A clean slate: rethinking smart technology for multifamily

As an asset class, multifamily is growing. In 2025 Arbor noted that MSCI showed $1557.7 billion in multifamily sales, the highest since its peak in 2022. With pressure rising around energy performance, operating costs and tenant expectations, owners and operators must rethink how their buildings are designed, run and improved.

Multifamily is ripe for change. As a sector, technological innovation has been slower. But that’s changing fast as tenants push for more, it provides a rare chance to design portfolios from the ground up.

It offers a clean slate and a new opportunity. With fewer legacy systems, it is possible to build smart from scratch, without the headaches and costs that come with a retrofit or upgrade. Plus, the industry can learn from other property types, and create change with its eyes open.

 

Multifamily is different from office or commercial portfolios.

Historically, Multifamily has been underserved by building technologies. As systems are designed with property types in mind, like offices, hospitals, or industrial, it’s certainly not a one-size-fits-all situation.

The sector offers space to rethink how we implement tech. There’s always been a perception of complexity surrounding tech implementation and integration. Without the same baggage, this issue doesn’t carry over in the same way.

Most commercial buildings are weighed down by decades of tech decisions. For example, outdated BAS systems, fragmented vendors, and integrations that never really worked.

Resolving these issues takes time, budget, and compromise. Multifamily has less legacy infrastructure to untangle, fewer sunk costs, and more flexibility in how new systems can be implemented, making it ripe for innovation.

 

Why is it a clean slate?

When we refer to Multifamily as a clean slate, as there is a freedom to get it right the first time. There isn’t existing tech to rip out or work around, which removes many of the usual barriers to integration.

With fewer retrofits required, every dollar invested goes into performance. This means there’s more room to standardise, automate, and scale smart systems across entire portfolios.

There’s a longstanding perception that Multifamily is too complex to serve efficiently. This diversity of layouts, lack of standardization, and fear of high upfront costs have all contributed to slower adoption across the sector.

That aside, there is a stark opportunity for development in the sector.

Multifamily buildings can have more consistent layouts and systems across sites, making them ideal for scalable tech rollouts. With fewer legacy BAS or automation systems in one place, there’s also less friction to integrate and optimize.

That is a unique opportunity to build forward-looking, efficient portfolios from day one. Without the need for costly do-overs. Every investment can go directly into long-term performance, not just retroactive fixes.

 

The case for change

A shift has taken place. With rising energy costs, changing regulations, and evolving tenant expectations (especially among younger renters), the pressure is on to modernize. Sustainability reporting and investor demands are driving the need to decarbonize residential assets.

And leaner operating teams are increasingly reliant on automation to maintain performance.

Integration doesn’t just solve one problem. It unlocks data, insight, and agility across the board. It is a multiplier for better decision-making and stronger returns. Multifamily is likely to lead the next wave of building tech adoption.

Multifamily has the scale, the need, and the opportunity to get things right the first time. That’s where those who deal with MSIs and BAS come in. We have a critical role to play in shaping smarter, more sustainable portfolios.

Start now. Build for integration, not interruption. It’s much easier to start smart than to have to go back and fix it later.