The document is a strategic report from RE3 Solutions recommending a relocation of the University College of Estate Management's (UCEM) headquarters. It identifies five key pillars for the new office: innovative workplace design, improved external networking, building a new identity, sustainability, and cost efficiency. The report recommends an office with open floor plans, activity spaces, and biophilic elements to promote collaboration. It also emphasizes locating the office in an iconic building in a major European city to enhance UCEM's brand and external partnerships. Sustainability is highlighted as an important aspect of reducing costs and building UCEM's identity.

1. Strategic Report
Ofce Relocation
prepared for the UCEM
International Real Estate Challenge
January 2016
3191 words

2. To whom it may concern,
RE3 has been instructed to source new office space for the University College of Estate Management
(UCEM) with a number of specific requirements and priorities. The purpose of this Strategic brief
is based upon information supplied to us by the client, which we have assumed to be correct and
comprehensive. RE3 solutions report contains a brief summary of the client’s wishes and what we
are here to offer and the necessity of the client on which our consultancy has been based. The brief
will outline a space standard and space budget analysis. With the total number of square meters
desired, we will conduct a department relationship analysis and provide an adjacency diagram to
visualise the new departmental organization
As the new CEO of this dynamic corporation, the RE3, I take pride to submit this strategic report to
the Real Estate Commitee of the UCEM. As RE3 we took great pleasure working with the College,
with their phylosophy and their mission. We hope that we have interpreted in the right way the
real expectation of the client for their future growth as they will become an internationally known
company.
In the purpose to serve the real needs of the UCEM, please contact us with any questions concerned
our brief. We look forward to meeting with the advisory committee again to continue the discussion
to select the best for the new UCEM headquarters.
Your Sincerely,
Robert Hefferon
CEO - RE3
January, the 6th 2016
1

3. Executive Summary
1 - Introduction
1.1 - Client Ethos
1.2 - Current situation
2 - Adjacency Diagram
3 - Innovative Workplace Design
3.1 - Smart Open Spaces
3.2 - Activity Spaces
3.3 - Biophilia in the Workspace
- Case Study: The Sacramento Municipal Utility District
4 - Building a New Identity
4.1 - Brand Identity
4.2 - Building Location
4.3 - Sustainable Identity
4.4 - Improved External Collaboration
4.5 - Sharing Knowledge
4.6 - Collaborative Spaces
5 - Sustainability
5.1 - Efficient Sustainability
5.2 - Sufficient Sustainability
6 - Space Budget Assumptions
6.1 - Staff categories and occupancy
6.2 - Public Spaces
6.3 - Expansion
6.4 - Space Budget Spreadsheet
7 - Cost Efficiency
7.1 - Cost Saving Aspects
7.2 - Space Sharing
8 - Conclusion & Recommendations
3
4
4
4
5
6
6
7
8
9
9
9
9
9
10
10
10
11
11
11
12
12
13
13
13
15
15
15
16
Table of content
2

4. Executive Summary
RE3 Solutions is seeking a more efficient office in an iconic building for the UCEM new EU
headquarters, which gives that mind set that UCEM is one of the largest online universities in the
world.As a Real Estate Institution, UCEM’s location and the office building itself are equally important
because they represent the image of the university. The new office will represent as the Global HUB
of UCEM and shall feature innovative workplace, sustainability design, external linkages, and cost
efficiency. UCEM is relocating not only to increase the productivity and efficiency, but also enhance
its working environment by applying open modern spaces and green elements into the new office.
Having consider the UCEM’s requirements, RE3 Solutions Inc believes there are five pillars to focus
on the new office:
Innovative Workplace
Improved External Networking
Image/Identity
Sustainability
Cost Efficiency
3

