce carbon dioxide emissions by 7.5 gigatonnes between now and 2030.

DUBAI CREATES ITS OWN DIGITAL TWIN

Recently, Dubai Municipality’s Geographic Information System (GIS) Centre launched ‘Dubai Here’, an e-system that provides access to geospatial data and maps of the emirate, its assets, infrastructure, and landmarks. This data is meant for the creation of Dubai’s own digital twin, which will be used to improve city planning, sustainability and smart services.

But before that Dubai’s Expo site will have its own digital twin, which will connect more than 130 buildings to drive energy efficiency and provide a centralised building management system. This will serve as a test run of the digital twin technology for when it is implemented on a city-wide scale.

_{Photo Credit: www.thefuturefactory.com/blog/24, www.vantiq.com/digital-twin/}

 

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Owing to its handling of the pandemic, its aggressive vaccination drive and buoyant economy during challenges, Dubai has emerged as the location of choice for many European tech companies looking to expand.

This according to Market in Minutes research by real estate consultants Savills.

EMPLOYEE WELLBEING AND SUSTAINABILITY

The real estate consultant has revealed that the global office sector is changing post-COVID and corporate occupiers are taking a longer-term view on their real estate requirements, with employee wellbeing becoming a priority for companies.

For Savills, while demand for Grade A space has remained as the preferred option, occupiers are now evaluating the ESG (Environmental, Social and Corporate Governance) compliance of the space they occupy and are demanding more sustainable, efficient, and healthy environments.

RISE IN DEMAND FOR HYBRID WORKING MODELS

In addition, the growth in the number of hybrid working models and start-ups is now acting as a catalyst for the sector going forward.

Paul Walshe, Director of International Corporate Services at Savills Middle East said: “After a year of remote and hybrid working, most corporate occupiers are taking a longer-term view on their real estate requirements. Occupiers are more proactive and now initiate discussions with landlords on lease renewals/restructuring – in most cases well in advance of their lease expiry, based on their future real estate strategy.”

“This has increased the demand for co-working and serviced office space. The sector is poised for growth as it expands in the region benefitting from companies limiting their spend on capital expense (CAPEX),” he said.

COMPANIES REDUCING OFFICE SPACE

For Swapnil Pillai, Associate Director Research at Savills Middle East, there has been an increase in the number of companies that have reduced their office space post-COVID and are now adapting to a hybrid working model.

New office spaces are now 30 -40% smaller than previously and are now helping to balance a reduction in size against the higher rental levels.

 

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Golf Avenue by Samana Developers broke ground on Tuesday with a AED 100 million wellness themed residential project in Dubai’s Studio City.

The four-storey project spanns over 210,000 square feet will house 233 apartments.

According to the developer, the project will contribute towards Dubai’s sustainability focus as part of its 2040 masterplan.

Key amenities include a mini golf, indoor and outdoor gymnasiums, large swimming pool with swim up refreshment area, jacuzzi, children’s play area and pool with green spaces.

Prestige Constructions, a UAE-based contracting company which has started the construction works

Imran Farooq, CEO, Samana Developers, said: “Samana Golf Avenue is not just real estate project but is a commitment to the society, to our community for a healthy and affordable lifestyle.

"The project has been designed keeping in mind the wellbeing and fitness of the residents. The pandemic has taught us to focus on humans rather than material things. Our end-user-focused approach reflects in our top ranking in sales of our two projects in Arjan.”

_{Photo credit: www.uae-offplan.com}

 

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