The sharp demand for commercial property is reflected in the strongest performance of current market cycle for brokerage firms. Some of the largest publicly traded CRE services firms are reporting strong demand among tenants, landlords, buyers and sellers across virtually every line of business, showing the good times have definitely returned for the commercial real estate industry.
Christie Kelly JLL CFO added “For the first time since the great financial crisis, we’re seeing momentum in both the capital markets as well as improving corporate occupier demand.” JLL’s fourth quarter adjusted margins increased by roughly 200 basis points from the same time last year to 19.1%, while total revenue rose more than 15% over the same period.
Excerpts from the Article:
CBRE Sees Record Annual Revenue, Up 25% From Previous Year
CBRE’s fourth-quarter revenue grew an impressive 25% from the prior year, with all regions and business lines reporting improvement. Full-year 2014 revenues reached a record $9 billion, also rising 25% from the previous year.
Leasing volume increased by 16%, the highest growth pace since 2011, and investment sales increased 20% for the year, with strong activity in the U.S., particularly the primary markets; the U.K., Spain, Australia and Japan.
Citation and link:
Drummer, Randyl. “Top CRE Brokers Enjoy Strong Revenue from Record Leasing, Robust Sales.” SDBJ News., 17 Feb. 2015 Web. 19 Feb. 2015.