AI in Real Estate: Driving Sustainability and Energy Efficiency

Amid growing concerns about climate change and the urgent demand for sustainable solutions, the real estate industry is experiencing a major transformation. Since buildings account for nearly 40% of global greenhouse gas (GHG) emissions, and with an estimated 70% of the world’s population expected to live in cities by 2050, reducing emissions in the built environment has become an urgent priority.

Artificial intelligence offers a powerful way forward Our latest report highlights how AI is reshaping commercial real estate by improving energy efficiency and advancing sustainability goals. Using real-world case studies and expert insights, it shows how data-driven energy optimization can transform climate-related challenges into opportunities, emphasizing the growing importance of human-centered AI.

How AI supports energy efficiency in real estate Through practical examples and expert perspectives, discover how AI is helping cities evolve into spaces where sustainability and occupant well-being are essential.

Key principles of human-centric AI in real estate

1. Prioritizing comfort and well-being AI-powered building systems focus on creating healthier indoor environments by dynamically adjusting temperature, lighting, and ventilation based on occupant needs.
2. Driving energy efficiency and sustainability AI reduces energy use and environmental impact by applying predictive analytics and advanced control methods to systems like HVAC, ensuring efficiency without compromising comfort.
3. Flexibility and adaptability AI learns from historical data and responds to real-time changes, allowing building systems to adapt to evolving occupancy patterns, external conditions, and usage scenarios.
4. Transparency and control With AI, property owners and facility managers gain greater visibility into building performance and can adjust settings to align with tenant expectations.
5. Integration and interoperability Human-centric AI connects different building systems and devices, creating a seamless, efficient ecosystem.

By embedding AI into commercial real estate operations, organizations can not only boost energy performance but also gain a competitive advantage through sustainability-driven practices. What was once an optional enhancement has now become an essential part of building management and strategy.

Unlocking AI’s potential with KPMG KPMG helps clients maximize the benefits of AI across strategy and execution:

• The Strategic Energy Management (SEM) framework provides a foundation for applying AI in real estate, fostering a culture of efficiency and decarbonization.
• KPMG specialists guide clients through the technical journey—from building digital twins and running data-based audits to deploying AI-powered control systems.