Corporate Real Estate Management Research Articles

Exploring the characteristics of non-urban coworking spaces in Germany and their perceived benefits for corporate users: novel means for supporting corporate real estate management strategies

PurposeThis study aims to enrich our understanding of the characteristics of non-urban coworking spaces (CSs) that focus on corporate users, as well as the benefits that companies expect to gain from incorporating those CSs into their corporate real estate (CRE) portfolios.Design/methodology/approachThis study leverages a series of in-depth interviews with owners and managers of CSs in non-urban locales that focus on serving corporate clients.FindingsThe research reveals various CS characteristics and forms within non-urban areas, focusing on corporate clients. It suggests that implementing a CS in corporate premises is perceived to enhance CRE use-value strategies with a focus on the employee's well-being, innovation and the attraction of talents. Moreover, exchange-value strategies with a focus on portfolio flexibility may benefit from the implementation of a CS. However, strategies related to life-cycle cost optimization or gains are not perceived to be supported. Social events for the surrounding neighborhood and the choice of location emerge as critical success factors for non-urban CSs. Besides infrastructure and connectivity, non-urban corporate-centric CSs built their location decisions rather on a personal connection to the location and place of residence of potential users than on lower rental prices.Originality/valueThis research pioneers in providing a comprehensive understanding of non-urban CSs, particularly in the context of their perceived implications for corporate real estate management. The nuanced perspectives it offers are invaluable for stakeholders looking to leverage CSs as part of their corporate strategies.

Formulation of Telkomproperty's Strategy in Realizing an Outstanding Property Company

In facing competition and environmental changes, TelkomProperty needs to formulate a strategy by identifying internal resources and external conditions in an effort to achieve a competitive advantage. These factors can facilitate the formulation of strategies that can develop TelkomProperty's business. The formulated strategies should also be aligned with the components of Corporate Real Estate Management (CREM). To achieve these goals, the methods used include observation, literature study of relevant theories, and interviews with related informants. The data obtained are analyzed and strategies are formulated with external analysis using PEST analysis (Political, Economic, Social, and Technological). Then, internal analysis is conducted using the Resource-Based View approach and VRIO analysis. The results of the research indicate that TelkomProperty has 3 opportunities and 5 threats with an EFE matrix score of 2.54. TelkomProperty has 13 strengths and 9 weaknesses with an IFE matrix score of 2.84. From the VRIO analysis, TelkomProperty's internal strengths include 4 strengths that fall into the category of sustained competitive advantage. Based on the IE matrix and SWOT analysis, 6 alternative strategies were identified. The best alternative strategy was then determined using QSPM. The chosen strategy is to integrate the Internet of Things into the MyBirawa and MyDEFA applications to enhance the modern experience for customers, making it a distinctive feature of TelkomProperty with the highest STAS value of 3.32.

The alignment of corporate real estate strategy with corporate strategy: experiences from selected higher education institutions in Ghana

Purpose The study aims to examine the relationship between corporate real estate (CRE) strategy and corporate strategy (CS) in selected universities in Ghana. It focused on the availability, usage, alignment and effects of CRE strategy on CS in universities. Design/methodology/approach The study adopted a qualitative research design, using purposive and convenience sampling techniques. Interviews were used to collect data from estate departments of selected Ghanaian higher education institutions (HEIs) in Kumasi. Findings All the selected HEIs purported to have CRE strategies, but they lacked a holistic approach. They were essentially just maintenance policies developed based on their CSs to support the institutions in their service delivery. All CRE management decisions were aligned with the CRE strategy. Originality/value The study highlights the importance of aligning CRE strategies with CSs in HEIs in developing countries to enhance academic environments.

Is the success of working from home a matter of configuration? – a comparison between the USA and Germany using PLS-SEM

