PropTech investment is at record levels, and the range of available workplace technology has never been broader. Yet most organizations still can’t answer operational questions about their own workplaces: who is in the building today, which resources are actually being used, what demand will look like next week.
The issue is not the technology. It’s that these tools are being layered onto an operating model designed for a workplace that no longer exists, one where people came to the same place, at the same time, every day. When the operating model doesn’t match how the workplace actually functions, even well-chosen technology underperforms.
The five trends in this article are real, and each addresses a genuine operational need. But their value depends less on which technologies an organization adopts and more on whether the underlying workplace model can support them.
To begin, it is important to establish a clear understanding of the current landscape.
Why Record Investment Is Producing Fragmented Results
By any measure, the numbers show organizations are not letting up in investing in PropTech:
- PropTech investment hit $16.7 billion in 2025, up 68% year-over-year.
- The global PropTech market, currently valued at roughly $40 billion, is projected to reach $104 billion by 2034.
- In a single year, investors closed more than 230 commercial PropTech deals, putting over $4.3 billion into workplace-facing technology alone.
Yet the average workplace runs on roughly 17 disconnected solutions, and only a small percentage of organizations have fully integrated platforms. Each tool was evaluated on its own merits, procured by a different team, and operates on its own data model. The cumulative cost of this fragmentation, when accounting for licensing, maintenance, repairs, and administrative overhead, can exceed $500,000.
Despite all of this spending, office utilization sits at roughly 54%, almost 10 points below what workplace leaders target. Investment is scaling, but the returns are not keeping pace.
The Operating Model That Created the Gap
The fragmentation wasn’t irrational. For decades, workplace systems were built on the stable assumption that people come to the same place, at the same time, and use the same resources in predictable patterns. Specialization was the right call under those conditions.
- Permanent desk assignments eliminated the need for dynamic allocation.
- Fixed headcounts meant that resources such as lockers could be assigned once and reviewed infrequently.
- Consistent attendance allowed room configurations to follow org charts rather than usage data.
With hybrid work now commonplace, that foundation broke. Attendance became variable, demand patterns became uneven, and the workplace shifted from a fixed-capacity environment to a variable-demand system.
Data from HubStar, spanning over 300 million square feet across 13 countries, shows the scale of this shift: occupancy reaches 58.6% on Tuesdays and drops to 34.5% on Fridays. The workplace now runs on patterns that static infrastructure was never designed to absorb.
Most organizations responded by adding desk booking software, occupancy sensors, and AI dashboards on top of the existing architecture. Each tool addressed a real symptom, but none addressed the structural mismatch between the old operating model and the new demand pattern.
The organizations that extract consistent value from PropTech do so by designing their workplaces to generate, consolidate, and act on real-time data across all physical resources. That foundation is what the five trends below are really asking for.
Five Trends, One Structural Requirement
1. AI as a Workplace Intelligence Layer
AI is the biggest trend in technology, and adoption data confirms it has moved well past the early-mover stage.
According to JLL, the share of commercial real estate companies running AI pilots jumped from 5% to 92% in just three years, thanks to leadership-mandated adoption of the technology. However, data from Eptura shows advanced applications like predictive space planning remain largely untapped. The reason for this is what leaders describe as “poor cross-platform”.
Because AI is being deployed at scale on top of fragmented data foundations, it can only describe one slice of the workplace at a time.
When that data is spread across 17 disconnected systems, as it is in half of all organizations, according to Eptura, demand and usage patterns across resource types and access points are invisible. What you have is a clearer picture of isolated resource usage, not of how the entire office is used.
That’s why, across workspace portfolios, it has been proven that investing in AI capabilities before consolidating the data infrastructure only compounds the difficulty of tracking utilization.
Plus, the fragmented data infrastructure can make it harder to track your carbon exposure across the entire building portfolio, leaving sustainability commitments unsupported by the data needed to back them up.
2. Sustainability Reporting Under Regulatory Pressure
ESG has shifted from a brand differentiator to a compliance obligation with hard deadlines.
The EU’s revised Energy Performance of Buildings Directive became law in May 2024. Every member state must include it into national legislation by May 2026. From that point, non-residential buildings, including offices, must meet a minimum EPC rating of E by 2027 and D by 2030.
For most organizations, that first deadline falls within the current planning cycle. It’s why 35% of real estate and facilities leaders already identify ESG, sustainability, and decarbonization as the single most influential market trend they are managing.
One way they’re already tackling this is by investing in infrastructure they don’t have to replace during every office relocation or office renovation. In Statkraft’s case, for example, they went for smart locks that install in existing cabinets, saving approximately 79 kg of CO₂.
Another precondition for meeting sustainability obligations is tracking data on energy consumption, space utilization, resource lifecycle, and occupancy patterns.
However, the fragmentation of these data complicates tracking and reporting. Organizations pursuing sustainability compliance through disconnected platforms will find themselves manually assembling reports from systems that were never designed to speak to one another.
