Savvy players on the supply side of CRE already know that corporate clients want more emphasis on longer-term value creation and reward based on strategy, not short-term transactional returns.
Last time, we began pointing out some supply-side players who are already making the adjustment and starting to 'jump the curve' in an industry remodeling sense.
One of them is Lori Brown, who offers another good example of how innovating away from the brokerage-transactions model, yet still incorporating brokerage expertise, is becoming crucial.
Business-Driven Real Estate
Focused on Long-Term Value Creation
Brown perceives a need for an immediate adjustment to the way that the CRE industry model works. Her view is that the transactional mentality many of us are still “stuck in” requires a migration on a wider scale into the long-term strategic value model that she identifies with “advanced analytics and productivity.”
Brown is among a growing number of industry professionals who want to ‘move the needle.’ A big part of the shift is in brokers reinventing themselves, insists Brown, President of Brown Real Estate Advisors.
“Brokers, while providing valuable expertise, typically don't leverage their company resources to deliver what their clients need most -- a business-driven real estate strategy--which has been proven by CoreNet Global research over the past several years. Collaboration with in-house consultants is a rarity for brokers. Real estate brokers don't take the time to truly understand what their clients do and how to add value to the business because they are not compensated to do so.”
That’s why Brown and some other broker-oriented professionals are differentiating themselves around strategic alignment with the client’s enterprise.
“Our approach to real estate rationalization is unique to every client and it gives companies the opportunity to evaluate the interrelationship of their operations to their real estate to help the business units make more informed real estate decisions, decisions that are contributing to the performance of the business is a significant way,” Brown concludes.
EXCERPTED FROMLEADER MAGAZINE 'Industry Tracker' May 2010, Richard Kadzis
Access related cases, programs and speakers at the April 18-20 CoreNet Global Summit in New Orleans