The Indispensable Role of Commercial Property Managers Amidst the Rise of AI

/in , ,

As technological advancements continue to reshape industries across the globe, discussions surrounding the potential impact of artificial intelligence (AI) on various property sector roles have become common. In the Bannon realm of commercial property management, suggestions have been made that human property managers could be made redundant considering AI’s capabilities. Following deeper analysis, Bannon believes that AI is not poised to make commercial property managers redundant but to augment the role and enhance efficiencies.

To paraphrase Mark Twain, the reports of the death of property managers have been greatly exaggerated! We have identified seven key reasons why we think AI will not replace humans in the sector.

  1. Complex Decision-Making: Commercial property management involves intricate decision-making processes that require a comprehensive understanding of market trends, local regulations, and occupier needs. While AI can provide data-driven insights, human property managers possess the nuanced understanding required to make contextually appropriate decisions that align with owners’ objectives. Their ability to weigh several factors and apply a human touch in negotiations and conflict resolution remains unparalleled.
  2. Relationship Building: Building and maintaining occupier relationships is a cornerstone of successful property management. AI may excel in analysing data patterns, but it lacks the emotional intelligence required to connect with occupiers on a personal level. Commercial property managers foster trust, address concerns, and provide a human touch that strengthens occupier loyalty and retention. They understand that every occupier is unique and requires individual attention. They can collaborate with occupiers to create tailored solutions, fostering a sense of belonging and value that AI cannot replicate.
  3. Adaptability: The property management landscape is dynamic, with unexpected challenges and unique scenarios arising frequently. Commercial property managers in Ireland demonstrate adaptability by responding to unforeseen circumstances promptly. Their experience and problem-solving skills enable them to navigate through crises, negotiate leases, and manage maintenance issues effectively—tasks that require a blend of strategic thinking and practical knowledge.
  4. Local Expertise: AI’s algorithms are designed to process large volumes of data, but they may struggle to grasp the nuances of local markets and regulations. Commercial property managers possess intimate knowledge of the local market, including local trends, legal requirements, and community dynamics. This expertise allows them to tailor their management strategies to suit the specific needs of the properties they oversee.
  5. Ethical Considerations: Property management often involves making ethical judgments that go beyond raw data analysis. For instance, deciding how to address occupier concerns with empathy and fairness requires a human touch. Ethical decision-making is deeply rooted in empathy, compassion, and understanding—the qualities that set human property managers apart from AI-driven solutions.
  6. Crisis Management: Unforeseen crises, whether related to property damage, legal issues, or occupier disputes, demand immediate attention and effective resolution. Commercial property managers possess crisis management skills that stem from experience, emotional intelligence, and the ability to coordinate resources swiftly. AI might provide information, but it lacks the capacity to manage these complex, real-time situations.
  7. Human Oversight: While AI can provide insights and suggestions, the final decisions regarding property management ultimately require human oversight. Property managers are responsible for weighing AI-generated recommendations against their experience and expertise, ensuring that the chosen course of action aligns with the property’s unique needs and objectives.

The belief that AI will be making commercial property managers redundant is based on a misunderstanding of the nuanced, multifaceted nature of property management. By embracing technology as a tool rather than a replacement, commercial property managers can leverage AI to elevate their roles and provide even greater value to property owners and occupiers alike.

The Bannon Property Management team has been utilising AI for several years to collate and interpret the many data points property managers collect. This has ensured that data is presented in a clear and concise manner to our clients leading to more informed decisions and strategies for the assets we manage. Bannon has embraced AI to ensure we continue to provide best-in-class services to our clients.

 

Author:               William Lambe, Divisional Director, Bannon

Date:                  2nd October 2023

 

Thorntons Recycling

/in , ,

Many thanks to Brian Leavy and the team in Thorntons Recycling for hosting some of the Bannon Property Management Team yesterday.

The Bannon team were given a tour of the Thorntons Recycling MDR (Mixed Dry Recycling) and SRF (Solid Recovery Fuel) facilities in Ballyfermot.

Thorntons Recycling operate on a zero to landfill basis which is in line with the Bannon sustainability aims and ethos. It was great for the Bannon team to see first hand, the process of how zero to landfill is being achieved.

 

 

 

 

 

 

 

Bannon pass the torch for Property Picnic 2024 to Colliers

/in , ,

After two years at the helm of Property Picnic, and with more than €300,000 in donations raised from across the property industry for the benefit of Cancer Trials Ireland, the team at Bannon is to pass the torch to Colliers.

The now-annual event, which was started two years ago by Rod Nowlan and Lucy Connolly in memory of their late colleague, Louise Creevy (née Doherty), will be spearheaded in May 2024 by Michele McGarry and Caitríona Kirrane at Colliers. It will once again be hosted in Hibernia’s Windmill Lane event space, which caters for more than 650 guests. All events to date have been sold out well in advance.

