Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2020 | Jul. 22, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | CBRE | |
Entity Registrant Name | CBRE GROUP, INC. | |
Entity Central Index Key | 0001138118 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 335,277,797 | |
Entity Shell Company | false | |
Entity Current Reporting Status | Yes | |
Entity File Number | 001-32205 | |
Entity Tax Identification Number | 94-3391143 | |
Entity Address, Address Line One | 400 South Hope Street | |
Entity Address, Address Line Two | 25th Floor | |
Entity Address, City or Town | Los Angeles | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 90071 | |
City Area Code | 213 | |
Local Phone Number | 613-3333 | |
Entity Interactive Data Current | Yes | |
Title of 12(b) Security | Class A Common Stock, $0.01 par value per share | |
Security Exchange Name | NYSE | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Current Assets: | ||
Cash and cash equivalents | $ 1,214,213 | $ 971,781 |
Restricted cash | 99,521 | 121,964 |
Receivables, less allowance for doubtful accounts of $94,368 and $72,725 at June 30, 2020 and December 31, 2019, respectively | 4,134,789 | 4,466,674 |
Warehouse receivables | 765,130 | 993,058 |
Prepaid expenses | 315,823 | 282,741 |
Contract assets | 288,896 | 328,012 |
Income taxes receivable | 103,067 | 93,915 |
Other current assets | 267,996 | 276,319 |
Total Current Assets | 7,189,435 | 7,534,464 |
Property and equipment, net | 824,748 | 836,206 |
Goodwill | 3,695,742 | 3,753,493 |
Other intangible assets, net of accumulated amortization of $1,439,882 and $1,358,528 at June 30, 2020 and December 31, 2019, respectively | 1,330,599 | 1,379,546 |
Operating lease assets | 1,063,529 | 997,966 |
Investments in unconsolidated subsidiaries | 386,123 | 426,711 |
Real estate under development | 191,425 | 185,508 |
Non-current contract assets | 189,583 | 201,760 |
Deferred tax assets, net | 102,858 | 73,864 |
Non-current income taxes receivable | 34,414 | 139,136 |
Other assets, net | 691,958 | 668,542 |
Total Assets | 15,700,414 | 16,197,196 |
Current Liabilities: | ||
Accounts payable and accrued expenses | 2,329,218 | 2,436,084 |
Compensation and employee benefits payable | 1,101,275 | 1,324,990 |
Accrued bonus and profit sharing | 638,349 | 1,261,974 |
Operating lease liabilities | 191,895 | 168,663 |
Contract liabilities | 128,415 | 108,671 |
Income taxes payable | 107,549 | 30,207 |
Short-term borrowings: | ||
Warehouse lines of credit (which fund loans that U.S. Government Sponsored Enterprises have committed to purchase) | 753,894 | 977,175 |
Revolving credit facility | 451,000 | |
Other | 5,295 | 4,534 |
Total short-term borrowings | 1,210,189 | 981,709 |
Current maturities of long-term debt | 1,540 | 1,814 |
Other current liabilities | 144,468 | 122,339 |
Total Current Liabilities | 5,852,898 | 6,436,451 |
Long-term debt, net of current maturities | 1,763,113 | 1,761,245 |
Non-current operating lease liabilities | 1,118,476 | 1,057,758 |
Non-current tax liabilities | 93,300 | 85,966 |
Deferred tax liabilities, net | 72,607 | 34,593 |
Non-current income taxes payable | 40,562 | 93,647 |
Other liabilities | 474,407 | 454,424 |
Total Liabilities | 9,415,363 | 9,924,084 |
Commitments and contingencies | ||
CBRE Group, Inc. Stockholders’ Equity: | ||
Class A common stock; $0.01 par value; 525,000,000 shares authorized; 335,240,052 and 334,752,283 shares issued and outstanding at June 30, 2020 and December 31, 2019, respectively | 3,352 | 3,348 |
Additional paid-in capital | 1,046,999 | 1,115,944 |
Accumulated earnings | 6,032,160 | 5,793,149 |
Accumulated other comprehensive loss | (838,517) | (679,748) |
Total CBRE Group, Inc. Stockholders’ Equity | 6,243,994 | 6,232,693 |
Non-controlling interests | 41,057 | 40,419 |
Total Equity | 6,285,051 | 6,273,112 |
Total Liabilities and Equity | $ 15,700,414 | $ 16,197,196 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Statement Of Financial Position [Abstract] | ||
Receivables, allowance for doubtful accounts | $ 94,368 | $ 72,725 |
Other intangible assets, accumulated amortization | $ 1,439,882 | $ 1,358,528 |
Class A common stock, par value | $ 0.01 | $ 0.01 |
Class A common stock, shares authorized | 525,000,000 | 525,000,000 |
Class A common stock, shares issued | 335,240,052 | 334,752,283 |
Class A common stock, shares outstanding | 335,240,052 | 334,752,283 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Statement [Abstract] | ||||
Revenue | $ 5,381,384 | $ 5,714,073 | $ 11,270,552 | $ 10,849,583 |
Costs and expenses: | ||||
Cost of revenue | 4,399,537 | 4,445,790 | 9,112,211 | 8,467,824 |
Operating, administrative and other | 770,806 | 877,397 | 1,560,872 | 1,670,273 |
Depreciation and amortization | 116,384 | 106,479 | 230,178 | 212,302 |
Asset impairments | 75,171 | 89,037 | ||
Total costs and expenses | 5,286,727 | 5,429,666 | 10,978,432 | 10,439,436 |
(Loss) gain on disposition of real estate | (492) | 10 | 22,335 | 19,257 |
Operating income | 94,165 | 284,417 | 314,455 | 429,404 |
Equity income from unconsolidated subsidiaries | 19,480 | 21,773 | 40,111 | 94,437 |
Other income | 5,220 | 4,369 | 5,027 | 25,222 |
Interest expense, net of interest income | 17,950 | 24,600 | 33,966 | 45,792 |
Write-off of financing costs on extinguished debt | 2,608 | |||
Income before provision for income taxes | 100,915 | 285,959 | 325,627 | 500,663 |
Provision for income taxes | 18,803 | 62,521 | 69,985 | 106,399 |
Net income | 82,112 | 223,438 | 255,642 | 394,264 |
Less: Net income (loss) attributable to non-controlling interests | 215 | (293) | 1,550 | 6,124 |
Net income attributable to CBRE Group, Inc. | $ 81,897 | $ 223,731 | $ 254,092 | $ 388,140 |
Basic income per share: | ||||
Net income per share attributable to CBRE Group, Inc. | $ 0.24 | $ 0.67 | $ 0.76 | $ 1.15 |
Weighted average shares outstanding for basic income per share | 335,126,126 | 336,222,471 | 335,048,115 | 336,122,100 |
Diluted income per share: | ||||
Net income per share attributable to CBRE Group, Inc. | $ 0.24 | $ 0.66 | $ 0.75 | $ 1.14 |
Weighted average shares outstanding for diluted income per share | 337,361,419 | 340,508,931 | 338,549,805 | 340,334,315 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income | $ 82,112 | $ 223,438 | $ 255,642 | $ 394,264 |
Other comprehensive income (loss): | ||||
Foreign currency translation gain (loss) | 25,936 | (2,532) | (146,438) | (1,595) |
Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax | 100 | 425 | 214 | 835 |
Unrealized losses on interest rate swaps, net of tax | (52) | (111) | ||
Unrealized holding (losses) gains on available for sale debt securities, net of tax | (409) | 705 | 500 | 1,460 |
Other, net | (13,045) | (13,045) | 1 | |
Total other comprehensive income (loss) | 12,582 | (1,454) | (158,769) | 590 |
Comprehensive income | 94,694 | 221,984 | 96,873 | 394,854 |
Less: Comprehensive income (loss) attributable to non-controlling interests | 275 | (256) | 1,550 | 6,105 |
Comprehensive income attributable to CBRE Group, Inc. | $ 94,419 | $ 222,240 | $ 95,323 | $ 388,749 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income | $ 255,642 | $ 394,264 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 230,178 | 212,302 |
Amortization and write-off of financing costs on extinguished debt | 3,082 | 5,705 |
Gains related to mortgage servicing rights, premiums on loan sales and sales of other assets | (105,697) | (114,283) |
Asset impairments | 75,171 | 89,037 |
Net realized and unrealized gains, primarily from investments | (5,027) | (25,222) |
Provision for doubtful accounts | 29,923 | 11,438 |
Net compensation expense for equity awards | 19,704 | 65,580 |
Equity income from unconsolidated subsidiaries | (40,111) | (94,437) |
Distribution of earnings from unconsolidated subsidiaries | 52,664 | 97,561 |
Proceeds from sale of mortgage loans | 7,421,127 | 10,099,268 |
Origination of mortgage loans | (7,162,747) | (10,090,347) |
(Decrease) increase in warehouse lines of credit | (223,281) | 21,227 |
Tenant concessions received | 23,384 | 12,931 |
Purchase of equity securities | (6,627) | (70,221) |
Proceeds from sale of equity securities | 8,909 | 38,495 |
Decrease (increase) in real estate under development | 701 | (3,356) |
Decrease (increase) in receivables, prepaid expenses and other assets (including contract and lease assets) | 276,065 | (458,990) |
(Decrease) increase in accounts payable and accrued expenses and other liabilities (including contract and lease liabilities) | (130,264) | 163,502 |
Decrease in compensation and employee benefits payable and accrued bonus and profit sharing | (816,621) | (528,754) |
Decrease (increase) in net income taxes receivable/payable | 125,361 | (97,260) |
Other operating activities, net | (25,473) | (21,724) |
Net cash provided by (used in) operating activities | 6,063 | (293,284) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Capital expenditures | (134,149) | (124,222) |
Acquisition of businesses, including net assets acquired, intangibles and goodwill, net of cash acquired | (25,911) | (2,142) |
Contributions to unconsolidated subsidiaries | (51,168) | (35,187) |
Distributions from unconsolidated subsidiaries | 63,972 | 10,273 |
Other investing activities, net | 11,314 | 3,146 |
Net cash used in investing activities | (135,942) | (148,132) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from senior term loans | 300,000 | |
Repayment of senior term loans | (300,000) | |
Proceeds from revolving credit facility | 835,671 | 1,596,000 |
Repayment of revolving credit facility | (384,671) | (1,366,000) |
Proceeds from notes payable on real estate | 22,705 | 4,165 |
Repurchase of common stock | (50,028) | (45,088) |
Units repurchased for payment of taxes on equity awards | (37,358) | (9,565) |
Acquisition of businesses (cash paid for acquisitions more than three months after purchase date) | (6,839) | (28,517) |
Non-controlling interest contributions | 1,428 | 41,977 |
Non-controlling interest distributions | (1,092) | (2,563) |
Other financing activities, net | (2,853) | (4,435) |
Net cash provided by financing activities | 376,963 | 185,974 |
Effect of currency exchange rate changes on cash and cash equivalents and restricted cash | (27,095) | 4,723 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH | 219,989 | (250,719) |
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, AT BEGINNING OF PERIOD | 1,093,745 | 863,944 |
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, AT END OF PERIOD | 1,313,734 | 613,225 |
Cash paid during the period for: | ||
Interest | 31,145 | 46,525 |
Income tax (refunds) payments, net | $ (53,829) | $ 208,876 |
Consolidated Statements of Equi
Consolidated Statements of Equity (Unaudited) - USD ($) $ in Thousands | Total | Class A Common Stock [Member] | Additional Paid-In Capital [Member] | Accumulated Earnings [Member] | Accumulated Other Comprehensive Loss [Member] | Non-controlling Interests [Member] |
Beginning balance at Dec. 31, 2018 | $ 5,009,902 | $ 3,369 | $ 1,149,013 | $ 4,504,684 | $ (718,269) | $ 71,105 |
Net income | 394,264 | 388,140 | 6,124 | |||
Net compensation expense for equity awards | 65,580 | 65,580 | ||||
Units repurchased for payment of taxes on equity awards | (9,565) | (9,565) | ||||
Repurchase of common stock | (45,088) | (11) | (45,077) | |||
Foreign currency translation (loss) gain | (1,595) | (1,576) | (19) | |||
Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax | 835 | 835 | ||||
Unrealized losses on interest rate swaps, net of tax | (111) | (111) | ||||
Unrealized holding (losses) gains on available for sale debt securities, net of tax | 1,460 | 1,460 | ||||
Contributions from non-controlling interests | 41,977 | 41,977 | ||||
Distributions to non-controlling interests | (2,563) | (2,563) | ||||
Deconsolidation of investment | (67,641) | (67,641) | ||||
Other | 3,075 | 5 | 2,051 | 6,108 | 1 | (5,090) |
Ending balance at Jun. 30, 2019 | 5,390,530 | 3,363 | 1,162,002 | 4,898,932 | (717,660) | 43,893 |
Beginning balance at Dec. 31, 2018 | 5,009,902 | 3,369 | 1,149,013 | 4,504,684 | (718,269) | 71,105 |
Ending balance at Dec. 31, 2019 | 6,273,112 | 3,348 | 1,115,944 | 5,793,149 | (679,748) | 40,419 |
Beginning balance at Mar. 31, 2019 | 5,204,216 | 3,363 | 1,126,984 | 4,675,201 | (716,169) | 114,837 |
Net income | 223,438 | 223,731 | (293) | |||
Net compensation expense for equity awards | 36,309 | 36,309 | ||||
Units repurchased for payment of taxes on equity awards | (379) | (379) | ||||
Foreign currency translation (loss) gain | (2,532) | (2,569) | 37 | |||
Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax | 425 | 425 | ||||
Unrealized losses on interest rate swaps, net of tax | (52) | (52) | ||||
Unrealized holding (losses) gains on available for sale debt securities, net of tax | 705 | 705 | ||||
Contributions from non-controlling interests | 1,203 | 1,203 | ||||
Distributions to non-controlling interests | (1,216) | (1,216) | ||||
Deconsolidation of investment | (67,641) | (67,641) | ||||
Other | (3,946) | (912) | (3,034) | |||
Ending balance at Jun. 30, 2019 | 5,390,530 | 3,363 | 1,162,002 | 4,898,932 | (717,660) | 43,893 |
Beginning balance at Dec. 31, 2019 | 6,273,112 | 3,348 | 1,115,944 | 5,793,149 | (679,748) | 40,419 |
Net income | 255,642 | 254,092 | 1,550 | |||
Net compensation expense for equity awards | 19,704 | 19,704 | ||||
Units repurchased for payment of taxes on equity awards | (37,358) | (37,358) | ||||
Repurchase of common stock | (50,028) | (11) | (50,017) | |||
Foreign currency translation (loss) gain | (146,438) | (146,438) | ||||
Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax | 214 | 214 | ||||
Unrealized holding (losses) gains on available for sale debt securities, net of tax | 500 | 500 | ||||
Contributions from non-controlling interests | 1,428 | 1,428 | ||||
Distributions to non-controlling interests | (1,092) | (1,092) | ||||
Other | (30,633) | 15 | (1,274) | (15,081) | (13,045) | (1,248) |
Ending balance at Jun. 30, 2020 | 6,285,051 | 3,352 | 1,046,999 | 6,032,160 | (838,517) | 41,057 |
Beginning balance at Mar. 31, 2020 | 6,169,547 | 3,351 | 1,026,768 | 5,950,263 | (851,039) | 40,204 |
Net income | 82,112 | 81,897 | 215 | |||
Net compensation expense for equity awards | 20,943 | 20,943 | ||||
Units repurchased for payment of taxes on equity awards | (485) | (485) | ||||
Foreign currency translation (loss) gain | 25,936 | 25,876 | 60 | |||
Amounts reclassified from accumulated other comprehensive loss to interest expense, net of tax | 100 | 100 | ||||
Unrealized holding (losses) gains on available for sale debt securities, net of tax | (409) | (409) | ||||
Contributions from non-controlling interests | 806 | 806 | ||||
Distributions to non-controlling interests | (595) | (595) | ||||
Other | (12,904) | 1 | (227) | (13,045) | 367 | |