5. 1 - Introduction
1.1 - Client Ethos
1.2 - Current situation
The University College of Estate Management (UCEM) is an educational organization established
in 1919 to provide educational programmes to those interested in a career in the built environment.
As a result of technological advances UCEM now provides online courses worldwide and it aspires
to become, in 2019, the world’s leading provider of vocational online education.
Their motto is “Rich heritage, international reputation“ as the College of Estate Management is the
leading provider of supported online learning for Real Estate and Construction professionals. They
have been playing a key role in the property world for more than 90 years. At any one time they have
over 3,000 students from over 100 countries benefiting from their degrees - all taught by tutors with
extensive industry experience.
They offer many property-related topics at undergraduate and postgraduate level, as well as
providing professional development courses and tailor-made corporate training solutions. Their
active research programme contributes to knowledge across the profession, benefiting businesses,
practitioners and policymakers alike.The College sets the international benchmark for excellence in
online real estate and construction education.
This strategic brief highlights the priorities, objectives and standards that UCEM requires to achieve
its organizational goals. We have been instructed by the UCEM to research suitable office locations
for headquarters relocation prior to April 2017. RE3 solutions research describes the nature, size,
features and character of the office space that will guide the building selection, location selection
and design process.
As a consequence of its growth and aspirations the client is
seeking to relocate its operational headquarters from Reading
University building in the U.K to a new location in Europe to offer
the highest quality, value education and also minimize the real
estate and operational costs. In order to do this the organization
requires a space that is not a cost centre but a profit centre and
also enables its employees to innovate, collaborate effectively
and allows them to do a variety of activities.
The current location of UCEM fails to meet the needs of the
organization.Alackofemployeeinteractionandinterdepartmental
collaboration are consequences of the functionally obsolete
design features of the 1970’s building. One of the most relevant
issues of the current headquarters is the distribution of the
departments.
The space occupied in the building does not allow for the different departments to actively interact
and collaborate with each other. The new building represents an opportunity to rekindle collaborative
working methods, enhance the organizational culture, to reduce carbon footprint and to act a
sustainability policy in respect of the environment.
4

6. 2 - Most Interdepartmental Relationship
Principal’s Office
Commercial & Business
Operation
Finance & resources
Education
Student Services
Vice principal commercial &
business
operation (marketing)
HR
R&D
Vice principal student experience
(inquiry, student focus)
Business development
department
Vice principal finance and
resources (finance building)
Strong relation
Less strong relation Head of admission and student
registration
Technical Service
(Media service IT services)
Program administrator
manager
Interdepartmental collaboration will be critical to achieving UCEM’s priorities. The strategic placement
of departments will act as a coordination device that boosts employee interaction, cooperation,
and departmental integration within the company. UCEM operations are contained within four
main departments: Education, Student Services, Finance, Commercial and Business operation,
Finance . Above these departments are the Principal, Vice Principal and the Board of Trustees. The
following diagram presents the direct relationships between departments. In the following section,
our analysis draws upon this diagram to ascertain UCEM space requirements and the connectivity
of departments. The diagram is based on an analysis of all the information the client has provided
us with.
5

7. 3 - Innovative Workplace Design
3.1 - Smart Open Spaces
The client has requested a friendly and natural space and a productive environment for its employees.
UCEM wants their staff members to feel comfortable and happy in their workplace and for morale and
productivity to be at an all time high. The new workplace design and layout is to push the boundaries
of the conventional open space office design and incorporate new and innovative aspects such
as smart spaces, club room, quiet and private rooms, activity spaces, cafe spaces and any other
spaces that promote interaction, conversation, collaboration and create an exciting and productive
environment.
The client has also called for
flexibilityintheseworkplaces
that will allow employees to
be collaborative and work
across multiple business
lines. Consequently, we
will suggest the new
building firstly enhances
working environment
secondly promotes working
atmosphere.
An example from the Linkedin
working space in Toronto
An example from the Open Space in Siemens in Sidney
Aligning with UCEM’s desire, we suggest having some
more “open spaces” and “smart spaces” in the new
building. Moving from cellular desks to open spaces
will obviously decrease physical distance among all
the departments, so that employees will find it easy to
interact with each other, and optimistically, come up
with more efficient cooperation.
To be specific, we suggest having unconventional club
rooms or hub rooms, facilitated with comfort sofas, “fat
boys”, unfixed tables, moveable walls and multiple-use
high technology aids (e.g. well-working WI-FI, internal
video system and remote conference call). Activity
spaces will be located throughout the floor space to
accommodate the remote tutors when they come in to
the office.
6

8. 3.2 - Activity Spaces
In order to promote working atmosphere, we suggest having some activity-based rooms to support
team building and increases employee morale. From this concern, multiple-use and dynamic rooms
are highly recommended to UCEM. Feasibly, these rooms could be facilitated with foldable tables,
stackable chairs, and high-tech aids, such as multiple-use video systems, good audio equipment,
and even 3D facilities. These rooms can not only be used for exams, lectures, meetings, but also
for gaming and parties.
In addition, we also recommend the new building is facilitated with gym and cafeteria, since
connecting leisure and work can result in a new perspective and better employee performance.
Top: there is the game spacing in Tel Aviv office of AVG
Top: some ricreational area in the Rotterdam office of
Yahoo. Even in this image we can see how, in our previous
study, we try to connect the employees with some sort of
green space.
Bottom: the brainstorming space could be equipped with
some couches to ease the employees. This in particular
are located in the Microsoft open space in Los Angeles.
7

