Definition of PropTech PropTech is an important part of the digital transformation of the real estate industry. The property technology with short form “PropTech” is reevaluation of the real estate industry through technology-based solutions and innovative business models. The technologies made the PropTech revolution possible. Proptech is used to describe any technology for the real estate space, but it describes not only technological solutions or devices, also innovative and disruptive solutions, which change traditional trading, utility and development of buildings. The main task of PropTech is the solving of the currently and the future problems of real estate industry. PropTech is designed to streamline and connect processes for participants in all stages of the real estate market, including buyers, sellers, brokers, lenders, landlords, investors, credit institutes, developers etc.

1. What is
PropTech

2. What is PropTech?
PropTech Research
1st Edition
Language:
English
Published by PropTech Switzerland
July 15th, 2020

3. WE ARE PROPTECH SWITZERLAND
The PropTech Switzerland is a research lab for innovation in the real estate
industry that links innovation, technology and sustainability impact. As unique
innovation space for the real estate community, the research center primary
objective is to create an intellectual community of multi-disciplinary researchers
for developing professional work on innovation that impacts the development
of the real estate industry.
Our pioneering research investigates the innovative solutions in real estate
industry from initial concept to market reality, providing breakthrough
knowledge to help organizations, companies and startups capitalize on today’s
dynamic markets and technologies.
PropTech Switzerland is uniquely positioned to help the industry increase its
efficiency, prosperity, and social responsibility. Through research and education
initiatives at the research center, PropTech Switzerland applies its tradition of
excellence in technology, knowledge transfer, and global reach to the real
estate industry, developing innovations to help practitioners build responsibly
and profitably.
A unique, interdisciplinary research platform linking technology with industry to
meet the need for more informed decision-making and the implementation of
best practices. A network of global outreach that links the real estate industry
with the digital transformation and with PropTech Switzerland leading-edge
research in science and technology. Envisioning the industry’s integrated
stewardship of its land and products, the PropTech Switzerland provides
tomorrow’s practitioners with the means to transform an ever more vital, global,
and complex market.
Our main areas are;
Academic Research Education & Innovation
Trend Analysis Investigations of Business Models
The development of Service and Product in real estate industry.
We publish regularly PropTech Book, Startup Guide, Innovation Index, Proptech
Directory, PropTech Homepages Analysis and studies about new business
models.
PropTech Switzerland is a non-profit organisation and is financed just with
membership-fees. That’s why we work neutrally and objective for PropTech
Ecosystem in Switzerland.
PropTech Switzerland Team
Deniz Karahan
Tayland Karahan
Katharina Clavel
Foreword
II

4. What is PropTech?
Copyright © 2020 by PropTech Switzerland
All rights reserved. No part of this publication may be reproduced, distributed, or
transmitted in any form or by any means, including photocopying, recording, or
other electronic or mechanical methods, without the prior written permission of
the PropTech Switzerland, except in the case of brief quotations embodied in
critical reviews and certain other noncommercial uses permitted by copyright law.
The report and any opinions expressed in this publication are the sole
responsibility of the authors. They do not purport to reflect the opinions or views
of PropTech Switzerland Members or the PropTech Switzerland management.
When content, such as an image, graphic, data, trademark, or logo, is attributed
to a third party, the user is solely responsible for clearing the rights with the right
holders.
For permission requests, write to the PropTech Switzerland, addressed
“Attention: Permissions Coordinator,” at the address below.
PropTech Switzerland
Deniz Karahan
Solothurnstrasse 16
2543 Lengnau, Switzerland
www.proptechswitzerland.com
Ordering Information:
Orders by PropTech Switzerland. Please contact: info@proptechswitzerland.com
or visit www.proptechswitzerland.com.
Suggested citation: Deniz Karahan, Tayland Karahan, PropTech Switzerland
Created in Bern, Switzerland, by PropTech Switzerland.
Cover design by Tayland Karahan
Copyright
III

5. Contents
Preface: Releasing What is PropTech I
Foreword: We are PropTech Switzerland II
Copyright III
Content IV
What is PropTech 1 – 3
Who is PropTech
The criteria of PropTech
Tasks of PropTech Community
The benefits of PropTech
PropTech Switzerland Ecosystem 4
PropTech Sectors 5
Marketplace 6 – 11
Property Sale & Buy Platforms
Transaction Matchmaking Platforms
Bidding method
IBuying business model
Real Estate Investment 12 – 14
Crowdinvesting Market
Property Management 15 – 16
Planning
Control
Monitoring and Reporting
Management Services
Management providers
Construction 17 – 21
Automated and Robotic Construction for Sustainable Building
Building Information Modeling
Developing cloud-based virtual community model
Digital Twin
Green Building Simulation Model
Smart Buildings & IoT 22 – 24
Smart Buildings
Internet of Thing
Green Buildings
Building energy simulation
Energy optimization
Automated energy accounting
Virtual Reality, 3D, Augmented Reality and Drones 25 – 27
Big Data Analytics 28 – 29
Valuation Models 30 – 31
Real Estate FinTech 32 – 35
PropTech & FinTech Common Paths
Services
Providers
Our Selected Publications 36
Sources, References & Appendix 37
IV