Ending balance at Jun. 30, 2020 | $ 6,285,051 | $ 3,352 | $ 1,046,999 | $ 6,032,160 | $ (838,517) | $ 41,057 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation | 1. Readers of this Quarterly Report on Form 10-Q (Quarterly Report) should refer to the audited financial statements and notes to consolidated financial statements of CBRE Group, Inc., a Delaware corporation (which may be referred to in these financial statements as “the company,” “we,” “us” and “our”), for the year ended December 31, 2019, which are included in our 2019 Annual Report on Form 10-K (2019 Annual Report), filed with the United States Securities and Exchange Commission (SEC) and also available on our website (www.cbre.com), since we have omitted from this Quarterly Report certain footnote disclosures which would substantially duplicate those contained in such audited financial statements. You should also refer to Note 2, Significant Accounting Policies, in the notes to consolidated financial statements in our 2019 Annual Report for further discussion of our significant accounting policies and estimates. Considerations Related to the COVID‑19 Pandemic In the first half of 2020, the outbreak of the widespread novel coronavirus (COVID‑19) created a tremendous amount of uncertainty, disrupted business activity and severely impacted global real estate markets. The emergence of the COVID‑19 pandemic and resultant sharp contraction of economic activity across much of the world has had a significant impact on commercial real estate markets throughout the first half of 2020. Many property owners and occupiers have put transactions on hold and withdrawn existing mandates, driving lower sales and leasing volumes. Real estate investment management and property development markets have been equally affected by the abrupt macroeconomic, real estate and capital markets challenges brought about by COVID‑19. The timing of the negative impact varies by geography, with Asian markets, which experienced the earliest effects of the pandemic, showing tentative signs of recovering. The recovering of markets in other parts of the world remained uncertain as of mid-year 2020. We expect the effects of COVID‑19 will adversely impact our financial position, results of operations, and cash flows for fiscal year 2020. The unaudited consolidated financial statements presented herein reflect our current estimates and assumptions that affect the reported amounts of assets and liabilities and related disclosures as of the date of the financial statements and reported amounts of sales and expenses during the reporting periods presented. See Note 6 (Fair Value Measurements) and Note 10 (Commitments and Contingencies) for further discussion of COVID‑19 considerations. Financial Statement Preparation The accompanying consolidated financial statements have been prepared in accordance with the rules applicable to quarterly reports on Form 10-Q and include all information and footnotes required for interim financial statement presentation, but do not include all disclosures required under accounting principles generally accepted in the United States (U.S.), or GAAP, for annual financial statements. In our opinion, all adjustments (consisting of normal recurring adjustments, except as otherwise noted) considered necessary for a fair presentation have been included. The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions about future events, including the impact COVID‑19 may have on our business. These estimates and the underlying assumptions affect the amounts of assets and liabilities reported and reported amounts of revenue and expenses. Such estimates include the value of goodwill, intangibles and other long-lived assets, real estate assets, accounts receivable, contract assets, operating lease assets, investments in unconsolidated subsidiaries and assumptions used in the calculation of income taxes, retirement and other post-employment benefits, among others. These estimates and assumptions are based on our best judgment. We evaluate our estimates and assumptions on an ongoing basis using historical experience and other factors, including consideration of the current economic environment, and adjust such estimates and assumptions when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ significantly from these estimates. Changes in these estimates resulting from continuing changes in the economic environment will be reflected in the financial statements in future periods. Certain reclassifications have been made to the 2019 financial statements to conform with the 2020 presentation. |
New Accounting Pronouncements
New Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Changes And Error Corrections [Abstract] | |
New Accounting Pronouncements | 2. New Accounting Pronouncements Recent Accounting Pronouncements Pending Adoption In August 2018, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2018‑14, “ Compensation—Retirement Benefits—Defined Benefit Plans—General (Subtopic 715-20): Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans. In December 2019, the FASB issued ASU 2019‑12, “ Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. In January 2020, the FASB issued ASU 2020‑01, “ Investments—Equity Securities (Topic 321), Investments—Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815). In March 2020, the FASB issued ASU 2020‑04, “ Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” |
Telford Acquisition
Telford Acquisition | 6 Months Ended |
Jun. 30, 2020 | |
Business Combinations [Abstract] | |
Telford Acquisition | 3 . On October 1, 2019, we acquired Telford Homes Plc (Telford) to expand our real estate development business outside of the U.S. (Telford Acquisition). A leading developer of multifamily residential properties in the London area, Telford is reported in our Real Estate Investments segment. Telford shareholders received £3.50 per share in cash, valuing Telford at £267.1 million, or $328.5 million as of the acquisition date. The preliminary purchase accounting related to the Telford Acquisition has been recorded in the accompanying consolidated financial statements (with no significant changes made in 2020). The excess purchase price over the estimated fair value of net assets acquired has been recorded to goodwill. The goodwill arising from the Telford Acquisition consists largely of the synergies and economies of scale expected from combining the operations acquired from Telford with ours. We are currently assessing if any portion of the goodwill recorded in connection with the Telford Acquisition will be deductible for tax purposes, but do not expect any tax deductible goodwill to be significant. Given the complexity of the transaction, the calculation of the fair value of certain assets and liabilities acquired, primarily income tax items, is still preliminary. The purchase price allocation is expected to be completed as soon as practicable, but no later than one year from the acquisition date. |
Warehouse Receivables & Warehou
Warehouse Receivables & Warehouse Lines of Credit | 6 Months Ended |
Jun. 30, 2020 | |
Warehouse Receivables And Warehouse Lines Of Credit [Abstract] | |
Warehouse Receivables & Warehouse Lines of Credit | 4 . Our wholly-owned subsidiary CBRE Capital Markets, Inc. (CBRE Capital Markets) is a Federal Home Loan Mortgage Corporation (Freddie Mac) approved Multifamily Program Plus Seller/Servicer and an approved Federal National Mortgage Association (Fannie Mae) Aggregation and Negotiated Transaction Seller/Servicer. In addition, CBRE Capital Markets’ wholly-owned subsidiary CBRE Multifamily Capital, Inc. (CBRE MCI) is an approved Fannie Mae Delegated Underwriting and Servicing (DUS) Seller/Servicer and CBRE Capital Markets’ wholly-owned subsidiary CBRE HMF, Inc. (CBRE HMF) is a U.S. Department of Housing and Urban Development (HUD) approved Non-Supervised Federal Housing Authority (FHA) Title II Mortgagee, an approved Multifamily Accelerated Processing (MAP) lender and an approved Government National Mortgage Association (Ginnie Mae) issuer of mortgage-backed securities (MBS). Under these arrangements, before loans are originated through proceeds from warehouse lines of credit, we obtain either a contractual loan purchase commitment from either Freddie Mac or Fannie Mae or a confirmed forward trade commitment for the issuance and purchase of a Fannie Mae or Ginnie Mae MBS that will be secured by the loans. The warehouse lines of credit are generally repaid within a one-month A rollforward of our warehouse receivables is as follows (dollars in thousands): Beginning balance at December 31, 2019 $ 993,058 Origination of mortgage loans 7,162,747 Gains (premiums on loan sales) 33,185 Proceeds from sale of mortgage loans: Sale of mortgage loans (7,387,942 ) Cash collections of premiums on loan sales (33,185 ) Proceeds from sale of mortgage loans (7,421,127 ) Net decrease in mortgage servicing rights included in warehouse receivables (2,733 ) Ending balance at June 30, 2020 $ 765,130 The following table is a summary of our warehouse lines of credit in place as of June 30, 2020 and December 31, 2019 (dollars in thousands): June 30, 2020 December 31, 2019 Lender Current Maturity Pricing Maximum Facility Size Carrying Value Maximum Facility Size Carrying Value JP Morgan Chase Bank, N.A. (JP Morgan) 10/19/2020 daily one-month LIBOR plus 1.30% $ 985,000 $ 399,740 $ 985,000 $ 267,075 JP Morgan 10/19/2020 daily one-month LIBOR plus 2.75% 15,000 — 15,000 — Capital One, N.A. (Capital One) (1) 7/27/2020 daily one-month LIBOR plus 1.25% 200,000 75,537 200,000 39,538 Fannie Mae Multifamily As Soon As Pooled Plus Agreement and Multifamily As Soon As Pooled Sale Agreement (ASAP) Program Cancelable anytime daily one-month LIBOR plus 1.35%, with a LIBOR floor of 0.35% 450,000 75,840 450,000 360,784 TD Bank, N.A. (TD Bank) (2) 6/30/2021 daily floating rate LIBOR plus 1.15% 400,000 34,245 800,000 92,266 Bank of America, N.A. (BofA) (3) 5/26/2021 (4) 350,000 118,857 350,000 189,465 BofA (5) daily one-month LIBOR plus 1.15% — — 250,000 17,457 MUFG Union Bank, N.A. (Union Bank) (6) 7/28/2020 daily one-month LIBOR plus 1.20% 350,000 49,675 350,000 10,590 $ 2,750,000 $ 753,894 $ 3,400,000 $ 977,175 (1) This facility expired on July 27, 2020 and was not renewed. (2) Effective July 1, 2020, this facility was amended and provides for a maximum aggregate principal amount of $400.0 million, in addition to an uncommitted $400.0 million temporary line of credit. The interest rate remains unchanged and the revised maturity date is June 30, 2021. (3) After a temporary extension on the initial maturity date of May 27, 2020, effective June 10, 2020, this facility was amended with a revised maturity date of May 26, 2021. The total commitment amount of $350.0 million includes a separate sublimit borrowing in the amount of $100.0 million, which can be utilized for specific purposes as defined within the agreement. As of June 30, 2020, the sublimit borrowing has not been utilized. (4) Effective June 10, 2020, the interest rate on this facility was as follows: (i) a LIBOR daily floating rate for such day, plus 1.50% on the general facility and (ii) a LIBOR daily floating rate for such day, plus 1.75% on the separate sublimit borrowing. Effective July 24, 2020, this facility was amended with a revised interest rate of LIBOR daily floating rate for such day, plus 1.40% on the general facility. No changes were made to the rate on the separate sublimit borrowing. (5) This facility expired on May 27, 2020 and was not renewed. (6) On June 28, 2019, we added a new warehouse facility for $200.0 million with Union Bank. This facility contains an accordion feature which allows for temporary increases not to exceed an additional $150.0 million. If utilized, the additional borrowings must be in predefined multiples and are not to occur more than three times within twelve consecutive months. Since inception, no short-term temporary increases have been requested. On June 26, 2020, the maturity date was extended to July 28, 2020. Effective July 28, 2020, we amended this facility such that it expires on August 27, 2020. During the six months ended June 30, 2020, we had a maximum of $1.8 billion of warehouse lines of credit principal outstanding. |
Variable Interest Entities (VIE
Variable Interest Entities (VIEs) | 6 Months Ended |
Jun. 30, 2020 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Variable Interest Entities (VIEs) | 5 . We hold variable interests in certain VIEs in our Real Estate Investments segment which are not consolidated as it was determined that we are not the primary beneficiary. Our involvement with these entities is in the form of equity co-investments and fee arrangements. As of June 30, 2020 and December 31, 2019, our maximum exposure to loss related to VIEs which are not consolidated was as follows (dollars in thousands): June 30, December 31, 2020 2019 Investments in unconsolidated subsidiaries $ 47,548 $ 30,484 Other current assets 4,218 4,307 Co-investment commitments 51,134 29,696 Maximum exposure to loss $ 102,900 $ 64,487 |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 6 . Topic 820 of the FASB Accounting Standards Codification (ASC) defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. Topic 820 also establishes a three-level fair value hierarchy that prioritizes the inputs used to measure fair value. This hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of inputs used to measure fair value are as follows: • Level 1 – Quoted prices in active markets for identical assets or liabilities. • Level 2 – Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. • Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs. There have been no significant changes to the valuation techniques and inputs used to develop the recurring fair value measurements from those disclosed in our 2019 Annual Report . For a portion of our investments in unconsolidated subsidiaries reported at fair value, we estimate fair value using the net asset value (NAV) per share (or its equivalent) our investees provide. These investments are considered investment companies, or are the equivalent of investment companies, as they carry all investments at fair value, with unrealized gains and losses resulting from changes in fair value reflected in earnings. Accordingly, we effectively carry our investments at an amount that is equivalent to our proportionate share of the net assets of each investment that would be allocated to us if each investment was liquidated at the net asset value as of the measurement date. As of June 30, 2020 and December 31, 2019, investments in unconsolidated subsidiaries at fair value using NAV were $66.5 million and $45.2 million, respectively. These investments fall under practical expedient rules that do not require them to be included in the fair value hierarchy and as a result have been excluded from the tables below. The following tables present the fair value of assets and liabilities measured at fair value on a recurring basis as of June 30, 2020 and December 31, 2019 (dollars in thousands): As of June 30, 2020 Fair Value Measured and Recorded Using Level 1 Level 2 Level 3 Total Assets Available for sale securities: Debt securities: