Of late, Jones Lang LaSalle Incorporated (JLL - Free Report) has reason to cheer. Just a couple of days after receiving a credit rating upgrade from Standard & Poor’s (S&P), the company has clinched a deal to provide integrated real estate services for the leading Spanish bank BBVA.
The Chicago, IL-based commercial real estate service provider has been appointed by this prestigious Spanish financial institution to provide data and lease administration services for Mexico, Portugal and Spain. JLL will also offer transaction management services for Europe, the Middle East and Africa (EMEA) and Asia.
JLL is a leading professional services and investment management firm that provides corporate, financial and investment management services to corporations and other real estate owners, users and investors worldwide.
With wide-ranging product and service offerings and an extensive knowledge of domestic and international real estate markets, the company has the capability to operate as a single-source provider of real estate solutions. By joining forces with this hugely experienced and high-quality real estate solutions provider, BBVA will be able to build an excellent platform for delivering highest-standard financial solutions to their clients.
Notably, in third-quarter 2014, JLL’s consolidated fee revenue increased 19% from the prior-year quarter to $1.2 billion, driven by an improvement in Real Estate and LaSalle Investment Management’s advisory and incentive fees. Aided by robust growth in fee revenues, JLL reported encouraging adjusted earnings of $2.31 per share for third-quarter 2014.
Results comfortably exceeded the Zacks Consensus Estimate of $1.78 by nearly 30% and also came well above the year-ago quarter figure of $1.49. Moreover, the company has announced a 9% hike in its semi-annual dividend rate. This deal is expected to further boost the company’s fee revenues, going forward.
JLL currently carries a Zacks Rank #2 (Buy). Investors interested in the real estate operations may also consider stocks like NorthStar Realty Finance Corp. , CBRE Group, Inc. (CBG - Free Report) and Kennedy-Wilson Holdings, Inc. (KW - Free Report) . While NorthStar Realty sports a Zacks Rank #1 (Strong Buy), both CBRE and Kennedy-Wilson Holdings hold the same Zacks Rank as JLL.