This paper explores the integration of Industry 5.0 principles into the real estate sector, envisioning the concept of ‘Sterile (Healthy) Building 5.0’. Industry 4.0's focus on automation and digitization, while beneficial, raises concerns about job displacement, environmental impact, and ethical challenges. In contrast, Industry 5.0 emphasizes human-centric, sustainable, and resilient approaches. This study provides an overview of how Circular Economy Principles and Industry 5.0 concepts can benefit the real estate sector, particularly through waste reduction and resource reuse, utilizing technologies like digital twins and AI-powered design tools. The paper highlights the collaboration between humans and technology to create more sustainable and efficient real estate practices. By integrating these principles, innovation and sustainability are driven within the industry, promoting responsible resource management and fostering a resilient built environment. Key findings indicate significant potential benefits in design and planning methodologies, resource management strategies, and transparency measures. However, the transition to Industry 5.0 also presents challenges, such as the need for workforce upskilling, substantial investments in new technologies, and addressing emerging security concerns. The implications of this integration underscore the importance of human-centric and sustainable principles in shaping the future of the built environment. By leveraging circular economy concepts, embracing advanced technologies, and fostering collaboration across stakeholders, the real estate sector can enhance efficiency and productivity while promoting environmental sustainability and resilience.