6. The property technology with short form “PropTech” is reevaluation of the real estate
industry through technology-based solutions and innovative business models. The
technologies made the PropTech revolution possible. “PropTech is one small part of the
wider digital transformation of the property industry. It describes a movement driving a
mentality change within the real estate industry and it consumers regarding technology-
driven innovation in data assembly, transactions, and the design of buildings and cities”
(Andrew Baum and James Dearsley, reported in Davenport, 2019).
Proptech is the acronym used to describe any technology for the real estate space. This
can span software, hardware, materials or manufacturing.
“The major technologies driving the fourth industrial revolution. These are:
- Websites and Smart Phone Apps
- Application Programme Interfaces
- Data Analysis and Visualisation
- The Internet of Things
- Artificial Intelligence and Machine Learning
- Blockchain and Distributed Ledger Technology (DLT)
- Sensors
- Virtual and Augmented Reality
- Geospatial and 5G technologies
- Cloud computing
- Transport Tech: Drones and Autonomous Vehicles
- Other technologies” (1)
PropTech is designed to streamline and connect processes for participants in all stages of
the real estate market, including buyers, sellers, brokers, lenders and landlords.
Who is PropTech?
PropTechs are, the companies which develop and implement technology-based solutions
for new and existing problems in the real estate industry. They are offering
technologically innovative products or new business models for the market. It stands for
all the companies that are taking on the real estate industry to make it better, spurred by
an ever-changing digital landscape and new consumption patterns.
The Criteria of PropTech
1. Developing technology-based solutions for new and existing problems
2. Developing the new business model for reducing bureaucracy between B2B and B2C.
3. Developing the new service and product for sustainable properties
4. Developing the new solutions to reducing the energy consumption
5. Developing the artificial intelligence-based database for market, property, and
location analysing
6. Innovative solutions for life and working quality in properties
7. Innovative solutions to reducing cost of properties
8. Creating transparency with machine learning and artificial intelligence in real estate
market.
What is PropTech?

7. The tasks of PropTech community
PropTech ecosystem is an interconnected, interdependent network of various actors that
combine to create innovative products and services in real estate industry. These actors
primarily include tech startups; more established tech companies; tech founders;
investors and investment groups; and mentors and organizations that provide business
support.
 To help smaller companies to bring innovation to the market,
 Bring startups and founders together in a network, to overcome problems and share
each other’s experiences,
 Build network between tech companies and investors,
 Develop the projects of tech companies for market entrance,
 Research PropTech sectors to support tech companies with knowledge and market
analysis.
The benefits of the PropTech
There are several ways in which developments in PropTech can benefit the real estate
industry. It’s not only a lucrative path for investors, but new tools are helping millions of
buyers, sellers and landlords to improve property journeys. So both, companies and
users can profit from property technology.
1. Increased innovation in the real estate industry
We’ve heard about the speed at which PropTech is making waves in the industry. But
there is much more: Big data can supply information and knowledge necessary to make
informed decision, which makes it more practical to buy and sell more properties.
Sensors, big data and data analytics enable the real estate market to innovate more.
That’s also the main reason why investments in PropTech companies increased in recent
years.
2. More transparency
New technologies such as big data or blockchains particularly improve transparency.
Various tools can help people to track their property transactions at the touch of a

