ATLANTA-Salaries are rising in the corporate real estate world. Sixty-four percent of senior level corporate real estate and workplace executives saw a raise in their base salary in 2010. What’s more, 75% say they expect to see another raise this year. So says a global survey from CoreNet Global and FPL Associates.
Michael Anderson, a senior research associate at CoreNet Global, says the compensation growth is an indicator that corporate real estate is valued within organizations. Anderson also sees an overall a positive economic trend in the results.
“Real estate and workplace management is directly tied into overall corporate strategy, as it is a center of efficiency and savings,” Anderson says. “Therefore, corporate real estate managers are seen appropriately by senior level management as integral to the companies’ overall financial performance.”
The average base salary for a head of corporate real estate is approximately $175,000, according to the survey, and the average total annual compensation for that position is just shy of $220,000. In terms of annual incentives, the research revealed that 48% felt the company’s performance was the largest determinant of award. Thirty-three percent felt the largest determinant was individual performance at 33%.
“Clearly this is a positive sign and consistent with broader real estate professionals industry wide,” says Jeremy Banoff, senior managing director at FPL Associates. “However it is important to note that such increases are taking place on relatively reduced levels from the prior year, and as such, compensation has not yet been fully restored to the pre-global-financial-crisis levels.”
The survey was conducted in late 2010 among 275 companies that lease or own corporate real estate. In the report, CoreNet Global charts base salary and bonuses or incentive based compensation for 19 key positions in corporate real estate.
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