Corporate real estate and green building: prevalence, transparency and drivers

Purpose Green building is a megatrend in corporate real estate management. This paper aims to document the prevalence of green building reporting in public firms, assess how well firms apply good practices of green building and show which firms, countries and industry sectors are particularly advanced in the application of green building technologies. Design/methodology/approach The study uses data on green building reporting, green building scores and firm characteristics of 1,281 publicly traded firms from different industries in Organisation for Economic Co-operation and Development countries over a 5-year period. Regression analysis is used to relate the adoption of green building reporting and excellence in green building to firm characteristics. Findings The results indicate that there is a huge variation in green building activities and reporting in corporate real estate management across countries and industries. The study finds that firms in the financial and health-care sectors are leading in green building reporting. Environmental, social and corporate governance-oriented, profitable and large firms receive the highest green building scores. Research limitations/implications The results in this paper rely on the reported but not inevitably monitored green building activities. There may also be companies that use green building technologies but do not report on them. The conclusions are largely based on correlations and do not allow for causal statements (endogenous variables). Practical implications The results in this paper are crucial for practitioners in corporate real estate to benchmark their green building activities and reporting. Additionally, the paper sheds light on how information on green building is propagated in the financial market. Originality/value The paper looks at the drivers and barriers of green building for 25 countries and across all industry sectors (1,281 firms). In contrast to that most of the existing literature focuses on single countries and limits the analysis to companies in the real estate and construction industry. Additionally, the paper has a joint focus on publicly available green building reporting and green building scores.

Challenges of strategic corporate real estate management in Ghana

PurposeResearch shows that strategic corporate real estate management (SCREM) practice contributes to organizational performance. However, globally, SCREM practice is hindered by numerous challenges especially in developing countries such as Ghana. This study examines the challenges of SCREM practice in Ghana from business and corporate real estate managers’ perspectives.Design/methodology/approachA mixed-method design was adopted for the study. The largely quantitative study was supported with qualitative data. The multi-stage sampling technique was used to select respondents from 35 institutions in five sectors. The relative importance index, consensus/agreement framework and Mann–Whitney U test were used for analysis.FindingsAnalysis revealed that there is latent resistance to the provision of CRE policy, adequate authority and resources as well as resistance to change in organizational culture for the adoption of SCREM practice. The CRE management function is thus not well integrated into corporate activities. It is seen as a non-core organizational function merely providing physical space and support services.Practical implicationsThe research has identified the challenges of SCREM and how these could be addressed to ensure that CRE is managed strategically to contribute effectively to organizational performance.Originality/valueThe paper is the first to identify the challenges of SCREM practice from business and CRE managers’ perspective in five sectors in Ghana, thus contributing to the limited literature on the subject globally.

Corporate real estate management and bank profitability

Acquiring property for any business is capital intensive and for that matter, strategically managing such assets is considered equally important. This paper provides an analysis of the value-adding attributes of corporate real estate management (CREM) and bank performance in Ghana. The multiple regression method was applied to a cross-section of both primary and secondary data sourced from 25 commercial banks in Ghana. The study shows that the banks identify with the value-adding attributes of corporate real estate asset management even though there are variations in the level of importance to individual banks. These variations are attributable to the unique mandates of the banks. Further analysis shows that CREM has significantly positive impacts on bank profitability by strategies that help to increase innovations, increase productivity, and promote marketing and sales. The finding suggests that optimizing these CREM strategies could help increase bank profits.