8. button. Since each party involved will have visibility of every transaction, greater
transparency is possible. No surprise that the Global Real Estate Transparency Index was
established. It has become the leading industry benchmark for assessing market
transparency and continues to guide the sector towards higher standards.
3. Enhanced promotion
Technology can assist with many problems faced by property managers such as sourcing
tenants or the promotion of a property. From floorplans and galleries to online tours:
The expansion of 3D virtual tools enables real-estate agents to promote an existing
property or upcoming development.
4. Improved occupancy
But also, the administrative processes in your property can be digitized. There are a lot
of rental platforms or apps in which tenants and landlords can find each other easily and
reduce vacancies. And of course, a digital access management solution also helps you to
allocate individual rooms faster and more flexibly. The space capacities can therefore be
utilized more effectively.
5. Better communication
Many PropTech companies focus on setting up messaging services to heighten
communication between landlords and tenants. A lot of these platforms provide access
to documents or forms for claim reporting. So property managers can leave relevant
information about the property on a whiteboard, while owners can respond directly to
tenants requests. Less misunderstandings and faster answers are the result. Here you can
find some useful apps for property management.
6. Higher value
All these scenarios can ultimately increase the value of a real estate, which in turn will
result in higher rental returns. Just think of it. Buildings with PropTech will probably be
associated with quality and seen as more valuable than buildings that is not provided
with PropTech.
Different Proptech applications can have a huge impact on real estate. The strength lies
in the combinations of them, which offers additional value. Naturally there are more
than six benefits of PropTech.
Property technology is the use of information technology to help individuals and
companies research, buy, sell and manage real estate. Similar to the way FinTech focuses
on the use of technology in finance, PropTech uses digital innovation to address the
needs of the real estate industry.
Nowadays, digitalization influences nearly every aspect of our life. The seemingly endless
global flow of digital information has revolutionized not only our economy by creating
manifold application opportunities. In fact, the Internet of Things, Big Data, and digital
innovations embody a megatrend. While this development offers various intriguing
opportunities, it also includes manifold serious challenges. Besides data security and
property rights, one of the biggest questions to answer is whether we can shape a
sustainable digitalization.
(1) PropTech 2020: The Future of Real Estate, 2020, Said Business School, University of Oxford

9. PropTech Switzerland Ecosystem
The ecosystem has grown 15% in first half-year. 175 PropTech companies, 319 Founders,
500 Board members and 2912 employees were registered till May 30th, 2020. The
statistics of the companies according to the sectors;
2019 First Half-Year 2020
Marketplace 25 28
Investment 11 11
Property Management 26 31
Construction 30 35
Smart Buildings & IoT 12 17
Virtual Reality & 3D 17 20
Big Data Analytics 14 16
Valuation Model 4 4
Real Estate FinTech 12 13
Totally 151 175
Marketplaces, such a matchmaking platform for transaction and rent are still attractive for
the new business models. Only 20% of the marketplace companies offers service for
house sale & buy. Rental platforms for matchmaking and PaaS for transactions and
customer relations get the most user traffic. Property Management and Construction
sectors are playing an important role in real estate industry. That’s why a lot of peoples
focused to create new models for currently tasks and problems. The cloud solutions (like
PaaS and SaaS) are most used and develop business areas for Location analysis, building
analysis, space analysis, construction and Building performance.
According to the news only two PropTech companies raised their funds during the Covid-
19. Locatee AG secured $4 million in Series A funding, secured from San Francisco based
FYRFLY Venture Partners and Zurich based Tomahawk VC. Archilyse AG closed the Series
A funding round. The first closing with CHF 3 million which will be followed by a second
round of additional CHF 1 million in mid-2020.
Smart Buildings & IoT solutions were the most discussed themes at the beginning of
2020. The amount of the companies has grown about 25%. The Internet of Thing was the
hot discussion by state, cantons and in real estate market.
Big Data Analytics with artificial intelligence and machine learning were realized, how they
important for space analysis, building performance and valuation. Some of the companies
were very active and started to analysis the new extraordinary situation to find solutions
for new workplaces, customer relations and transactions.
Generally we can say, the all PropTech companies were active, operate with partners and
built new cooperation's during the lockdown. They react very fast and reorganize their
companies and build new bridges for customers and investors. They benefited from
digital solutions, but they had financial difficulties in the short term.

10. Creditworld was founded in 2015. As a direct lender, creditworld brings Swiss SMEs
together with investors. This enables us to offer tailor-made financing solutions for Swiss
SMEs and at the same time enable investors to invest in the cornerstones of the Swiss
economy. With our own financing vehicles we are able to grant business loans from CHF
100,000 quickly and easily. For larger SME financing, we count on our broad investor
network, through which we can process business loans of up to CHF 25 million.
bob Money is a dedicated team of finance and technology experts and is a 100%
subsidiary of the Valora Group. They offer many kind of credits such a renovation,
construction and SME’s credits.
eny Finance was founded in 2012 as a next-generation financial service provider, making
it one of the first Swiss FinTechs. eny Finance offers simple property loans as an attractive
replacement without burdening the mortgage.

11. Our selected publications in 2020
Published: January 14th 2020
Format: eBook PDF
Page: 312
Published: April 7th 2020
Format: eBook PDF
Page: 624
Published: June 22nd, 2020
Format: eBook PDF
Page: 109
Coming Soon

12. PropTech
Switzerland