Asset management is on the edge of several fundamental shifts that will shape the future of the industry. This is mostly due to skills not traditionally associated with the industry becoming more critical. Therefore, industry experts have found the talent pool for commercial real estate professionals is dwindling — and the biggest asset in commercial real estate is its people.
Moreover, there’s a lot of competition in the marketplace for exceptional talent. NAIOP (National Association of Industrial and Office Properties) estimates that by 2025, the commercial real estate industry will be faced with a shortage of 15,000 to 25,000 qualified leaders without a significant number of younger leaders to replace them.
Winning firms are retooling by concentrating on three key areas: streamlining operations, restructuring product portfolios, and delivering technology-inspired customer experiences designed. Hence, there is a strong hiring trend for Asset Managers, VPs of Asset Management, and Multi-Family Portfolio Managers.
New Pressures Within Asset Management
Asset and property management is like being the mayor of a small city. They are responsible for everything that is happening with, and within, the building. The growth of this role is expanding from facility management to real estate portfolio management. In a sense, asset managers are becoming more entrepreneurial.
The overarching objective of asset management is to maximize property value. Many of the decisions made in real estate asset management, such as negotiations, lease analysis, and approvals, require risks to be assumed and forecasts made. The demand for technically capable, client-facing professionals is high and intensifies every year.
Bad Hires Are Costly
Given the cost of a bad hire, companies need to hesitate before hiring someone without a demonstrated track record of success. Now, executive recruiting firms have a preference for candidates with MBAs and/or CFAs — 37% of respondents hold an MBA, and 21% hold the CFA certification. Amid these new shifts and challenges, companies are also becoming more open to talent from the sell side, investment roles, and consulting firms.
The Newport Group Solution
The Newport Group is a leading executive recruiting firm with expertise in numerous industry verticals. We deploy proprietary data sets and meticulous processes to identify, recruit, place, and help retain blue-chip talent at leading companies nationwide. Turn the challenges ahead into competitive advantages alongside our help.
Our team of recruiters is active in all sectors of real estate development, including production homebuilding, multifamily, commercial, retail, and land. Construction verticals include commercial, civil, utility, pipeline, infrastructure, as well as environmental consulting and remediation. Additional expertise covers IT sectors, including healthcare IT. Ever strategic in our approach, we present talent that aligns with our client’s strategic objectives. Learn more about us here.