Jones Lang Lasalle Inc Stock Price, News & Analysis

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.

JLL and LaSalle's 2024 Global Real Estate Transparency Index (GRETI) reveals that highly transparent real estate markets are making strong progress, outpacing peers. Key findings include:

1. Europe remains the most transparent region, with the U.S., Canada, France, and Australia among top improvers.

2. Singapore enters the 'Highly Transparent' group for the first time.

3. Asia records the strongest average transparency improvements since 2022, with India as the top global improver.

4. AI and sustainability are driving new transparency opportunities and challenges.

5. The top transparent countries have attracted over $1.2 trillion in direct commercial real estate investment over the last two years.

6. Debt markets, money laundering, and beneficial ownership emerge as key transparency themes to watch.

JLL Hotels & Hospitality group has secured a $620 million acquisition financing for the Hyatt Regency Orlando, a 1,641-key AAA Four Diamond resort. The floating-rate, five-year loan was arranged through Wells Fargo, Bank of America, and Deutsche Bank for affiliates of RIDA Development and an Ares Management Real Estate fund.

The resort boasts 315,000 square feet of meeting and event space and is directly connected to the Orange County Convention Center. It offers spacious accommodations, multiple dining options, and various amenities. Located on International Drive, the property is close to major Orlando attractions, including Walt Disney World and Universal Studios. The upcoming Epic Universe theme park, set to open in 2025, is just minutes away.

JLL Spark Global Ventures, the corporate venture capital arm of JLL, has led a Series A investment round in PROBIS, a Munich-based PropTech company specializing in AI-powered financial management for real estate development. PROBIS aims to revolutionize the industry by replacing outdated systems with its comprehensive platform for financial control and cost management.

This strategic investment aligns with JLL's global expansion strategy and digital transformation efforts. It will enable PROBIS to leverage JLL's resources and expertise to enhance its cloud-based AI functions, particularly in multi-project controlling and real-time data provision for real estate lenders and developers. The partnership is expected to drive efficiency and innovation in the real estate industry, offering clients improved project and development management solutions.

JLL reported strong Q2 2024 financial results, with revenue up 12% to $5.6 billion. Diluted earnings per share rose to $1.75 from $0.05 last year, while adjusted diluted EPS increased to $2.55 from $2.12. Resilient business lines saw 16% revenue growth, led by a 19% increase in Workplace Management. Transactional revenues grew 5%, with Leasing up 5% and Capital Markets up 3%. Net income attributable to shareholders was $84.4 million, compared to $2.5 million in Q2 2023. Adjusted EBITDA rose 9% to $246.3 million. The company reduced net debt by nearly $150 million and improved its leverage ratio. JLL highlighted continued profitability improvement driven by revenue growth and cost management efforts.

IBM and JLL have announced a global sustainability solution powered by IBM Envizi technology and delivered by JLL's sustainability services team. This collaboration aims to address ESG reporting and data management challenges in the commercial real estate (CRE) sector.

Key points:

• JLL's Sustainability Program Management will now use IBM Envizi ESG Suite for data management and reporting.
• By 2025, 30% of market demand for low carbon office space is expected to be unmet.
• Only 11% of surveyed organizations integrate ESG metrics into real estate and facilities management.
• Companies that operationalize sustainability are 52% more likely to outperform peers in profitability.
• The initial rollout will offer thousands of JLL clients' sites the opportunity to onboard to IBM Envizi software.

Jones Lang LaSalle (NYSE: JLL) announced that it will release its second quarter 2024 financial results on August 6, 2024. The company will host a conference call and webcast at 9 a.m. Eastern Time to discuss the results. Interested parties can join the call by dialing (800) 715-9871 and using the conference ID 5398158. The webcast will be available live on JLL's Investor Relations website, with presentation slides accessible shortly before the call. A replay of the webcast will be available for 12 months following the event. For more information, contact JLL's Investor Relations team at JLLInvestorRelations@jll.com.

JLL Capital Markets has successfully arranged a $430 million refinancing for the luxury hotel, Fairmont Austin, on behalf of Manchester Financial Group. The refinancing replaces a $300 million senior loan and $125 million mezzanine debt, facilitated by a five-year, interest-only fixed-rate SASB CMBS loan with Goldman Sachs as the lead manager. Fairmont Austin is a significant 37-story landmark in downtown Austin, featuring 1,048 guestrooms, extensive meeting space, and various luxury amenities. The refinancing aims to enhance the property's offerings and maintain its status as a prime destination.

Jones Lang LaSalle (NYSE: JLL) has announced the initiation of its first commercial paper program, allowing the issuance of up to $2.5 billion in short-term, unsecured commercial paper notes. These notes, issued by JLL's subsidiary, Jones Lang LaSalle Finance B.V., and guaranteed by JLL, will be offered under typical market terms in the U.S. commercial paper market. The program aims to strengthen JLL's balance sheet, diversify its financial resources, and provide capital for general corporate purposes, including the repayment of existing borrowings. The notes will not be registered under the Securities Act of 1933 and cannot be sold in the U.S. without proper registration or exemption.