Sustainability compliance requires unified data. That same unified data foundation is also what makes the next trend, dynamic space utilization, function as more than a room-booking upgrade.
3. Dynamic Space Utilization Replacing Static Allocation
The physical reconfiguration of the workplace is already well underway. According to JLL benchmarks, 62% of organizations have implemented shared or unassigned seating, and desk-sharing ratios of 1.5 or more employees per seat have grown 93% since 2023. The shift away from permanent assignment is real and accelerating.
Yet most organizations still size, assign, and manage meeting rooms based on org charts and headcount assumptions rather than actual usage patterns. The systems haven’t caught up because their focus on a single resource allows them to record only whether it was booked, not how the entire office is used.
Evidence of this is the current utilization patterns of meeting rooms, despite increased investment in booking systems.
HubStar’s analysis of over 300 million square feet of office space found that 80% of meetings take place in rooms designed for six or fewer people, while boardrooms designed for 17 or more sit at just 12% utilization. Two-person meeting rooms operate at only 44% capacity when booked, because individuals use them for video calls and focused work rather than the collaboration they were designed for.
This challenge extends well beyond meeting rooms, affecting desks, storage, parking, and access.
The reason isn’t far-fetched. When each resource type is managed by a separate system, optimization occurs in silos. A workplace leader may improve desk utilization without visibility into whether that same employee has access to a nearby locker, a parking space, or an appropriate meeting room later in the day
A case in point is KLP Oslo, which found that 40% of its storage cabinets were completely unused due to permanent assignments in an environment where demand had become highly variable.
Ultimately, dynamic allocation only works if employees can access the resources they need without friction. This brings the focus to the next critical area: the digitalization of access and security.
4. Digitalized Access and Security as Operational Infrastructure
Physical access has traditionally been treated as a security function that’s separate from space planning, booking systems, and occupancy tracking. It’s characterized by badges, keys, and RFID cards managed by IT or security teams—configured once and reviewed infrequently.
This approach worked when offices relied on fixed assignments and predictable attendance. However, in today’s office with dynamic attendance patterns, where access is a key component of how the workplace functions day-to-day, it is now intertwined with resource management:
- When someone books a desk, access to that space should be granted automatically.
- If a locker is assigned for the day, the necessary credentials should be updated at the same time.
- A visitor scheduled for a meeting in a reserved room should automatically have an access token.
- In multi-tenant buildings with many companies sharing space, access needs to be adjusted in real time based on bookings, rather than relying on manually updated permissions.
The operational cost of managing access as a disconnected system becomes visible at scale.
At the Telenor Headquarters, managed by Norwegian Property, thousands of people move through the building daily. By replacing physical keys, RFID cards, and standalone code locks with a unified digital system, the organization significantly reduced administrative workload while enabling access to adapt dynamically to how the building is actually used.
However, for digital access to truly work at scale, it must require minimal physical infrastructure. That’s because every proprietary sensor, gateway, or display creates its own maintenance burden and its own potential point of failure.
When access, booking, and resource allocation work together as a single system, the workplace becomes simpler and more intuitive for users. And that leads to the final trend.
5. Employee Experience as a System-Level Outcome
With the rise of hybrid work, many organizations have invested in improving the workplace experience. However, this effort is often approached as a design challenge, focused on better amenities, more intuitive apps, and well-designed spaces.
In reality, employees judge their workplace not only by how it looks, but by how easy it is to navigate. Unfortunately, that ease of use depends on whether the underlying systems operate together seamlessly and in a coordinated way, which is usually not the case in most workplaces.
The data highlights the consequences of this misalignment.
Nearly half of employees (48%) describe their work as chaotic or fragmented, according to Microsoft’s 2025 Work Trend Index. As a result, they spend an average of 1.8 hours each day searching for information and resources, according to McKinsey. Over the course of a year, this adds up to nearly 60 working days lost to inefficiency.
Satisfaction with workplace tools has also declined, from 40% in 2022 to 29% in 2024, according to data from Reworked.
Employees themselves are asking for simplicity. More than half say they want a single workplace app, reflecting frustration with having to navigate multiple systems to complete basic tasks, such as booking a desk, reserving a room, accessing storage, or finding a colleague. When each task requires a different app or login, the friction quickly adds up.
This is why employee experience should not only be about adding more amenities. The office should be easy to navigate and use, too.
There’s a tendency to try to adapt to these trends by evaluating vendors separately. But this approach is exactly what causes investments to underperform.
Why Adopting Trends as Point Solutions Reproduces the Problem
Naturally, many organizations treat the five trends reshaping PropTech as separate initiatives, choosing which ones to implement independently. However, this approach is exactly what causes investments to underperform because these trends are interconnected parts of the same system.
Together, they enable the workplace to function as a unified whole—a key requirement for adapting to the variability of hybrid work—and to capture and act on real-time data across all physical resources.
This tendency to adopt trends in isolation is also reflected in how organizations evaluate vendors. Instead of a unified approach, they assess separate categories—an AI analytics platform, an ESG reporting tool, a space optimization system, a digital access solution, and a tenant experience app.
