CoreNet Global: CRE executives receive pay increases, reflecting strategic importance

by Brianna Crandall — March 3, 2014—In a recent survey of 291 corporate real estate (CRE) executives at large corporations globally, 76% reported that their base salary increased from 2012 to 2013, and 79% projected further increases in 2014.

According to the survey conducted by global CRE professional association CoreNet Global and compensation and management consultants FPL Associates, the average increase in base salary from 2012 to 2013 was 6%. Also, 45% projected an increase in cash incentives and bonuses in 2013 compared to 2012, while 50% had reported an increase in 2012 compared to 2011.

In addition, long-term incentive compensation increased for many of the respondents, with 34% reporting increases in long-term incentives in 2013 compared to 2012, and 61% reporting no changes. A year earlier, 44% had reported an increase in long-term incentives compared to the prior year.

Correspondingly, investment activity increased. A full 42% of the respondents experienced an increase in acquisitions in 2013 compared to 2012.

Participants reported receiving an assortment of “perks,” as well. In addition to car allowances, participants receive the most money, on an average and median annual basis, to cover parking and cell phones/wireless e-mail.

“As the workplace, human resources and information technology become further entwined, corporate real estate continues to evolve into a more strategic corporate function,” said Angela Cain, chief executive officer of CoreNet Global. “That evolution, in addition to the economic recovery, is resulting in higher pay for a vast majority of corporate real estate and asset managers, as reflected in our survey.”