Mô hình quản lý công ty bất động sản

Trong những năm vừa qua, Bất động sản doanh nghiệp (Corporate Real Estate – CRE) được các nhà nghiên cứu khoa học cho là tài sản không được đánh giá cao bởi các nhà quản lý cấp cao của doanh nghiệp vì chưa được phát huy tối đa mặc dù nó chiếm chi phí khá lớn của doanh nghiệp. Nếu được quản lý phù hợp sẽ mang lại cổ tức cho hoạt động kinh doanh cốt lõi của doanh nghiệp. Thật vậy, nó rất quan trọng đối với sự thành công của một tổ chức doanh nghiệp bất động sản và cũng được biết đến là yếu tố chi phí trong quan trọng trong ngân sách doanh nghiệp. Bài báo này là một nghiên cứu phân tích tài liệu các vấn đề chung về Quản lý Bất động sản Doanh nghiệp (Corporate Real Estate Management - CREM). Nội dung bài viết nhấn mạnh việc hình thành khái niệm, hoạt động các lĩnh vực, thành phần và đưa ra các ví dụ thực tế của CREM. Kết quả nghiên cứu cho thấy một bức tranh tổng thể có hệ thống về CREM và xác định các vấn đề hiện tại mà CREM đang gặp tại các doanh nghiệp bất động sản.

Corporate real estate management and companies’ success: empirical evidence for a conceptual framework

Purpose The purpose of this study is to explain the contribution of Corporate Real Estate Management (CREM) to corporate success and to substantiate it empirically. However, no empirically tested holistic concept classifies and explains the different success contributions of CREM in their mechanisms of action and organisational levels. Design/methodology/approach This study develops a holistic two-dimensional model from existing literature to explain the relationship between CREM decisions and business success, and then tests it empirically using multidimensional data scaling from a telephone company survey (CATI) of 59 CREM managers sampled from the 200 largest German companies. Findings The created theoretical model holistically explains CREM success and existence as part of a non-property company, with specific performance drivers on specific organisational levels. The empirical data confirm that both dimensions of the model and, thus the measurement concept for modelling the CREM contribution to business success is robust across sectors and company/portfolio size in Germany. Originality/value The empirical confirmation of the conceptual model of CREM success provides novel support for the institutionalisation of the CREM function in companies and the holistic classification of different CREM research directions.

Current Review Towards the New Best Practices of Corporate Real Estate Management (CREM) in Malaysia

Corporate Real Estate (CRE) is referring to land and buildings owned by companies which are not primarily in the real estate business used for operational purpose. CRE covers the entire range of activities. Awareness of knowledge of CRE in Malaysia lacks because the researcher found that the operation of properties owned by a few large companies is undermanaged and underused. This review paper focuses on the definition of corporate real estate (CRE), components of CRE, and the current practice in the industry. This paper a desk analysis reviewing the literature on general management of the corporate real estate. By using the secondary data such as Company Annual Report, Previous studies and other relevant sources. There are several different issues to examine along the way, from the business strategies, Constituent and tools to help make the right decisions. It draws a framework for CRE analysis. From this paper, we can find the issue to improve the current practice on the CRE in Malaysia.

PERFECTING OF VALUE MANAGEMENT OF SBERBANK PJSC CORPORATE REAL ESTATE PORTFOLIO AS A PROFIT-CENTER

The subject of the research is a corporate real estate portfolio (CREP) of Sberbank PJSC. The aim of this study is to establish significance of developing methodological and theoretical approaches towards value management of the bank’s corporate real estate portfolio as a profit center and practical approaches towards optimizing portfolio composition. The theoretical and methodological basis of the study includes the scientific works of Russian and foreign researchers on the problems of corporate real estate management (including that of the banks’), statistical analysis of CREP, fundamental and price analysis of commercial real estate market, PEST-analysis and SWOT-analysis of CREP. The results of the study are the introduction of the term “corporate real estate management system as a profit-center” and overall analysis of the existing approaches towards managing corporate real estate as a profit center, comparison different compositions of CREP composition. Practical and substantive statistical analysis of the current CREP state was undertaken as well as the key aspect of CREP value management was studied – namely optimization of ratio between owned and leased properties within the portfolio. The authors conclude that ownership is fit for some properties of Sberbank PJSC – head offices and key business divisions, which among things dictate certain corporate image requirements. However, for most of the rest of CREP properties, leasing however is a more appropriate format that enables corporation to respond to an ever-changing business environment.