Real estate

Neil Bullen Managing Director, Global Head of Real Estate
2017–2018 saw strong performance across all our regions, delivering revenue growth of 12 percent.

We saw continued signs of change in the real estate industry; in markets, delivery and commercial models, technology, market entrants and supply chain disruption.

Global demographic trends, including urbanisation, e-commerce and sustainability are driving fresh new thinking about how people live, work, move and play. Established approaches are changing and with it, the role real estate plays in creating value for people, communities and enterprise.

Workplace change is influencing the role of real estate functions and the services and outcomes they provide. Increased adoption of flexi-space and new technologies, a focus on wellbeing and the need for agility to meet increasing demands is challenging traditional delivery models.

In response, we are seeing increased collaboration across the industry. Clients, developers, government, professional services and supply chain partners are seeking better ways of working to improve outcomes for all involved. We also saw a trend to more integrated and programme management led service delivery across real estate portfolios. Clients are seeking to buy simpler and leaner solutions to meet their real estate portfolios. As a result, we reviewed our global and market strategies and are well placed to be at the forefront of shaping and responding to market changes.

  • £264m Full year real estate
    revenue
  • 12% Real estate
    revenue growth

Around the globe

We continue to work with leading companies such as Microsoft, Nissan, Shell and Uber on major real estate programmes and high-profile projects across the world. Our aim is not only to help them deliver their programmes and projects, but also to help drive improvements year-on-year. Our clients expect consistency and quality of service irrespective of location, valuing a combination of local market expertise and global insight. Our operating model and one business culture is a key part of delivering this requirement successfully.

The Americas, Europe and the Middle East have all seen impressive and sustainable double-digit growth. We have built a strong pipeline of programmes and projects in data centres, manufacturing, pharmaceuticals, corporate offices, leisure, and education. In the Middle East, preparations for the 2022 FIFA World Cup and Expo 2020 Dubai are driving development in hotels and services. Our team is involved in the delivery of the flagship UAE Pavilion at Expo 2020 and several other national pavilions.

In Asia, offices, retail and high-tech continued to be key areas of opportunity, while activity in the UK has shown global investors are still active in the lead-up to Brexit.

Overall our regions have delivered growth and the increasing levels of opportunity we see across all markets provide confidence that this growth will continue.

Driving new standards in technology and sustainability

An increasing desire to drive better decision-making has seen clients adopt new digital technologies to harness the potential of their data. These clients recognise data’s value in the effective management of real estate assets throughout their life cycle and its ability to drive performance standards in delivery.

We have helped clients such as Grosvenor, Warner Media and the UK’s HM Revenue and Customs realise potential through new digital ways of working. Going forward, data, analytics and automation will be key drivers of performance. We expect to see an increase in the demand for digital approaches. Our substantial investments in digital and data capabilities and the ongoing digitisation of our services platform mean we are well placed to meet this demand.

As project and cost manager of V.Offices in Krakow for AFI Europe, we helped deliver a new standard in sustainability for office buildings, including innovations in energy efficiency, electric car charging and indoor air quality.

The offices achieved BREEAM Outstanding (design), with a level of over 90 percent – the highest result ever in Poland – and won the regional award for Central and Eastern Europe at the BREEAM awards 2018.

Looking ahead

The real estate industry is in a state of change. With major programmes and projects continuing to attract investment, we remain focused on investing in capability and service development in order to provide industry leading approaches for our real estate clients around the world.

 


This content is part of the Annual Review 2017/2018

Go to the main Annual Review page 2017/2018