CB Richard Ellis has won a multi-million-pound contract to manage HSBC’s global estate.
CBRE has been brought in to advise HSBC’s corporate real estate team and manage its portfolio database under a contract that is valued at $10m (£6m) over five years.
HSBC’s global footprint extends across 73m sq ft in 86 countries.
In Europe, the bank occupies an 18m sq ft portfolio, with 2,350 buildings across 29 countries.
The appointment follows a competitive pitch run by Corporate Property Advisers, which began in February.
While CBRE will be HSBC’s sole global adviser, a number of other agents have been appointed on a regional basis. Jones Lang LaSalle and CBRE will advise in Asia Pacific and North America, CBRE in Europe, JLL in the Middle East and North Africa, and CBRE, JLL, Cushman & Wakefield and Colliers International in Latin America.
JLL and CBRE will also together manage its regional property transactions. The move is part of the Hong Kong-based bank’s streamlining of its global property operations.
Tony Buckham, global head of corporate real estate at HSBC, said: “This will support the corporate real estate function in focusing on internal business relationship management, strategy and portfolio planning.”
The lucrative instruction is the latest in a growing list of major corporate wins for CBRE.
As revealed by Estates Gazette earlier this month, Microsoft has appointed the agent to oversee the management of its 30m sq ft global property portfolio. Microsoft’s occupational estate is spread across 100 countries, with around 8m sq ft at its Redmond headquarters in Washington, US. The firm has around 6m sq ft in Europe.
Other large contracts recently won by the agent include the management of PRUPIM’s £13bn UK estate.
A source said: “Deals like these mean more than just the initial contract to an agent. Through this advice comes transactions, lease renewals – many, many different levels of fee production.”
CBRE is also understood to be leading a race with JLL to win a large-scale contract from drinks giant Diageo to manage 300 of its properties across 35 countries in the EMEA region. Although the contract will be the first single mandate that Diageo has awarded to cover its entire EMEA portfolio, JLL has traditionally advised the firm.
james.buckley@estatesgazette.com
CBRE results, page 29
