Lease Management Market Expected to Reach $9 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Lease Management Market," The lease management market was valued at $4.6 billion in 2021, and is estimated to reach $9 billion by 2031, growing at a CAGR of 6.9% from 2022 to 2031. Lease management is the execution and management of an organization's lease portfolio and day-to-day tasks. It includes administrative tasks and processes such as document management, reporting, and stakeholder coordination. Lease audits, lease review & abstracting, common area maintenance (CAM) charges, accounting & processing, repairs & maintenance, lease renewal options, occupancy price analysis, information management & reporting, document storage & keeping, and operating cost review are part of the job responsibilities for lease management & real estate specialists. These factors are estimated to boost the lease management market size in the upcoming years.

Emerging technologies such as the Internet of Things (IoT) have the potential to revolutionize real estate management and is considered one of the biggest prospects. Due to its popularity in recent years, the global lease management industry is expected to experience considerable market growth during the forecast period. This is because the IoT sensors can automatically collect lease data and assess it for the most effective maintenance tasks, the adoption of IoT will substantially simplify operations across various sectors such as manufacturing and retail. The use of IoT will significantly reduce the workload on leasing management systems and enable more accurate results in less time. Although the Internet of Things is still in its infancy, it has a very bright future. As a result, as the IoT sector grows, it will surely have an impact on the global lease management market forecast. 

However, a lack of awareness about interoperability in developing countries may stifle the growth of the lease management market. This factor is anticipated to restrain the lease management market share in the upcoming years.

Furthermore, the introduction of cloud technology has been one of the most significant advancements in the lease management market. This technology has an impact on the development and delivery of software applications to lease management organizations. As a result of the cloud transition, software developers can now focus on the technological aspects of lease management software while outsourcing lease management to cloud service providers. Users of SaaS software can pay as they go and can cancel services at any time. Large multifamily real estate companies can use the software to seamlessly integrate various types of technologies across their entire portfolio.

The global lease management market is segmented based on component, deployment mode, enterprise size, end-use industry, and region. By component, the market is sub-segmented into solutions and services. By deployment, the market is classified into on-premise and cloud. By enterprise size, the market is classified into large enterprises and small & medium enterprises. By end-use industry, the market is classified into retail, education, government, manufacturing, and others. On the basis of region, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

The key players profiled in the lease management market report include Lease Accelerator, Inc, CoStar Group, FORTUNE Media IP Limited, Trimble Inc., Nakisa, RealPage, Inc., Oracle Corporation, IBM, Innolux Corporation, SAP.

The report offers a comprehensive analysis of the global lease management market analysis, trends by thoroughly studying different aspects of the market including major segments, market statistics, market dynamics, regional market outlook, investment opportunities, and top players working toward the growth of the market. Furthermore, the report sheds light on the present scenario and upcoming trends & developments that are contributing to the lease management system growth. Moreover, restraints and challenges that hold power to obstruct the market growth are profiled in the report along with Porter’s five forces analysis of the market to elucidate factors such as competitive landscape, bargaining power of buyers and suppliers, threats of new players, and the emergence of substitutes in the market.

Impact of Covid-19 on the Global Lease Management Industry

• The COVID-19 epidemic has affected almost every sector of society, individuals, and businesses; however, the lease management market is gaining traction around the world. All facility management data is integrated into the lease management software, allowing the company to operate remotely without disrupting operations
• The most significant driving force in the worldwide lease management market during a pandemic is anticipated to be the rising preference for working from home. Lease management facilitates ease of payment from contractors and tenants with maintenance monitoring
• The COVID-19 epidemic is driving up demand for smart building projects to effectively manage rent and a trend toward IT modernization for increased corporate effectiveness
• Furthermore, COVID-19 had an effect on imports and exports, which resulted in a lack of the tools and component parts needed for lease management

Key Findings of the Study

• Based on component, the solutions sub-segment emerged as the global leader in 2021 and services sub-segment is anticipated to be the dominating sub-segment during the forecast period.
• Based on deployment, the cloud sub-segment is anticipated to be the fastest growing in the market.
• Based on enterprise size, the large enterprise sub-segment is expected to have dominating market share during the forecast period.
• Based on end-use industry, the manufacturing sub-segment emerged as the global leader in 2021 and isanticipated to have dominating market share during forecast period.
• Based on region, the Europe lease management market is projected to be the fastest growing in during forecast period.