Transforming global corporate real estate strategy: Koch's partnership with JLL

With 23 projects completed across 3 countries and 8 U.S. states, plus 84 advisory engagements managed in 2024, JLL's tailored approach drives measurable results, as demonstrated through its innovative partnership with Koch Inc.

As a large, complex private corporation in the United States, Koch oversees a diverse set of global companies, subsidiaries and affiliates. When seeking to enhance real estate services across these diverse entities and generate global value, Koch turned to JLL as its strategic partner.

Koch is renowned for its far-reaching involvement in the chemicals, energy, fiber and polymers, minerals, fertilizer, pulp and paper industries, as well as technology, software and investing.

Its 120,000-plus employees across more than 50 countries occupy 140 million square feet of space in diverse facilities around the world, including administrative offices, labs, warehouse, manufacturing and mixed-use properties.

Throughout its 85-year history of growth, Koch recognized that its internal corporate real estate (CRE) team, despite being strong and capable, required enhanced expertise, integrated services and tools with global capabilities to maximize its portfolio value. Koch sought a strategic partner capable of delivering comprehensive real estate solutions while also aligning seamlessly with the company's distinctive culture and core business values.

Koch also needed its partner to help establish a centralized portfolio data system to enable comprehensive real estate optimization, along with advanced technologies to enhance operational efficiency and drive data-informed improvements across workplace environments, facilities and overall portfolio performance.

Koch determined that JLL would provide the best talent with relevant experience to be an ideal strategic partner whose cultural fit would advance its CRE priorities.

“JLL offers the key capabilities and the global footprint needed to serve our business,” says Shannon Angle, Vice President, Land, Infrastructure, Facilities and Transactions (LIFT), Koch. “JLL’s vision and values are aligned with those of our Principle-Based Management™, or PBM philosophy, making JLL a great partner for creating a new, tailored approach to delivering real estate services. Together, we created an organization that embodies our PBM principles and also ensures that our companies can receive the real estate solutions they need.”

PBM is a framework based on principles of human progress that enable individuals and organizations to succeed long term by creating superior value for others. It encourages individuals to embrace mutual benefit, integrity, humility and continuous improvement, leveraging the principles of entrepreneurship, discovery and transformation. This encourages everyone to be collaborative innovators and value creators—ideologies embraced by both JLL and Koch.

The global real estate outsourcing partnership with JLL was the first of its kind for the Koch team. Initially, the relationship was based on the standard global service delivery model of corporate real estate services including full-time integrated facility management (IFM) services. Koch and JLL branded the CRE organization as the Land, Infrastructure, Facilities and Transactions (LIFT) team to better communicate its purpose and mission.

However, Koch’s global footprint encompasses numerous geographically dispersed companies and a diverse corporate real estate portfolio with a myriad of stakeholders and decision makers. The multitude of businesses have different real estate priorities—and the one-size-fits-all approach to CRE does not meet its unique needs.

The LIFT team soon recognized that it needed a new operating model that would better align CRE service delivery with the distinct needs of each business partner. Most critically, it needed to adopt a new mindset and unique processes to engage internal business partner stakeholders and proactively recommend customized solutions.

LIFT continues to advance its priorities and demonstrate its broad capabilities through a range of key initiatives. By delivering integrated solutions across office buildouts, specialized relocations, portfolio optimization and operational excellence, LIFT helps its business partners create environments that support business objectives, enhance employee experience and drive long-term value. The following recent projects highlight the depth and versatility of its expertise.

Workplace transformation

LIFT manages large administrative office buildouts, transforming coworking and underutilized spaces into modern, flexible workplaces designed to support talent growth and evolving business needs. In addition to physical space design, LIFT brings new amenities and technology to the workplace, introducing capabilities that improve productivity and elevate the employee experience. These projects have consistently been delivered within tight timelines and at a lower cost than expected.

Portfolio optimization

LIFT’s expertise also extends to portfolio optimization, where they have analyzed global real estate footprints to uncover opportunities for space reduction and cost savings. Its efforts have enabled organizations to better allocate space, execute dozens of transactions across multiple countries and manage the disposition of surplus properties, including significant land holdings. Its approach includes co-locating multiple companies together to optimize leases and maximize the value of real estate assets, particularly in strategic talent markets. This capability enables organizations to reduce costs, improve collaboration and ensure that new spaces are operational on schedule and well-positioned for future success.

Operational excellence

Operationally, LIFT supports reliable operations in addition to regulatory compliance, sustainability and supplier management. Its team has implemented standardized compliance processes, achieved industry certifications for facilities and delivered cost savings through strategic sourcing platforms. In rapidly expanding regions such as Bangalore, India, LIFT has led multiple facility expansions, enhanced employee amenities and provided a range of support services, including guest experience, food and transportation.

Through these initiatives, LIFT continues to create environments that foster productivity, collaboration and long-term value for Koch.