Building a Greener Future: The Role of AI, Data and PropTech in Decarbonising the Built Environment

In April 2024, the British Property Federation and the UK PropTech Association brought together property leaders and technology specialists to examine the role of AI, data and PropTech in decarbonising the built environment. The published write-up captures a detailed snapshot of how the industry was grappling with sustainability, digital infrastructure and operational reality at that point in time. 

What remains striking is how structural many of those themes are. The conversation was not centred on novelty or hype. It surfaced underlying constraints that continue to shape how technology is adopted across property portfolios. For PropTech founders, those structural insights are often more instructive than any single technology trend. 

Below are the themes that continue to carry weight, and what they signal for those building solutions in this space. 

Decarbonisation Is a Lifecycle Challenge, Not a Single Intervention 

One of the clearest insights is that AI applications are not confined to a narrow operational use case. Environmental AI use cases were mapped across the real estate chain, from site acquisition through construction, asset management, occupation and end-of-life or retrofit. 

This framing matters. It positions decarbonisation as a lifecycle issue rather than a retrofit-only problem. Emissions reduction is influenced by decisions taken at acquisition, by how assets are constructed, by how they are operated and by how they are eventually adapted or repurposed. 

For founders, this reinforces the importance of situating a product within that broader chain. A solution that addresses a single stage may still need to demonstrate how it connects to upstream and downstream processes. Decarbonisation is cumulative, and so is value creation. 

Operational Savings Are Possible, but Portfolio Complexity Is the Constraint 

Examples were shared of energy optimisation software delivering operational reductions in HVAC-related energy use. These cases show that measurable efficiency gains can be achieved where systems are integrated and data flows are established. 

Yet the deeper issue lies in scaling. Portfolios contain buildings of different ages, with different systems and varying data standards. Occupiers may customise systems to suit their own needs, adding another layer of variability. 

The lesson is not simply that technology can save energy. It is that coordination across diverse assets is inherently complex. Founders operating in this space are not only solving for optimisation. They are navigating fragmentation. Solutions that acknowledge that complexity, rather than assume uniformity, are more likely to align with real-world conditions. 

Data Quality Determines Decarbonisation Capacity 

The discussion repeatedly returned to the condition of underlying data. Datasets across portfolios can be out of date and costly to update. Without accurate, regular and granular energy data, measuring and improving efficiency becomes difficult. 

A broader issue concerns visibility. Limited visibility of data across the industry was described as a significant problem. Where information cannot be easily aggregated or compared, strategic decision-making is constrained. 

For founders, this points to a foundational reality. Many sustainability tools depend on reliable inputs. If the underlying data environment is inconsistent, incomplete or poorly governed, the effectiveness of any solution is affected. 

This does not diminish the role of technology. It clarifies the conditions under which it operates. Tools that help structure, preserve and aggregate granular data across assets may address one of the core bottlenecks identified. 

Retrofit Requires Granularity, Not Abstraction 

Retrofitting portfolios, particularly historic properties, introduces additional complexity. Individual building characteristics often demand tailored approaches and human inspection. 

PropTech tools are enabling access to more granular information about materials and infrastructure, as well as modelling potential retrofit solutions to assess viability and cost implications. However, these capabilities are contingent on the availability of detailed building data. 

The insight here is that retrofit is an information problem as much as a construction one. Modelling and scenario analysis are only as strong as the asset-level data they draw from. Founders positioning solutions in this area need to be attentive to how data is captured, updated and maintained over time. 

Standardisation and Common Frameworks Remain Central 

Another theme concerns measurement consistency. Comparisons were drawn with financial reporting, where standard accounting practices and audit rules provide clarity and comparability. 

In the sustainability context, the development of a UK Net Zero Carbon Building Standard was noted as a step towards clearer definitions of net zero buildings. The desirability of a common data model enabling mapping across different systems was also identified. 

For founders, this underscores the importance of interoperability. Solutions that operate in isolation from emerging standards or cannot map across multiple systems may struggle to scale. As measurement frameworks evolve, alignment with them becomes part of the value proposition. 

Skills, Continuity and Data Sensitivity Shape Adoption 

Decarbonisation through technology is not solely a technical matter. Larger portfolios may require dedicated data managers to achieve a reliable global view, yet a shortage of technical skills in the industry was noted. AI was seen as offering support in automating certain standard tasks, but human expertise remains essential in interpreting data and implementing solutions. 

Data sensitivity adds another layer. Some building owners, investors and occupiers regard performance data as commercially sensitive. This influences how information is shared and how collaboration takes place. 

For PropTech companies, adoption is therefore shaped by governance, trust and organisational capacity. A technically robust product must also respond to concerns around data handling, continuity when building managers change, and the operational realities of multi-stakeholder environments. 

Why These Insights Still Matter 

Although the session took place in April 2024, the issues identified are structural rather than time-specific. Data fragmentation, retrofit complexity, interoperability and skills capacity remain core features of the property ecosystem. 

The write-up provides insight into how industry stakeholders were framing sustainability and technology adoption. For founders, it offers a grounded perspective on the conditions into which solutions are introduced.