STOCK TITAN

Business leaders look to increase real estate investment but expect smarter use of portfolio

Rhea-AI Impact
(Neutral)
Rhea-AI Sentiment
(Positive)
Tags

JLL's Future of Work Survey reveals that 65% of business leaders expect their CRE budgets to increase by 2030, despite challenging market conditions. Key findings include:

1. 64% of leaders plan to increase and rebalance headcount by 2030.
2. 62% expect increased office space use, with 85% requiring at least 3 days of office attendance weekly.
3. 44% of organizations are now 'office advocates', up from 34% in 2022.
4. CRE functions are expected to support business growth (41%), enable efficiency (38%), and reduce costs (37%).
5. 70% of CRE activities are expected to be AI-supported by 2030.

The survey highlights the need for CRE teams to balance priorities, leverage technology, and demonstrate value to the C-suite in an evolving work landscape.

Il Future of Work Survey di JLL rivela che il 65% dei leader aziendali prevede un aumento dei loro budget per il CRE entro il 2030, nonostante le difficoltà del mercato. I risultati principali includono:

1. Il 64% dei leader prevede di aumentare e riequilibrare il personale entro il 2030.
2. Il 62% si aspetta un incremento dell'uso degli spazi ufficio, con l'85% che richiede almeno 3 giorni di presenza in ufficio a settimana.
3. Il 44% delle organizzazioni è ora 'sostenitore degli uffici', in aumento rispetto al 34% nel 2022.
4. Si prevede che le funzioni CRE sostengano la crescita aziendale (41%), abiliti l'efficienza (38%) e riduca i costi (37%).
5. Si prevede che il 70% delle attività CRE sarà supportato dall'AI entro il 2030.

Il sondaggio mette in evidenza la necessità per i team CRE di bilanciare le priorità, sfruttare la tecnologia e dimostrare valore al C-suite in un panorama lavorativo in evoluzione.

La Encuesta sobre el Futuro del Trabajo de JLL revela que el 65% de los líderes empresariales esperan que sus presupuestos de CRE incrementen para el 2030, a pesar de las difíciles condiciones del mercado. Los hallazgos clave incluyen:

1. El 64% de los líderes planea aumentar y reequilibrar la plantilla para el 2030.
2. El 62% espera un mayor uso del espacio de oficina, con el 85% requiriendo al menos 3 días de asistencia a la oficina cada semana.
3. El 44% de las organizaciones son ahora 'defensores de la oficina', frente al 34% en 2022.
4. Se espera que las funciones de CRE apoyen el crecimiento empresarial (41%), permitan la eficiencia (38%) y reduzcan costos (37%).
5. Se espera que el 70% de las actividades de CRE estén respaldadas por IA para el 2030.

La encuesta destaca la necesidad de que los equipos de CRE equilibren prioridades, aprovechen la tecnología y demuestren su valor a la alta dirección en un panorama laboral en evolución.

JLL의 미래 직장 조사에 따르면, 65%의 비즈니스 리더들이 2030년까지 CRE 예산이 증가할 것으로 예상하고 있습니다, 힘든 시장 상황에도 불구하고. 주요 결과는 다음과 같습니다:

1. 64%의 리더가 2030년까지 인력을 증가 및 재조정할 계획입니다.
2. 62%가 사무실 공간 사용이 증가할 것으로 예상하며, 85%는 매주 최소 3일의 사무실 출근을 요구합니다.
3. 44%의 조직이 현재 '사무실 지지자'로, 2022년 34%에서 증가했습니다.
4. CRE 기능은 사업 성장(41%), 효율성 향상(38%), 비용 절감(37%)을 지원할 것으로 예상됩니다.
5. 2030년까지 CRE 활동의 70%가 AI 지원을 받을 것으로 예상됩니다.

조사는 CRE 팀이 우선 순위를 균형 있게 유지하고, 기술을 활용하며, 진화하는 작업 환경에서 경영진에게 가치를 입증해야 한다는 필요성을 강조합니다.

Le Future of Work Survey de JLL révèle que 65% des leaders d'entreprise s'attendent à ce que leurs budgets CRE augmentent d'ici 2030, malgré des conditions de marché difficiles. Les résultats clés comprennent :

1. 64% des dirigeants prévoient d'augmenter et de rééquilibrer les effectifs d'ici 2030.
2. 62% s'attendent à une utilisation accrue des espaces de bureau, avec 85% exigeant au moins 3 jours de présence au bureau chaque semaine.
3. 44% des organisations sont maintenant 'défenseurs des bureaux', contre 34% en 2022.
4. On s'attend à ce que les fonctions CRE soutiennent la croissance des entreprises (41%), permettent l'efficacité (38%) et réduisent les coûts (37%).
5. 70% des activités CRE devraient être soutenues par l'IA d'ici 2030.

