Digitalisation in the property sector only becomes a competitive advantage when it shows up in the numbers: shorter time to let, lower operating costs, happier tenants and faster decisions. Many property companies already have systems for finance, fault reporting and building control, but far from all of them get that effect. This article is about where digitalisation actually gives you an edge and how to get there, step by step.
Why digitalisation often moves slowly, with fragmented systems and poor data quality, is covered in our article on the property sector's digitalisation challenges. Here we focus on what you gain and in which order.
What does digitalisation mean in the property sector?
In short: information and processes that today live in binders, emails and separate spreadsheets move into systems that talk to each other, so decisions can be made on current figures. It covers three layers:
- Property data: areas, leases, rents, energy, operational alarms and maintenance plans.
- Processes: letting, fault reporting, invoicing, purchasing and reporting.
- Touchpoints with tenants and the market: how vacant space reaches prospects, how enquiries are handled and how tenants communicate with property management.
The competitive advantage appears when all three layers connect. A ventilation control system is of limited value if nobody follows up the alarms. A letting tool is of limited value if vacant space sits out of date in a spreadsheet.
Where digitalisation creates competitive advantages
The simplest way to judge a digital investment is to ask which key figure it should move. The table shows the most common links:
| Area | Key figures affected | Example of a digital measure |
|---|---|---|
| Letting | Time to let, economic vacancy | Vacant space in one system that publishes to every channel, tracking of enquiries |
| Operations and energy | Operating cost per sq m, energy use | Building automation, alarm follow-up, metering per property |
| Tenant relationships | Tenant turnover, satisfaction | Digital fault reporting with status, shared case history |
| Management and reporting | Net operating income, budget variance | Shared definitions, automated monthly reports |
Definitions and worked examples for these figures are in the guide to key figures for property companies.
Letting: the fastest effect on income
Every month a unit stays empty is income that never comes back. The property companies that let fastest often have three things in common: they know exactly which spaces become vacant and when, they respond quickly to enquiries, and they measure which channels produce leases. All of that requires vacancy data to live in one place and be passed on automatically instead of being typed into several tools by hand. More on the approach in the article on reducing the vacancy rate.
Operations and energy: requirements that are coming anyway
Since 1 January 2025, non-residential buildings in Sweden must have building automation and control systems if the heating or cooling system has a rated output above 290 kW, and the threshold drops to 70 kW from 2030 under the EU's recast Energy Performance of Buildings Directive (Byggkoll, Svensk Byggtjänst). The requirement also applies to existing buildings. If you have to invest in building automation anyway, there is a lot to gain from making the data usable for follow-up at the same time, rather than just ticking a box.
Tenant relationships: fewer tenants leaving
A departing tenant costs both lost rent and refurbishment. Digital fault reporting where tenants can see the status, and a shared case history per tenant, make it easier to spot dissatisfaction early. The same data can be used to start conversations ahead of lease expiry.
Management: faster and better decisions
When rents, costs and vacancies update continuously, management can follow net operating income and letting month by month instead of waiting for quarterly accounts. We describe the move from manual spreadsheets to continuously updated figures in more detail in the article on real-time property data.
Roadmap: digitalisation in five steps
Step 1: Start with the business, not the technology
Pick one or two key figures you want to improve over the coming year, for example time to let or operating cost per sq m. Measure where you are today. Every digital investment should be able to answer the question: which of these numbers does it move, and by how much?
Step 2: Map data and systems
Do a simple inventory: which systems exist, which data sits in which system, who owns it and how often is it updated? Look especially for information entered in several places, such as areas and rents that exist in the finance system, on the website and in a spreadsheet. That is where the errors and the hidden time go.
Step 3: Agree on definitions and require open interfaces
Decide how you calculate areas, vacancy and net operating income, and use the same definitions in every system. Require open APIs and ownership of your data when you procure new systems. For building data there is an open shared language of Swedish origin, RealEstateCore, developed by Vasakronan, Akademiska Hus, Willhem, RISE and others so that different building systems can understand each other (Vasakronan).
Step 4: Pilot in one property or one process
Choose a limited pilot that can deliver measurable results within three to six months, for example the letting flow for a property with vacancies, or energy follow-up in a building with high consumption. Measure the same key figures before and after. A pilot that cannot be evaluated gives you nothing to decide on.
Step 5: Scale up and maintain
Once the pilot works: roll it out to more properties, document the way of working and appoint someone responsible for data quality. Digitalisation is not a project with an end date. If nobody maintains the data, you will soon be back to the same fragmentation as before.
Three common mistakes
- Buying systems before the problem is defined. A new tool without a clear goal becomes one more place where data has to be entered.
- Digitalising a bad process. If letting takes too long because decisions are slow, no software will help. Simplify the process first.
- Forgetting the users. Property managers, technicians and letting staff must find the new way easier than the old one, or the spreadsheets will live on alongside it.
Where Shace fits in
Shace is not a property management system but a letting service. Companies looking for offices describe their needs, and landlords receive qualified enquiries that match their vacant space. Landlords can publish vacant space directly from their own systems through Shace's API, so the information only needs to be kept up to date in one place.
Frequently asked questions
What does digitalisation mean in the property sector?
It means information about properties, leases, operations and tenants is gathered in systems that can share data, and processes such as letting, fault reporting and reporting are handled digitally. The goal is faster and better decisions, lower costs and a better experience for tenants.
Where should a property company start with digitalisation?
Start with one or two key figures you want to improve, for example time to let or energy use. Then map which data and systems affect those figures, and run a limited pilot where the effect can be measured.
Which EU requirements affect the digitalisation of buildings?
The recast Energy Performance of Buildings Directive (EPBD) requires building automation in non-residential buildings with heating or cooling systems above 290 kW since 2025, and the threshold drops to 70 kW from 2030. The requirement also applies to existing buildings.
How do you measure the effect of digitalisation?
Measure the key figures the investment is meant to change, before and after, such as time to let, economic vacancy, operating cost per sq m or days to resolve a fault report. Without a measurable baseline you cannot know whether the investment paid off.
What is proptech?
Proptech is an umbrella term for technology and digital services for the property sector, from building automation and energy management to letting services and analytics tools. It is a means for digitalisation, but its value depends on how well the technology connects to the company's processes and goals.
Want to reach more qualified tenants without entering the same property details in several places? Read more about Shace for landlords.