U.S. treasury securities $ 6,719 $ — $ — $ 6,719 Debt securities issued by U.S. federal agencies — 9,735 — 9,735 Corporate debt securities — 30,724 — 30,724 Asset-backed securities — 3,588 — 3,588 Collateralized mortgage obligations — 1,861 — 1,861 Total available for sale debt securities 6,719 45,908 — 52,627 Equity securities 49,907 — — 49,907 Investment in unconsolidated subsidiary 14,048 — — 14,048 Warehouse receivables — 765,130 — 765,130 Total assets at fair value $ 70,674 $ 811,038 $ — $ 881,712 As of December 31, 2019 Fair Value Measured and Recorded Using Level 1 Level 2 Level 3 Total Assets Available for sale securities: Debt securities: U.S. treasury securities $ 6,998 $ — $ — $ 6,998 Debt securities issued by U.S. federal agencies — 10,639 — 10,639 Corporate debt securities — 29,098 — 29,098 Asset-backed securities — 5,152 — 5,152 Collateralized mortgage obligations — 2,222 — 2,222 Total available for sale debt securities 6,998 47,111 — 54,109 Equity securities 51,399 — — 51,399 Warehouse receivables — 993,058 — 993,058 Total assets at fair value $ 58,397 $ 1,040,169 $ — $ 1,098,566 There were no significant non-recurring fair value measurements recorded during the three months ended June 30, 2020 and 2019. The following non-recurring fair value measurements were recorded for the six months ended June 30, 2020 (dollars in thousands): Total Impairment Charges Net Carrying Value Fair Value Measured and for the as of Recorded Using Six Months Ended June 30, 2020 Level 1 Level 2 Level 3 June 30, 2020 Property and equipment $ 9,875 $ — $ — $ 9,875 $ 21,663 Goodwill 421,574 — — 421,574 25,000 Other intangible assets 13,123 — — 13,123 28,508 Total $ 444,572 $ — $ — $ 444,572 $ 75,171 The following non-recurring fair value measurements were recorded for the six months ended June 30, 2019 (dollars in thousands): Total Impairment Charges Net Carrying Value Fair Value Measured and for the as of Recorded Using Six Months Ended June 30, 2019 Level 1 Level 2 Level 3 June 30, 2019 Other intangible assets $ 16,000 $ — $ — $ 16,000 $ 89,037 During the six months ended June 30, 2020, we recorded $50.2 million of non-cash asset impairment charges in our Global Workplace Solutions segment and a non-cash goodwill impairment charge of $25.0 million in our Real Estate Investments segment. As a result of the recent global economic disruption and uncertainty due to COVID‑19, we deemed there to be triggering events in the first quarter of 2020 that required testing of certain assets for impairment at that time. Based on these tests, we recorded the aforementioned non-cash impairment charges, which were driven by lower anticipated cash flows in certain businesses directly resulting from a downturn in forecasts as well as increased forecast risk due to COVID‑19. During the six months ended June 30, 2019, we recorded an intangible asset impairment charge of $89.0 million in our Real Estate Investments segment. This non-cash write-off resulted from a review of the anticipated cash flows and a decrease in assets under management in our public securities business driven in part by continued industry-wide shift in investor preference for passive investment programs. All the above-mentioned asset impairment charges were included within the line item “Asset impairments” in the accompanying consolidated statements of operations. The fair value measurements employed for our impairment evaluations were based on a discounted cash flow approach. Inputs used in these evaluations included risk-free rates of return, estimated risk premiums, terminal growth rates, working capital assumptions, income tax rates as well as other economic variables. FASB ASC Topic 825, “Financial Instruments” • Cash and Cash Equivalents and Restricted Cash – These balances include cash and cash equivalents as well as restricted cash with maturities of less than three months. The carrying amount approximates fair value due to the short-term maturities of these instruments. • Receivables, less Allowance for Doubtful Accounts – Due to their short-term nature, fair value approximates carrying value. • Warehouse Receivables – These balances are carried at fair value. The primary source of value is either a contractual purchase commitment from Freddie Mac or a confirmed forward trade commitment for the issuance and purchase of a Fannie Mae or Ginnie Mae MBS (see Note 4). • Investments in Unconsolidated Subsidiaries – A portion of these investments are carried at fair value. At June 30, 2020, we classify one investment as Level 1 in the fair value hierarchy as a quoted price is readily available. For the remaining investments in unconsolidated subsidiaries that are carried at fair value, we estimate the fair value of each investment using the NAV per share (or its equivalent). • Available f or Sale De bt Securities – These investments are carried at th e ir fair value. • Equity Securities – These investments are carried at their fair value. • Short-Term Borrowings – The majority of this balance represents outstanding amounts under our warehouse lines of credit of our wholly-owned subsidiary, CBRE Capital Markets, and our revolving credit facility. Due to the short-term nature and variable interest rates of these instruments, fair value approximates carrying value (see Notes 4 and 8). • Senior Term Loans – Based upon information from third-party banks (which falls within Level 2 of the fair value hierarchy), the estimated fair value of our senior term loans was approximately $735.6 million at June 30, 2020 and $745.5 million at December 31, 2019. Their actual carrying value, net of unamortized debt issuance costs, totaled $745.9 million and $744.6 million at June 30, 2020 and December 31, 2019, respectively (see Note 8). • Senior Notes – Based on dealers’ quotes (which falls within Level 2 of the fair value hierarchy), the estimated fair values of our 4.875 and $479.9 million, respectively, at June 30, 2020 and $670.7 million and $478.3 million, respectively, at December 31, 2019. The actual carrying value of our 4.875 $593.6 million and $423.0 million, respectively, at December 31, 2019. |
Investments in Unconsolidated S
Investments in Unconsolidated Subsidiaries | 6 Months Ended |
Jun. 30, 2020 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Investments in Unconsolidated Subsidiaries | 7 . Investments in unconsolidated subsidiaries are accounted for under the equity method of accounting. Our investment ownership percentages in equity method investments vary, generally ranging up to 50.0%. Combined condensed financial information for the entities accounted for using the equity method is as follows (dollars in thousands): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Revenue $ 412,169 $ 342,822 $ 823,420 $ 707,947 Operating income 138,924 97,202 313,458 191,823 Net income 54,055 50,549 158,584 99,477 |
Long-Term Debt and Short-Term B
Long-Term Debt and Short-Term Borrowings | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Long-Term Debt and Short-Term Borrowings | 8 . Long-Term Debt Long-term debt consists of the following (dollars in thousands): June 30, December 31, 2020 2019 Senior term loans, with interest ranging from 0.75% to 2.69%, due quarterly through 2024 $ 749,388 $ 748,531 4.875% senior notes due in 2026, net of unamortized discount 597,259 597,052 5.25% senior notes due in 2025, net of unamortized premium 425,860 425,952 Other 1,540 1,861 Total long-term debt 1,774,047 1,773,396 Less: current maturities of long-term debt (1,540 ) (1,814 ) Less: unamortized debt issuance costs (9,394 ) (10,337 ) Total long-term debt, net of current maturities $ 1,763,113 $ 1,761,245 We maintain credit facilities with third-party lenders, which we use for a variety of purposes. On March 4, 2019, CBRE Services, Inc. (CBRE Services) entered into an incremental assumption agreement with respect to its credit agreement, dated October 31, 2017 (such credit agreement, as amended by a December 20, 2018 incremental loan assumption agreement and such March 4, 2019 incremental assumption agreement, the 2019 Credit Agreement), which (i) extended the maturity of the U.S. dollar tranche A term loans under such credit agreement, (ii) extended the termination date of the revolving credit commitments available under such credit agreement and (iii) made certain changes to the interest rates and fees applicable to such tranche A term loans and revolving credit commitments under such credit agreement. The proceeds from the new tranche A term loan facility under the 2019 Credit Agreement were used to repay the $300.0 million of tranche A term loans outstanding under the credit agreement in effect prior to the entry into the 2019 incremental assumption agreement. The 2019 Credit Agreement is a senior unsecured credit facility that is jointly and severally guaranteed by us and certain of our subsidiaries. As of June 30, 2020, the 2019 Credit Agreement provided for the following: (1) a $2.8 billion incremental revolving credit facility, which includes the capacity to obtain letters of credit and swingline loans and terminates on March 4, 2024; (2) a $300.0 million incremental tranche A term loan facility maturing on March 4, 2024, requiring quarterly principal payments unless our leverage ratio (as defined in the 2019 Credit Agreement) is less than or equal to 2.50 to 1.00 on the last day of the fiscal quarter immediately preceding any such payment date; and (3) a €400.0 million term loan facility due and payable in full at maturity on December 20, 2023. The indentures governing our 4.875% senior notes and 5.25% senior notes contain restrictive covenants that, among other things, limit our ability to create or permit liens on assets securing indebtedness, enter into sale/leaseback transactions and enter into consolidations or mergers. In addition, these indentures require that the 4.875% senior notes and 5.25% senior notes be jointly and severally guaranteed on a senior basis by CBRE Group, Inc. and each domestic subsidiary of CBRE Services that guarantees our 2019 Credit Agreement. Our 2019 Credit Agreement also requires us to maintain a minimum coverage ratio of consolidated EBITDA (as defined in the 2019 Credit Agreement) to consolidated interest expense of 2.00x and a maximum leverage ratio of total debt less available cash to consolidated EBITDA (as defined in the 2019 Credit Agreement) of 4.25x (and in the case of the first four full fiscal quarters following consummation of a qualified acquisition (as defined in the 2019 Credit Agreement), 4.75x) as of the end of each fiscal quarter. On this basis, our coverage ratio of consolidated EBITDA to consolidated interest expense was 22.98x for the trailing twelve months ended June 30, 2020, and our leverage ratio of total debt less available cash to consolidated EBITDA was 0.61x as of June 30, 2020. Short-Term Borrowings Revolving Credit Facility The revolving credit facility under the 2019 Credit Agreement allows for borrowings outside of the U.S., with a $200.0 million sub-facility available to CBRE Services, one of our Canadian subsidiaries, one of our Australian subsidiaries and one of our New Zealand subsidiaries and a $300.0 million sub-facility available to CBRE Services and one of our U.K. subsidiaries. Borrowings under the revolving credit facility bear interest at varying rates, based at our option, on either (1) the applicable fixed rate plus 0.680% to 1.075% or (2) the daily rate plus 0.0% to 0.075%, in each case as determined by reference to our Credit Rating (as defined in the 2019 Credit Agreement). The 2019 Credit Agreement requires us to pay a fee based on the total amount of the revolving credit facility commitment (whether used or unused). As of June 30, 2020, $451.0 million was outstanding under the revolving credit facility. In addition, as of June 30, 2020, letters of credit totaling $2.0 million were outstanding under our revolving credit facility. These letters of credit, which reduce the amount we may borrow under the revolving credit facility, were primarily issued in the ordinary course of business. Warehouse Lines of Credit CBRE Capital Markets has warehouse lines of credit with third-party lenders for the purpose of funding mortgage loans that will be resold, and a funding arrangement with Fannie Mae for the purpose of selling a percentage of certain closed multifamily loans to Fannie Mae. These warehouse lines are recourse only to CBRE Capital Markets and are secured by our related warehouse receivables. See Note 4 for additional information. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Leases | 9 . Leases We are the lessee in contracts for our office space tenancies, for leased vehicles and for our wholly-owned subsidiary Hana. These arrangements account for the significant portion of our lease liabilities and right-of-use assets. We continually monitor our service arrangements to evaluate whether they meet the definition of a lease. Supplemental balance sheet information related to our leases is as follows (dollars in thousands): June 30, December 31, Category Classification 2020 2019 Assets Operating lease assets Operating lease assets $ 1,063,529 $ 997,966 Financing lease assets Other assets, net 97,999 94,141 Total leased assets $ 1,161,528 $ 1,092,107 Liabilities Current: Operating Operating lease liabilities $ 191,895 $ 168,663 Financing Other current liabilities 36,478 34,966 Non-current: Operating Non-current operating lease liabilities 1,118,476 1,057,758 Financing Other liabilities 62,586 60,001 Total lease liabilities $ 1,409,435 $ 1,321,388 Supplemental cash flow information and non-cash activity related to our operating leases are as follows (dollars in thousands): Six Months Ended June 30, 2020 2019 Right-of-use assets obtained in exchange for new operating lease liabilities $ 155,935 $ 75,116 Right-of-use assets obtained in exchange for new financing lease liabilities 23,845 18,607 Other non-cash increases in operating lease right-of-use assets (1) 11,426 25,598 Other non-cash decreases in financing lease right-of-use assets (1) (969 ) (226 ) ( 1 ) The non-cash activity in the right-of-use assets resulted from lease modifications and remeasurements. