Brunswick's Real Estate Sector | Brunswick Group

Real Estate

Responsible business in a changing environment

Global real estate is under the spotlight.

Investors, rating agencies, analysts and media are watching carefully to see how companies are dealing with interest rate changes, maintaining access to capital, and positioning themselves through the real estate cycle. Four years after Covid, the world remains focused on the changing trends around commercial real estate, and the evolving mix of demand from office and hybrid working, multi-family, retail and industrials. This has implications for long-term growth in rents and pricing power, and for opportunities in single-family rentals, build-to-rent, senior care and life sciences.

Companies increasingly need to think about differentiation, and how to leverage their scale and long-term partnerships – a task that requires more than well-positioned buildings. It is one that includes mixed-use environment, design, digitized systems and strengthening communities. Companies must also meet the challenges of green modernization, ESG requirements, and the divergence between prime and secondary assets. The occupiers of tomorrow will be in greener buildings, no question. The leaders of tomorrow, meanwhile, will be the developers who demonstrate they can deploy their capex to meet future demand and grow as they balance a range of issues – around location, product and the role of trader developers building brand to sell, versus holding assets for letting.

The work we do

Brunswick’s global team operates with deep specialist knowledge and unrivalled local expertise as we help real estate businesses navigate these complex challenges, whether situational, stakeholder, or event-driven.

We work with a wide range of clients across the sub-sectors of real estate – from the world’s largest corporates and investors to the start-ups of tomorrow – as they execute their strategies, focus on future growth and returns and bring positive societal change.  

Meet the team

The Rapidly Changing Market Dynamics

A change in status quo

The Covid-19 pandemic accelerated trends already taking root, including the growth of e-commerce and flexible working, which have increased the demands on all real estate companies. How they communicate with their stakeholders about their ability to adapt to these demands has never been so critical.

Leadership, execution, differentiation

With market confidence impacted by macro concerns over consumer behaviors, inflationary pressures and recessionary fears, real estate businesses who are resilient, demonstrate control, track record and differentiation are positioned to take the greater opportunities ahead.

The built environment is responsible for around 40% of global carbon emissions

To meet the climate challenge, investors are making net-zero commitments, regulators are developing international reporting standards, governments are passing laws to reduce emissions, customers are seeking more sustainable buildings and employees are being called upon to deliver the action. This creates new responsibilities, as well as significant opportunities for the sector.

Boards and management teams need to explain how they are incorporating climate factors into their strategy and the decisions they take, and how these are reflected in their valuations and reporting, both to mitigate risks and to create new sources of value for investors, customers and communities.

Demonstrating social value is becoming a cornerstone of distinctive leadership

As developers and managers of physical assets, stakeholders know that real estate companies are uniquely positioned to influence the prosperity of communities, positively or negatively.

Investors, planners, developers and customers increasingly want to understand the economic, environmental and social benefits in the locations where companies create financial value.

A shift from traditional property management and investment to purposeful asset management and impact investment means businesses are expected to demonstrate how they are helping communities address societal issues and enhancing quality of life for the people who use their spaces.

The business case for diversity, equity and inclusion is stronger than ever

Leaders in the sector are embracing diversity, equity and inclusion to attract top talent that helps them better understand their customers, retain great employees and improve their decision-making to achieve outperformance.

The underlying culture of a business is a critical factor in employee engagement and performance, yet often difficult to define and evolve from within an organization.

The way we communicate has changed

Stakeholders expect more transparent reporting aligned to international best practice, and to understand what drives a business to make its decisions.

Anchoring communication in a relevant and compelling purpose ensuring the business has an authentic story and enabling leaders and employees to give their voice in the right digital channels are essential elements.

Real estate companies who understand how they stay ahead and effectively articulate that to the stakeholders who matter will be the leaders of tomorrow.