Innovation in Focus - Innovation Summit shaping the future of Real Estate

Innovation in Focus by Matt Bowen - Knight Frank Head of Living Sectors Research and Ian McGuinness -Knight Frank Head of Research Analytics

The built environment is changing, driven by rapid advancements in artificial intelligence, digitalisation, and geospatial technology. At Knight Frank’s Innovation Summit in November experts from academia, technology, and real estate came together to explore how these trends are shaping the future of our sector. 

From the transformative potential of AI to the critical need for better data practices, the discussions were wide-ranging yet focused on one common goal: making the built environment smarter, more sustainable, and more responsive to human needs. Here are five key takeaways from the event that highlight the challenges and opportunities ahead:

1. Elevating the role of data

Dr Claire Ellul, of University College London, challenged the industry to rethink its approach to data, urging professionals to focus on quality over quantity. She posed the following question: Which data truly adds value across an asset’s lifecycle, and which can we confidently discard? Her message underscored the need for the property sector to prioritise meaningful, actionable data that supports specific goals.

Shakirah Akinwale of the Centre for Sustainable Realtech Innovation  at UCL expanded on this, emphasising the importance of viewing data as a dynamic asset that reflects occupant behaviour and building performance. She advocated for treating occupants as “digital twins” to create a feedback loop that drives better outcomes for users and the environment. Breaking down silos and fostering partnerships between academia and industry are clearly vital steps to improving data collection, validation, and sharing.

Image: Contributors at the Knight Frank Innovation Summit

2. Collaboration is non-negotiable

Dr Nicola Moretti highlighted the need for interoperability, arguing that digital tools in the property sector are too often confined to siloed systems. He called for “plug-and-play” solutions that enable seamless collaboration across the built environment, from designers to facility managers. His vision includes integrating intelligent digital twins and circular energy renovation strategies into real estate portfolios, supported by case studies at both the building and portfolio level.

Dr Moretti also emphasised the importance of aligning top-down regulations with bottom-up industry needs. Large organisations like Knight Frank, he suggested, have a critical role to play in leading this transformation by defining requirements and validating solutions. By fostering partnerships and creating accessible, interoperable systems, the sector can ensure digital tools are not just buzzwords but engines of meaningful change.

3. AI can transform what we do, but context matters

Artificial intelligence offers tremendous potential to streamline processes in real estate, but it must be applied thoughtfully. Bridget Wilkins from the Ministry of Housing, Communities and Local Government (MHCLG) described pilots where AI reduced planning feedback times by 90%, freeing professionals to focus on strategic tasks. However, she cautioned that AI is not a replacement for human insight but rather a tool to empower better decision-making.

Dr Linda Sheard of Microsoft delved into the technical challenges, warning that AI solutions require more than just powerful models—they demand robust frameworks, ethical safeguards, and high-quality data. Both experts emphasised the importance of transparency and inclusivity, urging organisations to adopt formal AI strategies that empower all stakeholders, from data teams to leadership.

Image: AI-Enhanced Human Capability Over Time, Source: Xebia.com

4. The risk of ignoring AI

Andrew Knight of RICS warned that the greatest risk to the property sector is failing to embrace AI responsibly. He described AI as a “force multiplier” that can automate routine tasks, enabling professionals to focus on higher-value work. Practical examples, such as drone inspections and natural language interfaces for building models demonstrate AI’s transformative potential, he added.

However, he stressed the importance of maintaining professional scepticism. “Just because it comes out of a computer doesn’t make it right,” he cautioned. Upskilling professionals to validate AI outputs and ensuring transparent governance will be critical to maintaining trust. The message was clear: the sector must experiment with AI while preserving the human expertise that underpins its success.

Image: Trust and AI, Source: Gov.uk

5. Ethical and inclusive innovation

Maria Marenco of the British Computing Society’s Ethics Committee highlighted the importance of embedding ethics into innovation from the outset. Transparency, accountability, and inclusivity, she argued, are no longer optional but essential for sustainable progress. By learning from open data practices in regions like the Nordics, the UK could accelerate innovation and foster greater trust across the sector.

She also called for levelling the playing field for smaller organisations and startups, enabling them to contribute to solving the industry’s biggest challenges. Inclusivity, she emphasised, must extend beyond people to ideas and organisations. By aligning ethical practices with environmental sustainability, the property sector can lead the way in creating a fairer, greener built environment.

Image: Responsible AI, Source: tandfonline.com

What’s Next?

The Innovation Summit made one thing clear: the future of real estate lies in collaboration and a human-centric approach to technology. Whether it’s harnessing the power of AI or transforming data practices, the path forward will require bold leadership, rigorous governance, and a lot of working together. 

For more insights into the discussions from the event, please do reach out.

Courtesy: Matt Bowen - Knight Frank Head of Living Sectors Research and Ian McGuinness -Knight Frank Head of Research Analytics

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