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2020 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 1 0 . We are a party to a number of pending or threatened lawsuits arising out of, or incident to, our ordinary course of business. We believe that any losses in excess of the amounts accrued therefore as liabilities on our financial statements are unlikely to be significant, but litigation is inherently uncertain and there is the potential for a material adverse effect on our financial statements if one or more matters are resolved in a particular period in an amount materially in excess of what we anticipated. In January 2008, CBRE MCI, a wholly-owned subsidiary of CBRE Capital Markets, entered into an agreement with Fannie Mae under Fannie Mae’s Delegated Underwriting and Servicing Lender Program (DUS Program), to provide financing for multifamily housing with five or more units. Under the DUS Program, CBRE MCI originates, underwrites, closes and services loans without prior approval by Fannie Mae, and typically, is subject to sharing up to one-third of any losses on loans originated under the DUS Program. CBRE MCI has funded loans subject to such loss sharing arrangements with unpaid principal balances of $29.4 billion at June 30, 2020. CBRE MCI, under its agreement with Fannie Mae, must post cash reserves or other acceptable collateral under formulas established by Fannie Mae to provide for sufficient capital in the event losses occur. As of June 30, 2020 and December 31, 2019, CBRE MCI had an $82.0 million and a $72.0 million, respectively, letter of credit under this reserve arrangement, and had recorded a liability of approximately $61.3 million and $37.0 million, respectively, for its loan loss guarantee obligation under such arrangement. Fannie Mae’s recourse under the DUS Program is limited to the assets of CBRE MCI, which assets totaled approximately $606.1 million (including $279.6 million of warehouse receivables, a substantial majority of which are pledged against warehouse lines of credit and are therefore not available to Fannie Mae) at June 30, 2020. On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was enacted in the United States in response to the COVID‑19 pandemic. The CARES Act, among other things, permits borrowers with government-backed mortgages from Government Sponsored Enterprises who are experiencing a financial hardship to obtain forbearance of their loans. For Fannie Mae loans that we service, CBRE MCI is obligated to advance (for a forbearance period up to 90 consecutive days and potentially longer) scheduled principal and interest payments to Fannie Mae, regardless of whether the borrowers actually make the payments. CBRE Capital Markets participates in Freddie Mac’s Multifamily Small Balance Loan (SBL) Program. Under the SBL program, CBRE Capital Markets has certain repurchase and loss reimbursement obligations. We could potentially be obligated to repurchase any SBL Program loan originated by CBRE Capital Markets that remains in default for 120 days following the forbearance period, if the default occurred during the first 12 months after origination and such loan had not been earlier securitized. In addition, CBRE Capital Markets may be responsible for a loss not to exceed 10% of the original principal amount of any SBL loan that is not securitized and goes into default after the 12-month repurchase period. CBRE Capital Markets must post a cash reserve or other acceptable collateral to provide for sufficient capital in the event the obligations are triggered. As of both June 30, 2020 and December 31, 2019, CBRE Capital Markets had posted a $5.0 million letter of credit under this reserve arrangement. We had outstanding letters of credit totaling $101.2 million as of June 30, 2020, excluding letters of credit for which we have outstanding liabilities already accrued on our consolidated balance sheet related to our subsidiaries’ outstanding reserves for claims under certain insurance programs as well as letters of credit related to operating leases. The CBRE Capital Markets letters of credit totaling $87.0 million as of June 30, 2020 referred to in the preceding paragraphs represented the majority of the $101.2 million outstanding letters of credit as of such date. The remaining letters of credit are primarily executed by us in the ordinary course of business and expire at varying dates through June 2021. We had guarantees totaling $79.6 million as of June 30, 2020, excluding guarantees related to pension liabilities, consolidated indebtedness and other obligations for which we have outstanding liabilities already accrued on our consolidated balance sheet, and excluding guarantees related to operating leases. The $79.6 million primarily represents guarantees executed by us in the ordinary course of business, including various guarantees of management and vendor contracts in our operations overseas, which expire at the end of each of the respective agreements. In addition, as of June 30, 2020, we had issued numerous non-recourse carveout, completion and budget guarantees relating to development projects for the benefit of third parties. These guarantees are commonplace in our industry and are made by us in the ordinary course of our Real Estate Investments business. Non-recourse carveout guarantees generally require that our project-entity borrower not commit specified improper acts, with us potentially liable for all or a portion of such entity’s indebtedness or other damages suffered by the lender if those acts occur. Completion and budget guarantees generally require us to complete construction of the relevant project within a specified timeframe and/or within a specified budget, with us potentially being liable for costs to complete in excess of such timeframe or budget. While there can be no assurance, we do not expect to incur any material losses under these guarantees. An important part of the strategy for our Real Estate Investments business involves investing our capital in certain real estate investments with our clients. These co-investments generally total up to 2.0% of the equity in a particular fund. As of June 30, 2020, we had aggregate commitments of $91.2 million to fund these future co-investments. Additionally, an important part of our Real Estate Investments business strategy is to invest in unconsolidated real estate subsidiaries as a principal (in most cases co-investing with our clients). As of June 30, 2020, we had committed to fund $43.9 million of additional capital to these unconsolidated subsidiaries. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 11. Income Taxes Our provision for income taxes on a consolidated basis was $18.8 million for the three months ended June 30, 2020 as compared to $62.5 million for the three months ended June 30, 2019. The decrease of $43.7 million is primarily related to the corresponding decrease in our consolidated pre-tax book income. Our effective tax rate decreased from 21.9% for the three months ended June 30, 2019 to 18.6% for the three months ended June 30, 2020 primarily due to a higher benefit on a percentage basis of favorable permanent book tax differences in certain non-U.S. jurisdictions due to lower pre-tax book income. Our provision for income taxes on a consolidated basis was $70.0 million for the six months ended June 30, 2020 as compared to $106.4 million for the six months ended June 30, 2019. The decrease of $36.4 million is primarily related to the corresponding decrease in consolidated pre-tax book income. There was no material difference between the effective tax rate of 21.5% and 21.3% for the six months ended June 30, 2020 and 2019, respectively. Our effective tax rate for the three months ended June 30, 2020 was lower than the U.S. federal statutory tax rate of 21% primarily due to a higher benefit on a percentage basis of favorable permanent book tax differences in certain non-U.S. jurisdictions due to lower pre-tax book income. Our effective tax rate for the six months ended June 30, 2020 of 21.5% was not materially different from the federal statutory rate of 21.0%. As of June 30, 2020, the company had gross unrecognized tax benefits of $147.6 million, of which $6.4 million was recorded during the six months ended June 30, 2020, primarily related to the sustainability of certain tax attributes considering unsettled tax law. The CARES Act has not had, nor is it expected to have, a significant impact on our effective tax rate for 2020. |
Income Per Share and Stockholde
Income Per Share and Stockholders' Equity | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share And Stockholders Equity [Abstract] | |
Income Per Share and Stockholders' Equity | 1 2 . The calculations of basic and diluted income per share attributable to CBRE Group, Inc. shareholders are as follows (dollars in thousands, except share data): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Basic Income Per Share Net income attributable to CBRE Group, Inc. shareholders $ 81,897 $ 223,731 $ 254,092 $ 388,140 Weighted average shares outstanding for basic income per share 335,126,126 336,222,471 335,048,115 336,122,100 Basic income per share attributable to CBRE Group, Inc. shareholders $ 0.24 $ 0.67 $ 0.76 $ 1.15 Diluted Income Per Share Net income attributable to CBRE Group, Inc. shareholders $ 81,897 $ 223,731 $ 254,092 $ 388,140 Weighted average shares outstanding for basic income per share: 335,126,126 336,222,471 335,048,115 336,122,100 Dilutive effect of contingently issuable shares 2,235,293 4,286,460 3,501,690 4,212,215 Weighted average shares outstanding for diluted income per share 337,361,419 340,508,931 338,549,805 340,334,315 Diluted income per share attributable to CBRE Group, Inc. shareholders $ 0.24 $ 0.66 $ 0.75 $ 1.14 For the three and six months ended June 30, 2020, 2,381,476 and 1,585,601, respectively, of contingently issuable shares were excluded from the computation of diluted income per share because their inclusion would have had an anti-dilutive effect. For the three and six months ended June 30, 2019, 813,155 and 579,994, respectively, of contingently issuable shares were excluded from the computation of diluted income per share because their inclusion would have had an anti-dilutive effect. In October 2016, our board of directors authorized the company to repurchase up to an aggregate of $250.0 million of our Class A common stock over three years. During January 2019, through an existing stock repurchase plan entered into pursuant to Rule 10b5-1 under the Exchange Act (10b5-1 plan), we spent $45.1 million to repurchase 1,144,449 shares of our Class A common stock with an average price paid per share of $39.38. In February 2019, our board of directors authorized a new program for the company to repurchase up to $300.0 million of our Class A common stock over three years, effective March 11, 2019. The previous program terminated upon the effectiveness of the new stock repurchase program. In each of August and November 2019, our board of directors authorized an additional $100.0 million under our new program, bringing the total authorized amount under the new program to a total of $500.0 million. During the year ended December 31, 2019, under the March 2019 program, and through repurchases under a 10b5-1 plan, we spent $100.0 million to repurchase an additional 1,936,458 shares of our Class A common stock with an average price paid per share of $51.64. During the month of March 2020, through repurchases under a 10b5-1 plan, we spent $50.0 million to repurchase an additional 1,050,084 shares of our Class A common stock with an average price paid per share of $47.62. We did not repurchase any of our stock during the three months ended June 30, 2020. As of June 30, 2020, we had $350.0 million of capacity remaining under our current stock repurchase program. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 6 Months Ended |
Jun. 30, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Revenue from Contracts with Customers | 1 3 . We account for revenue with customers in accordance with FASB ASC Topic, “ Revenue from Contracts with Customers Disaggregated Revenue The following tables represent a disaggregation of revenue from contracts with customers for the three and six months ended June 30, 2020 and 2019 by type of service and/or segment (dollars in thousands): Three Months Ended June 30, 2020 Advisory Services Global Workplace Solutions Real Estate Investments Consolidated Topic 606 Revenue: Global workplace solutions $ — $ 3,666,844 $ — $ 3,666,844 Advisory leasing 510,124 — — 510,124 Advisory sales 241,247 — — 241,247 Property and advisory project management 512,218 — — 512,218 Valuation 131,845 — — 131,845 Commercial mortgage origination (1) 20,110 — — 20,110 Loan servicing (2) 9,021 — — 9,021 Investment management — — 103,132 103,132 Development services — — 57,700 57,700 Topic 606 Revenue 1,424,565 3,666,844 160,832 5,252,241 Out of Scope of Topic 606 Revenue: Commercial mortgage origination 80,335 — — 80,335 Loan servicing 48,029 — — 48,029 Development services (3) — — 779 779 Total Out of Scope of Topic 606 Revenue 128,364 — 779 129,143 Total revenue $ 1,552,929 $ 3,666,844 $ 161,611 $ 5,381,384 Three Months Ended June 30, 2019 Advisory Services Global Workplace Solutions Real Estate Investments Consolidated Topic 606 Revenue: Global workplace solutions $ — $ 3,385,452 $ — $ 3,385,452 Advisory leasing 817,788 — — 817,788 Advisory sales 466,558 — — 466,558 Property and advisory project management 555,822 — — 555,822 Valuation 149,051 — — 149,051 Commercial mortgage origination (1) 32,111 — — 32,111 Loan servicing (2) 7,084 — — 7,084 Investment management — — 101,646 101,646 Development services — — 48,017 48,017 Topic 606 Revenue 2,028,414 3,385,452 149,663 5,563,529 Out of Scope of Topic 606 Revenue: Commercial mortgage origination 107,888 — — 107,888 Loan servicing 42,656 — — 42,656 Total Out of Scope of Topic 606 Revenue 150,544 — — 150,544 Total revenue $ 2,178,958 $ 3,385,452 $ 149,663 $ 5,714,073 (1) We earn fees for arranging financing for borrowers with third-party lender contacts. Such fees are in scope of Topic 606. (2) Loan servicing fees earned from servicing contracts for which we do not hold mortgage servicing rights are in scope of Topic 606. (3) Out of scope revenue for development services represents selling profit from transfers of sales-type leases in the scope of Topic 842. Six Months Ended June 30, 2020 Advisory Services Global Workplace Solutions Real Estate Investments Consolidated Topic 606 Revenue: Global workplace solutions $ — $ 7,413,018 $ — $ 7,413,018 Advisory leasing 1,117,235 — — 1,117,235 Advisory sales 672,203 — — 672,203 Property and advisory project management 1,078,161 — — 1,078,161 Valuation 279,597 — — 279,597 Commercial mortgage origination (1) 57,990 — — 57,990 Loan servicing (2) 20,430 — — 20,430 Investment management — — 224,810 224,810 Development services — — 133,925 133,925 Topic 606 Revenue 3,225,616 7,413,018 358,735 10,997,369 Out of Scope of Topic 606 Revenue: Commercial mortgage origination 165,537 — — 165,537 Loan servicing 93,300 — — 93,300 Development services (3) — — 14,346 14,346 Total Out of Scope of Topic 606 Revenue 258,837 — 14,346 273,183 Total revenue $ 3,484,453 $ 7,413,018 $ 373,081 $ 11,270,552 Six Months Ended June 30, 2019 Advisory Services Global Workplace Solutions Real Estate Investments Consolidated Topic 606 Revenue: Global workplace solutions $ — $ 6,551,367 $ — $ 6,551,367 Advisory leasing 1,440,428 — — 1,440,428 Advisory sales 852,213 — — 852,213 Property and advisory project management 1,076,706 — — 1,076,706 Valuation 287,377 — — 287,377 Commercial mortgage origination (1) 55,684 — — 55,684 Loan servicing (2) 14,070 — — 14,070 Investment management — — 207,954 207,954 Development services — — 76,902 76,902 Topic 606 Revenue 3,726,478 6,551,367 284,856 10,562,701 Out of Scope of Topic 606 Revenue: Commercial mortgage origination 205,194 — — 205,194 Loan servicing 81,688 — — 81,688 Total Out of Scope of Topic 606 Revenue 286,882 — — 286,882 Total revenue $ 4,013,360 $ 6,551,367 $ 284,856 $ 10,849,583 (1) We earn fees for arranging financing for borrowers with third-party lender contacts. Such fees are in scope of Topic 606. (2) Loan servicing fees earned from servicing contracts for which we do not hold mortgage servicing rights are in scope of Topic 606. (3) Out of scope revenue for development services represents selling profit from transfers of sales-type leases in the scope of Topic 842. Contract Assets and Liabilities We had contract assets totaling $478.5 million ($288.9 million of which was current) and $529.8 million ($328.0 million of which was current) as of June 30, 2020 and December 31, 2019, respectively. We had contract liabilities totaling $134.8 million ($128.4 million of which was current) and $115.0 million ($108.7 million of which was current) as of June 30, 2020 and December 31, 2019, respectively. During the six months ended June 30, 2020, we recognized revenue of $74.8 million that was included in the contract liability balance at December 31, 2019. |
