Redefining real estate strategy in an era of talent wars, tech acceleration and resilience imperatives.
Insight
Financial Services Portfolio of Tomorrow
The financial services industry is at a pivotal inflection point. Shaped by structural economic shifts, accelerated digital adoption and intense competition for high-impact talent, institutions are reevaluating not only how they operate—but where they operate. As AI scales from experimentation to enterprise-wide deployment, and as hybrid work norms become embedded in culture, real estate strategy must evolve to meet the demands of a radically different future.
What once focused on location and cost efficiency now requires a more multidimensional view. Today, financial services corporate real estate (CRE) must balance innovation enablement, talent proximity, space adaptability and ESG imperatives. Across global markets, portfolio decisions are being reframed through the lens of workforce agility, organizational productivity and long-term resilience.
Location as a magnet for talent
CRE functions are playing a more dynamic role in shaping enterprise transformation. Strategic alignment between portfolio strategy and talent requirements is now essential for future-proofing operations. From global banks co-locating AI teams with product leaders to wealth managers expanding into university-adjacent markets, occupiers are leveraging real estate to attract, develop and retain differentiated talent.
Top firms are expanding in markets that align with digital capabilities, academic pipelines and workforce scalability. More cost-efficient locations like Bengaluru, Toronto and Dallas are rising as global capability centers for the sector.
Financial services companies are prioritizing growth to capture both deep talent pools and the fastest-growing, specialized labor markets. New York still leads with 627,500 financial services jobs (up 5.2% since 2022), reflecting its preeminence in sought-after financial services and tech-oriented skills. Several fast-growing centers are capturing attention:
- Vancouver (+22.1%)– driven by a burgeoning fintech and wealth-tech cluster and Canada’s competitive immigration pathways
- Warsaw (+19.8%) – reflecting Poland’s rise as a shared-services and automation hub for risk, compliance, and data analytics
- Toronto (9.7%) – fueled by major redevelopments like CIBC Square and BMO Place that consolidate tech, AI, and operations teams into amenity-rich campuses.
- Singapore (+9.9%) – as a regional headquarters for Asia-Pacific banking, wealth management, and fintech innovation
- Atlanta (+9.6%)– driven by large bank tech and operations centers benefitting from lower costs and strong university pipelines
Key Insights
This report provides the framework for financial institutions to adapt the CRE portfolio–in response to evolving labor markets, technology shifts and productivity challenges—for the business model of tomorrow. Our roadmap outlines four critical strategies:
- Evolve workplace design in step with a changing talent landscape, designing for cross-functional collaboration and deep technical work.
- Position real estate to amplify AI and tech returns with spaces that allow use cases to move from pilot to production.
- Invest in strategic hubs to win the war for talent, leveraging location analytics to reorient portfolio expansion toward locations with deep talent pipelines and long-term innovation capacity.
- Control run-rate capital with creative deal structures to fund strategic portfolio growth without bloating operating expenses.
Download the full report for a deep‑dive analysis, leading practices of global banks, detailed methodology, and additional key insights to transform your real estate function from a cost center into a strategic business enabler.