The findings, released at a leadership meet in Bengaluru, come from JLL’s India’s AI Revolution in Corporate Real Estate report based on its Global Real Estate Technology Survey 2025. The data shows the sector is at a decisive turning point—racing to adopt AI for cost optimization and space efficiency, yet struggling to convert experiments into measurable business value.

Adoption Exploded, Outcomes Didn’t

AI use in corporate real estate (CRE) has jumped from under 5% in 2023 to 91% in 2025, an 18-fold rise in just two years. However, execution gaps remain severe:

• 56% of organizations achieved only 2–3 AI objectives
• 26% achieved none at scale
• Only 5% achieved 4–5 objectives successfully

This reveals a widening divide between companies experimenting with AI and those actually benefiting from it.

Broken Tech Foundations Are the Real Problem

The biggest obstacle isn’t lack of interest—it’s outdated infrastructure.

• 88% of firms say at least three existing tech systems are failing
• 57% lack a clear AI strategy
• 29% cite talent shortages in technology leadership

Legacy systems are preventing clean data integration, which is essential for AI performance. As a result, many companies are attempting advanced automation on disconnected digital ecosystems.

Cost Pressure Is Driving Boardroom Urgency

Corporate leaders are pushing workplace teams to deliver real results fast:

• 93% of executives say reducing real estate costs is a top strategic priority
• 93% plan to invest in system upgrades
• 58% classify upgrades as a strategic imperative

The report predicts that by 2030, about 33% of workplace real estate heads will report directly to CTOs, up from 16% today—signalling a structural shift where office portfolios are managed like technology platforms rather than static assets.

Where Companies Are Using AI Most

Indian firms are focusing on high-impact use cases instead of small automation wins:

1. Portfolio optimization – 59%
   AI helps right-size office space, reduce lease waste, and cut costs.
2. Energy management – 54%
   Used to lower utility bills and improve sustainability metrics.
3. Real estate data workflows – 49%
   Fixing messy datasets for faster executive decision-making.

What Separates Winners From Strugglers

According to the report, companies that successfully scale AI consistently follow three steps:

• Audit existing tools and data before rollout
• Define measurable success metrics upfront
• Build cross-functional teams across IT, HR, finance, and workplace operations

Firms that skip these fundamentals tend to remain stuck in pilot mode.

Industry Takeaway

India’s corporate real estate sector isn’t lacking ambition—it’s facing an execution challenge. AI adoption is nearly universal, but real transformation will depend on fixing data systems, upgrading infrastructure, and aligning strategy with measurable outcomes.

In short: the AI race has begun, but only a handful are actually winning.

Also Read: A massive construction boom for data centers—the ‘digital warehouses’ that power our online world—is underway, fueled by the explosive growth of Artificial Intelligence. A recent report reveals a staggering $180 billion is being poured into these facilities across Asia. Mumbai is at the heart of this transformation, with huge new AI-ready campuses and a major push for green energy.

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