The ROI of predictive property management with IoT sensors

by • Company news, Facilities management, Property

It’s all well and good eulogising about the technological benefits of incorporating the burgeoning Internet of Things (IoT) within property management but do the numbers stack up?It’s all well and good eulogising about the technological benefits of incorporating the burgeoning Internet of Things (IoT) within property management but do the numbers stack up? What is the likely return on investment (ROI) of shifting from the existing reactive model to something distinctly more proactive and predictive? A recent six-month project at a retirement complex in the Scottish Borders might just shed some light on the viability, or otherwise, of the IoT revolution that’s well underway.

Delivered by Archangel in partnership with the Glasgow-based Digital Health & Care Innovation Centre (DHI) and Bield Housing and Care, who run a portfolio of around 180 venues across Scotland aimed at giving individuals over the age of 50 the life they want, the project at Langvout Court in Biggar delivered some surprising and very encouraging outcomes.

Involving the installation of a range of unobtrusive sensors across properties and communal spaces within the complex, the completed project underwent a comprehensive and rigorous assessment by Edinburgh-based digital technology consultancy firm FarrPoint.

The range of data delivered by the sensors was then relayed immediately through the Angelnet connectivity network to our ambient assisted living (AAL) secure technology platform and automatically monitored 24/7 to proactively address any potential issues that might arise in relation to the living conditions of tenants.

Joined up thinking indeed and the numbers clearly do stack up with a ROI of 4.4 to 1. That means that for every £1 invested, you are generating £4.40 of net profit or return annually.

When scaled up across Scotland, this innovative approach would deliver an £18.5 million saving each year within retirement complexes alone.

Reduced utility, maintenance and manual check costs as well as improved resident safety and regulatory compliance all fed into cost savings that will ultimately and directly benefit the residents themselves in terms of safer environments and enhanced care.

The use of this sensor-based smart technology can also be used to monitor other environmental conditions to detect risks such as legionella.

Not only are there property management savings across the board to be made but, crucially, the project elicited outstanding feedback and positivity from the tenants who bought into the scheme from the start.

It’s a roadmap for the future and Bield is already in the process of rolling out this far-reaching technological approach at a number of other venues across Scotland.

There are gains to be made for all stakeholders through the adoption of this technologically intelligent approach and those scary upfront costs appear to be slightly less scary than first imagined.

A predictive, preventive and proactive property management revolution that pays its way is well underway and that will ultimately benefit every one of us!