Structuring effective real estate outsourcing and preferred provider relationships in the global environment

Companies may seek tremendous advantage through the consolidation of corporate real estate requirements with leading real estate brokers or advisors under a comprehensive service arrangement. Such relationships require crafting the business structure and contract provisions to promote the objectives of both parties. The successful outsourcing relationship must begin with the realisation that each customer and service provider deserves a unique set of terms, founded upon mutual understanding and the realities of the diverse markets in which the services will be performed. Where the parties take the time and care to share common expectations, the scope and quality of service can be articulated in a positive and definitive manner to the personnel responsible for performance. Incentives can be aligned to provide a sufficient and competitive motivation for client and advisor alike. Through this process, the agreement can serve as a platform to the mutually beneficial relationship for which the parties had hoped.