Real estate terms

Corporate real estate strategy

Organisations understandably want to get the most from their owned or leased real estate, and to reach that goal, they need to achieve operational and capital efficiency. Simple, right? Not without a strong corporate real estate strategy it’s not.

PwC’s Real Estate Advisory team uses vast experience in both the New Zealand and overseas markets, and integrates that with PwC’s broader business services. In doing so, we help our clients maximise the opportunities for real estate to contribute to the achievement of organisational goals.

Negotiation strategy

Negotiations aren’t easy – there are whole libraries of books (of various levels of quality) advising people how to do it. When it comes to high-value assets, such as land and buildings or leased premises, there needs to be a strategy for leveraging the best outcome.

PwC’s Real Estate Advisory team lends its skills and experience in completing real estate transactions and agreements in a wide range of markets. With the right expertise in place, we assist our clients in negotiating the smartest deals when it comes to owned or leased property.

Financial and risk analysis

When it comes to real estate, financial and risk analysis is all about understanding the financial parameters for property investments, developments or occupancy. Analysing financial risk involves looking at the expected outcomes and then using that information to reduce risk profiles. It’s also something that PwC is well known for around the world.

But did you know we also use this expertise specifically for real estate investments? Because we’re integrated with PwC’s wider service offerings, we can use this knowledge and expertise as a means to add value and mitigate risks to property projects.

Business cases

Not all decisions are great ones – in fact, some research suggests that around half of important business decisions end in failure! The periodic or ‘lumpy’ requirement for large real estate decisions means you’ll want to make sure you’re right more than you are wrong.

PwC’s Real Estate Advisory team supports robust decisions through rigorous quantitative and qualitative analysis and regularly uses the Crown’s Better Business Case methodology to help clients maximise real estate decision outcomes.

Project leadership

Real estate projects often require a multi-disciplined team of experienced individuals working together. Objectives, tasks and timeframes need to be clear, and communications have to be consistent. In short, effective real estate project leadership is essential.

At PwC Real Estate Advisory, we are able to lead property projects to help ensure the timely and effective delivery of our clients’ desired outcomes. From design and consenting management to construction and delivery management, our experienced leaders make this possible.

Transaction management

PwC Real Estate Advisory ensures the transaction side of a property or portfolio acquisition, disposal, or leasing runs smoothly, proactively anticipating and dealing with obstacles and opportunities to enhance transaction outcomes.

Our people are experts in successfully guiding real estate projects through all stages of the transaction. We’re part of PwC Deals for good reason!

Project management

Real estate projects are long-term investments and often represent substantial capital expenditure. That requires ongoing management of the project, from people, design, financial and operating standpoints. We can assist with the day-to-day management and provide our clients with peace of mind.

PwC Real Estate Advisory uses management expertise and assistance to help deliver client projects on time, within budget and to the standards they expect.

Developer procurement

Local and central government play a key role in our communities to revitalise our cities and deliver projects that catalyse better urban design and community outcomes. In addition, universities, SOEs and other private institutions hold large real estate assets that embed development potential, but do not necessarily have the balance sheet and capability to develop themselves.

PwC Real Estate Advisory can act on behalf of the public sector and institutions on developer procurement to ultimately partner with the private sector and deliver important regeneration projects. PwC brings strong underlying property and development skills, extensive procurement experience and an ability to carefully manage the trade-offs the public sector inevitably has to consider to achieve wider objectives.

Transaction structuring

Whether you are seeking to sell a single asset or a portfolio, procure new purpose-built premises via a lease, establish a network of assets, unlock capital from you real estate assets, or acquire a shareholding in a real estate asset, the decisions made prior to the transaction will inevitably have a material impact on its outcomes.

We can advise you on strategies regarding lease structuring, capital structure, packaging, staging, marketing and delivery strategies to ensure a strong and optimum response from the market.

Development advisory

Successful development projects rely on excellent planning and positioning (and a little help from the market is always appreciated!). PwC has a deep understanding of development, the importance of delivering the right product mix at a cost:value level that is market appropriate.

We can assist with value engineering, independently review development proposals, and also advise on deliverability and project governance from start to finish.

Feasibility analysis

Making informed decisions on investment opportunities and development projects requires sound financial analysis that appropriately reflects markets (both current and forecast), and investment/development returns that reflect the balance between risk and return.

Feasibility analysis is a core skill at PwC Real Estate Advisory, and underpins a large proportion of the advice we provide.

Assurance reviews

Providing assurance to clients is a core part of what PwC does. PwC Real Estate Advisory can undertake reviews to benchmark your assets, costs, systems and processes to ensure they are right for the organisation and advise how they compare to the market.

Litigation support

PwC Real Estate Advisory includes senior team members experienced in a range of litigation support roles, having acted as experts on property-related disputes relating to professional indemnity claims, rent reviews, development agreements, management contracts and general property law claims.

The PwC Real Estate Advisory Partners are all Registered Valuers and Fellows of both the New Zealand Institute of Valuers (NZIV) and the Property Institute of New Zealand (PINZ).