Segments
Segments | 6 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Segments | 1 4 . We organize our operations around, and publicly report our financial results on, three global business segments: (1) Advisory Services; (2) Global Workplace Solutions and (3) Real Estate Investments. Advisory Services provides a comprehensive range of services globally, including property leasing, property sales, mortgage services, property management, project management and valuation. Global Workplace Solutions provides a broad suite of integrated, contractually-based outsourcing services to occupiers of real estate, including facilities management, project management and transaction services. Real Estate Investments includes: (i) investment management services provided globally; (ii) development services in the U.S. and U.K. and (iii) flexible office space solutions. Summarized financial information by segment is as follows (dollars in thousands): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Revenue Advisory Services $ 1,552,929 $ 2,178,958 $ 3,484,453 $ 4,013,360 Global Workplace Solutions 3,666,844 3,385,452 7,413,018 6,551,367 Real Estate Investments 161,611 149,663 373,081 284,856 Total revenue $ 5,381,384 $ 5,714,073 $ 11,270,552 $ 10,849,583 Adjusted EBITDA Advisory Services $ 133,106 $ 333,528 $ 425,760 $ 597,378 Global Workplace Solutions 115,947 104,060 215,245 203,739 Real Estate Investments 18,251 30,904 56,650 117,407 Total Adjusted EBITDA $ 267,304 $ 468,492 $ 697,655 $ 918,524 Adjusted EBITDA is the measure reported to the chief operating decision maker (CODM) for purposes of making decisions about allocating resources to each segment and assessing performance of each segment. EBITDA represents earnings before net interest expense, write-off of financing costs on extinguished debt, income taxes, depreciation and amortization and asset impairments. Amounts shown for adjusted EBITDA further remove (from EBITDA) the impact of costs primarily associated with workforce optimization efforts in response to the COVID-19 pandemic, certain cash and non-cash items related to acquisitions, certain carried interest incentive compensation (reversal) expense to align with the timing of associated revenue, costs associated with our reorganization, including cost-savings initiatives, and other non-recurring costs. Adjusted EBITDA is calculated as follows (dollars in thousands): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Net income attributable to CBRE Group, Inc. $ 81,897 $ 223,731 $ 254,092 $ 388,140 Add: Depreciation and amortization 116,384 106,479 230,178 212,302 Asset impairments — — 75,171 89,037 Interest expense, net of interest income 17,950 24,600 33,966 45,792 Write-off of financing costs on extinguished debt — — — 2,608 Provision for income taxes 18,803 62,521 69,985 106,399 EBITDA 235,034 417,331 663,392 844,278 Adjustments: Costs associated with workforce optimization efforts (1) 37,594 — 37,594 — Impact of fair value adjustments to real estate assets acquired in the Telford Acquisition (purchase accounting) that were sold in period 1,247 — 7,000 — Costs incurred related to legal entity restructuring 693 — 3,934 — Integration and other costs related to acquisitions 236 9,037 1,019 9,037 Carried interest incentive compensation (reversal) expense to align with the timing of associated revenue (7,500 ) 8,308 (15,284 ) 15,644 Costs associated with our reorganization, including cost-savings initiatives (2) — 33,816 — 49,565 Adjusted EBITDA $ 267,304 $ 468,492 $ 697,655 $ 918,524 (1) Primarily represents costs incurred related to workforce optimization initiated and executed in the second quarter of 2020 as part of management’s cost containment efforts in response to the COVID-19 pandemic. The charges are cash expenditures primarily for severance costs incurred related to this effort. Of the total costs, $7.4 million was included within the “Cost of revenue” line item and $30.2 million was included in the “Operating, administrative, and other” line item in the accompanying consolidated statements of operations for both the three and six months ended June 30, 2020. (2) Primarily represents severance costs related to headcount reductions in connection with our reorganization announced in the third quarter of 2018 that became effective January 1, 2019. Our CODM is not provided with total asset information by segment and accordingly, does not measure or allocate total assets on a segment basis. As a result, we have not disclosed any asset information by segment. Geographic Information Revenue in the table below is allocated based upon the country in which services are performed (dollars in thousands): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Revenue United States $ 3,089,794 $ 3,372,201 $ 6,470,357 $ 6,408,907 United Kingdom 677,880 657,005 1,451,895 1,245,587 All other countries 1,613,710 1,684,867 3,348,300 3,195,089 Total revenue $ 5,381,384 $ 5,714,073 $ 11,270,552 $ 10,849,583 |
Warehouse Receivables & Wareh_2
Warehouse Receivables & Warehouse Lines of Credit (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Warehouse Receivables And Warehouse Lines Of Credit [Abstract] | |
Schedule of Warehouse Receivables | A rollforward of our warehouse receivables is as follows (dollars in thousands): Beginning balance at December 31, 2019 $ 993,058 Origination of mortgage loans 7,162,747 Gains (premiums on loan sales) 33,185 Proceeds from sale of mortgage loans: Sale of mortgage loans (7,387,942 ) Cash collections of premiums on loan sales (33,185 ) Proceeds from sale of mortgage loans (7,421,127 ) Net decrease in mortgage servicing rights included in warehouse receivables (2,733 ) Ending balance at June 30, 2020 $ 765,130 |
Summary of Warehouse Lines of Credit in Place | The following table is a summary of our warehouse lines of credit in place as of June 30, 2020 and December 31, 2019 (dollars in thousands): June 30, 2020 December 31, 2019 Lender Current Maturity Pricing Maximum Facility Size Carrying Value Maximum Facility Size Carrying Value JP Morgan Chase Bank, N.A. (JP Morgan) 10/19/2020 daily one-month LIBOR plus 1.30% $ 985,000 $ 399,740 $ 985,000 $ 267,075 JP Morgan 10/19/2020 daily one-month LIBOR plus 2.75% 15,000 — 15,000 — Capital One, N.A. (Capital One) (1) 7/27/2020 daily one-month LIBOR plus 1.25% 200,000 75,537 200,000 39,538 Fannie Mae Multifamily As Soon As Pooled Plus Agreement and Multifamily As Soon As Pooled Sale Agreement (ASAP) Program Cancelable anytime daily one-month LIBOR plus 1.35%, with a LIBOR floor of 0.35% 450,000 75,840 450,000 360,784 TD Bank, N.A. (TD Bank) (2) 6/30/2021 daily floating rate LIBOR plus 1.15% 400,000 34,245 800,000 92,266 Bank of America, N.A. (BofA) (3) 5/26/2021 (4) 350,000 118,857 350,000 189,465 BofA (5) daily one-month LIBOR plus 1.15% — — 250,000 17,457 MUFG Union Bank, N.A. (Union Bank) (6) 7/28/2020 daily one-month LIBOR plus 1.20% 350,000 49,675 350,000 10,590 $ 2,750,000 $ 753,894 $ 3,400,000 $ 977,175 (1) This facility expired on July 27, 2020 and was not renewed. (2) Effective July 1, 2020, this facility was amended and provides for a maximum aggregate principal amount of $400.0 million, in addition to an uncommitted $400.0 million temporary line of credit. The interest rate remains unchanged and the revised maturity date is June 30, 2021. (3) After a temporary extension on the initial maturity date of May 27, 2020, effective June 10, 2020, this facility was amended with a revised maturity date of May 26, 2021. The total commitment amount of $350.0 million includes a separate sublimit borrowing in the amount of $100.0 million, which can be utilized for specific purposes as defined within the agreement. As of June 30, 2020, the sublimit borrowing has not been utilized. (4) Effective June 10, 2020, the interest rate on this facility was as follows: (i) a LIBOR daily floating rate for such day, plus 1.50% on the general facility and (ii) a LIBOR daily floating rate for such day, plus 1.75% on the separate sublimit borrowing. Effective July 24, 2020, this facility was amended with a revised interest rate of LIBOR daily floating rate for such day, plus 1.40% on the general facility. No changes were made to the rate on the separate sublimit borrowing. (5) This facility expired on May 27, 2020 and was not renewed. (6) On June 28, 2019, we added a new warehouse facility for $200.0 million with Union Bank. This facility contains an accordion feature which allows for temporary increases not to exceed an additional $150.0 million. If utilized, the additional borrowings must be in predefined multiples and are not to occur more than three times within twelve consecutive months. Since inception, no short-term temporary increases have been requested. On June 26, 2020, the maturity date was extended to July 28, 2020. Effective July 28, 2020, we amended this facility such that it expires on August 27, 2020. |
Variable Interest Entities (V_2
Variable Interest Entities (VIEs) (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Schedule of Maximum Exposure to Loss | As of June 30, 2020 and December 31, 2019, our maximum exposure to loss related to VIEs which are not consolidated was as follows (dollars in thousands): June 30, December 31, 2020 2019 Investments in unconsolidated subsidiaries $ 47,548 $ 30,484 Other current assets 4,218 4,307 Co-investment commitments 51,134 29,696 Maximum exposure to loss $ 102,900 $ 64,487 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Assets and Liabilities Measured at Fair Value on Recurring Basis | The following tables present the fair value of assets and liabilities measured at fair value on a recurring basis as of June 30, 2020 and December 31, 2019 (dollars in thousands): As of June 30, 2020 Fair Value Measured and Recorded Using Level 1 Level 2 Level 3 Total Assets Available for sale securities: Debt securities: U.S. treasury securities $ 6,719 $ — $ — $ 6,719 Debt securities issued by U.S. federal agencies — 9,735 — 9,735 Corporate debt securities — 30,724 — 30,724 Asset-backed securities — 3,588 — 3,588 Collateralized mortgage obligations — 1,861 — 1,861 Total available for sale debt securities 6,719 45,908 — 52,627 Equity securities 49,907 — — 49,907 Investment in unconsolidated subsidiary 14,048 — — 14,048 Warehouse receivables — 765,130 — 765,130 Total assets at fair value $ 70,674 $ 811,038 $ — $ 881,712 As of December 31, 2019 Fair Value Measured and Recorded Using Level 1 Level 2 Level 3 Total Assets Available for sale securities: Debt securities: U.S. treasury securities $ 6,998 $ — $ — $ 6,998 Debt securities issued by U.S. federal agencies — 10,639 — 10,639 Corporate debt securities — 29,098 — 29,098 Asset-backed securities — 5,152 — 5,152 Collateralized mortgage obligations — 2,222 — 2,222 Total available for sale debt securities 6,998 47,111 — 54,109 Equity securities 51,399 — — 51,399 Warehouse receivables — 993,058 — 993,058 Total assets at fair value $ 58,397 $ 1,040,169 $ — $ 1,098,566 |
Summary of Non-Recurring Fair Value Measurement | The following non-recurring fair value measurements were recorded for the six months ended June 30, 2020 (dollars in thousands): Total Impairment Charges Net Carrying Value Fair Value Measured and for the as of Recorded Using Six Months Ended June 30, 2020 Level 1 Level 2 Level 3 June 30, 2020 Property and equipment $ 9,875 $ — $ — $ 9,875 $ 21,663 Goodwill 421,574 — — 421,574 25,000 Other intangible assets 13,123 — — 13,123 28,508 Total $ 444,572 $ — $ — $ 444,572 $ 75,171 The following non-recurring fair value measurements were recorded for the six months ended June 30, 2019 (dollars in thousands): Total Impairment Charges Net Carrying Value Fair Value Measured and for the as of Recorded Using Six Months Ended June 30, 2019 Level 1 Level 2 Level 3 June 30, 2019 Other intangible assets $ 16,000 $ — $ — $ 16,000 $ 89,037 |
Investments in Unconsolidated_2
Investments in Unconsolidated Subsidiaries (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Schedule of Condensed Financial Information of Equity Method Investments | Combined condensed financial information for the entities accounted for using the equity method is as follows (dollars in thousands): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Revenue $ 412,169 $ 342,822 $ 823,420 $ 707,947 Operating income 138,924 97,202 313,458 191,823 Net income 54,055 50,549 158,584 99,477 |
Long-Term Debt and Short-Term_2
Long-Term Debt and Short-Term Borrowings (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | Long-term debt consists of the following (dollars in thousands): June 30, December 31, 2020 2019 Senior term loans, with interest ranging from 0.75% to 2.69%, due quarterly through 2024 $ 749,388 $ 748,531 4.875% senior notes due in 2026, net of unamortized discount 597,259 597,052 5.25% senior notes due in 2025, net of unamortized premium 425,860 425,952 Other 1,540 1,861 Total long-term debt 1,774,047 1,773,396 Less: current maturities of long-term debt (1,540 ) (1,814 ) Less: unamortized debt issuance costs (9,394 ) (10,337 ) Total long-term debt, net of current maturities $ 1,763,113 $ 1,761,245 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Supplemental Balance Sheet Information Related to Leases | Supplemental balance sheet information related to our leases is as follows (dollars in thousands): June 30, December 31, Category Classification 2020 2019 Assets Operating lease assets Operating lease assets $ 1,063,529 $ 997,966 Financing lease assets Other assets, net 97,999 94,141 Total leased assets $ 1,161,528 $ 1,092,107 Liabilities Current: Operating Operating lease liabilities $ 191,895 $ 168,663 Financing Other current liabilities 36,478 34,966 Non-current: Operating Non-current operating lease liabilities 1,118,476 1,057,758 Financing Other liabilities 62,586 60,001 Total lease liabilities $ 1,409,435 $ 1,321,388 |
