Corporate Real Estate Advisory Strategies for Companies

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Having a solid corporate real estate advisory strategy in place can make a huge difference for companies, especially those with complex or rapidly changing property needs. Companies like IBM, which has a global portfolio of over 6,500 properties, need a strategy that can adapt to their evolving business goals.

A corporate real estate advisory strategy involves more than just finding a nice office space. It's about aligning your real estate portfolio with your business objectives, which can include reducing costs, improving employee productivity, and enhancing your brand image.

For instance, companies like Amazon have successfully used corporate real estate advisory strategies to expand their presence in key markets and reduce their carbon footprint. By doing so, they've not only improved their bottom line but also enhanced their reputation as a socially responsible business.

Real Estate Strategies

Real estate is a crucial aspect of any company's operations, and optimizing it can have a significant impact on the bottom line. A well-planned real estate strategy can help businesses achieve their goals and stay competitive.

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To optimize your real estate portfolio, you need to consider several factors, including the size and cost of your physical footprint. This involves strategies such as lease restructuring, workplace and hybrid work strategies, and location strategy and site selection.

A sound strategic plan is essential to align your real estate with your business goals. This plan should consider your company's overall strategic plan and ensure that your real estate is optimized to meet your goals.

Assessing your workplace is also crucial to ensure that it is designed to retain and attract today's talent. This involves analyzing your workspace and making necessary changes to create a productive and comfortable environment.

When deciding whether to buy or lease a property, it's essential to consider the pros and cons of each option. Buying your building can bring benefits, but it also comes with significant risks. On the other hand, leasing a property can provide flexibility and reduce upfront costs.

Here are some strategies to consider when optimizing your real estate portfolio:

  • Lease Restructuring
  • Workplace and Hybrid Work Strategies
  • Location Strategy and Site Selection
  • Space and Occupancy Planning
  • Real Estate Portfolio and Footprint Optimization
  • Real Estate Forecasting and Financial Modeling
  • Sale Leaseback Strategy

In addition to these strategies, you should also consider the operating model that governs your physical footprint. This involves optimizing your real estate organization structure and process design, as well as implementing a technology enablement strategy.

Ultimately, optimizing your real estate portfolio requires careful consideration and assessment of your company's overall strategic plan. By doing so, you can create a real estate strategy that aligns with your business goals and helps you achieve success.

Our Services

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We help business owners acquire facilities to operate out of, and over the years, we've evolved to also provide long-term investment guidance, helping clients acquire multi-tenant facilities.

Our team has helped clients identify significant cost savings opportunities, such as $3M+ in annual cost savings and $20M+ in one-time proceeds from the sale of underutilized real estate assets.

We've conducted pre-merger real estate portfolio and facility operation synergy analyses, like the one for a for-profit university, which identified $5M – $8M in annual real estate portfolio savings.

We can develop location strategies and site evaluation models to objectively analyze potential candidates for HQ relocation, as we did for a data analytics company, considering 25 workforce and operational variables.

Our real estate integration roadmaps can satisfy legal, financial, and human resource requirements for Day 1 readiness in multiple locations, as we demonstrated for an energy technology company, with 91 locations across 40 countries.

Our Results

We've helped companies like KimbleCo achieve their goals through our consulting and corporate real estate advisory services. We've worked with clients in the Twin Cities to create innovative communities like Towerside, the only designated innovation district in the area.

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Towerside is a unique project that brings together entrepreneurs, residents, researchers, developers, and businesses in a restorative, healthy, and arts-inspired community. This type of collaboration can lead to exciting opportunities for growth and innovation.

In other cases, we've assisted Fortune 500 companies with mergers and acquisitions, keeping stakeholders informed and engaged throughout the transition process. This helps retain talent and minimize disruptions to business operations.

Coworking spaces are another area where we've made a significant impact, helping to expand these flexible workspaces across the globe. Coworking spaces cater to the changing way people work, offering a variety of settings and amenities to suit different needs and preferences.

We've also worked on corridor redevelopment studies, reimagining established transit corridors to create new opportunities for development and growth. These projects require careful consideration of both the challenges and opportunities presented.

Here are some examples of our work in different areas:

  • Towerside: An innovation district in the Twin Cities
  • Fortune 500 M&A: Mergers and acquisitions with a focus on stakeholder engagement
  • Coworking space: Expanding flexible workspaces across the globe
  • Corridor redevelopment study: Reimagining established transit corridors

Assessment and Guidance

As you consider optimizing your corporate real estate, the first step is to assess your current situation. This involves evaluating the size and cost of your physical footprint, which can be a significant expense for your company. Real estate is typically one of a company's top three expenses.

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A thorough assessment of your workplace is crucial to ensure your workspace is designed to retain and attract today's talent. This includes considering factors like lease restructuring, workplace and hybrid work strategies, and location strategy and site selection.

To optimize your real estate portfolio, you need to develop a sound strategic plan that aligns with your business goals. This plan should be based on real estate forecasting and financial modeling to ensure you're making informed decisions.

Here are some key areas to focus on during your assessment:

  • Lease restructuring
  • Workplace and hybrid work strategies
  • Location strategy and site selection
  • Space and occupancy planning
  • Real estate portfolio and footprint optimization
  • Real estate forecasting and financial modeling
  • Sale leaseback strategy

By evaluating these areas, you'll be able to identify opportunities to improve your real estate portfolio and make data-driven decisions about your physical footprint. This will ultimately help you to optimize your real estate and achieve your business goals.

Sheldon Kuphal

Writer

Sheldon Kuphal is a seasoned writer with a keen insight into the world of high net worth individuals and their financial endeavors. With a strong background in researching and analyzing complex financial topics, Sheldon has established himself as a trusted voice in the industry. His areas of expertise include Family Offices, Investment Management, and Private Wealth Management, where he has written extensively on the latest trends, strategies, and best practices.

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