The real estate industry is going through transformation thanks to artificial intelligence (AI). This revolutionary technology offers opportunities to actors in the real estate and construction sectors, while at the same time posing legal challenges.

Below is an overview of domains in which AI can be used:

  1. Energy Management: AI monitors and controls energy consumption in real time, by adjusting heating, air conditioning and lighting to reduce costs and minimize the carbon footprint.
  2. Predictive Maintenance: AI systems predict the maintenance needs and performance data of equipment, thus allowing proactive repairs to avoid costly breakdowns.
  3. Security and Surveillance: Cameras and sensors powered by AI reinforce security by monitoring suspect behavior, all while raising privacy concerns.
  4. Occupancy Management: AI optimises the use of space by monitoring occupancy of offices, meeting rooms and other areas, thus contributing to more efficient resource management.
  5. Air Quality: AI monitors air quality in real time, adjusting ventilation to ensure a healthy and comfortable environment for occupants.

However, the adoption of AI raises legal issues:

  1. Personal Data Protection: AI often collects sensitive personal data, such as the habits of occupants, their preferences and movements. Compliance with data protection regulations, such as the GDPR in Europe, is essential to guaranteeing the confidentiality and security of that data.
  2. Liability: When AI systems make autonomous decisions, that raises the issue of liability in case of damages. Builders, unions and developers must determine who is liable when a problem arises.
  3. Transparence and Ethics: Users must be transparent with respect to the use of AI and ensure that the decisions taken by AI systems are ethical and nondiscriminatory.
  4. Contracts and Liability: Contracts associated with real estate must take into account the use of AI, by clearly defining the obligations and liability of each party.

At DSM Avocats à la Cour, we understand the advantages and challenges of AI in real estate. Our expertise in real estate law and data protection allows us to guide you through this new and complex legal landscape.

By Renaud LE SQUEREN, Partner – Avocat à la Cour, DSM Avocats à la Cour.