| Summary: | A dissertation report submitted to the Faculty of Engineering and the Built Environment, University of the Witwatersrand, in fulfilment of the requirements for the degree of Master of Science in Building Property Development and Management.
School of Construction Economics and Management
University of the Witwatersrand
Johannesburg
2017 === The purpose of this research report was to introduce evidence on executive attitudes towards
Corporate Real Estate Management (CREM) practices and value adds in South African nonreal
estate companies. This research report sought evidence on how South African non-real
estate companies manage their Corporate Real Estate assets in line with their quest to
achieve their organisations’ overall corporate strategies.
Online questionnaires and surveys with both CRE experts and other CRE executives have
been conducted to get the most representative view in terms of current practices related to
Corporate Real Estate Management.
Several organisations that are part of the survey have property portfolio of over buildings
either owned or leased by them. However, it appears respondent organisations do not seem
to put adequate emphasis of employing people with requisite real estate academic
qualifications to manage their real estate portfolio. Even though over 70% of organisations
indicated that they have a formally organised real estate unit or person responsible for
managing real estate portfolio, the functions of these units do not match the standard
functions identified in the literature i.e. Facilities Management, Property Management,
Acquisitions & Disposals as well as Development. For 70% of organisations the CRE
accounting officer is sitting at the level of Chief Financial Officer as well as National Manager.
This research paper provides in-depth and evidence-based assessment of how senior
executives monitor CREM practices and how they treat CRE within their non-real estate
organisations in South Africa. The report also brings to light the executive attitude and
understanding of variables that determines the value adds of CREM to their organisations’
overall corporate strategy.
Executives should review whether their attitudes towards the management of CRE assets
contribute in maximising the value these assets towards achieving the overall corporation’s
strategic objectives. === MT 2018
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