Pathway guide corporate real estate 5 1 2 3 4 this guide supports the corporate real estate pathway. Corporate real estate and corporate strategy alignment in. This study examines how corporate real estate management crem departments are viewed within the larger corporate culture. Perspectives on a firms corporate real estate and competitive strategy this section combines two idealtypical models in the literature and constructs a new idealtypical model.
Many companies have significant capital tied up in real estate, which can lead to questions about the alignment of real estate investments with the overall corporate strategy. The increased awareness of the importance of cre partly originates from 1983. Zaiton ali, stanley mcgreal, alastair adair, and james webb 2008 corporate real estate strategy. Here are the 6 corporate real estate strategies that can add value to your business if you just let them. Jan, 2020 the role of corporate real estate strategy in the firms corporate strategy formulation has the ability to enhance shareholder value. Vande putte 3 1 consultant at recreations, baetenburg 72, 1852 tt heiloo, the. Pragmatic, bottomlineoriented planning of this nature often yields ways to more efficiently use space.
This powerpoint describes how effective strategic planning can imporve corporate real estate services processes slideshare uses cookies to improve functionality and. The essential guide to corporate real estate offers a fundamental examination of cre. Strategic real estate management involves many different dimensions for different stakeholders. The sale of corporate real estate is best viewed as exiting a business activity that is not in the corporations core competency. Written from an occupiers perspective, the book presents a tenpoint cream model that offers advice on issues such as sustainability, workplace productivity, real. Aligned vision dr barry p haynes sheffield hallam university abstract purpose. Pdf the importance of corporate real estate management in. In addition, it has become fairly common for investors to challenge management on whether the deployment of capital to real estate is. Below, we will discuss three major components that affect real estate strategy real estate portfolio and space optimization, location strategy, and workplace strategy and how financial services firms can optimize for each component.
Corporate real estate strategies and financial performance of. Effective management of such a major asset requires a fundamental understanding of both the operation of the property markets and the operational requirements of the business occupier. This primer on strategic property management focuses on how property held as a corporate asset. Corporate real estate, risk management, business strategy, decisionmaking abstract in a global bu siness economy, firms have a broad range of corporate real estate needs.
The purpose of this paper is to investigate how strategic corporate real estate cre management varies across different types of organizational culture. Whether you are looking for a global view of corporate real estate cre or trying to better understand the interactions between the various. View essay corporaterealestatestrategy aconceptualoverview. The second edition of corporate real estate asset management is fully up to date with the latest thought and practice on successful and efficient use of corporate office. Banking, energy, telecommunication, and transport and logistics. Corporate real estate and corporate strategy corporate strategy in relation to real estate the literature related to strategic management has identified several models and ideas about corporate. Risk management and the corporate real estate portfolio virginia gibson and marc louargand, 23 april 2002 4 and, because of the upward only lease1 in the u.
Cre strategy has any influence on the financial performance of malaysian companies. Specific features, such as tenures and the problems of obsolescence are addressed. The second edition of corporate real estate asset management is fully up to date with the latest thought and practice on successful and efficient use of corporate office space. Oct 01, 2008 this powerpoint describes how effective strategic planning can imporve corporate real estate services processes slideshare uses cookies to improve functionality and performance, and to provide you with relevant advertising.
Corporate real estate strategies and financial performance. Corporate property strategy is integral to corporate. Roulac 2001 pointed out that it is a rare occurrence for a corporate business strategy to include a cre strategy. The most complete and useful alignments are made by. The real estate industry is full of competition that can just get your potential clients or leads depending on how they market their properties and other offers. An overview of steps and tools for the corporate real. It draws particular attention to the european and u. This paper aims to evaluate the relationship between corporate strategy and cre strategy.
The reason for this limited connection arises from the actions of corporate. The book shows how new technologies are affecting the ways that businesses look upon their real estate needs and make provision for them. Building the future six predictions for 2020 and beyond in brief. The 4 main commercial real estate investment strategies vts. Corporate real estate and corporate strategy corporate strategy in relation to real estate the literature related to strategic management has identified several models and ideas about. Corporate real estate strategies 2 in the us managed their real estate for a profit and not more than 41 percent evaluated the performance of their real estate on a regular basis.
Examples of knowledge comprised within this level are. Effective management of such a major asset requires a fundamental. This research adds to the scant literature on corporate real estate management in south africa. This study analyzes the relationship between corporate real estate cre strategy and the financial performance of major companies in the uk for two time periods, 1998 and 2003. Below, we will discuss three major components that affect real estate strategy real estate. The goals of corporate strategy are challenging not only for large firms like microsoft but also for small local computer retail outlets or even dry cleaners.
A conceptual overview zaiton ali, stanley mcgreal, alastair adair, and james r. Risk management and the corporate real estate portfolio. A model on corporate real estate by omara 1999 is the basis of a framework for organisations real estate strategies, and a model on competitive strategy. Corporate real estate journal henry stewart publications. Realizing the value of corporate real estate management. Traditionally, the focus within corporate real estate management has been cost minimisation and shortterm results rather than a longterm business strategy.
Corporate real estate and competitive strategy article pdf available in journal of corporate real estate 91. Sep 10, 2018 the purpose of this paper is to investigate how strategic corporate real estate cre management varies across different types of organizational culture. The paper will identify, and evaluate, a number of. Pathway guide corporate real estate 3 corporate real estate section one. The role of corporate real estate strategy in the firms corporate strategy formulation has the ability to enhance shareholder value. Another interesting strategy is to set up a real estate operating subsidiar y inside the company, hence creating a mechanism whereby the capital deployed in corporate real. Roulac abstract corporate property in the past has been concerned to much with the facility and insuf. With this, you have to ensure that you will create a real estate strategic plan that can make you stand out from your competitors.
Additionally, the authors examine how a set of wellestablished strategies is categorized by cre executives and investigate whether there have been any changes in priorities of managers rating in importance of these strategies compared to. Pdf the importance of corporate real estate management. It is designed to help you understand more about qualifying in. The most complete and useful alignments are made by nourse and roulac 1993 and scheffer, singer and van meerwijk 2006. Designed as a foundational manual, the guide covers the spectrum of variables shaping the daily decisions of cre professionals and provides insights and strategies for effective management. This study analyses the relationships between cre strategy and financial performance of companies in malaysia during 1998 and 2003. Because they use clear and relevant lists of both corporate and real. Each quarterly 100page issue publishes high quality articles and real case studies on new thinking, strategies and techniques in corporate real estate. The aim is point up the importance of real estate, not in isolation but as an integral part of corporate strategy.
Corporate real estate strategies and organizational culture. Pdf linking real estate decisions to corporate strategy. Deloitte corporate real estate strategy the road to sustainability and social responsibility frank ten have, partner deloitte rea 1. The book shows how new technologies are affecting the ways that. On the other hand, currie and scott 1991 found that real estate represents on average 150 percent of net assets, a substantial proportion 3040% of total assets, and 100 per cent of capital. Each quarterly 100page issue publishes high quality articles and real. The identification of cre strategies is based on the seminal work of nourse and roulac 1993 and maps these. On the other hand, currie and scott 1991 found that real estate represents on average 150. This paper aims to evaluate the relationship between corporate. The importance of corporate real estate management in overall corporate strategies. The changing real estate landscape will have substantial implications for the real estate investment community, which we highlight below and describe in more detail in part three. Corporate property strategy is integral to corporate business strategy author stephen e. Corporate property is routinely identified as the second biggest cost within a business organization after staff. Corporate real estate strategies and organizational.