|JONES LANG LASALLE INC filed this Form S-1/A on 07/03/1997|
[Bar graph depicting revenue for the Tenant Representation Services unit for
the period 1992-1996]
Tenant Representation Services. First offered in 1978, the Company's Tenant
Representation Services unit assists clients by defining space requirements,
identifying suitable alternatives, recommending appropriate occupancy
solutions and negotiating lease and ownership terms with third parties. This
unit also includes the project management group which provides strategic
occupancy planning, field tenant improvement, project management and
relocation management to the Company's clients.
The Company seeks to lower its clients' real estate costs, minimize real
estate occupancy risks, improve clients' flexibility and occupancy control and
create more productive office environments. The Company uses a multi-
disciplined approach to develop occupancy strategies that are linked to its
clients' core business objectives. In 1996, the Tenant Representation Services
unit generated revenue of approximately $31.2 million, completing over 250
transactions for a total of approximately seven million square feet.
The domestic tenant representation industry includes a large number of
service providers offering a wide range of service quality and capabilities.
The Tenant Representation Services unit directs its marketing efforts toward
developing "strategic alliances" with clients whose real estate requirements
include ongoing assistance in meeting their real estate needs and also toward
clients who have the need to consider multiple real estate options and to
execute complex strategies. Based on its industry experience, the Company
believes that it is recognized as one of the highest quality providers of
tenant representation services in the United States. Representative clients
served in 1996 included Amoco Corporation, Aon Corporation, R.R. Donnelley &
Sons Company and Towers Perrin.
In many cases, the Company develops a strategic alliance with clients to
deliver fully integrated real estate services, including comprehensive on-
going strategic planning and transaction execution services across multiple
office locations. The Company views its strategic alliances as a competitive
advantage since these long-term relationships lower business development costs
for the Company and create recurring revenue sources. In 1996, approximately
79% of Tenant Representation Services unit revenue was derived from strategic
alliances. Through these relationships, the Company gains a better
understanding of its clients' portfolio and occupancy requirements since the
same professionals service the client's needs nationwide. The Company believes
that these relationships enable it to deliver more consistent services and
better results than single-transaction, commissioned brokerage service
Responsibility for the national occupancy needs of strategic alliance
clients is assigned to dedicated client teams. These teams allocate resources
to address specific client requirements in markets throughout the United
States. The Company's Tenant Representation Services unit draws upon the
resources and local market knowledge of the Company's network of Property
Management and Leasing Services professionals located in over 300 property and
other offices in 31 of the largest markets in the U.S.
© Copyright Jones Lang LaSalle, IP, Inc.