A recent CBRE report cited portfolio agility—or the ability to rapidly adapt, scale and reposition assets to support shifting enterprise needs—as being the most important type of reactive adaptation for business success.
Whether a small business or a large corporate company, “in-house real estate teams tend to be lean and 69 percent leverage third-party partners to outsource certain real estate functions, such as brokerage, project management, facilities management, transaction management and lease administration.” This allows internal teams to focus more on business structure and strategy rather than logistics.
With portfolio agility being crucial to success, it is important to prioritize flexibility in all CRE transactions and investment strategies. There any number of factors that influence your business’s commercial real estate needs including market conditions, internal growth and financial gains or losses. CBRE points to “negotiating flexible space options in lease, seeking shorter and/or more flexible lease terms, supporting an enterprise-wide flex-work program and delivering free address work environments” as being key practices of agile portfolio management.
This is due in part to the fact that companies face competition when recruiting a workforce, and amenity-infused, tech-friendly spaces that are easily reconfigured or subdivided are highly appealing to potential employees. According to Brandon Forde of CBRE, “more occupiers are incorporating ‘agile space’ into their overall real estate strategy. While frequently used for individuals and small teams, some companies are testing this strategy on larger groups of employees, now increasingly viewed as consumers, because the offering typically provides the aesthetics, amenities and experience that appeals to today’s workforce.”
Ready to make your portfolio more agile? Contact Belvoir today and let our team keep your business going places.