Corporate facilities management a 'hands-on' assignment.
A corporate client typically occupies a majority of the space in a property they might or might not own. Accordingly, the services we would provide to such a corporate user are subtly but distinctly different than those provided to an institutional or entrepreneurial owner whose building is multi-tenanted.
Corporate facilities management is a very hands-on assignment. The corporation occupies the building and communicates with us on a day-to-day basis. Conversely, off-site institutional or entrepreneurial owners might visit the asset as infrequently as. three or four times a year. More eyes are overseeing and directing the management process in the case of facilities management. That ultimately means potential problems can be prevented and existing ones more readily rectified. Everything seems to flow more smoothly with this in-house set-up. Engineers, accounting and related management staffers are able to move and coordinate construction, food service management, mailroom duties, human resources, and other services directly with the client's senior management team. We offer 24-hour help desks, which ensure prompt service and that policies are adhered to. Security, of course, especially after 9/11, is of major concern to corporate users. Policies, procedures and personnel are continually evaluated to assure a proper state of preparedness.
Facilities managers serve as the umbrella organization under which specialists operate as subcontractors. Our contacts and experience with vendors and services including cleaning, HVAC, landscaping, security, and a myriad of others enables us to provide corporate users with these services at very competitive rates.
In a nutshell, the objective of facilities management is one-stop shopping. It's our aim to become a "single point of contact" so that all communications flow through us and all actions taken are organized and streamlined. We manage the entire process, from start to finish. We monitor and benchmark the performance of all subcontracted entities through the use of metrics, and subsequently develop a means to evaluate their performance. In addition, it's our job to identify and track improvements in property operations so that we can keep expenses down on behalf of our clients. We utilize state-of-the-art software and hardware applications in the management process to ensure efficiency and increased productivity.
We took on management duties for three buildings owned by TIAA in 1991: 730 and 750 Third Avenue and 485 Lexington Ave. which are, collectively called the Home Office Complex (HOC). Through the years, we have established an excellent working relationship with TIAA Building Operations. One of our major activities is re-bidding major contracts with vendors. This service typically results in significant savings to the owner. With TIAA, we have been very successful working with their team of professional real estate people to effectuate numerous operational improvements at the property. These economies of scale were also achieved when we bid out light, maintenance and security services.
Our aim in working very closely with TIAA Building Operations on a daily basis is to ensure that owner's objectives are met. The base building operations budget for the HOC is closely monitored since it directly impacts the costs allocated to the groups within TIAA, so the entire budgeting process is carefully managed in conjunction with TIAA Building Operations. It is an integrated process.
We manage the facilities for JP Morgan Chase at four downtown properties, namely 4 New York Plaza, 55 Water Street, 52 Broadway, and 95 Wall Street. Four New York Plaza is owned and totally occupied by JP Morgan Chase; 55 is owned by New Water Street Corporation and Chase shares the building with other tenants (1.2 millions SF); 95 Wall St. is German owned with Chase as triple net lessee along with two others; and 52 Broadway is owned by 52 Habitat Corporation.
As corporate facilities managers for JP Morgan Chase we are responsible for engineering, contract administration, namely cleaning, elevators, HVAC, etc., property accounting, human resources, payroll, purchasing of building supplies, preventative maintenance of base building equipment, emergency/evacuation procedure compliance, and building/fire code compliance. In some instances, we represent JPMC as a major tenant in the building and in others, they are the owner occupant. Our coordination and communication with the in-house real estate and facilities management team at JPMC has been one of the keys to our success on the assignment. There is a unique team approach that is service oriented to the rn-house JPMC client base.
As corporations seek to ensure savings through outsourcing of facilities services, we feel we are uniquely positioned to assist them in that process, given our 20 years in the business, 400+ strong team of professionals, and extensive subcontractor data base. Whereas the owners of multi-tenanted properties are focused on revenue generation, corporate clients are focused on operating efficiencies and cost savings in the facilities they occupy. It's a challenging and sophisticated business, but one which is more and more in demand. Particularly in the days of corporate out-sourcing, downsizing and productivity enhancement.
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|Publication:||Real Estate Weekly|
|Article Type:||Brief Article|
|Date:||Jun 12, 2002|
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