Purpose The world of work is constantly changing. The COVID-19 pandemic has reinforced working from home, and there is an increasing demand for flexibility regarding the workplace. There is little empirical evidence on the mechanisms and factors that influence employee outcomes, such as productivity and turnover intention, at the workplace and at home. In addition, it is unclear whether the workplace characteristics that influence employee outcomes vary between different nations due to country-specific circumstances. The paper aims to address these two issues. Design/methodology/approach The research model applied in this study is based on the job demands-resources (JD-R) and environmental demands-resources models using German (n = 429) and USA (n = 507) survey samples. Partial least squares structural equation modelling is used to analyse the influence of workplace characteristics (isolation, family–work interference, equipment/facilities and skill variety) on employee outcomes (satisfaction, burnout, productivity and turnover intention). Additionally, a multi-group analysis is used to explore group differences in the factors influencing satisfaction, burnout, productivity and turnover intention between employees in Germany and the USA. Findings The results reveal that significant determinants of productivity and turnover intention include isolation, family–work interference, equipment/facilities and skill variety. Isolation and equipment/facilities are identified as the most important demands and resources of the home workplace. Some significant differences are found between Germany and the USA. The positive effect of isolation on burnout is significantly stronger in the USA than in Germany, whereas the positive effect of family–work inference on burnout is stronger in Germany than in the USA. The negative effects visible for the relations between burnout and satisfaction, and satisfaction and turnover intention are stronger in Germany than in the USA. The positive effect of burnout on turnover intention is stronger in the USA compared to Germany. Originality/value The study adds empirical evidence to the JD-R theory by analysing the influence of the home workplace characteristics on employee outcomes in different countries for the first time using a multi-group analysis. In addition, the study reveals new insights into the differences between the knowledge workforces in Germany and the USA by uncovering how key factors influence employee outcomes such as productivity and turnover intention, partially carried by varying length of experience in work from home between both of these countries. Insights from this study can support corporate real estate managers to make better decisions on the design of employees’ home workplaces and the integration of work from home into the company’s workspace concept.

Implementing asset information requirement templates for corporate real estate management: A study in the chemical industry

Research on building information modelling (BIM) for corporate real estate management (CREM) in the chemical industry remains limited. This is largely due to a lack of documents supporting BIM adoption and implementation. The present study identifies, compares, and applies different approaches to the definition of asset information requirements (AIR) templates for facility services in the chemical industry. It subsequently translates the results into recommendations for AIR template implementation and formalises them into implementation steps. The results indicate that process diagrams are an expedient approach to the definition of AIR templates. Recommendations for their implementation concern information management software, static data prioritisation, accuracy limitations, asset types and sub-types, and stakeholder involvement. The present study contributes to the body of knowledge by identifying an expedient approach to the definition of AIR templates, providing AIR for four BIM Uses, and proposing an AIR template implementation framework for CREM in the chemical industry.

Employees’ appraisal of workplace changes during COVID-19: findings from a state-owned oil and gas company

This study aims to explore employees’ perceptions of workplace management practices (i.e. planning before workplace change, implementation process, management after workplace change) at the PTT headquarters building in Thailand. Another purpose is to examine workplace change development during COVID-19 to understand the organisation’s planning and processes, which serves as a means to contribute to Facilities Management and Corporate Real Estate Management (CREM) theory. Employees' responses to workplace management practices at different stages (i.e., before, during, and after workplace change) were affected by the company's strategic direction and management approach, particularly in terms of planning and implementing workplace change development. This study demonstrates that the employee engagement and involvement process is critical during and after workplace change. A lack of process at these times can result in negative impacts, as evidenced by low satisfaction percentages in various areas, including improving the workplace based on suggestions from employees, and training employees on how to use office space when returning to the workplace. The case organisation's strategic planning in relation to crisis management, reflects the supply and demand alignment dimension and the CREM strategy of corporate real estate alignment. No existing research has appraised employees' responses in terms of the preparation and implementation of workplace change. This study provides new insights into workplace change development during COVID-19, including planning, implementation, management after the change, and the impacts on employees' perceptions.

How corporate real estate and facility managers perceive the benefits of different sustainability interventions

Climate change is pushing governments to implement sustainability regulations for the real estate sector. Together with the increased client demand to accommodate more sustainable buildings, corporate real estate (CRE) and facility managers are challenged to upgrade the offices that they use with more sustainable interventions. There are many different sustainability measures they could consider as potential interventions, which most likely would each deliver different types of benefits; both from the viewpoint of sustainability as regarding other important organizational outcomes that are influenced by them. This study first identified a list of potential sustainability-oriented interventions and potential benefits from a systematic literature review. Next, CRE/Facility managers were questioned on which interventions they are (considering) implementing and what short- or long-term benefits they are expecting to come out of them. This questioning was done through semi-structured interviews based on the laddering approach. Findings identified 33 potential measures, especially regarding services, skin, and the site. These were related to 18 different expected benefits. The economic, environmental, and social benefits were very diverse and there is no real consensus yet on their exact relationship with sustainable measures. The insights add to the gap in research on sustainability measures taken by CRE/Facility managers. In addition, they give other CRE/Facility managers in practice insight in current experiences and perceived benefits of interventions by their colleagues, to inspire and support their own decision making.

