Cbre Group Inc · NYSE:CBRE
Cbre — CB Richard Ellis Group — Investor Day (November 2009)
13 slides from Cbre's investor day presentation, Nov 18, 2009
Slide 1: Global Corporate Services (GCS)
Global Corporate Services (GCS) Bill Concannon President, Global Corporate Services
Slide 2: GCS Overview
GCS Overview Clients are global, large occupiers of real estate (Corporations, Healthcare and Government/Non-profit) Long-term client contracts (3 to 5 year term) Strong recurring revenue stream Four Service Lines: Consulting Transaction Management Project Management Facilities Management Increasing
Slide 3: Corporations are Increasingly Focused on Real Estate
Corporations are Increasingly Focused on Real Estate As the second largest expense on the income statement, real estate is being scrutinized for cost savings potential Anticipated regulatory changes demanding greater transparency and management controls Industry restructuring (M&A) exposing excess c
Slide 4: Comprehensive Service Offering
Comprehensive Service Offering FULL SERVICE OFFERING SCOPE Strategic services that optimize account performance Organizational design Process improvement Portfolio and workplace optimization Expense management Transaction Mgmt Consulting Project Mgmt Facilities Mgmt Portfolio-wide execution of broke
Slide 5: CBRE's Global Platform is a Competitive Advantage
CBRE’s Global Platform is a Competitive Advantage GCS services client portfolios in 65 countries CBRE has the industry’s leading integrated approach and global platform infrastructure AMERICAS * 211 CBRE Offices 1.3 BSF Managed EMEA* 146 CBRE Offices 333 MSF Managed APAC* 100 CBRE Offices 607 MSF Ma
Slide 6: GCS Value Proposition
GCS Value Proposition Systematic approach to driving down occupancy expense Account Management approach with subject matter experts Best-in-class technology Global platform
Slide 7: GCS Targets Long-Term Contracts with Recurring Revenue
GCS Targets Long-Term Contracts with Recurring Revenue Brokerage One-off/Local Programs (e.g., Compliance, Operational Refit, Growth, Rebranding) (Single or Multiple Services) Full Service - Domestic Portfolio Full Service – Global Preferred Brokerage & PJM – No Contract Single Transaction + PJM One
Slide 8: GCS Growth Strategy: "Win, Keep, Grow"
GCS Growth Strategy: “Win, Keep, Grow” Today Illustrative Purposes Only Revenue New Clients ("Win") Service Line & Geographic Expansions with Exisiting Clients ("Grow") Existing Base of Renewable Business ("Keep")
Slide 9: Four Areas Drive GCS Growth
Four Areas Drive GCS Growth 10-year term FM and PJM 50 MSF Healthcare vertical 5-year term full-service contract 6 MSF FM and TM in 65+ countries 19 MSF 650 properties Expansion from FM to global PJM 24 MSF 87 countries I II III IV Services Add service lines to new and existing clients Geography Exp
Slide 10: Spotlight: Bank of America Global Full Service Relationship
Spotlight: Bank of America Global Full Service Relationship Currently serving 24 states and expanding portfolio by another 10% Account has approximately 825 dedicated CBRE employees Includes portfolio in EMEA, Asia Pacific, and Latin America Diverse Asset Classes: Office, Retail, Critical Facilities
Slide 11: GCS has a robust global pipeline
GCS has a robust global pipeline Strong Overall Pipeline through 9/30/09: ~15% increase in number of RFPs received YOY ~25% increase in number of RFPs with facilities management in scope YOY ~40% increase in revenue growth from new accounts YOY Growing Demand for Global Capabilities ~20% increase in
Slide 12: Government and Healthcare Sectors Embracing GCS
Government and Healthcare Sectors Embracing GCS Opportunity: U.S. Federal portfolio = ~3.3 billion sf (~900,000 properties)(1) $20 billion in annual spend for operations of government-owned and leased facilities(1) Top 100 hospital systems = ~1 billion sf Sampling of Existing Client Base: State of M
Slide 13: GCS 2010 Game Plan
GCS 2010 Game Plan Continue Industry Leadership in Global GCS Business Company-wide focus on client service and renewing contracts with extended term Client expansion strategies via service lines and geography Expand FM in markets worldwide Pursue industry verticals with strong growth potential
CB Richard Ellis Group — Investor Day (November 2009) on 6ix