CBRE’s Pacific revenue grew 9pc in third quarter, as leasing, sales markets boom

CBRE said revenue in its Pacific business rose 9 per cent in the September quarter from a year earlier, as the global real estate agency experienced “especially strong” growth in leasing revenue and property sales revenue.

While the growth in local currency terms was outstripped by Asia-Pacific local currency growth in revenue of 21 per cent to $US440.9 million ($576.3 million), that was led by “outsized growth” in Greater China, India, Japan and Singapore.

The New York-listed CBRE singled out gains in leasing and sales income streams in the local market in its global round-up for the first nine months of the year.

CBRE did not break out separate numbers for its Australia-New Zealand operating unit, which last month appointed senior Australia Post executive Madeline Dermatossian as chief operating officer.

“Highlights during the quarter included our appointment by Charter Hall to provide facilities management services for 153 office and industrial properties across Australia,” CBRE’s Pacific chief executive Ray Pittman said.

“With a view to implementing a new generation service model, Charter Hall tendered the facilities management contract for two separate portfolios, comprising 43 office towers and 110 industrial assets. CBRE secured both mandates over the incumbent.”

The company was also appointed as the exclusive sales agent for Wanda’s luxury One Circular Quay apartment tower in Sydney during the period.

CBRE president and chief executive officer Bob Sulentic said global revenue grew 11 per cent to $US3.5 billion while EBITDA earnings rose 43 per cent to $US406.4 million.

“Each of our three global regions produced solid organic growth,” Mr Sulentic said. “Leasing returned to double-digit growth, and was especially strong in the US. Revenue growth accelerated in our occupier outsourcing business, as we continue to capitalise on our commanding position in this growing sector.

“Global property sales saw healthy growth, despite a generally tepid market for transaction activity, reflecting the strength of our brand and ability to take market share.”