Key Elements of Corporate Real Estate Sustainable Management for Office Buildings

Green corporate real estate (CRE) provides many benefits, especially to the environment. However, companies cannot fully benefit from a green building if the manager poorly manages the building. The CRE manager must consider numerous factors to ensure the building performs well and contributes a positive financial return to the company. Therefore, a study was conducted to investigate the key elements of corporate real estate sustainable management (CRESM) to facilitate CRE managers in efficiently managing and enhancing the existing management of their office buildings. Thus, the researcher conducted a semi-structured interview with thirteen experts in CRESM. Then, the data was analysed through thematic content analysis using Atlast.ti software. The findings highlight nine key elements of CRESM for office buildings.

Modelling the added value of corporate real estate on organizational performance

PurposeThis study aims to establish the statistical relationships between corporate real estate added value indicators of cost reduction, increasing productivity, risk reduction and flexibility and organizational financial and non-financial performance.Design/methodology/approachThe study adopted a mixed methods approach which encompasses initial expert interviews and subsequent questionnaire surveys. Partial least squares structural equation modelling was applied to test the proposed hypotheses of the study.FindingsThe results highlight the significant influence of three added value indicators on organizational performance while highlighting the need for strategic corporate real estate risk management to enhance performance.Practical implicationsThe results of the study are useful to identify relevant added value indicators that can improve organizational performance as well as potential added value indicators that deserve attention for performance improvement. Moreover, it presents knowledge on corporate performance indicators which is sparsely explored in corporate real estate management literature.Originality/valueThis study makes a novel contribution to corporate real estate management literature by presenting a parsimonious model to alert corporate real estate managers on essential added value parameters towards organizational performance. The model set the theoretical debates to exploit additional added value dimensions and organizational performance.

How Can Malaysian Public Universities Make The Most of Their Campus Real Estate? – A Conceptual Framework for Managing Corporate Real Estate

Most university campus buildings have low occupancy rates and high operating and maintenance costs because they are historically designed to fulfil the needs of specific faculties without any utility value. Real estate resources in universities tend to be undermanaged and misunderstood as overheadcosts by top-level management. The problems are prevailing within Malaysian public universities. Therefore, it is critical to take a more integrated corporate real estate management (CREM) approach, which is appropriate for public institutions with limited autonomy and strict regulatory oversight. This paper aims to determine key themes of CRE strategies and critical components of CREM alignment for successful implementation within an organisation. A comprehensive literature review was done on CREM at higher education institutions between 1990 and 2021. Then, a summary of several important publications was provided. The discussion of several approaches for coordinating CRE and organisational strategies followed. Because there is still adisconnect between the theoretical framework and the real-world implementations by educational administrators, the gap in Malaysia concerning CREM past research was then discovered. The article concludes by recommending a conceptual framework for CREM implementation in public universities in Malaysia that incorporates CRE strategies, alignment, and portfolio management. In order to enjoy a stream of revenues and support their core business operations, public universities can integrate CREM knowledge while managing their properties and resources. The conceptual framework promotes the overall effectiveness of investment in Malaysian higher education and offers helpful information for public institutions and government organisations involved in education.

ESG in corporate real estate management: global trends and Russian experience

Environmental, Social, and Governance (ESG) factors have gained increasing importance in corporate real estate management in recent years. This article provides a comprehensive review of current trends and practices regarding the integration of ESG factors in corporate real estate management. The methods used to obtain the results include a thorough review of relevant literature and case studies. The results show that ESG factors have a significant impact on corporate real estate performance, and there is a growing trend of companies integrating ESG factors into their real estate management strategies. The discussion emphasizes the significance of the results and their implications for future research and practice. The article concludes with a summary of the main findings and recommendations for real estate managers to effectively integrate ESG factors into their strategies.

A bibliometric analysis of the first 20 years of the Journal of Corporate Real Estate

PurposeJournal of Corporate Real Estate (JCRE) is an international journal of repute. JCRE is an interdisciplinary journal focusing on corporate real estate management and caters to the needs of real estate owners and end-users. The journal's scope includes private and public sector corporate real estate owned and used by businesses to run their operations. This paper aims to analyze the journal's impact using bibliometric analysis from 1998 to 2017 on 380 publications.Design/methodology/approachThe network analysis is performed using VOSviewer software and Biblioshiny R studio. The mapping presents citation structures, coauthorship patterns, bibliographic coupling and other network analyses.FindingsThe results show that the journal is growing in terms of citations and impact. The findings document various mapping criteria and their summaries. Seven major clusters are identified to delineate the underlying themes of publications in JCRE.Originality/valueTo the best of the authors’ knowledge, this paper offers the original and first bibliometric analysis of the journal’s impact over the first two decades. The findings are relevant for researchers and real estate stakeholders.

