Dow

Situation

Following the announced merger of Dow Chemical, DuPont and Dow Corning, Newmark was hired to support a comprehensive global real estate planning process. The engagement included creating a unified global real estate database, advising on organizational design for the future companies and developing a strategy to help achieve the merger’s announced real estate savings target.

Newmark’s partnership with Dow expanded into a broader suite of services as trust developed across the relationship. The team supported transaction management, lease administration, facilities management, global strategy and project management across a large, complex global portfolio.

Through integrated governance, portfolio strategy and operational delivery, Newmark helped Dow improve visibility, reduce costs and create a more efficient operating model across its real estate platform.

Outcome

Newmark delivered $38.4M in M&A synergy, $23.5M in stranded cost mitigation and $9.4M in annual global savings and reductions. The partnership also recorded more than 5 million man-hours without incident over a two-year period, reduced the annual facilities management budget by approximately $10M since 2017 and reduced headcount by 10% through delivery model efficiencies. In lease administration, Newmark delivered $10M in savings and avoidance in the first 3.5 contract years, and in 2023 helped reduce the portfolio by more than 10%, equating to $62M in savings.