Supplemental Cash Flow Information and Non-Cash Activity Related to Operating Leases | Supplemental cash flow information and non-cash activity related to our operating leases are as follows (dollars in thousands): Six Months Ended June 30, 2020 2019 Right-of-use assets obtained in exchange for new operating lease liabilities $ 155,935 $ 75,116 Right-of-use assets obtained in exchange for new financing lease liabilities 23,845 18,607 Other non-cash increases in operating lease right-of-use assets (1) 11,426 25,598 Other non-cash decreases in financing lease right-of-use assets (1) (969 ) (226 ) ( 1 ) The non-cash activity in the right-of-use assets resulted from lease modifications and remeasurements. |
Income Per Share and Stockhol_2
Income Per Share and Stockholders' Equity (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share And Stockholders Equity [Abstract] | |
Calculations of Basic and Diluted Income Per Share | The calculations of basic and diluted income per share attributable to CBRE Group, Inc. shareholders are as follows (dollars in thousands, except share data): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Basic Income Per Share Net income attributable to CBRE Group, Inc. shareholders $ 81,897 $ 223,731 $ 254,092 $ 388,140 Weighted average shares outstanding for basic income per share 335,126,126 336,222,471 335,048,115 336,122,100 Basic income per share attributable to CBRE Group, Inc. shareholders $ 0.24 $ 0.67 $ 0.76 $ 1.15 Diluted Income Per Share Net income attributable to CBRE Group, Inc. shareholders $ 81,897 $ 223,731 $ 254,092 $ 388,140 Weighted average shares outstanding for basic income per share: 335,126,126 336,222,471 335,048,115 336,122,100 Dilutive effect of contingently issuable shares 2,235,293 4,286,460 3,501,690 4,212,215 Weighted average shares outstanding for diluted income per share 337,361,419 340,508,931 338,549,805 340,334,315 Diluted income per share attributable to CBRE Group, Inc. shareholders $ 0.24 $ 0.66 $ 0.75 $ 1.14 |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Disaggregation of Revenue from Contracts with Customers | Disaggregated Revenue The following tables represent a disaggregation of revenue from contracts with customers for the three and six months ended June 30, 2020 and 2019 by type of service and/or segment (dollars in thousands): Three Months Ended June 30, 2020 Advisory Services Global Workplace Solutions Real Estate Investments Consolidated Topic 606 Revenue: Global workplace solutions $ — $ 3,666,844 $ — $ 3,666,844 Advisory leasing 510,124 — — 510,124 Advisory sales 241,247 — — 241,247 Property and advisory project management 512,218 — — 512,218 Valuation 131,845 — — 131,845 Commercial mortgage origination (1) 20,110 — — 20,110 Loan servicing (2) 9,021 — — 9,021 Investment management — — 103,132 103,132 Development services — — 57,700 57,700 Topic 606 Revenue 1,424,565 3,666,844 160,832 5,252,241 Out of Scope of Topic 606 Revenue: Commercial mortgage origination 80,335 — — 80,335 Loan servicing 48,029 — — 48,029 Development services (3) — — 779 779 Total Out of Scope of Topic 606 Revenue 128,364 — 779 129,143 Total revenue $ 1,552,929 $ 3,666,844 $ 161,611 $ 5,381,384 Three Months Ended June 30, 2019 Advisory Services Global Workplace Solutions Real Estate Investments Consolidated Topic 606 Revenue: Global workplace solutions $ — $ 3,385,452 $ — $ 3,385,452 Advisory leasing 817,788 — — 817,788 Advisory sales 466,558 — — 466,558 Property and advisory project management 555,822 — — 555,822 Valuation 149,051 — — 149,051 Commercial mortgage origination (1) 32,111 — — 32,111 Loan servicing (2) 7,084 — — 7,084 Investment management — — 101,646 101,646 Development services — — 48,017 48,017 Topic 606 Revenue 2,028,414 3,385,452 149,663 5,563,529 Out of Scope of Topic 606 Revenue: Commercial mortgage origination 107,888 — — 107,888 Loan servicing 42,656 — — 42,656 Total Out of Scope of Topic 606 Revenue 150,544 — — 150,544 Total revenue $ 2,178,958 $ 3,385,452 $ 149,663 $ 5,714,073 (1) We earn fees for arranging financing for borrowers with third-party lender contacts. Such fees are in scope of Topic 606. (2) Loan servicing fees earned from servicing contracts for which we do not hold mortgage servicing rights are in scope of Topic 606. (3) Out of scope revenue for development services represents selling profit from transfers of sales-type leases in the scope of Topic 842. Six Months Ended June 30, 2020 Advisory Services Global Workplace Solutions Real Estate Investments Consolidated Topic 606 Revenue: Global workplace solutions $ — $ 7,413,018 $ — $ 7,413,018 Advisory leasing 1,117,235 — — 1,117,235 Advisory sales 672,203 — — 672,203 Property and advisory project management 1,078,161 — — 1,078,161 Valuation 279,597 — — 279,597 Commercial mortgage origination (1) 57,990 — — 57,990 Loan servicing (2) 20,430 — — 20,430 Investment management — — 224,810 224,810 Development services — — 133,925 133,925 Topic 606 Revenue 3,225,616 7,413,018 358,735 10,997,369 Out of Scope of Topic 606 Revenue: Commercial mortgage origination 165,537 — — 165,537 Loan servicing 93,300 — — 93,300 Development services (3) — — 14,346 14,346 Total Out of Scope of Topic 606 Revenue 258,837 — 14,346 273,183 Total revenue $ 3,484,453 $ 7,413,018 $ 373,081 $ 11,270,552 Six Months Ended June 30, 2019 Advisory Services Global Workplace Solutions Real Estate Investments Consolidated Topic 606 Revenue: Global workplace solutions $ — $ 6,551,367 $ — $ 6,551,367 Advisory leasing 1,440,428 — — 1,440,428 Advisory sales 852,213 — — 852,213 Property and advisory project management 1,076,706 — — 1,076,706 Valuation 287,377 — — 287,377 Commercial mortgage origination (1) 55,684 — — 55,684 Loan servicing (2) 14,070 — — 14,070 Investment management — — 207,954 207,954 Development services — — 76,902 76,902 Topic 606 Revenue 3,726,478 6,551,367 284,856 10,562,701 Out of Scope of Topic 606 Revenue: Commercial mortgage origination 205,194 — — 205,194 Loan servicing 81,688 — — 81,688 Total Out of Scope of Topic 606 Revenue 286,882 — — 286,882 Total revenue $ 4,013,360 $ 6,551,367 $ 284,856 $ 10,849,583 (1) We earn fees for arranging financing for borrowers with third-party lender contacts. Such fees are in scope of Topic 606. (2) Loan servicing fees earned from servicing contracts for which we do not hold mortgage servicing rights are in scope of Topic 606. (3) Out of scope revenue for development services represents selling profit from transfers of sales-type leases in the scope of Topic 842. |
Segments (Tables)
Segments (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Summarized Financial Information by Segment | Summarized financial information by segment is as follows (dollars in thousands): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Revenue Advisory Services $ 1,552,929 $ 2,178,958 $ 3,484,453 $ 4,013,360 Global Workplace Solutions 3,666,844 3,385,452 7,413,018 6,551,367 Real Estate Investments 161,611 149,663 373,081 284,856 Total revenue $ 5,381,384 $ 5,714,073 $ 11,270,552 $ 10,849,583 Adjusted EBITDA Advisory Services $ 133,106 $ 333,528 $ 425,760 $ 597,378 Global Workplace Solutions 115,947 104,060 215,245 203,739 Real Estate Investments 18,251 30,904 56,650 117,407 Total Adjusted EBITDA $ 267,304 $ 468,492 $ 697,655 $ 918,524 |
Adjusted EBITDA Calculation by Segment | Adjusted EBITDA is calculated as follows (dollars in thousands): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Net income attributable to CBRE Group, Inc. $ 81,897 $ 223,731 $ 254,092 $ 388,140 Add: Depreciation and amortization 116,384 106,479 230,178 212,302 Asset impairments — — 75,171 89,037 Interest expense, net of interest income 17,950 24,600 33,966 45,792 Write-off of financing costs on extinguished debt — — — 2,608 Provision for income taxes 18,803 62,521 69,985 106,399 EBITDA 235,034 417,331 663,392 844,278 Adjustments: Costs associated with workforce optimization efforts (1) 37,594 — 37,594 — Impact of fair value adjustments to real estate assets acquired in the Telford Acquisition (purchase accounting) that were sold in period 1,247 — 7,000 — Costs incurred related to legal entity restructuring 693 — 3,934 — Integration and other costs related to acquisitions 236 9,037 1,019 9,037 Carried interest incentive compensation (reversal) expense to align with the timing of associated revenue (7,500 ) 8,308 (15,284 ) 15,644 Costs associated with our reorganization, including cost-savings initiatives (2) — 33,816 — 49,565 Adjusted EBITDA $ 267,304 $ 468,492 $ 697,655 $ 918,524 (1) Primarily represents costs incurred related to workforce optimization initiated and executed in the second quarter of 2020 as part of management’s cost containment efforts in response to the COVID-19 pandemic. The charges are cash expenditures primarily for severance costs incurred related to this effort. Of the total costs, $7.4 million was included within the “Cost of revenue” line item and $30.2 million was included in the “Operating, administrative, and other” line item in the accompanying consolidated statements of operations for both the three and six months ended June 30, 2020. (2) Primarily represents severance costs related to headcount reductions in connection with our reorganization announced in the third quarter of 2018 that became effective January 1, 2019. |
Summary of Geographic Information | Revenue in the table below is allocated based upon the country in which services are performed (dollars in thousands): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Revenue United States $ 3,089,794 $ 3,372,201 $ 6,470,357 $ 6,408,907 United Kingdom 677,880 657,005 1,451,895 1,245,587 All other countries 1,613,710 1,684,867 3,348,300 3,195,089 Total revenue $ 5,381,384 $ 5,714,073 $ 11,270,552 $ 10,849,583 |
Telford Acquisition - Additiona
Telford Acquisition - Additional Information (Detail) - Oct. 01, 2019 - Telford Homes Plc [Member] £ / shares in Units, £ in Millions, $ in Millions | USD ($) | GBP (£)£ / shares |
Business Acquisition [Line Items] | ||
Date of business purchase agreement | Oct. 1, 2019 | |
Share price | £ 3.50 | |
Business combination, cash consideration | $ 328.5 | £ 267.1 |
Warehouse Receivables & Wareh_3
Warehouse Receivables & Warehouse Lines of Credit - Additional Information (Detail) - Warehouse Agreement Borrowings [Member] | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | |
Period of repayment for warehouse lines of credit | 1 month |
Lines of credit principal outstanding | $ 1,800,000,000 |
Warehouse Receivables & Wareh_4
Warehouse Receivables & Warehouse Lines of Credit - Schedule of Warehouse Receivables (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Warehouse Receivables And Warehouse Lines Of Credit [Abstract] | ||
Beginning balance at December 31, 2019 | $ 993,058 | |
Origination of mortgage loans | 7,162,747 | $ 10,090,347 |
Gains (premiums on loan sales) | 33,185 | |
Proceeds from sale of mortgage loans: | ||
Sale of mortgage loans | (7,387,942) | |
Cash collections of premiums on loan sales | (33,185) | |
Proceeds from sale of mortgage loans | (7,421,127) | $ (10,099,268) |
Net decrease in mortgage servicing rights included in warehouse receivables | (2,733) | |
Ending balance at June 30, 2020 | $ 765,130 |
Warehouse Receivables & Wareh_5
Warehouse Receivables & Warehouse Lines of Credit - Summary of Warehouse Lines of Credit in Place (Detail) - USD ($) | Jun. 26, 2020 | Jun. 10, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 28, 2019 |
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | |||||
Carrying Value | $ 753,894,000 | $ 977,175,000 | |||
Warehouse Agreement Borrowings [Member] | |||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | |||||
Maximum Facility Size | 2,750,000,000 | 3,400,000,000 | |||
Carrying Value | $ 753,894,000 | 977,175,000 | |||
Warehouse Agreement Borrowings [Member] | JP Morgan [Member] | Pricing at daily one-month LIBOR plus 1.30%, maturing October 21, 2019 [Member] | |||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | |||||
Current Maturity | Oct. 19, 2020 | ||||
Maximum Facility Size | $ 985,000,000 | 985,000,000 | |||
Carrying Value | $ 399,740,000 | $ 267,075,000 | |||
Line of credit over LIBOR rate | 1.30% | 1.30% | |||
Warehouse Agreement Borrowings [Member] | JP Morgan [Member] | Pricing at daily one-month LIBOR plus 2.75%, maturing October 21, 2019 [Member] | |||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | |||||
Current Maturity | Oct. 19, 2020 | ||||
Maximum Facility Size | $ 15,000,000 | $ 15,000,000 | |||
Line of credit over LIBOR rate | 2.75% | 2.75% | |||
Warehouse Agreement Borrowings [Member] | Capital One [Member] | Pricing at daily one-month LIBOR plus 1.25%, maturing July 27, 2020 [Member] | |||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | |||||
Current Maturity | Jul. 27, 2020 | ||||
Maximum Facility Size | $ 200,000,000 | $ 200,000,000 | |||
Carrying Value | $ 75,537,000 | $ 39,538,000 | |||
Line of credit over LIBOR rate | 1.25% | 1.25% | |||
Warehouse Agreement Borrowings [Member] | Fannie Mae ASAP Program [Member] | Pricing at daily one-month LIBOR plus 1.35%, with a LIBOR floor of 0.35%, Cancelable anytime [Member] | |||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | |||||
Current Maturity | Cancelable anytime | ||||
Maximum Facility Size | $ 450,000,000 | $ 450,000,000 | |||
Carrying Value | $ 75,840,000 | $ 360,784,000 | |||
Line of credit over LIBOR rate | 1.35% | 1.35% | |||
Line of credit, LIBOR floor rate | 0.35% | 0.35% | |||
Warehouse Agreement Borrowings [Member] | TD Bank [Member] | Pricing at daily floating rate LIBOR plus 1.15%, maturing June 30, 2021 [Member] | |||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | |||||
Current Maturity | Jun. 30, 2021 | ||||
Maximum Facility Size | $ 400,000,000 | $ 800,000,000 | |||
Carrying Value | $ 34,245,000 | $ 92,266,000 | |||
Line of credit over LIBOR rate | 1.15% | 1.15% | |||
Warehouse Agreement Borrowings [Member] | Bank of America (BofA) [Member] | LIBOR daily floating rate plus 1.50% on general facility and LIBOR daily floating rate plus 1.75% on separate sublimit borrowing, maturing on May 26, 2021 [Member] | |||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | |||||
Current Maturity | May 26, 2021 | May 26, 2021 | |||
Maximum Facility Size | $ 350,000,000 | $ 350,000,000 | $ 350,000,000 | ||
Carrying Value | $ 118,857,000 | 189,465,000 | |||
Warehouse Agreement Borrowings [Member] | Bank of America (BofA) [Member] | Pricing at daily one-month LIBOR plus 1.15%, maturing May 27, 2020 [Member] | |||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | |||||
Current Maturity | May 27, 2020 | ||||
Maximum Facility Size | 250,000,000 | ||||
Carrying Value | $ 17,457,000 | ||||
Line of credit over LIBOR rate | 1.15% | 1.15% | |||
Warehouse Agreement Borrowings [Member] | MUFG Union Bank, N.A. (Union Bank) [Member] | Pricing at daily one-month LIBOR plus 1.20%, maturing June 28, 2020 [Member] | |||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | |||||