Genesis and nature of the Delft CREM model

PurposeSince corporate real estate management (CREM) emerged in the 1990s, it has been modelled in many ways. The Delft model views the corporate real estate management function as a coordinator of four distinct accommodation perspectives. Although the model has been used in education and practice for years, there is no consensus on its interpretation and application, and various versions circulate. This paper aims to first reconstruct the history of the conceptualisation of the Delft CREM model and then seeks to develop an understanding of its nature that provides clearer interpretations of the model.Design/methodology/approachBecause the developers of the Delft CREM model did not maintain archives, the reconstruction of the model’s genesis is based on the developers’ publications from 1985 to 2015 and eight semi-structured interviews conducted with these developers in 2017 and 2018. The collected information, which was by its very nature incomplete and imperfect, was triangulated, contextualised and assembled chronologically. This served as the basis for an analysis of the model’s nature, which in turn generated a list of practical implications for its future application.FindingsThe historical reconstruction revealed two parallel but distinct lines of reasoning, whose resulting models appear similar but are distinct. One line of reasoning models CRE viewpoints, while the other models CRE management activities, i.e. the first line of reasoning models CREM across the organisation, while the second models CREM within the function. These two lines of thought have converged in the research-through-design approach of the developers, which evolved against the backdrop of a growing interest in the contribution of organisational resources to organisational objectives and the emergence of the demand-supply model in management practices in general and in the built environment in particular.Research limitations/implicationsThe research is limited to reconstructing the genesis and analysing the nature of the Delft CREM model. It is not intended to provide a conclusive narrative, update the model or compare it to other CREM models. As is typical in oral history, it is based on imperfect documentary evidence and imperfect recollections. The reconstruction and analysis are stepping stones towards a more precise interpretation and application of the model in both research and practice, and may eventually contribute to its evolution. When using the model, it is recommended to (1) be clear about whether the model applies to the CREM department, the entire organisation or the organisation’s environment; (2) be clear about what is being modelled (activities, viewpoints or something else); and (3) use labels that reflect the selections made in (1) and (2).Originality/valueThe value of this paper lies in the historical reconstruction of the intentions of the developers of the four-view scheme, including the detailed analysis of its consecutive graphical representations and the investigation of its relationship with the seminal strategic alignment model.

The future of the corporate office? Emerging trends in the post-Covid city

Abstract Part of an ongoing longitudinal study, this article provides evidence on the emerging impacts of Covid-19 on the demand for, configuration and role of offices in cities, drawing on primary data from semi-structured interviews with UK-based corporate real estate managers. The research is grounded on a ‘theory of change’ framework combining real estate, institutional economics and economic geography literature. Our findings confirm an acceleration towards hybrid working patterns. While some changes in the current use of offices may be temporary or more dynamic, other adjustments may be permanent (for example working from home, portfolio rationalisations) and trigger structural changes across cities.

Corporate occupiers’ attitude to flex space in the post-Covid environment

PurposeThis paper investigates how large UK corporate occupiers perceive the potential role of flexible office space in their office portfolios in a post-pandemic context.Design/methodology/approachThe research methodology is qualitative and applied. For a longitudinal survey, convenience sampling was used to obtain co-operation from 11 corporate real estate managers with responsibility for managing large corporate real estate portfolios spread across a range of business sectors and countries. Semi-structured interviews were selected as the core research method to seek and to optimise the balance between discovery and generalisability.FindingsAlthough the pandemic has led corporate occupiers to fundamentally re-appraise where and when different work tasks are performed, it is not yet clear whether this has major implications for the flex space sector. The flex space model, with its blending of various occupiers and activities, is perceived to be poorly aligned with an increasing emphasis on the office as a core corporate hub facilitating connection, collaboration, enculturation, learning and creativity. Since most flex space is concentrated in central locations, it is also not well positioned to benefit from any decentralisation of office functions. However, as the flex space sector evolves in response to structural shifts in employment and working practices and business change, its various products are likely to be a continuing requirement from corporate occupiers for short-term solutions to demand shocks, the need for rapid market entry, accommodation for short-term projects and access to desk space in multiple locations.Practical implicationsUnderstanding occupiers' drivers in their decision-making on selecting the method of occupation will assist investors in how they might adjust what they offer in the marketplace.Originality/valueWhilst there has been a substantive number of surveys of corporate occupiers' perceptions and intentions regarding their office portfolio, this paper focusses on a specifically on the flex space sector. Whilst previous research has mainly been extensive, this research study is intensive.