9. 3.3 - Biophilia in the Workspace
We can provide ideas and proposals on new standards in this area and change the way employees
experience their work space and working life. A term coined by the biologist Edward .O. Wilson,
Biophilia relates to the human interaction with nature and how it improves our wellbeing. Wilson
states that “people feel better when they are connected with nature”. Incorporating Biophilia and
human access to nature into our built environment can greatly improve our health and happiness at
a large scale.
Aspects of Biophilia in the office workplace can include
• Natural Light through floor to ceiling windows
• Plants
• Green spaces
• Natural Materials such as wooden door handles and Fossil Stone walls
This example of space design
would be perfect for a hot desking
space for the remote tutors that
only come to the building on
occasions and can be used by
staff members if they want to
get away from their desks at any
time of the day.
An example of floor to ceiling external glazing that lets in
the natural light which improves employee satisfaction
An example of the use of the Biophilia in the
workplace in Ascend in Bangkok
All these materials can be touched and bring nature into the workplace creating a unique environment
where the spaces are calmer, less stressful and more productive that can increase employee
satisfaction and efficiency.
As well as improving employee productivity, Biophilic design gives the company a very unique image
and identity, not just a visual image but a new identity as an innovative and forward thinking company
that showcase their desire to be more environmentally friendly. The indoor environment where
employees work and spend most of their lives at plays a huge role in their ability to concentrate and
perform.
8

10. Case Study:
Employee Productivity at Sacramento Municipal Utility District
In 2003 a study conducted by Heschong-Mahone Group on employee productivity at Sacramento
Municipal Utility District yielded some interesting performance results. The report concluded
that employees with a view or a connection with nature handled calls 6-7% faster than that of
employees confided to cellular cubicles with no connection to nature. Furthermore a questionnaire
conducted by Compaq found that single most important thing to their employees in terms of
workspace was natural light (Romm, 2006). The investment in biophelic fit out materials such
as green spaces, green walls, natural vegetation and plants, materials that have been sourced
naturally and floor to ceiling windows to bring as much natural light in as possible will improve the
outlook of employees, result in productivity savings and create a visually beautiful workspace.
UCEM have highlighted the importance of aquiring a building that gives them a new identity and
become recognised for it globally. The ideal building would be of architectural prestige and iconic
stature, If somebody was to look at the building, they should think of UCEM. The building as well
as creating an identity for the company must be accessible in terms of location and close to other
notable tenants and ammenities.
Building brand identity is seen as investment in truly valuable asset of a business as it must represent
the business and reflect the mission and core values of the company. RE3 provides its professional
knowledge to accompany the relocation in a way which contributes to establishing a strong positive
image of UCEM. Subject to building regulations it would be beneficial to place the UCEM logo on
the façade of the building in order to catch attention and raise awareness.
Sourcing a building in a prime location close to the transportation, the flow of potential target
customers will be significant, so the brand will become widely recognized and visual brand identity
will be achieved.
Location plays a significant role in shaping business identity. RE3 will source office space in a
prestigious location within a large cosmopolitan European city with the multicultural population,
good business climate and large amount of educational institutions surrounding. Such a location will
help to enhance the client’s public image as well as establish the strong positive reputation.
Promoting sustainability values and implementing sustainable solutions in the new office
space naturally makes UCEM an example of an environmentally friendly organization.
Moreover, following the principles of biophilia in new office design revealing strong
interconnectedness with nature has positive influence on public image of the business.
4 - Building a New Identity
4.1 - Brand Identity
4.2 - Building Location
4.3 - Sustainable Identity
9

