InvestorFlow recently attended PropTech Connect 2025 in London, Europe's largest real estate technology conference, with over 6,000 participants and 400+ speakers from 40 countries. The conversations confirmed what we're seeing across private markets: AI has moved from buzzword to business critical.
For institutional investors and fund managers, these insights from London point to broader trends that will shape how capital, technology, and operations intersect in the years ahead.
AI Adoption with Purpose
The question has shifted from "should we use AI?" to "where does it actually create value?" Companies are getting smarter about this — focusing on specific problems like predictive maintenance across their portfolios or automating parts of due diligence rather than trying AI everywhere just to say they're doing it.
Leadership as the Catalyst
Technology projects succeed when they're driven from the top. CEO-backed initiatives consistently outperform those handed off to tech teams, mainly because they get the organizational buy-in and resources needed to actually work.
Data as a Foundation
We're at a turning point with data confidence. Most firms still rely heavily on experience and gut feel but there's growing recognition that good analytics provide the kind of scale, transparency, and consistency that manual processes simply can't match.
This mirrors exactly what InvestorFlow is seeing in private markets, where data-driven investment strategies are becoming standard practice among the most successful firms.
Beyond BIM: Integration Matters
Building Information Modeling (BIM) is now table stakes. The real competitive edge comes from connecting that building data to everything else — your data warehouse, AI models, operational dashboards — so you can actually make sense of all the information you're collecting.
Security as Strategy
As buildings get more connected, they get more vulnerable. Those IoT sensors and building control systems that seem harmless? They can become entry points for accessing sensitive financial and operational data. Smart firms are treating cybersecurity as a board-level strategic issue, not just something for the IT department.
AI Agents in Daily Operations
Some forward-thinking operators are testing AI agents for day-to-day property management — things like optimizing energy usage, scheduling maintenance, handling emergency responses. It's early days, but you can see where this is heading: more autonomous building operations that don't need constant human oversight.
ESG Embedded in Evaluation
Environmental considerations aren't separate anymore — they're baked into how firms evaluate technology investments. That includes thinking about the carbon footprint of AI systems themselves. What used to be a nice-to-have checkbox is becoming a standard part of ROI calculations.
Closing the Gap Between Vision and Practice
Maybe the most encouraging thing we saw was better alignment between what technology companies are building and what property professionals actually need. There's more genuine collaboration happening, which means more practical solutions that people will actually use.
Implications for U.S. Investors
What's happening in Europe is already taking hold in North America. AI-powered underwriting, sophisticated portfolio analytics, automated property management — these aren't differentiators anymore. They're becoming requirements if you want to compete at institutional scale.
For fund managers and investment leaders, the message is straightforward: treat AI like any other strategic initiative. You need clear goals, proper infrastructure, strong governance, and real commitment from leadership. The firms that approach this thoughtfully — rather than chasing shiny objects — will be the ones setting the pace going forward.
The experimentation phase is ending. The execution phase is here.