STRATEGIC REAL ESTATE Flashcards
How does an operational and investment portfolio differ?
An operational portfolio is about the tools a company uses to do business e.g. office space, and equipment.
An investment portfolio is about the assets a company uses to make money, e.g. stocks, investment property.
How do you ensure that a company’s real estate strategy is aligned with its wider motives and objectives?
Depends on client - wider objectives need to be communicated clearly and understood by the surveyor.
The strategy can be developed in line with the wider objectives.
What key issues affect strategic real estate consultancy?
Market changes/uncertainty.
Sustainability / ESG requirements.
Changes in legislation / planning policy.
How do current market conditions affect SREC?
Market uncertainty affecting risk/yields for development appraisals.
Can have knock-on effects to schemes contributing S106.
Interest rates changing - affects the cost of borrowing.
What are some of the long-term strategies for a real estate portfolio?
Property diversification.
Sustainability ESG focussed solutions.
Strategic partnerships and JVs to gain resources and opportunities.
Tell me about different styles of consultancy intervention.
Acceptance
The consultant helps the client find their own solutions
Catalytic
In-depth analysis of the data to generate possible solution outcomes
Confrontational
The consultant deliberately forces the organisation to confront the issues head on
Prescriptive
The consultant starts at the beginning and may complete a fully consultancy cycle of intervention.
Explain your understanding of giving workspace advice, including adapting to changing ways of working
For example, because of the trend towards hybrid working - flexible offices and co-working can be useful in particularly for smaller businesses.
Explain the role of SREC in site-specific relocation and rationalisation planning.
Assessment of need
Market analysis
Financial analysis
Optimisation of real estate portfolio
How have you prepared and analysed relevant data for a SREC instruction?
Often complete market comparable research for a client for various purposes.
These a prepared in a clear table with analysis.
How have you used different consultancy intervention for different clients’ needs?
Used a catalytic intervention to produce detailed analysis of evidence to provide to the client.
Have also used confrontational where working on FVAs that require specific negotiation to achieve client goals.
South Oxford FVA
Why was one required at this site in South Oxfordshire?
What was your conclusion completion of the assessment?
Tell me about your confrontational consultancy style and how you ensure you maintain professionalism.
What is a catalytic consultancy style and where should you use it? Give me an example.
This reference is the LONG WHITTENHAM example.
When reviewing the applicant’s FVA, I suggested that the cost was inaccurate (they were provided by an in-house person)
I used a confrontational style, enforcing that the applicant had to provide an accurate cost plan by a third party.
St Marys Guildhall, Lincoln
Are you appropriately qualified to assess appropriate options for heritage assets?
What is the relevant legislation and policy relevant heritage assets?
How did you assess different development options here?
What consultation did you undertake?
This was not necessarily a heritage assessment. The council heritage team provided us with the required context.
In this context - the councils local plan policy to protect, conserve and seek opportunities to enhance the historic environment.
We assessed options of different uses. Consulted with local stakeholders for the desired outcomes.
No need for an enabling development argument, If there was I would refer to the historic England guidance on enabling dev
Talk me through other examples where you have provided reasoned advice in relation to SREC.
JESSICA appraisals, our client CBRE wanted specific reviews of business cases to understand if their financial viability was accurate. We provided clear reports with advice on each site.
