CBRE Expands Valuation Biz with Acquisition of IVI International

Let the consolidation games continue. Like all of the major commercial real estate services firms, CBRE Group Inc. continues to enhance its offerings through the procurement of smaller firms, and IVI International Inc. is the company’s latest acquisition.

Let the consolidation games continue. Like all of the major commercial real estate services firms, CBRE Group Inc. continues to enhance its offerings through the procurement of smaller firms, and IVI International Inc. is the company’s latest acquisition. White Plains, N.Y.-based IVI brings to the table a four-decade-long history of providing integrated construction risk management and due diligence services to clients around the world.

“Owners and users of property are increasingly looking for a one-stop shop for their real estate services. CBRE can already provide a one-stop shop, but the acquisition of IVI will improve their already strong competencies in consulting and valuation services, in addition to eliminating a competitor,” Ben Thypin, director of market analysis with real estate research and consulting firm Real Capital Analytics, told Commercial Property Executive.

IVI has a 200-person team that includes architects, engineers, accountants, and asset management professionals who work together toward a simple goal. That goal, as described in a prepared statement by CBRE’s Thomas McDonnell, president, Americas Valuation & Advisory Services, is to provide “insight and analysis that helps investors, lenders and occupiers manage risk.”

IVI’s lengthy list of offerings includes construction risk management, property condition reports, Phase I & Phase II environmental site assessment, cost segregation, construction cost auditing, and telecom site compliance services. The firm has been operating through multiple regional offices throughout the country, and has maintained an international presence through affiliates in London and Paris. In the U.S., IVI has lent its expertise to equity investors and lenders for real estate projects totaling in excess of $50 billion.

Everyone’s doing it. M&As in the commercial real estate services arena are transacting at a rapid pace. DTZ is just weeks from completing its acquisition of Cassidy Turley, and on the other end of the transaction spectrum, companies like CBRE and JLL are snapping up less prominent players on a regular basis. These lower-profile moves are also having a significant impact.

“The strength of CBRE and JLL’s global brands, their global scale, and their financial resources position them both well to further consolidate the commercial real estate services industry through both outright acquisitions of smaller rivals, as well as strategic hiring of industry professionals,” Todd Lukasik, Senior Analyst  with investment research firm Morningstar Inc., told CPE.