Commenting on her hopes for next year’s fundraiser, McGarry said: “We at Colliers are really looking forward to taking over this important event and hope to build on the work done by the Bannon team to deliver another fun night for the industry, and most importantly raise funds for this excellent cause.”

Eibhlin Mulroe, chief executive of Cancer Trials Ireland, said: “We are overwhelmed at the love and loyalty of the Bannon group to their dear colleague, Louise Creevy. They have carried on her advocacy for clinical trials through their amazing Property Picnic. We are absolutely delighted that Colliers have decided to take up the mantle, and we are very grateful to Michele and the team.

Last year the funds raised by the property industry via Property Picnic went towards four investigator-led (doctor-led) cancer trials. These trials allow cancer patients in Ireland to avail of cutting-edge treatment that they could not otherwise have accessed, and at no cost to themselves or the State.

Article published by The Irish Times 

 

 

 

 

 

 

Completely Retail Marketplace 2023

/in , ,

The Bannon Retail Team at Completely Retail Marketplace today, meeting retailers and showcasing the positive story around the Irish Retail Market. Darren Peavoy, Jennifer Mulholland and Daniel Murphy

 

 

 

 

 

 

Full-Time Graduates

/in ,

September is always an important month in Bannon as we welcome our new full-time graduates. A very warm welcome to Stephen Keegan, Mark Hayden, Brian Morton, Alison O’Gorman and Dwane Martin.

Bannon Managing Director Paul Doyle commented: “All of this years’ graduates have worked with us previously through their internships. They are now back full-time and spread across the business. We wish Stephen, Mark, Brian, Ali and Dwane every success in their property careers and are thrilled to have them as part of the growing team at Bannon. We are very fortunate to have such an enthusiastic group join us this year. Each one of them is an absolute pleasure to work with and we are excited by the energy and skills they will bring to Bannon”.

 

 

Property Picnic Cheque

/in ,

Bringing our two-year term to an end, Bannon is delighted to hand over a cheque for €130,279 to Eibhlin Mulroe for this year’s Property Picnic in aid of Cancer Trials Ireland. This brings the total for our two year stint to over €300,000. A big thanks to the Keystone Sponsors and the wider property industry for their support. We also appreciate the support of the family and friends of our old colleague and the inspiration for Property Picnic; Louise Creevy (nee Doherty).

Formal announcement of the firm to take over the running of Property Picnic 2024 to hit the press next week. We wish them all the best for the 2024 event and thank them for taking on the mantle for this very important event.

Red Rock Developments Ireland, Core Capital Limited, Hibernia Real Estate Group Ltd, Glass Bottle, Mastertech Group, Matheson LLP, MCR Group, PrepayPower, Lioncor, Ronan Group Real Estate, Eagle Street Partners, Dublin Airport Central, McGrath Group, SCSI – Society of Chartered Surveyors Ireland, Bidvest Noonan

 

 

Decoding EU Taxonomy

/in , ,

The European Union has taken a significant step towards promoting sustainability by introducing the EU Taxonomy Regulation. This ground-breaking initiative aims to provide a standardized framework for identifying environmentally sustainable economic activities. This article explores the EU Taxonomy, its significance, and the implications it holds for businesses and investors.

What is the EU Taxonomy?

The EU Taxonomy is a system that categorizes environmentally sustainable economic activities, offering clear and consistent guidance for sustainable investments. It helps investors and businesses align their financial choices with environmental goals and encompasses various sectors like energy, real estate, and agriculture.

Key Components of the EU Taxonomy

The Taxonomy focuses on six environmental objectives:

  • climate change mitigation
  • climate change adaptation
  • sustainable use and protection of water and marine resources
  • transition to a circular economy
  • pollution prevention
  • control and protection of healthy ecosystems

Each objective is accompanied by specific criteria that economic activities must meet to be classified as environmentally sustainable.

One of the core principles of the EU Taxonomy is the Do No Significant Harm principle, which ensures that an economic activity must not cause significant harm to any of the environmental objectives. This means that businesses seeking to be classified as environmentally sustainable must meet stringent criteria to avoid adverse impacts on the environment

Companies are required to disclose the extent to which their activities align with the Taxonomy’s criteria in their financial reporting. This transparency allows investors to make informed decisions about their investments based on environmental considerations.

Significance for Businesses:

Businesses that follow the EU Taxonomy can tap into a growing pool of sustainable finance opportunities, like green bonds and loans that are gaining popularity with investors. Compliance with the Taxonomy can help businesses secure funding from these sources. Moreover, adhering to Taxonomy standards showcases a commitment to environmental sustainability, boosting their reputation and attracting socially responsible investors and customers. It also helps businesses identify and minimize environmental risks, reducing their exposure to regulatory and operational challenges in a world that places a high value on sustainability.

Significance for Investors

Investors can make smarter choices by checking a company’s sustainability disclosures through the Taxonomy. This allows them to match their portfolios with their environmental, social, and governance objectives. Investing in Taxonomy-compliant companies can lower the risk tied to environmental issues and changing regulations. It also helps investors steer clear of investments that might become obsolete as the world moves toward a greener economy.