11. A huge priority for UCEM is increased collaboration of its employees however the client has also
highlighted the desire to be seen as a friendly and welcoming place to go for other professionals
and colleagues. It is required that the new UCEM building provides physical space and a welcoming
atmosphere for clients, guests, students and other firms that UCEM collaborate with. It is very
important for UCEM that a new identity is created with this move and the focus on becoming the
world’s leading provider of online vocational education must be the priority.
To achieve this goal, RE3 Solutions believe that it is vital to create and foster professional
relationships with other educational organisations and real estate firms. This willow allow UCEM to
share knowledge with other companies and gain vital insights into real estate market conditions that
will be of great benefit to the students.
Thebuildingwillprovidethespacestosharethisinformationeasilyandopendoorstonewrelationships
and encourage interaction between employees and external professionals. The collaborative spaces
that will be on offer in the building include
• Cafes
• Social Spaces
• Activity Spaces
• Green Spaces
• Sports Facilities
The goal we will try to achieve in improving external collaboration is for companies and partnerships
to have a place to go and relax when they are in the city and know that they are always welcome and
comfortable in the UCEM building. This will result in a recognisable building, it will enhance the identity
of UCEM as a company and will open more doors for business growth and future collaboration.
4.4 - Improved External Collaboration
4.5 - Sharing Knowledge
4.6 - Collaboration Spaces
That’s the gym area in the Tel Aviv headquarter for Google A little unformal and easy section could be used to let
the emplooyees resolve misunderstanding and have
conversations to improve collaboration.
10

12. UCEM have made it very clear that the sustainability of building efficiently and sufficiently is a
major aspcet of their move to a european headquarters.UCEM is taking into consideration their role
in protecting the environment and recognized their shared responsability to build and operate an
office that contributes to the well-being of every member of their community and the environment.
Creating a sustainable workplace can strenghten their mission to be the world-leading provder of
online education and acknowledge that the approach to the sustainibility gives them a new identity.
RE3 Solutions has identified two key areas of sustainability to focus on in the builing selection
process, Efficiency and Sufficiency.
This type of sustainability relates to the technical qualities that enhance a buildings sustainability.
Here we focuse on aspects such as the building envelope quality and ensuring the reduction of the
space heating demand and achieve a high level of thermal comfort. Another relevant aspect is the
adaptability of the technical systems that reduce energy consumption, increase the quality of the
space and significantly reduce operating costs.
The second area of sustainability looks at the sufficiency, sociocultural and functional quality. It
focuesed on the employee satisfation and how they interact within their workplace and the attitute
they have towards their own productivity. UCEM have identified that employee satisfaction is a key
issue for them in achieveing the goal of increased connectivity, collaboration and productivity. From
previous discussions with our client, 25% of the current employees go to work by bycicle or go to the
gym in the lunch break, so is important to provide them with appropriate facilities to support them in
physical activities. Combining leisure and work results in an improved employee perspective.
5 - Sustainability
5.1 - Efficient Sustainability
5.2 - Sufficient Sustainability
These collaboartaion spaces will also act as video conferencing areas that can be private or open
depending on the nature of the call. Students can be interacted with via video conferencing and
online lectures and webinars will take place in these spaces. RE3 Solutions have come up with an
open cafe space that our external collegues can meet before the security borders at the concierge
to protect the sensative data of the company. Examples of collaboration areas and the cafe before
secure area to share knowledge with external sources such as other organisations. This has worked
in the Edge Building in Amsterdam.
That’s the area that can improve
external collaboration with the students
and the other real estate firm, as in the
Edge Building in Amsterdam.
11

13. 6 - Space Budget Assumptions
6.1 Staff categories and occupancy
RE3 performed a rough estimation of the planned office space allocation based on current
organizational structure provided by UCEM. However, it should be taken into consideration that
the university is planning to further expand, hire new staff or change its policy regarding the multi-
locational types of working; therefore probably the space budget configuration will be edited in future.
Based on the information provided by the client, RE3 report is subject to the following assumptions:
Two core categories of workers in terms of working location: local workers and remote workers.
Local workers are attached to the desk constantly, and the occupancy rate differs from 20% to 100%
according to working content. Basically, we set a higher occupancy rate for fixed working content
employees, such as Finance and recourses department staff, “online learning” under Education
department and “technical service” under Commercial and Business operations department; We set
a relatively low occupancy rate for those staff who always take a business trip and have meetings,
such as marketing, business development and tutors.
Remote workers have 0% occupancy, however special common areas are equipped for such workers
when they visit the office to resolve business-related issues. We suggest 40 sqm hot desking space.
Open plan office concept with green separation
12

