Reality check: The true pace and payoffs of AI adoption in corporate real estate

JLL’s Global Research Director Yuehan Wang presents a comprehensive analysis of AI uptake across corporate real‑estate (CRE) firms. Drawing on the 2025 Global Real Estate Technology Survey of over 1,000 senior decision‑makers in 16 markets, the report shows that AI pilots have risen dramatically from 5 % to 92 % of occupiers within three years. While the majority are still experimenting, only 5 % report achieving most program goals, highlighting a gap between widespread piloting and successful scaling.

Budget pressure is steering CRE teams toward high‑impact AI use cases rather than low‑hanging‑fruit projects. The top priorities are: (1) real‑estate data‑related workflows—standardising fragmented datasets, detecting anomalies, and automating reporting; (2) portfolio optimisation—continuous space‑planning and footprint right‑sizing to cut costs; and (3) energy management—using AI for tracking, analytics, decarbonisation roadmaps and automated HVAC control. Energy‑management pilots are noted for delivering more immediate, measurable returns.

The transition to AI has outpaced systematic planning. Although 92 % of firms are piloting AI, comprehensive AI strategies remain absent in most organisations. This rapid adoption has led to budget reallocations toward AI, cybersecurity, and digital infrastructure, but also to mismatches between investment speed and internal governance, talent gaps, and heightened ROI expectations.

AI is widening the divide between technology leaders and laggards. Companies with mature data‑infrastructure and change‑management processes achieve far greater AI outcomes. Conversely, more than 60 % of firms must first address legacy system duplication, dormant applications, and fragmented data before realising AI benefits. Budget pressures affect 65 % of respondents, extending procurement cycles and slowing decision‑making.

Four priorities emerge for building future‑fit AI programmes:

1. Ground expectations with multi‑phase plans that balance quick wins (e.g., energy optimisation) against longer‑term foundational work.
2. Invest in talent both internally (training) and externally (hiring, partnerships); only 33 % of workforces feel adequately trained.
3. Strengthen data and cybersecurity to protect information and modernise legacy systems; 81 % report at least three underperforming legacy applications, and 88 % allocate budget for upgrades.
4. Align rollouts with corporate cycles such as IT overhauls, leadership changes, or capital‑planning periods to secure resources and stakeholder buy‑in.

Energy management stands out as a mature AI category with clear sustainability linkages. Ninety‑three percent of occupiers cite sustainability, energy efficiency and decarbonisation as primary technology drivers. AI‑enabled energy tracking and automated controls are delivering tangible cost reductions and advancing climate goals, aligning with pan‑European interests in sustainable housing and built‑environment performance.

The report warns that waiting for a “second‑mover advantage” risks competitive obsolescence. Firms that proactively experiment, learn, and embed AI into long‑term strategy will be better positioned for the next decade. The overarching message for a European audience is that AI, when paired with robust data foundations, skilled talent, and strategic alignment, can accelerate sustainable housing outcomes, optimise portfolio performance, and enhance energy efficiency across the CRE sector.