GPT-3, the latest GPT architecture by OpenAI has strong prospects for applications of AI in commercial real estate (CRE) investment due diligence.
At Clik.ai, a large part of our strategy is to support the automation intiatives for the multifamily and commercial real estate industry so that the deal process is streamlined and unnecessary human capital deployed can be minimized.
AI will play a huge role in the future of the multifamily investment process. We develop a combination of proprietary and open-source software to make the due diligence, communication, and investment process more efficient.
We are currently exploring the potential of GPT-3 in the process of multifamily due diligence. There are a variety of reasons for this, but a major one is to enable investors and banking institutions to drive analytics from the messy due-diligence vault which generally contains hundreds of messy PDFs, scan documents like PSA, Appraisal reports, insurance documents and so many more.
Generally, we see a few applications where GPT-3 could be valuable in the due diligence:
Here are some examples of GPT-3 in different industries like private company private equity, legal, and customer support etc.
Examples listed on OpenAI website - visit at https://beta.openai.com/examples
Extract data from invoices and real estate bills
Real estate operators store their monthly invoices for reconciliation purposes. Today this job is done by a team of property managers. Surprisingly enough, in many cases, even the property owner of a multifamily property or a partner of the deal syndicate is doing this job.
Create a balance sheet and potentially a financial model project cashflows
A bot that can create balance sheets directly from instructions in plain English sentences.
Financial Statement and Cashflow Analysis from any document
This GPT program extracts financial metrics by simply copying and pasting the Income Statement from the quarterly press release
Decrypting complicated legal jargon in CRE legal doc & agreement into simple understandable text
Summarizing legal language and complicated paragraphs into a '2nd grader' English can help avoid some unnecessary legal bills.
These are just some very basic examples of AI being applied to the multifamily CRE industry and its processes. We are seeing strong adoption of AI into CRE investment processes from various institutional and non-institutional investors in multifamily and commercial real estate properties including banks, apartment owners and syndicates, institutional private equity shops.
To learn more about us, feel free to schedule an introductory call with one of our partners here: Meet with Clik.ai team