14. 6.2 Public spaces
6.3 Expansion
6.4 Space Budget Spreadsheet
Meeting rooms are quite important for UCEM, as these activity-based rooms would support all kinds
of activities and even team building. So we suggest about 200 sqm for meeting room. In addition,
catering, gym and leisure rooms also play an important role in team morale so we suggest 130 sqm
for these. Besides, aligning with client’s demand, we will include studio, library and backup room in
the space budget. All together, we suggest UCEM about 570 sqm for public use.
As Principal of UCEM stated, the expansion of university will take place in next 3 years - by 2019
the amount of students will increase from 3,700 to 5,000 students. In order to attract new students,
it is logical to assume that Commercial and Business operations department will hire more people
and will grow more than other existing departments. Moreover, as the consequence of the student
inflow growth, the significant increase in academic staff is expected to occur. Therefore, according
to the client representative, by 2019 the increase is expected to be more than 30% in the following
departments:
1. Education
2. Student services
3. Commercial and Business operations.
For every other department apart from these 3, the growth is assumed to be 10%. So the expansion
needs about 300 sqm in 2019.
Using the required average space for every workplace (below 10 sqm/person), occupancy rate for
every staff category, we calculate the total space budget for a new office amounting to 2300 sqm in
2016 and 2600 in 2019.
13

15. 14

16. 7 - Cost Efficiency
UCEM states that they want to focus on profit centres as oppossed to cost centers and recognises
the importance of reducing costs in building operations and management. The old space that the
client occupied was very expensive to run and operated very inefficientlly. UCEM wnat to be more
productive in less space and use space more efficiently. The concept of LEAN offices identifies the
cost savings and efficiency practices when comparing the relationship between desity of occupation
and space and time utilization.
Our goal is for UCEM to experience cost efficiency and savings. Creating sustainable working
environment via methods of conserving energy, including
• Rainwater management system
• Geothermal heating system
• Solar panel system.
RE3 Solutions believe that open space layout and a focus on natural light can improve both
working emotion and performance for employees. Planting tree inside-out of the office can also help
employees to feel connected to natural natural environment.
UCEM can save significantly on occupational space by adapting a new approach to workplace
dynamics. Sharing smart spaces and collaboration spaces together with the open plan element to
the office sapce will allow the company to operate more efficiently and reducing occupational costs
by having more productive employees in less space.
7.1 - Cost saving Aspects
7.2 - Space Sharing
15

17. 8 - Conclusion & Recommendations
Having thoroughly analyzed the 5 key factors and performed the space budget calculations, RE3
came to conclusion that UCEM demands the measurable transformation of the workspace, which
unlocks the value added and increases collaboration. Therefore we came up with the following
recommendations:
• Relocation to a European city positively affects the public image and brand recognition. RE3
would assume that in the best possible scenario the new office will be located in the unique, easily
recognizable and accessible building with the favorable neighboring surroundings, large global
enterprises and universities.
• The open plan office layout will enhance the work environment and transform the conventional
office space, increase staff productivity, add value, reduce operational costs, accommodate future
growth and provide a more efficient amount of space per employee for local and remote workers.
• The new space should accommodate and combine work space, creative space with
technology stimulating increased collaboration and connectivity between employees, students and
external relationships.
• The work environment should incorporate elements of innovative cutting-edge biophilic
design, which will contribute to going beyond the conventional space perception, as well as stimulate
the employees and create a visually appealing space.
• By implementing the principles of LEAN and incorporating sustainability features, the
maintenance costs can be optimized and result in lower operating expenses, thus making the office
profit centre not cost centre.
Overall, all the aforementioned suggestions are clearly reflecting UCEM mission and further
enhances the brand recognition and identity of UCEM. RE3 believes that accompanied relocation
will be a significant step towards achieving the status of the world’s leading provider of 100% online
vocational education.
16

18. About Us
“Providers of change”
RE3 is a global real estate consultancy company. Our mission is helping our clients to unlock the
value added of their business.
RE3 hire the best talents from all over the world to form the most professional, experienced and
competent teams providing excellent service for our clients. Multinational teams members with
various backgrounds possess comprehensive knowledge of local and global real estate markets
along with outstanding skills in property related spheres.
RE3 specializes on performing the market analysis, feasibility studies and development proposals
in all segments of commercial real estate.
Robert Hefferon, MRICS
Head of Development Consulting
+353833080930
robert.hefferon@re3.com
Giulia Rinaudo
Construction Consultant
+3381532218
giulia.rinaudo@re3.com
Nataliya Motorina
Marketing Consultant
+79153751151
nataliya.motorina@re3.com
Alessandro Romano Ghezzi
Interior Design Consultant
+393493305246
alessandroghezzi@re3.com
Haojie Ye
Financial Consultant
+358465446733
haojie.ye@re3.com
William Tabler
Economic Research Consultant
+16464653381
william.tabler@re3.com
17