Emerging Technologies are starting to disrupt the investment and renovation process, bringing much needed innovation to the industry. Katerra is leveraging this new technology to better serve clients and change the renovation process from due diligence to design to construction.
3D technology is changing the fabric of real estate. Everything from residential home listings to apartment tours is moving into the virtual environment. This gravitation to immersive technology will continue to disrupt dated real estate and construction processes.
Katerra (UR) has been leveraging 3D technology for over a year to help owners achieve their renovation goals and simply the process. With multiple cameras in its client services toolbox, Katerra deploys cameras to all job sites during various project phases, including: pre-acquisition due diligence, estimating and design services. “The benefits are numerous,” says Steve Deleon, vice president of client services. “One of the most exciting uses of our 3D technology is being able to conduct virtual site visits with clients and their teams, regardless of location. We can sit in our Dallas office and walk through units with an owner in Portland and his VP of construction in Denver in real time with incredible accuracy.”
Recently, Katerra completed eight property scans across three states with this technology to help one client evaluate investment opportunities. The Katerra team was then able to build scopes in real time with the capital group virtually.
For Mountain Path Capital, a California real estate investment manager, the benefits of this type of technology are numerous. “It is a technology that enables us to pursue investments on a national platform, while gaining a sense of confidence,” says Daniel Hsu, founding member and head of investments for Mountain Path. “When you have respected partners, you don’t have to be there for initial scope walks.” Hsu recently worked with Katerra on a project, and experienced the benefits firsthand.
The speed of pursing multifamily investments nationwide also demands this type of technology, according to Hsu. “Capital markets move so fast. Travel time can be daunting,” Hsu says. “Since the investment arena is an odds game, and you are not hitting 100 percent, these 3D scans provide a cost savings tool and reduce multiple site visits.”
Katerra is committed to bringing owners like Hsu the best technologies on the market. UR’srecent merger with Katerra enhances and strengthens this capability. Construction companies traditionally invest less than 1 percent of revenue in new technologies lower than every other major industry. As a result, the last several decades have seen U.S. construction productivity fall while costs continue to go up. Katerra is bringing the technology, design and supply chain innovations that revolutionized Silicon Valley to the world of architecture and construction.
The emergence of 3D technology has ushered in a new method for pursuing property investments. With an experienced renovation partner, this technology brings teams geographically scattered into a common virtual environment, provides an ability to revisit properties at any time from any where, and reduces travel costs and time. At the speed of investing, this is a critical tool to help ensure better projects, from due diligence to completion.