People's and businesses' needs and preferences change over time, meaning the functional and economic value of buildings tends to decline if their operation, maintenance, and renovation are not properly ensured.
In this context, the concept of Building as a Service (BaaS) becomes particularly relevant, as it involves an entity (whether or not it owns the building) responsible for overseeing all aspects of space management, including facilities and equipment, as an ongoing service for users. Instead of purchasing or leasing spaces conventionally, clients subscribe to services that allow them to use spaces continuously adapted to their needs under pre-agreed terms and conditions. These services may include climate control, security, cleaning, energy and communications, furniture and decor, as well as repair or renovation work on spaces such as offices or healthcare centers.
While the technology sector has offered similar service-based solutions for decades (e.g., Software as a Service or SaaS), the construction industry began adopting this concept more widely after the 2008 global financial crisis. During this period, investors shifted their focus from capital expenditures (CapEx) to operational expenditures (OpEx), seeking professional and external support for managing their built assets.
The key benefits of BaaS include adaptability and a strong emphasis on user experience—ensuring that spaces evolve according to clients' changing requirements over time. Additionally, the approach promotes energy efficiency and circular economy principles by prioritizing renewable, recyclable, and reusable materials across managed spaces.
Challenges and opportunities associated with BaaS include adopting modular solutions (such as easily replaceable façade systems or kitchen and bathroom modules) and ensuring digital and well-organized recordkeeping of building information (e.g., installation, equipment, and finishes) throughout the asset's lifecycle. Subsequently, implementing robust technological infrastructures—such as intelligent systems incorporating Internet of Things (IoT) sensors—is essential for data analysis (e.g., temperature, humidity, occupancy levels) and the planning of customized solutions for space users. From the perspective of property owners and management companies, selecting a suitable business model is also crucial—whether through fixed rent, management fees, revenue-sharing, or indirect property appreciation.
Measures to facilitate BaaS adoption in building management include employing contracting models for construction and operation that involve service providers early in the asset’s value chain. This should be done through collaborative and performance-based agreements that ensure long-term functional and economic efficiency. Additionally, investing in training and capacity-building for professionals and companies in emerging technologies—such as Building Information Modeling (BIM) and artificial intelligence—is critical to supporting the development of BaaS models.
Ultimately, the goal is to address the evolving dynamics of society alongside technological advancements, fostering more collaborative and profitable approaches to building development and management for all stakeholders.
In this context, the concept of Building as a Service (BaaS) becomes particularly relevant, as it involves an entity (whether or not it owns the building) responsible for overseeing all aspects of space management, including facilities and equipment, as an ongoing service for users. Instead of purchasing or leasing spaces conventionally, clients subscribe to services that allow them to use spaces continuously adapted to their needs under pre-agreed terms and conditions. These services may include climate control, security, cleaning, energy and communications, furniture and decor, as well as repair or renovation work on spaces such as offices or healthcare centers.
While the technology sector has offered similar service-based solutions for decades (e.g., Software as a Service or SaaS), the construction industry began adopting this concept more widely after the 2008 global financial crisis. During this period, investors shifted their focus from capital expenditures (CapEx) to operational expenditures (OpEx), seeking professional and external support for managing their built assets.
The key benefits of BaaS include adaptability and a strong emphasis on user experience—ensuring that spaces evolve according to clients' changing requirements over time. Additionally, the approach promotes energy efficiency and circular economy principles by prioritizing renewable, recyclable, and reusable materials across managed spaces.
Challenges and opportunities associated with BaaS include adopting modular solutions (such as easily replaceable façade systems or kitchen and bathroom modules) and ensuring digital and well-organized recordkeeping of building information (e.g., installation, equipment, and finishes) throughout the asset's lifecycle. Subsequently, implementing robust technological infrastructures—such as intelligent systems incorporating Internet of Things (IoT) sensors—is essential for data analysis (e.g., temperature, humidity, occupancy levels) and the planning of customized solutions for space users. From the perspective of property owners and management companies, selecting a suitable business model is also crucial—whether through fixed rent, management fees, revenue-sharing, or indirect property appreciation.
Measures to facilitate BaaS adoption in building management include employing contracting models for construction and operation that involve service providers early in the asset’s value chain. This should be done through collaborative and performance-based agreements that ensure long-term functional and economic efficiency. Additionally, investing in training and capacity-building for professionals and companies in emerging technologies—such as Building Information Modeling (BIM) and artificial intelligence—is critical to supporting the development of BaaS models.
Ultimately, the goal is to address the evolving dynamics of society alongside technological advancements, fostering more collaborative and profitable approaches to building development and management for all stakeholders.
Source: Diário Imobiliário, Bruno de Carvalho Matos, Civil Engineer