Many of today’s business leaders recognize the importance of a CRE strategy in light of the growing need to improve corporate real estate value. The backdrop to this trend is provided by recent changes in the real estate world, as follows:
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Turning a corner from a period of falling prices, more areas have started to see real estate prices either reach a plateau or increase
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New real estate investment methods are now available
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Owned properties are being reexamined and new real estate acquisitions are actively being pursued.
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Activist shareholders and investors are becoming more involved in business management and CRE is playing an important role in buyout strategies.
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Shareholders and investors demand accountability for CRE, which makes up a large portion of corporate assets
As such, maintaining the status quo and not pursuing the more effective use of idle properties and properties with low use value means losing a significant opportunity to increase corporate value.
Performance in CRE management has come to play a key role in the struggle for competitive advantage among corporate competitors. The need to develop and execute effective CRE strategies for maximizing corporate value has never been greater.