L'enquête met en lumière la nécessité pour les équipes CRE d'équilibrer les priorités, d'exploiter la technologie et de démontrer leur valeur à la direction dans un paysage de travail en évolution.

Die Future of Work-Umfrage von JLL zeigt, dass 65% der Unternehmensleiter erwarten, dass ihre CRE-Budgets bis 2030 steigen werden, trotz herausfordernder Marktbedingungen. Zu den wichtigsten Ergebnissen gehören:

1. 64% der Führungskräfte planen, bis 2030 die Anzahl der Mitarbeiter zu erhöhen und neu auszubalancieren.
2. 62% erwarten eine verstärkte Nutzung von Büroflächen, wobei 85% mindestens 3 Tage Büroanwesenheit pro Woche benötigen.
3. 44% der Organisationen sind jetzt 'Büro-Befürworter', ein Anstieg von 34% im Jahr 2022.
4. Es wird erwartet, dass CRE-Funktionen das Unternehmenswachstum (41%), die Effizienz (38%) und die Kosten (37%) unterstützen.
5. Bis 2030 sollen 70% der CRE-Aktivitäten AI-unterstützt sein.

Die Umfrage hebt die Notwendigkeit hervor, dass CRE-Teams Prioritäten ausbalancieren, Technologie nutzen und dem C-Suite in einem sich entwickelnden Arbeitsumfeld ihren Wert demonstrieren.

Positive
  • 65% of business leaders expect CRE budgets to increase by 2030
  • 62% of respondents plan to increase office space use
  • 85% of organizations require at least 3 days of office attendance weekly
  • 64% of leaders plan to increase and rebalance headcount by 2030
  • 70% of CRE activities expected to be AI-supported by 2030
Negative
  • 41% of CRE decision makers report challenges with long-term thinking and investing
  • 41% believe CRE is perceived as a cost center rather than a value driver

JLL's Future of Work Survey uncovers new opportunities for corporate real estate as two-thirds of business leaders expect their CRE budget to increase between now and 2030

CHICAGO, Sept. 9, 2024 /PRNewswire/ -- Despite the challenging commercial real estate landscape and mixed economic environment, global business leaders are bullish on the future, with two-thirds (65%) expecting their CRE budgets to increase between now and 2030, as revealed in JLL's (NYSE: JLL) Future of Work survey. The biennial, global survey explores the evolving world of work by assessing the key priorities, challenges and strategies that are top of mind for more than 2,300 business and CRE decision makers.

This year's findings are unveiled through a series of articles exploring key areas of focus for corporate real estate teams: Managing the implications of shifting work patterns; Partnering with the C-suite to support CRE investment; Identifying CRE activities for 'AI copiloting'; Moving from ambition to action on sustainability commitments; and Defining the future-fit CRE function. The first two articles, launched today, dive into the effects of shifting work patterns on workplace expectations, and what the changing world of work means for the way the CRE function operates as more than 64% of leaders expect to increase and rebalance their headcount by 2030, in an attempt to recruit the right skills for the future.

"Since our 2022 survey, the CRE landscape has become increasingly complex and dynamic, evolving toward better office use. We see that in these results, and in our conversations with clients," said Neil Murray, Global CEO, Work Dynamics, JLL. "Looking ahead, business and CRE leaders working to drive talent and efficiency throughout their organization must consider the unique needs of their organization, and leverage tools such as tech, AI, and upskilling, as well as strategic partnerships across the value chain to enable the CRE function to reach its full potential as a powerful agent of transformation."

Competing visions on the most efficient workstyles create renewed CRE challenges

Business leaders are mainly focused on three corporate goals over the next five years: growing revenue through expansion and M&A (57%), attracting and retaining talent (53%) and achieving organizational efficiency (54%). However, the juxtaposition that lies between driving revenue growth through top talent and increasing efficiency requires leaders to delicately balance priorities and assess the role of offices as places that enable employees to deliver their best work.

Strong momentum toward office-based work since 2022 has brought forth expectations among respondents to increase use of office space (62%), where more than half of leaders plan to grow their total footprint over the next five years. Today, 44% of organizations are considered "office advocates," who would like to see staff in the office five days a week – as compared to 2022, when just 34% of employees were working in the office full time. Hybrid work is here to stay, but the office is central to work again. Today, 85% of organizations have a policy of at least three days of office attendance per week, and 43% expect the number of in-office days to increase by 2030.

Globally, hybrid work is more likely to take place at large organizations in EMEA, where hybrid workstyles are considered a key part of the employee value proposition, and largely in sectors including e-commerce, energy & renewables, technology and life sciences. Office advocates alternatively tend to be small-to-medium sized companies in APAC or the Americas, across sectors such as healthcare, retail and manufacturing. Beyond those big trends, the reality is often more complex, with different workstyles coexisting within many organizations.

