Electric cars and autonomous vehicles will largely impact commercial real estate across the world
Throughout history, urban development has been centered around transportation, and Charleston, SC is an excellent example of this fact. Since its foundation in 1670, the best city in the world has changed with the times. From a thriving colonial seaport to an ever sprawling metropolis, it’s understandable expansion and development are at the forefront of everyone’s minds.
But commercial real estate agents, contractors, and developers should truly pay attention to how electric cars are going to change how the world works.
Morning commutes and rush hour melt downs will become nearly null and void while people play games, chat on their phones, scroll social media, or sleep rather than worry about the road. Vehicular platooning, a group of vehicles that can travel very closely & safely together, will also equal less accidents and less congestion on the roads.In fact, people may just stop buying cars all together. Why pay for a car when companies such as Uber and Lyft are bound to accumulate fleets of autonomous vehicles, getting people where they need to go at a fraction of the cost?
If there are less cars on the road, just think about what that truly means…there will be less need for every kind of automotive commercial property imaginable: gas stations, auto body shops, parking garages, car washes, oil change companies and even city ports will all be affected.
As electric cars become more and more prevalent, cities, towns, and municipalities will have no choice but to change along with the times. Electric vehicle charging stations, queuing systems for passenger loading and unloading, roads, bridges, tunnels, highways, and interstates will all need to fluctuate. Not only that, large, standing structures such as parking garages, office buildings, warehouses, and manufacturing plants will need to be converted to accommodate supply and demand.
Less cars on the road essentially equal less traffic, less frustration, less accidents, less worry of convenience to city centers, less gas stations, less commercial property close to interstates, and less worry about travel time.
With the electric car takeover set to happen within the next 5-10 years, it’s imperative for commercial real estate companies, contractors, and agents to be ahead of the game and pay attention to how their areas are evolving.
The impact of autonomous vehicles on commercial real estate just begs the question: Will location, location, location still be a priority?