BIM for CREM: Exploring the Benefit of Building Information Modelling for Facility Management in Corporate Real Estate Management

The implementation of BIM in FM has been of steadily growing interest for academic research. Yet the benefits of BIM for the FM in CREM have, to the present day, been explored to a limited extent. As research on BIM for FM in CREM remains narrowly investigated, this study follows an exploratory approach to formulate implications for further research directions. Therefore, a four-stage procedure was adopted: (1) identification and definition of BIM uses for FM in CREM; (2) validation of the BIM uses for FM in CREM and the expert survey questionnaire; (3) assessment of each BIM use’s benefit by experts; and (4) analysis of the correlations between BIM uses’ benefit assessments and the respondents’ industries, the resulting associations, and the prioritisation for the development of BIM uses for FM in CREM. Based on that methodology, it was shown that the BIM use for FM in CREM with the highest priority for development is 46 Facilities and Equipment: Repair and Renewal. The BIM use with the lowest priority is 21 Visualisation. As a result, four implications on the development of BIM uses for FM in CREM were formulated regarding case studies, information requirements, and technical requirements, as well as process and personnel requirements.

Content validation of value-adding indicators for corporate real estate management: insights from a developing country

PurposeThe purpose of this study is to test the content validity of value-adding indicators derived from a comprehensive review of literature and expert interviews within the context of the nascent corporate real estate management (CREM) practices in Ghana.Design/methodology/approachA questionnaire survey was conducted on a panel of experts to assess the content relevance and clarity of the value-adding indicators. The individual content validity (I-CVI) index as well as the average scale content validity index (S-CVI) were computed. Preliminary interviews were analyzed using summative content analysis.FindingsThe I-CVI for relevance and clarity ranged from 0.33 to 1.00, whereas the average S-CVI was > 0.80. Critical analysis of the results by corrections, eliminations due to lower I-CVI scores and suggestions from the experts resulted in a final list of 50 indicators grouped under 10 domains. The results from the content validity confirm the applicability of the value-adding indicators in literature within the Ghanaian context. The study provides detailed sustainability indicators while introducing a new value-adding parameter that relates to CREM preparedness for pandemics such as the Covid-19.Research limitations/implicationsFurther psychometric assessment such as construct validity, inter- and intra-examiner reliability and internal consistency of the indicators is recommended.Practical implicationsThe indicators developed through the content validation can assist in the design and review of measures for the assessment of added value by corporate real estate managers and researchers.Originality/valueThe paper presents the first attempt to test and develop added value indicators within the context of a developing country by taking a systematic content validation procedure.

The impact of healthy workplaces on employee satisfaction, productivity and costs

PurposeThis paper aims to explore the added value of healthy workplaces for employees and organizations, in particular regarding employee satisfaction, labour productivity and facility cost.Design/methodology/approachThe paper is based on a narrative review of journal papers and other sources covering the fields of building research, corporate real estate management, facilities management, environmental psychology and ergonomics.FindingsThe review supports the assumption of positive impacts of appropriate building characteristics on health, satisfaction and productivity. Correlations between these impacts are still underexposed. Data on cost and economic benefits of healthy workplace characteristics is limited, and mainly regard reduced sickness absence. The discussed papers indicate that investing in healthy work environments is cost-effective.Originality/valueThe findings contribute to a better understanding of the complex relationships between physical characteristics of the environment and health, satisfaction, productivity and costs. These insights can be used to assess work environments on these topics, and to identify appropriate interventions in value-adding management of buildings and facilities.

Designing for health and wellbeing: various concepts, similar goals

The last decades show a growing interest in the impact of buildings, facilities and services on health and wellbeing. This paper aims to present different design concepts that have been developed to support health and wellbeing of the end users, such as healing environments and healthy offices, or to avoid negative impacts, such as the Sick Building Syndrome and toxic workplaces. Each concept is supported by a selection of references to available evidence of its influence. The paper is based on an extensive narrative literature review of buildings and facilities related publications on how to provide healthy environments, with a focus on offices and health care facilities. The discussed design concepts have much in common, but also different focus points,   Overall it is shown that a variety of building design characteristics - spatial layout, indoor climate, interior design, finishing, contact with nature - affect  the health and wellbeing of building users. Facilities such as desk bikes and plants and services such as healthy food and drinks or healthy behaviour stimulating programs have a positive impact as well. As a consequence, the design and management of healthy environments needs a multidisciplinary approach and collaboration between designers, corporate real estate and facility managers, human resource managers, IT specialists, and the involvement of different stakeholder such as clients and end users.  

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

PurposeGreen 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/approachThe 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.FindingsThe 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/implicationsThe 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 implicationsThe 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/valueThe 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.