Procter & Gamble has selected Jones Lang LaSalle for its 5-year global corporate facilities and project management contract. The firms expect to reach a definitive agreement by the end of this month.
Jones Lang LaSalle will provide facilities management and project management services for all P&G offices and technical facilities — a total of nearly 13.8 million sq. ft. of P&G-owned and leased corporate real estate locations around the world.
The far-flung assignment covers 60 countries on six continents, including Africa, Asia, Australia, Europe, North America and South America. The locations range in Africa from Casablanca, Morocco, to Johannesburg, South Africa; in Asia from Mumbai, India to Kobe, Japan; in Europe from Madrid, Spain to Warsaw, Poland; in North America from Montreal, Canada, to Cincinnati, Ohio; and in South America from San José, Costa Rica to São Paulo, Brazil. The assignment also includes Sydney, Australia.
The agreement will cover many services, including strategic facilities planning, property management, remodeling and furnishing, and employee convenience services. The controllable operating expenses for these services are estimated at $700 million over five years. Also, nearly 600 employees will transition to Jones Lang LaSalle from P&G's Global Business Services unit.
P&G Global Business Services selected Jones Lang LaSalle after a competitive selection process initiated in February 2003 that included major corporate real estate and property management firms.
"Jones Lang LaSalle brings global scale, deep management expertise and a proven track record of success that will further optimize P&G facilities management around the world," said Filippo Passerini, global business services officer for Procter & Gamble.
"The partnership of Jones Lang LaSalle and Procter & Gamble will create a precedent-setting international team working together to deliver a sophisticated real estate platform able to provide consistent quality around the world," said Christopher Peacock, president and CEO of Jones Lang LaSalle.
