Real Estate Finance Association (REFA)’s Post

Did you know that North America is leading in budget increases for physical security, with security incidents involving violent criminals rising from 41% to 49% between 2022 and 2023 in the region? This week, we analyzed 153 US facility management players and gathered valuable insights on how businesses compete in a highly competitive and fragmented landscape, which is further characterized by low entry barriers and relatively homogenous service offerings. PE-led interest has been limited, with ~18% of identified assets being sponsor-backed. Potential investors are deterred by lower office occupancy rates driven by persistent work-from-home trends, rising labor costs and lowered facility management spending in times of economic headwinds. On the other hand, end clients seeking to outsource facility management to cut costs and improve flexibility, increasingly diverse working environments that require tailored facility services and technological advancements which enable efficiency gains are attractive to investors. Argonne Capital Group, ACON Investments, L.L.C., Alvarez & Marsal Capital, Apax, Apollo Global Management, Inc., Ardian, Ares Management Corporation, BlackRock, Blackstone, Caisse de dépôt et placement du Québec (CDPQ), GenNx360 Capital Partners, H.I.G. Capital, Incline Equity Partners, KKR, Morgan Stanley Investment Management, O2 Investment Partners, J. Safra Sarasin, Southfield Capital and Warburg Pincus LLC, amongst others, are currently invested in the US facility management market. Interested? Read our full report: https://lnkd.in/gYhgt5rE #origination #privateequity #finance #security #landscaping #cleaning #catering #hospitality #facilitymanagement

Interesting data and research for CRE (Corporate Real Estate) leaders in the Financial Services sector... (or Tech)! The industry is evolving rapidly, and innovation hubs are becoming increasingly important to stay competitive. These hubs provide top talent, cross-functional collaboration, and cutting-edge technology to support experimentation and product development. Stay ahead of the game by checking out the latest data and information on this topic. #FinancialServices #InnovationHubs #CREleadership Vinolia Direro Grant Kirchmann Glenda Venn Banking real estate strategy for innovation hubs (jll.com)

Here’s your daily round-up of the latest news and views from EG. 📢 We kick off the week with an exclusive interview with CBRE president and chief executive Bob Sulentic. Three years after the agency bought a majority stake in project manager Turner & Townsend, Sulentic is ready to spend more. “We see a lot of opportunity for growth across multiple dimensions of project management, cost consultancy, programme management,” Sulentic tells EG. “We have got a lot of capital to invest in direct growth. In the last year we probably invested about $1.5bn-$2bn (£1.1bn-£1.5bn). We want to push capital into this business to do acquisitions, if they are available.” 🏡 As real estate works out what the sector faces in a new Labour government, EG spoke with the parties behind four masterplans singled out by chancellor Rt Hon Rachel Reeves as “stalled”. When Reeves said the government will form a task force to “accelerate stalled housing sites”, she pointed to four projects that she wanted the initiative to start with: Liverpool Central Docks, Worcester Parkway, Northstowe and Langley Sutton Coldfield. The local authorities and developers behind those four schemes – which have the potential to deliver more than 14,000 homes – tell EG the message is “music to our ears”, but add that greater clarity is needed on the scope and breadth of the taskforce. 📰 There’s also news on The Crown Estate’s next £430m trio of West End projects, an all-clear vote at both ends of the London Tunnels, and the first biotech tenant to move to Mission Street and BGO’s Botley Road scheme in Oxford. All this and more right here. https://lnkd.in/eSGcWF66

Corporate real estate teams are facing new challenges in balancing short-term efficiencies with long-term growth.     JLL's Future of Work 2024 report reveals how corporate real estate functions can become powerful agents of transformation within organizations.  

Looking forward to the panel discussion and sharing thoughts and findings on topics such as GenAI adoption in the industry. Join us if you can!

Looking back on this year’s MIPIM, Luke Dawson Colliers’ Head of Global and #EMEA #CapitalMarkets shares his key insights and expectations for the months ahead:    The number of groups seeking new #capital and/or strategic #investors is enormous.  This ranges from developers seeking programmatic capital, seasoned #investment managers looking for new fund investors, new platforms seeking GP and/or LP capital and everything in-between. Clearly there is a major imbalance between those with capital and those in pursuit.    Private #wealth is and will continue to become a larger part of the market than anytime during the previous cycle. Several existing privately backed platforms have considerable growth plans as well as new entrants shifting into more direct strategies, as a result of the wealth of opportunities on offer. Much of this capital is focused on growth sectors (I&L, residential, alternatives) and not the core side of the market where historically private wealth buyers were focused.    The optimism on #offices is largely along two lines: (i) conversion – either brown to green or on a use case, for example, residential/hotel conversion; (ii) market timing – early signs that some money believes that there will be some generational value created over the coming 18-24 months with core and core+ #asset selection. However, mid-grade offices - either due to their location or low-grade #ESG qualifications - still remain a large cloud over the wider sector.    There is still a lack of genuine distress to be found in the market.  This may increase due to refinancing issues but the driver that seems to be coming more prevalent is sales because of #portfolio re-allocation, which will result in pressured but not distressed sales.     Read more: Colliers Global Investor Outlook 2024 https://lnkd.in/eFJspVcR   #ColliersEMEA #emea #MIPIM #MIPM24 #Cannes #realestate #realestateinvestment #realestateinvestments #realestateinvestors #realestateinvesting #realassets #sustainableinvesting #esg #netzero #netzerocarbon #renovationwave #roadtozero #sustainability 

Investment is on the horizon, but not without careful consideration. Corporate Real Estate (CRE) teams are laser-focused on proving return on investment (ROI) and showcasing the value that comes from making smart, responsible decisions. According to recent data, 65% of decision makers anticipate a budget expansion in their CRE department by 2030. However, a significant 62% of these same decision makers recognise the need to optimise their CRE portfolio for better utilisation. Click the link below to download: The Future of Work 2024: Corporate Real Estate Must Transform to Deliver Enterprise Value report → https://lnkd.in/eyapY2hN Steven Lewis Flore Pradere

The article in this issue of JPM highlights key trends and challenges facing property managers in 2025, including technological advancements, talent acquisition, and affordable housing initiatives, to help them navigate the industry's dynamic landscape. #PropertyManagement

CBRE Expert Panel: Clearer Skies and Capital Priorities https://ow.ly/Aa7q50S1YVc #cre #CREi #commercialrealestate #investments #investing #ESG #Business #CREX #realestate

Commercial real estate is undergoing a digital transformation. In our latest video, Andy Targell, JLLT Global Head of Real Estate Technology Advisory discusses how you can achieve significant outcomes through enterprise agility and CRE digital transformation. Watch now ➡️ https://co.jll/3YuQZnh #CRE #CRETechnology #Innovation