Real Estate Brokers Get Evicted From the AI Boom They Helped Build
First software firms. Then wealth managers. Now, commercial real estate brokers. Wednesday’s AI panic sent CBRECBRE, JLLJLL, and Cushman & WakefieldCWB tumbling up to 27.5% through Thursday — some of their worst selloffs since 2020. Investors are rotating out of “high-fee, labor-intensive business models” they believe AI will automate away, fueling a week-long selloff across industries.
- Commercial real estate brokers earn fees through valuations, market analysis, and transaction coordination — exactly the kind of work Anthropic’s newly released AI tools are designed to handle.
- These firms were already fighting for survival from pandemic-era office shifts and higher interest rates — forcing expansion into property management and diversified investment sales.
The panic looks premature: Analysts from Jefferies to Barclays call the selloff excessive, arguing AI won’t easily replace brokers who hold proprietary data and have long-standing client relationships. They believe complex commercial deals still require human judgment that algorithms can’t match — though the long-term threat remains a “wait-and-see” scenario. Ironically, the AI data center boom has created some of these firms’ biggest business drivers in years, and now the same technology could erode the very roles that helped build it. Call it a double-edged sword.