Why Commercial Real Estate Owners Are Losing Money by Confusing IT with Building Operations

Commercial real estate owners are losing efficiency and data control by treating operational technology (OT) as an IT problem, a mistake that costs them utility savings, insurance reductions, and tenant experience improvements.

LA Metrowire Staff
••Real Estate
Why Commercial Real Estate Owners Are Losing Money by Confusing IT with Building Operations

A growing disconnect between information technology (IT) and operational technology (OT) in commercial real estate is costing property owners significant efficiency and profitability, according to Bill Douglas, CEO of OpticWise. Douglas argues that most ownership groups treat these two distinct technology categories as one, handing OT decisions to IT managers who lack the specialized training to manage building systems like HVAC, lighting, and leak detection.

IT manages organizational infrastructure—servers, email, identity management, and firewall policy—while OT runs the building itself: HVAC systems, lighting controllers, access control, parking management, leak detection sensors, and elevators. The confusion arises when property managers, IT managers, and asset managers each assume responsibility for OT, but no one truly owns it. This vacuum allows vendors to fill the gap, leading to disconnected systems, redundant networks, and lost data.

Douglas notes that a typical quarter-million-square-foot building ends up with a dozen or more disconnected systems, multiple redundant networks, and data scattered across vendor platforms the owner cannot access. OpticWise has developed the Peak Property Performance framework to help owners audit their systems, connect them properly, and collect the data they own.

The consequences of unmanaged OT include utility waste—lights staying on in empty buildings due to unprogrammed controllers—undetected water damage, and systems running on default settings for years. Owners lose control of expenses and forfeit the operational data that could drive efficiency and revenue. Douglas likens the situation to asking a pitcher to pinch-hit: capable individuals are placed in roles outside their expertise.

To address this, Douglas recommends creating a dedicated OT role or partnering with specialists who can implement a digital strategy. This approach yields utility savings from precise energy monitoring, lower insurance rates through documented maintenance, and improved tenant experience via proactive problem resolution. The data is already being generated by systems the owner paid for; the challenge is having someone in a position to use it.

Ultimately, the issue is not IT or property management, but a strategic gap that requires recognizing OT as its own discipline with its own return. Without that recognition, owners will continue to lose both data and dollars.

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