Real estate businesses are the one-stop shop for finding a solution to the difficulty of not understanding how to build your ideal home. When it comes to this industry, no doubt it goes through its fair share of ups and downs, but it constitutes to be one of the biggest industries till date. People will surely not stop buying or renting houses, so the demand for real estate properties is something which will increase in direct proportion to the population.
The US is indeed one of the biggest markets for real estate in the globe, with the prices of properties in a certain area touching the sky. However, when it comes to looking for a property, it is essential to check out an ideal real estate company, which enjoys great goodwill at the same time.
Although like other sectors, real estate has suffered a significant setback due to the coronavirus outbreak, things are looking up for the industry now that the situation has returned to normal.
Simon Property Group is one of the USA based top real estate companies with a total gross leasable area of 241 million square feet spread among 325 properties throughout North America and Asia. With a market capitalization of 55 billion dollars, it is also the leading retail REIT. With a global yearly sales volume of 5.6 billion dollars and a profit of 2.5 billion dollars.
CBRE Group is the world’s largest commercial real estate firm, with revenue of $21.34 billion in 2018-19. Since 2008, it has been on that list every year. More than 90 of the top 100 companies on Forbes’ Fortune 500 list are served by CBRE Group Inc. It had 90000 employees and a market capitalization of $21.4 billion dollars in 2018-19. The New York Stock Exchange hit a 52-week high of 65 dollars and a 52-week low of 45 dollars.
Cushman and Wakefield PLC is one of the world’s largest commercial real estate firms, with over 3.6 billion square feet of office property under management. It generated 8.2 billion dollars in revenue in 2018 and employed 51000 people. DTZ and Cushman & Wakefield combined in 2015, and the company now operates solely under the Cushman & Wakefield name. Despite its excellent margins, its market capitalization is merely 4.3 billion dollars.
JLL ranks as the world’s second-largest commercial real estate firm. On Forbes’ list of Fortune 500 firms, it is rated 189th. It also offers property and asset management, facility management, capital markets, advising, and consulting services in addition to real estate. It generated 16 billion dollars and a net profit of 491 million dollars in 2018-19. One of the reasons for its market valuation of $9.2 billion is its liabilities.
New companies began to use disruptive technology on a smaller scale to address the residential real estate problem. These companies have received remarkable valuations in their first and second rounds of appraisal, although their footprint is limited to their headquarters. Homie, a Utah-based startup, is one of them, having raised $23 million in series B funding.
Another example is Houwzer, which has raised 9.5 million dollars in private funding. It was a ground-breaking business model that paid staff in salary rather than a proportion of overall sales volume.
The American Tower Company (ATC) is a real estate investment trust that specializes in communication towers. It typically rents space, constructs communication towers, and then sells the space on top to tenants. It had a yearly sale volume of $7 billion and a market capitalization of $85 billion. In the real estate industry, it was placed 410 on Forbes’ Fortune 500 firms list and 3rd on Forbes’ Global 2000 list.
Short for Real Estate Maximus is a global commercial real estate organization with 6800 offices and 100,000 agents operating in over 100 countries. It was the market leader in the United States and Canada until 2013. It operates on a franchise basis, with 3000 employees and a sales volume of $13 billion at the end of 2018-19. It had a market value of 700 million dollars, with a profit of 265 million dollars.
Equity Residential is the third-largest apartment owner and management in the United States and the ninth-largest in North America. By the conclusion of the third quarter of 2018-19, it owned 307 properties with 79500 apartments. At the end of 2018-19, it had profits of 2.56 billion dollars and a market capitalization of 27.71 billion dollars. Forbes placed it 18th among the Global 2000.
Vornado Realty Trust is a North American real estate investment trust that focuses on office buildings and street retail. It had a strong performance as a REIT, with an average PE ratio trail of 4.2. It has a share price of 66.17 dollars and a market place capitalization of $17.6 billion at the end of the second quarter of 2019, making it an appealing REIT for investment. For a corporation that primarily deals in a localized area, their profit of 2.3 billion dollars was astounding.
To summarize, top real estate companies are now involved in more than only the purchase and sale of properties. The market has commoditized income-generating properties. With optimistic speculations, there is a reasonable likelihood of increasing real estate market demand, making it entirely possible that the commodity market will also witness an upswing, perhaps bringing in more investments.
Read More
Business Talk is a digital business magazine that caters to CEOs, Entrepreneurs, VC, and Corporates. While working with entrepreneurs and business executives, we focus not only on their achievements. Our mission is to shed light on business entities, including their innovations, technological benchmarks, USPs, and milestones/accolades.
Putting up a retail store offers a wide range of goods to sell, making it…
Businesses now depend increasingly on information from the retail sector as a whole and from…
Blockchain is revolutionizing the world in ways we never thought possible. Initially developed as a…
A well-crafted financial plan could support you in reaching your personal goals and set you…
The logistics industry has been significantly influenced by the tremendous rise the Indian e-commerce sector…
Of all the indicators of your financial well-being, your credit score comes in front. It…