Current Maturity | Jul. 28, 2020 | Jul. 28, 2020 | |||
Maximum Facility Size | $ 350,000,000 | $ 350,000,000 | $ 200,000,000 | ||
Carrying Value | $ 49,675,000 | $ 10,590,000 | |||
Line of credit over LIBOR rate | 1.20% | 1.20% |
Warehouse Receivables & Wareh_6
Warehouse Receivables & Warehouse Lines of Credit - Summary of Warehouse Lines of Credit in Place (Parenthetical) (Detail) - Warehouse Agreement Borrowings [Member] - USD ($) | Jul. 28, 2020 | Jul. 24, 2020 | Jul. 01, 2020 | Jun. 26, 2020 | Jun. 10, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 28, 2019 |
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Maximum Facility Size | $ 2,750,000,000 | $ 3,400,000,000 | ||||||
Capital One [Member] | Pricing at daily one-month LIBOR plus 1.25%, maturing July 27, 2020 [Member] | ||||||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Current Maturity | Jul. 27, 2020 | |||||||
Maximum Facility Size | $ 200,000,000 | $ 200,000,000 | ||||||
Line of credit over LIBOR rate | 1.25% | 1.25% | ||||||
TD Bank [Member] | Pricing at daily floating rate LIBOR plus 1.15%, maturing June 30, 2021 [Member] | ||||||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Current Maturity | Jun. 30, 2021 | |||||||
Maximum Facility Size | $ 400,000,000 | $ 800,000,000 | ||||||
Line of credit over LIBOR rate | 1.15% | 1.15% | ||||||
TD Bank [Member] | Pricing at daily floating rate LIBOR plus 1.15%, maturing June 30, 2021 [Member] | Subsequent Event [Member] | ||||||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Current Maturity | Jun. 30, 2021 | |||||||
Maximum Facility Size | $ 400,000,000 | |||||||
Bank of America (BofA) [Member] | LIBOR daily floating rate plus 1.50% on general facility and LIBOR daily floating rate plus 1.75% on separate sublimit borrowing, maturing on May 26, 2021 [Member] | ||||||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Current Maturity | May 26, 2021 | May 26, 2021 | ||||||
Maximum Facility Size | $ 350,000,000 | $ 350,000,000 | $ 350,000,000 | |||||
Bank of America (BofA) [Member] | LIBOR daily floating rate plus 1.50% on general facility and LIBOR daily floating rate plus 1.75% on separate sublimit borrowing, maturing on May 26, 2021 [Member] | Sublimit Borrowing [Member] | ||||||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Maximum Facility Size | $ 100,000,000 | |||||||
Line of credit over LIBOR rate | 1.75% | |||||||
Bank of America (BofA) [Member] | LIBOR daily floating rate plus 1.50% on general facility and LIBOR daily floating rate plus 1.75% on separate sublimit borrowing, maturing on May 26, 2021 [Member] | General Facility [Member] | ||||||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Line of credit over LIBOR rate | 1.50% | |||||||
Bank of America (BofA) [Member] | LIBOR daily floating rate plus 1.50% on general facility and LIBOR daily floating rate plus 1.75% on separate sublimit borrowing, maturing on May 26, 2021 [Member] | Subsequent Event [Member] | General Facility [Member] | ||||||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Line of credit over LIBOR rate | 1.40% | |||||||
Bank of America (BofA) [Member] | Pricing at daily one-month LIBOR plus 1.15%, maturing May 27, 2020 [Member] | ||||||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Current Maturity | May 27, 2020 | |||||||
Maximum Facility Size | $ 250,000,000 | |||||||
Line of credit over LIBOR rate | 1.15% | 1.15% | ||||||
MUFG Union Bank, N.A. (Union Bank) [Member] | Pricing at daily one-month LIBOR plus 1.20%, maturing June 28, 2020 [Member] | ||||||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Current Maturity | Jul. 28, 2020 | Jul. 28, 2020 | ||||||
Maximum Facility Size | $ 350,000,000 | $ 350,000,000 | $ 200,000,000 | |||||
Line of credit over LIBOR rate | 1.20% | 1.20% | ||||||
MUFG Union Bank, N.A. (Union Bank) [Member] | Pricing at daily one-month LIBOR plus 1.20%, maturing June 28, 2020 [Member] | Maximum [Member] | ||||||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Additional line of credit | $ 150,000,000 | |||||||
MUFG Union Bank, N.A. (Union Bank) [Member] | Pricing at daily one-month LIBOR plus 1.20%, maturing June 28, 2020 [Member] | Subsequent Event [Member] | ||||||||
Warehouse Receivables And Warehouse Lines Of Credit [Line Items] | ||||||||
Current Maturity | Aug. 27, 2020 |
Variable Interest Entities (V_3
Variable Interest Entities (VIEs) - Schedule of Maximum Exposure to Loss (Detail) - Non-Consolidated Variable Interest Entities [Member] - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Variable Interest Entity [Line Items] | ||
Investments in unconsolidated subsidiaries | $ 47,548 | $ 30,484 |
Other current assets | 4,218 | 4,307 |
Co-investment commitments | 51,134 | 29,696 |
Maximum exposure to loss | $ 102,900 | $ 64,487 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Investments in unconsolidated subsidiaries at fair value using NAV | $ 66,500 | $ 45,200 | |
Non-cash asset impairment charges | $ 75,171 | $ 89,037 | |
Intangible asset impairment | $ 89,000 | ||
4.875% Senior Notes [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Interest rate of long-term debt | 4.875% | 4.875% | |
5.25% Senior Notes [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Interest rate of long-term debt | 5.25% | 5.25% | |
Estimated Fair Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior term loans | $ 735,600 | $ 745,500 | |
Estimated Fair Value [Member] | 4.875% Senior Notes [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior notes | 683,800 | 670,700 | |
Estimated Fair Value [Member] | 5.25% Senior Notes [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior notes | 479,900 | 478,300 | |
Actual Carrying Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior term loans | 745,900 | 744,600 | |
Actual Carrying Value [Member] | 4.875% Senior Notes [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior notes | 594,100 | 593,600 | |
Actual Carrying Value [Member] | 5.25% Senior Notes [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior notes | 423,100 | $ 423,000 | |
Global Workplace Solutions [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Non-cash asset impairment charges | 50,200 | ||
Real Estate Investments [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Non-cash goodwill impairment charge | $ 25,000 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value of Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warehouse receivables | $ 765,130 | $ 993,058 |
Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 52,627 | 54,109 |
Equity securities | 49,907 | 51,399 |
Investment in unconsolidated subsidiary | 14,048 | |
Warehouse receivables | 765,130 | 993,058 |
Total assets at fair value | 881,712 | 1,098,566 |
Recurring [Member] | Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 6,719 | 6,998 |
Equity securities | 49,907 | 51,399 |
Investment in unconsolidated subsidiary | 14,048 | |
Total assets at fair value | 70,674 | 58,397 |
Recurring [Member] | Significant Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 45,908 | 47,111 |
Warehouse receivables | 765,130 | 993,058 |
Total assets at fair value | 811,038 | 1,040,169 |
Recurring [Member] | U.S. treasury securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 6,719 | 6,998 |
Recurring [Member] | U.S. treasury securities [Member] | Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 6,719 | 6,998 |
Recurring [Member] | Debt securities issued by U.S. federal agencies [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 9,735 | 10,639 |
Recurring [Member] | Debt securities issued by U.S. federal agencies [Member] | Significant Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 9,735 | 10,639 |
Recurring [Member] | Corporate debt securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 30,724 | 29,098 |
Recurring [Member] | Corporate debt securities [Member] | Significant Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 30,724 | 29,098 |
Recurring [Member] | Asset-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 3,588 | 5,152 |
Recurring [Member] | Asset-backed securities [Member] | Significant Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 3,588 | 5,152 |
Recurring [Member] | Collateralized mortgage obligations [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | 1,861 | 2,222 |
Recurring [Member] | Collateralized mortgage obligations [Member] | Significant Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale debt securities | $ 1,861 | $ 2,222 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Non-Recurring Fair Value Measurement (Detail) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Property and equipment, net | $ 824,748 | $ 836,206 | |
Goodwill, Net Carrying Value | 3,695,742 | 3,753,493 | |
Other intangible assets, Net Carrying Value | 1,330,599 | 1,379,546 | |
Other intangible assets, Total Impairment Charges | $ 89,000 | ||
Net Carrying Value | 15,700,414 | $ 16,197,196 | |
Total Impairment Charges | 75,171 | 89,037 | |
Fair Value Measurements, Non-recurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Property and equipment, net | 9,875 | ||
Property and equipment, Total Impairment Charges | 21,663 | ||
Goodwill, Net Carrying Value | 421,574 | ||
Goodwill, Total Impairment Charges | 25,000 | ||
Other intangible assets, Net Carrying Value | 13,123 | 16,000 | |
Other intangible assets, Total Impairment Charges | 28,508 | 89,037 | |
Net Carrying Value | 444,572 | ||
Total Impairment Charges | 75,171 | ||
Fair Value Measurements, Non-recurring [Member] | Level 3 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Property and equipment, Fair Value Measured and Recorded Using | 9,875 | ||
Goodwill, Fair Value Measured and Recorded Using | 421,574 | ||
Other intangible assets, Fair Value Measured and Recorded Using | 13,123 | $ 16,000 | |
Fair Value Measured and Recorded Using | $ 444,572 |
Investments in Unconsolidated_3
Investments in Unconsolidated Subsidiaries - Additional Information (Detail) | Jun. 30, 2020 |
Maximum [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Equity method investments in unconsolidated subsidiaries, variations in ownership percentage | 50.00% |
Investments in Unconsolidated_4
Investments in Unconsolidated Subsidiaries - Schedule of Condensed Financial Information of Equity Method Investments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Equity Method Investments And Joint Ventures [Abstract] | ||||
Revenue | $ 412,169 | $ 342,822 | $ 823,420 | $ 707,947 |
Operating income | 138,924 | 97,202 | 313,458 | 191,823 |
Net income | $ 54,055 | $ 50,549 | $ 158,584 | $ 99,477 |
Long-Term Debt and Short-Term_3
Long-Term Debt and Short-Term Borrowings - Schedule of Long-Term Debt (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,774,047 | $ 1,773,396 |
Less: current maturities of long-term debt | (1,540) | (1,814) |
Less: unamortized debt issuance costs | (9,394) | (10,337) |
Total long-term debt, net of current maturities | 1,763,113 | 1,761,245 |
Senior secured term loans [Member] | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 749,388 | 748,531 |
Other Long Term Debt [Member] | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 1,540 | 1,861 |
4.875% Senior Notes [Member] | Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 597,259 | 597,052 |
5.25% Senior Notes [Member] | Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 425,860 | $ 425,952 |
Long-Term Debt and Short-Term_4
Long-Term Debt and Short-Term Borrowings - Schedule of Long-Term Debt (Parenthetical) (Detail) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
Senior secured term loans [Member] | ||
Debt Instrument [Line Items] | ||
Due date of debt instrument | 2024 | 2024 |
Senior secured term loans [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Interest rate of long-term debt | 0.75% | 0.75% |
Senior secured term loans [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Interest rate of long-term debt | 2.69% | 2.69% |
4.875% Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Interest rate of long-term debt | 4.875% | 4.875% |
4.875% Senior Notes [Member] | Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Interest rate of long-term debt | 4.875% | 4.875% |
Due date of debt instrument | 2026 | 2026 |
5.25% Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Interest rate of long-term debt | 5.25% | 5.25% |
5.25% Senior Notes [Member] | Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Interest rate of long-term debt | 5.25% | 5.25% |
Due date of debt instrument | 2025 | 2025 |
Long-Term Debt and Short-Term_5
Long-Term Debt and Short-Term Borrowings - Long-Term Debt - Additional Information (Detail) | Oct. 31, 2017USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2020EUR (€) | Dec. 31, 2019 |
Debt Instrument [Line Items] | |||||
Borrowings from line of credit | $ 835,671,000 | $ 1,596,000,000 | |||
Minimum coverage ratio of EBITDA to total interest expense expressed in percentage | 200.00% | ||||
Maximum leverage ratio of total debt less available cash to EBITDA expressed in percentage | 425.00% | ||||
Maximum leverage ratio during first four quarter that qualified acquisition is consummated | 475.00% | ||||
Coverage ratio of EBITDA to total interest expense expressed in percentage | 2298.00% | 2298.00% | |||
Leverage ratio of total debt less available cash to EBITDA expressed in percentage | 61.00% | 61.00% | |||
4.875% Senior Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate of long-term debt | 4.875% | 4.875% | 4.875% | ||
5.25% Senior Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate of long-term debt | 5.25% | 5.25% | 5.25% | ||
Tranche A term loan facility [Member] | 2019 Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Borrowings from line of credit | $ 300,000,000 | ||||
Amounts available to borrow under credit agreement | $ 300,000,000 | ||||
Termination date | Mar. 4, 2024 | ||||
Maximum leverage ratio | 250.00% | ||||
Revolving credit facility [Member] | 2019 Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Amounts available to borrow under credit agreement | $ 2,800,000,000 | ||||
Termination date | Mar. 4, 2024 | ||||
Euro term loan facility [Member] | 2019 Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Term loan facility due and payable | € | € 400,000,000 | ||||
Debt instrument, maturity date | Dec. 20, 2023 |
Long-Term Debt and Short-Term_6
Long-Term Debt and Short-Term Borrowings - Revolving Credit Facility - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Debt Instrument [Line Items] | |
Letters of credit outstanding amount | $ 101,200,000 |
2019 Credit Agreement [Member] | Revolving credit facility [Member] | |
Debt Instrument [Line Items] | |
Amounts available to borrow under credit agreement | 2,800,000,000 |
Revolving credit facility | 451,000,000 |
Letters of credit outstanding amount | $ 2,000,000 |
2019 Credit Agreement [Member] | Revolving credit facility [Member] | Minimum [Member] | |
Debt Instrument [Line Items] | |
Credit Agreement applicable fixed rate spread | 0.68% |
