Insight required to optimize Real Estate Portfolio
The Real Estate (RE) function of a leading global healthcare company was looking for opportunities to consolidate its RE portfolio. The consolidation serves the global ambition of forming a single face towards the market for all its franchises. Initially Vintura supported the company in reducing the commercial real estate footprint in the Netherlands. This project led to a second phase in which the entire global real estate portfolio has been analyzed in order to identify regions with opportunities for consolidation.
Both business and social impact are addressed
Vintura has developed a tailor-made, flexible decision support tool which considers both important characteristics of real estate locations (e.g. building use, lease costs and terms, investment costs, etc.) and key business aspects, such as:
- impact of consolidation on employees (commuting distances, social costs, employee retention forecasts);
- synergies of consolidation from a marketing and sales perspective;
- strategic fit (i.e. proximity to airport, related companies, universities, etc.).
The analysis has been performed based on key information for each location provided by the client.
Insights provided by RE tool show where to focus
Based on the outcomes the tool provided and qualitative interviews with key stakeholders, recommendations for consolidation have been provided regarding where to concentrate office space (e.g. concentration on national level or regional consolidation in clusters) and what the financial and social impact will be. Based on the outcomes of the project, our client now knows where to look for real estate opportunities and has a tool it can use for future analysis!