 

The EU Taxonomy is a crucial step in promoting environmental sustainability in finance and real estate. It offers a consistent way to identify eco-friendly activities, benefiting businesses and investors. As sustainability becomes more important, the Taxonomy will play a key role in changing how we invest and allocate capital, ultimately helping the environment. Using this framework can bring financial benefits and help create a more sustainable and resilient future for everyone.

 

Author:               Cillian O’Reilly, Surveyor, Sustainability Manager, Bannon

Date:                  14th September 2023

 

Navigating Scope 1, 2, and 3 Emissions in Commercial Real Estate

/in , ,

In the ever-evolving landscape of commercial real estate, sustainability is a paramount consideration. As we strive to reduce our carbon footprint and address climate change, understanding and managing greenhouse gas emissions is crucial for the industry’s future. In this article, we’ll explore how Scope 1, 2, and 3 emissions apply specifically to the commercial real estate sector and why they should be at the forefront of our strategies.

Scope 1 Emissions: The Building Blocks

Scope 1 emissions in commercial real estate pertain to direct greenhouse gas emissions resulting from sources owned or controlled by a property owner or occupier. These emissions are produced within the boundaries of the property and are directly tied to its operations. Common examples include emissions from on-site heating, cooling, and electricity generation systems, as well as emissions from owned or leased vehicles used for property maintenance and management. For the commercial real estate sector, tackling Scope 1 emissions can involve upgrading building systems for greater efficiency, transitioning to renewable energy sources, and implementing eco-friendly transportation options for maintenance and management teams. Reducing Scope 1 emissions demonstrates a commitment to environmental stewardship and can improve the marketability of properties.

Scope 2 Emissions: The Energy Equation

Scope 2 emissions are indirect emissions associated with the generation of purchased electricity, heat, or steam consumed by a commercial property. These emissions are linked to energy sources outside the property boundaries, such as the local power grid. In the real estate context, Scope 2 emissions mainly comprise the carbon intensity of the electricity used to power the building and its operations. To address Scope 2 emissions, property owners and occupiers can consider procuring green energy or renewable energy certificates. Transitioning to cleaner energy sources not only reduces the carbon footprint of a property but can also enhance its appeal to environmentally conscious tenants.

Scope 3 Emissions: The Ripple Effect

Scope 3 emissions are the broadest and often the most challenging to quantify in commercial real estate. These encompass all other indirect emissions along the value chain of the property but outside the control of the owner or occupier. For the commercial real estate sector, Scope 3 emissions can include emissions associated activities such as commuting and business travel, as well as emissions embedded in the products and services used in the building. Addressing Scope 3 emissions requires collaboration between property owners, occupiers, and suppliers. Encouraging sustainable commuting options, supporting telecommuting, and sourcing eco-friendly products and services within the building can make a significant impact on reducing the overall carbon footprint.

In summary, understanding and managing Scope 1, 2, and 3 emissions are pivotal for the future of commercial real estate. These three scopes provide a holistic view of your environmental impact, from the direct emissions under your control to the broader, indirect emissions associated with your operations. It’s not only about reducing environmental impact but also about meeting the increasing demand for sustainable and eco-conscious properties. By embracing green building practices, optimizing energy usage, and engaging in sustainable supply chain management, the commercial real estate sector can lead the way toward a more environmentally responsible and resilient future.

 

Author:               Cillian O’Reilly, Surveyor, Sustainability Manager, Bannon

Date:                  13th September 2023

 

Bannon ESG Report 2022

/in , ,

As we begin World Green Building Week, Bannon is proud to launch its 2022 ESG Report. Through numerous initiatives, Bannon far exceeded its ESG goals, achieving a carbon footprint reduction of 34%. Bannon looks forward to working with Owners, Occupiers and all interested parties in the real estate sector to curate a more sustainable future.

To view the full report, please click here.

Harbour Place Shopping Centre in Mullingar

/in , , ,

Bannon was delighted to be appointed as property management and leasing agents for Harbour Place Shopping Centre in Mullingar earlier this year. Based in the heart of the Midlands, Harbour Place Shopping Centre holds special significance with many Bannon team members who are from the Mullingar area.

The Centre played a key role in welcoming over 600,000 people to the Fleadh Cheoil na hÉireann in August. The influx of visitors enjoyed access to a variety of retail outlets, restaurants and parking, all housed in the well-maintained Centre. Harbour Place Shopping Centre and Bannon were happy to support this wonderful event.

We look forward to continuing to work closely with the owners and centre management team to build on the shopping centre’s already strong presence within the community.

Society of Chartered Surveyors - SCSI Ireland

Address

Hambleden House
19-26 Pembroke Street Lower
Dublin 2
D02 WV96
Ireland
»Map

Contact Us

Phone: +353 (1) 6477900
Fax: +353 (1) 6477901
Email: info@bannon.ie