JLL Research, 2024

Today's office advocates also make a concerted effort to address diverse workplace needs – they are more focused on making accessible workplaces (49% vs. 36% of hybrid adopters), tailored to meet the needs of different generations, cultures, and neurodiversity specificities, and may even pay a premium to occupy buildings with leading health and wellbeing credentials. With office attendance may also come new opportunities for compensation and career advancement– more than a third (39%) of respondents could envision introducing different pay and benefits to employees who attend the office regularly.

JLL Research, 2024

"The future of work looks different across companies and regions, reflecting the unique nature of organizations and employee needs. It keeps shifting and requires building evolutionary office programs and spaces, able to adapt to continuous changes in the workstyles," said Cynthia Kantor, CEO, Project & Development Services, JLL. "Globally, as CRE budgets and footprints receive new investment, the corporate real estate function must effectively partner with the C-suite to demonstrate the desired value."

The corporate real estate function can serve as a powerful agent of transformation, particularly with the use of technology, AI and the support of strategic partners

The value the corporate real estate function can deliver will vary depending on the needs of the organization and regional priorities. Globally, business leaders believe CRE can add the most value by supporting business growth (41%), enabling organizational efficiency (38%) and reducing operating costs (37%). Environmental, social and governance (ESG) factors are also an area in which the CRE function is expected to add value, especially in EMEA. Organizations in the Americas are more likely to expect CRE to support business growth, innovation and efficiency, while companies in Asia Pacific are more focused on digitization. 

JLL Research, 2024

These varying expectations around value require agility throughout CRE functions, in a context where 41% of CRE decision makers report challenges with thinking and investing for the long term due to the pace of organizational change. The same percentage believe CRE is perceived as a cost center, rather than a value driver. Identifying the right metrics and ways to demonstrate value, in addition to strengthening relationships with the C-suite, will ensure CRE is more integrated into the wider business and positioned to quickly adapt to changing priorities – 46% of CRE leaders say influencing and leadership will be critical skills in the future.

Technology is also emerging with greater impacts for CRE, as more decision-makers expect to report to business transformation or technology by 2030. CRE leaders believe that 70% of their activities will be at least partially supported through the use of AI by 2030, and a quarter of the CRE function could be initially completed through automation – freeing up time for more strategic work. Nearly two-thirds (62%) of decision makers see technology and AI adoption as critical for enhancing the value that CRE delivers in the future. A 'future fit' CRE team should focus on high value-add tasks internally, while automation and AI take on routine and repetitive tasks and outsourcing partners are brought in for specialist tasks and individual projects.

About JLL
For over 200 years, JLL (NYSE: JLL), a leading global commercial real estate and investment management company, has helped clients buy, build, occupy, manage and invest in a variety of commercial, industrial, hotel, residential and retail properties. A Fortune 500® company with annual revenue of $20.8 billion and operations in over 80 countries around the world, our more than 110,000 employees bring the power of a global platform combined with local expertise. Driven by our purpose to shape the future of real estate for a better world, we help our clients, people and communities SEE A BRIGHTER WAYSM. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.

Contact: Allison Heraty
Phone: +1 312 228 3128
Email: Allison.Heraty@jll.com

(PRNewsfoto/JLL-IR)

 

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/business-leaders-look-to-increase-real-estate-investment-but-expect-smarter-use-of-portfolio-302242353.html

SOURCE JLL

FAQ

What percentage of business leaders expect their CRE budgets to increase by 2030 according to JLL's survey?

According to JLL's Future of Work Survey, 65% of business leaders expect their CRE (Corporate Real Estate) budgets to increase between now and 2030.

How many days per week are most organizations requiring office attendance in JLL's survey?

JLL's survey reveals that 85% of organizations have a policy of at least three days of office attendance per week.

What percentage of CRE activities are expected to be supported by AI by 2030, according to JLL's survey?

According to JLL's Future of Work Survey, CRE leaders believe that 70% of their activities will be at least partially supported through the use of AI by 2030.

What are the top three areas where business leaders believe CRE can add the most value, as per JLL's survey?

According to JLL's survey, business leaders believe CRE can add the most value by supporting business growth (41%), enabling organizational efficiency (38%), and reducing operating costs (37%).

Jones Lang LaSalle, Inc.

NYSE:JLL

JLL Rankings

JLL Latest News

JLL Stock Data

12.06B
47.00M
0.84%
97.31%
1.45%
Real Estate Services
Real Estate Agents & Managers (for Others)
Link
United States of America
CHICAGO