Real Estate Management - Best Practice -

Michael Schweiger

2006

Major steering weaknesses and lacking value orientation in business real estate management have made it necessary to develop value-based steering tools. By linking and leveraging shareholder value and the balanced score card, this paper aims to identify an approach to closing gaps in managing real estate groups. Based on a number of detailed case studies on the real estate management systems of Deutsche Telekom, Deutsche Bahn, Siemens, Fraport and the Brau Union, a model for value drivers that integrates the key success factors of real estate management will be developed. We will also elaborate value-based balanced scorecards for managing real estate groups, including asset, portfolio and facility management, as well as project development. Finally, we will provide a set of recommended actions for effectively implementing and embedding the balanced scorecard. Applying the management tools described should improve target-oriented real estate activity management. This should also help increase the value of real estate groups.