Credit Agreement applicable daily rate spread | 0.00% |
2019 Credit Agreement [Member] | Revolving credit facility [Member] | Maximum [Member] | |
Debt Instrument [Line Items] | |
Credit Agreement applicable fixed rate spread | 1.075% |
Credit Agreement applicable daily rate spread | 0.075% |
2019 Credit Agreement [Member] | Canadian, Australian and New Zealand subsidiaries [Member] | |
Debt Instrument [Line Items] | |
Amounts available to borrow under credit agreement | $ 200,000,000 |
2019 Credit Agreement [Member] | U.K. subsidiaries [Member] | |
Debt Instrument [Line Items] | |
Amounts available to borrow under credit agreement | $ 300,000,000 |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information Related to Leases (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Assets | ||
Operating lease assets | $ 1,063,529 | $ 997,966 |
Financing lease assets | $ 97,999 | $ 94,141 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssets | us-gaap:OtherAssets |
Total leased assets | $ 1,161,528 | $ 1,092,107 |
Current: | ||
Operating | 191,895 | 168,663 |
Financing | $ 36,478 | $ 34,966 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesCurrent | us-gaap:OtherLiabilitiesCurrent |
Non-current: | ||
Operating | $ 1,118,476 | $ 1,057,758 |
Financing | $ 62,586 | $ 60,001 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesNoncurrent | us-gaap:OtherLiabilitiesNoncurrent |
Total lease liabilities | $ 1,409,435 | $ 1,321,388 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information and Non-Cash Activity Related to Operating Leases (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Leases [Abstract] | ||
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 155,935 | $ 75,116 |
Right-of-use assets obtained in exchange for new financing lease liabilities | 23,845 | 18,607 |
Other non-cash increases in operating lease right-of-use assets | 11,426 | 25,598 |
Other non-cash decreases in financing lease right-of-use assets | $ (969) | $ (226) |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Loss Contingencies [Line Items] | ||
Letters of credit outstanding | $ 101,200,000 | |
Accrued loan loss | 61,300,000 | $ 37,000,000 |
Assets available for recourse | $ 606,100,000 | |
Letters of credit expiration date | 2021-06 | |
Guarantees total | $ 79,600,000 | |
Commitments to investment in future real estate investment | 91,200,000 | |
Commitments to investment in unconsolidated real estate subsidiary | $ 43,900,000 | |
Maximum [Member] | ||
Loss Contingencies [Line Items] | ||
Co-investments typically range | 2.00% | |
COVID 19 Pandemic [Member] | ||
Loss Contingencies [Line Items] | ||
Advances for principal and interest | $ 2,300,000 | |
Warehouse Receivable [Member] | ||
Loss Contingencies [Line Items] | ||
Warehouse receivables | 279,600,000 | |
Funded loans subject to loss sharing arrangements [Member] | ||
Loss Contingencies [Line Items] | ||
Funded loans unpaid principal | 29,400,000,000 | |
Letters of credit outstanding | 82,000,000 | 72,000,000 |
SBL Program [Member] | ||
Loss Contingencies [Line Items] | ||
Letters of credit outstanding | $ 5,000,000 | $ 5,000,000 |
Percentage of maximum original principal amount loan loss | 10.00% | |
Funded loans not subject to loss sharing arrangements [Member] | ||
Loss Contingencies [Line Items] | ||
Letters of credit outstanding | $ 87,000,000 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Provision for income taxes | $ 18,803 | $ 62,521 | $ 69,985 | $ 106,399 |
Decrease in income taxes due to decrease of pre-tax book income | $ 43,700 | $ 36,400 | ||
Effective tax rate | 18.60% | 21.90% | 21.50% | 21.30% |
Federal statutory tax rate | 21.00% | |||
Unrecognized tax benefits | $ 147,600 | $ 147,600 | ||
Unrecognized tax benefits related to unsettled tax law | $ 6,400 | $ 6,400 |
Income Per Share and Stockhol_3
Income Per Share and Stockholders' Equity - Calculations of Basic and Diluted Income Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Basic Income Per Share | ||||
Net income attributable to CBRE Group, Inc. shareholders | $ 81,897 | $ 223,731 | $ 254,092 | $ 388,140 |
Weighted average shares outstanding for basic income per share | 335,126,126 | 336,222,471 | 335,048,115 | 336,122,100 |
Basic income per share attributable to CBRE Group, Inc. shareholders | $ 0.24 | $ 0.67 | $ 0.76 | $ 1.15 |
Diluted Income Per Share | ||||
Net income attributable to CBRE Group, Inc. shareholders | $ 81,897 | $ 223,731 | $ 254,092 | $ 388,140 |
Weighted average shares outstanding for basic income per share | 335,126,126 | 336,222,471 | 335,048,115 | 336,122,100 |
Dilutive effect of contingently issuable shares | 2,235,293 | 4,286,460 | 3,501,690 | 4,212,215 |
Weighted average shares outstanding for diluted income per share | 337,361,419 | 340,508,931 | 338,549,805 | 340,334,315 |
Diluted income per share attributable to CBRE Group, Inc. shareholders | $ 0.24 | $ 0.66 | $ 0.75 | $ 1.14 |
Income Per Share and Stockhol_4
Income Per Share and Stockholders' Equity - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||
Mar. 31, 2020 | Feb. 28, 2019 | Jan. 31, 2019 | Oct. 31, 2016 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | Nov. 30, 2019 | Aug. 31, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Shares repurchased during the period, shares | 0 | ||||||||||
Shares repurchased during the period, value | $ 50,028,000 | $ 45,088,000 | |||||||||
Capacity remaining under current stock repurchase program | $ 350,000,000 | 350,000,000 | |||||||||
Exchange Act (10b5-1 Plan) [Member] | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Shares repurchased during the period, value | $ 45,100,000 | ||||||||||
Exchange Act (10b5-1 Plan) [Member] | March 2019 Program [Member] | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Shares repurchased during the period, value | $ 100,000,000 | ||||||||||
Class A Common Stock [Member] | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Authorized share repurchase amount | $ 500,000,000 | 500,000,000 | |||||||||
Authorized share repurchase term | 3 years | 3 years | |||||||||
Shares repurchased during the period, value | $ 11,000 | $ 11,000 | |||||||||
Authorized share additional repurchase amount | $ 100,000,000 | $ 100,000,000 | |||||||||
Class A Common Stock [Member] | Maximum [Member] | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Authorized share repurchase amount | $ 300,000,000 | $ 250,000,000 | |||||||||
Class A Common Stock [Member] | Exchange Act (10b5-1 Plan) [Member] | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Shares repurchased during the period, shares | 1,050,084 | 1,144,449 | |||||||||
Shares repurchased during the period, value | $ 50,000,000 | ||||||||||
Average price per share | $ 47.62 | $ 39.38 | |||||||||
Class A Common Stock [Member] | Exchange Act (10b5-1 Plan) [Member] | March 2019 Program [Member] | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Shares repurchased during the period, shares | 1,936,458 | ||||||||||
Average price per share | $ 51.64 | ||||||||||
Contingently Issuable Shares [Member] | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Shares excluded in computation of diluted income per share | 2,381,476 | 813,155 | 1,585,601 | 579,994 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Disaggregation of Revenue from Contracts with Customers (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | $ 5,252,241 | $ 5,563,529 | $ 10,997,369 | $ 10,562,701 |
Out of Scope of Topic 606 Revenue | 129,143 | 150,544 | 273,183 | 286,882 |
Total revenue | 5,381,384 | 5,714,073 | 11,270,552 | 10,849,583 |
Advisory Services [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 1,424,565 | 2,028,414 | 3,225,616 | 3,726,478 |
Out of Scope of Topic 606 Revenue | 128,364 | 150,544 | 258,837 | 286,882 |
Total revenue | 1,552,929 | 2,178,958 | 3,484,453 | 4,013,360 |
Global Workplace Solutions [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 3,666,844 | 3,385,452 | 7,413,018 | 6,551,367 |
Total revenue | 3,666,844 | 3,385,452 | 7,413,018 | 6,551,367 |
Real Estate Investments [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 160,832 | 149,663 | 358,735 | 284,856 |
Out of Scope of Topic 606 Revenue | 779 | 14,346 | ||
Total revenue | 161,611 | 149,663 | 373,081 | 284,856 |
Global Workplace Solutions [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 3,666,844 | 3,385,452 | 7,413,018 | 6,551,367 |
Global Workplace Solutions [Member] | Global Workplace Solutions [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 3,666,844 | 3,385,452 | 7,413,018 | 6,551,367 |
Advisory Leasing [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 510,124 | 817,788 | 1,117,235 | 1,440,428 |
Advisory Leasing [Member] | Advisory Services [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 510,124 | 817,788 | 1,117,235 | 1,440,428 |
Advisory Sales [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 241,247 | 466,558 | 672,203 | 852,213 |
Advisory Sales [Member] | Advisory Services [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 241,247 | 466,558 | 672,203 | 852,213 |
Property and Advisory Project Management [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 512,218 | 555,822 | 1,078,161 | 1,076,706 |
Property and Advisory Project Management [Member] | Advisory Services [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 512,218 | 555,822 | 1,078,161 | 1,076,706 |
Valuation [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 131,845 | 149,051 | 279,597 | 287,377 |
Valuation [Member] | Advisory Services [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 131,845 | 149,051 | 279,597 | 287,377 |
Commercial Mortgage Origination [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 20,110 | 32,111 | 57,990 | 55,684 |
Out of Scope of Topic 606 Revenue | 80,335 | 107,888 | 165,537 | 205,194 |
Commercial Mortgage Origination [Member] | Advisory Services [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 20,110 | 32,111 | 57,990 | 55,684 |
Out of Scope of Topic 606 Revenue | 80,335 | 107,888 | 165,537 | 205,194 |
Loan Servicing [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 9,021 | 7,084 | 20,430 | 14,070 |
Out of Scope of Topic 606 Revenue | 48,029 | 42,656 | 93,300 | 81,688 |
Loan Servicing [Member] | Advisory Services [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 9,021 | 7,084 | 20,430 | 14,070 |
Out of Scope of Topic 606 Revenue | 48,029 | 42,656 | 93,300 | 81,688 |
Investment Management [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 103,132 | 101,646 | 224,810 | 207,954 |
Investment Management [Member] | Real Estate Investments [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 103,132 | 101,646 | 224,810 | 207,954 |
Development Services [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 57,700 | 48,017 | 133,925 | 76,902 |
Out of Scope of Topic 606 Revenue | 779 | 14,346 | ||
Development Services [Member] | Real Estate Investments [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Topic 606 Revenue | 57,700 | $ 48,017 | 133,925 | $ 76,902 |
Out of Scope of Topic 606 Revenue | $ 779 | $ 14,346 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Revenue From Contract With Customer [Abstract] | ||
Contract assets | $ 478,500 | $ 529,800 |
Contract assets, current | 288,896 | 328,012 |
Contract liabilities | 134,800 | 115,000 |
Contract liabilities, current | 128,415 | $ 108,671 |
Recognized revenue included in contract liability | $ 74,800 |
Segments - Additional Informati
Segments - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2020Segment | |
Segment Reporting [Abstract] | |
Global business segments | 3 |
Segments - Summarized Financial
Segments - Summarized Financial Information by Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Segment Reporting Information [Line Items] | ||||
Revenue | $ 5,381,384 | $ 5,714,073 | $ 11,270,552 | $ 10,849,583 |
Adjusted EBITDA | 267,304 | 468,492 | 697,655 | 918,524 |
Advisory Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 1,552,929 | 2,178,958 | 3,484,453 | 4,013,360 |
Adjusted EBITDA | 133,106 | 333,528 | 425,760 | 597,378 |
Global Workplace Solutions [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 3,666,844 | 3,385,452 | 7,413,018 | 6,551,367 |
Adjusted EBITDA | 115,947 | 104,060 | 215,245 | 203,739 |
Real Estate Investments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 161,611 | 149,663 | 373,081 | 284,856 |
Adjusted EBITDA | $ 18,251 | $ 30,904 | $ 56,650 | $ 117,407 |
Segments - Adjusted EBITDA Calc
Segments - Adjusted EBITDA Calculation by Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Segment Reporting [Abstract] | ||||
Net income attributable to CBRE Group, Inc. | $ 81,897 | $ 223,731 | $ 254,092 | $ 388,140 |
Depreciation and amortization | 116,384 | 106,479 | 230,178 | 212,302 |
Asset impairments | 75,171 | 89,037 | ||
Interest expense, net of interest income | 17,950 | 24,600 | 33,966 | 45,792 |
Write-off of financing costs on extinguished debt | 2,608 | |||
Provision for income taxes | 18,803 | 62,521 | 69,985 | 106,399 |
EBITDA | 235,034 | 417,331 | 663,392 | 844,278 |
Costs associated with workforce optimization efforts | 37,594 | 37,594 | ||
Impact of fair value adjustments to real estate assets acquired in the Telford Acquisition (purchase accounting) that were sold in period | 1,247 | 7,000 | ||
Costs incurred related to legal entity restructuring | 693 | 3,934 | ||
Integration and other costs related to acquisitions | 236 | 9,037 | 1,019 | 9,037 |
Carried interest incentive compensation (reversal) expense to align with the timing of associated revenue | (7,500) | 8,308 | (15,284) | 15,644 |
Costs associated with our reorganization, including cost-savings initiatives | 33,816 | 49,565 | ||
Adjusted EBITDA | $ 267,304 | $ 468,492 | $ 697,655 | $ 918,524 |
Segments - Adjusted EBITDA Ca_2
Segments - Adjusted EBITDA Calculation by Segment (Parenthetical) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2020 | Jun. 30, 2020 | |
Segment Reporting Information [Line Items] | ||
Costs primarily associated with workforce optimization efforts | $ 37,594 | $ 37,594 |
Cost of Revenue [Member] | ||
Segment Reporting Information [Line Items] | ||
Costs primarily associated with workforce optimization efforts | 7,400 | 7,400 |
Operating, Administrative, and Other [Member] | ||
Segment Reporting Information [Line Items] | ||
Costs primarily associated with workforce optimization efforts | $ 30,200 | $ 30,200 |
Segments - Summary of Geographi
Segments - Summary of Geographic Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenue | $ 5,381,384 | $ 5,714,073 | $ 11,270,552 | $ 10,849,583 |
United States [Member] | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenue | 3,089,794 | 3,372,201 | 6,470,357 | 6,408,907 |
United Kingdom [Member] | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenue | 677,880 | 657,005 | 1,451,895 | 1,245,587 |
All other countries [Member] | ||||
Revenues From External Customers And Long Lived Assets [Line Items] | ||||
Revenue | $ 1,613,710 | $ 1,684,867 | $ 3,348,300 | $ 3,195,089 |