So, they have to deal with data models, user interface, support, and maintenance requirements for each new tool. At the same time, workplace managers lack a consolidated view of space utilization.
- The AI analytics tool analyzes desk booking data, but cannot see room utilization.
- The sustainability dashboard reports energy consumption, but cannot correlate it with occupancy patterns.
- The experience app measures satisfaction scores but cannot connect them to the operational systems, causing dissatisfaction.
Then there’s the increased administration overhead.
According to recent data, 37% of organizations now require 11 or more full-time employees just to collate, analyze, and report on operational data across their systems, simply because the systems cannot communicate with one another without human intervention.
For this very reason, workplace leaders we’ve been speaking with have developed what the Commercial Observer calls the “point solution fatigue“, and now prefer end-to-end integrated platforms over specialized point tools.
The reasoning is that, unlike disconnected tools that produce data in silos, a unified layer gives a more complete view of the office. Plus, data from each resource is used to improve utilization for themselves and other resources.
Beyond defragmenting the office, workplace leaders who successfully implement these trends also implement principles to better adapt to the unpredictability of hybrid workplaces.
Principles of a Modern Workplace Operating Model
The discussion so far points to a common requirement: a modern workplace must operate as a single cohesive system rather than multiple disconnected ones. Four principles separate a system that truly supports this reality:
1. A Single Data Layer Across All Physical Resources
In a fragmented model, occupancy data, booking records, access logs, and sustainability metrics each live in separate systems. This makes it hard to get a clear, complete picture.
In a unified model, all resources share the same data layer. That way, when something changes—like a desk being booked—that update is reflected everywhere at once: access is granted, occupancy is updated, and usage is tracked automatically. And tracking utilization or reporting on sustainability becomes easy.
2. Dynamic Allocation Replaces Permanent Assignment
Permanent assignment of desks, lockers, parking spots, and room configurations wastes capacity on low-demand days and creates shortages on high-demand days.
To counter this in hybrid workplaces where demand changes day to day, resources must be easy to book, release, and reassign as needed. Without this flexibility, costs increase as more resources are added, while overall utilization remains inefficient.
3. Physical Infrastructure Governed by Software, Without Hardware Dependency
For maximum flexibility, the workplace should not rely on proprietary sensors, gateways, cabling, or digital displays to function.
That’s because every additional piece of hardware adds cost, e-waste, and potential failure points. It also makes it harder to reconfigure workspace layouts to adapt to usage trends.
For example, something as simple as moving lockers can require time-consuming rewiring and setup, which may incentivize workplace teams to retain the current layout even if it no longer works.
This does not mean eliminating hardware entirely. Rather, hardware should be used only where truly necessary, such as in areas that require strict security or regulatory compliance. Everywhere else, software should carry the load, enabling the workplace to remain flexible, scalable, and easier to manage.
4. Consolidated Operational Accountability
When workplace operations are split across facilities management, IT, HR, and real estate, each function optimizes for its own priorities and its own metrics. The result is a workplace where nobody is accountable for whether the systems interact coherently, only for whether their slice of it performs.
To address this, about two-thirds of financial and professional services firms have appointed a dedicated digital workplace leader to oversee and coordinate all digital workplace tools across the organization.
Others, to save cost and prevent redundancy, take a slightly different approach by centralizing ownership under one leader. Individual teams still manage their own tools, but key decisions are guided by a single point of accountability.
This ensures that decisions are made with the entire workplace in mind, rather than in isolation.
These four requirements are what make AI useful, sustainability reportable, space utilization dynamic, access seamless, and experience coherent. Without them, each trend remains an isolated investment.
What This Means for Leaders Making PropTech Decisions
Implementing these trends and the model that underpins them requires a shift in how PropTech investments are evaluated across three areas:
- From feature comparison to architectural alignment. The key question in a vendor assessment isn’t which tool has the best AI capabilities, the most intuitive booking interface, or the most comprehensive sustainability dashboard. It’s about whether the tool can share data bidirectionally with all other systems that manage the workplace.
- From technology adoption to operating model readiness. Before investing in AI, an experience platform, and sustainability reporting tools, make sure the operating model is designed to support them.
- From departmental procurement to centralized ownership. As long as facilities management purchases the locker system, IT buys the access control, HR invests in the experience platform, and real estate handles the space analytics, fragmentation is assured. Therefore, centralize procurement decisions and designate a single leader responsible for the entire workplace ecosystem.
The Workplace as a Coherent System
These trends, in isolation, tend not to produce the intended results. They only excel when implemented together, alongside a flexible management model. Without that coherence, each investment operates in isolation, producing partial insights, fragmented experiences, and rising costs.
This is why, despite increased spending, many organizations are still questioning whether hybrid work is delivering the efficiency gains they expected.
Check out Awaio to learn how we’re helping organizations future-proof their offices and create workspaces that function as one coherent system.
If you’d like to apply the same strategies to your own workspace, book a demo today.




