Markets and operating environment
 
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outsource mainly complex secondary processes to specialist service providers continues undiminished. HOCHTIEF Facility management is well positioned in this growth area. The balanced mix of industries it serves ranges from manufacturing through healthcare to long-term public-private partnership projects.

The Gulf states are one example of a growth region for FM solutions. These have seen rapid project development activity in recent years and are forecast to experience double-digit annual growth in facility management services in the future. HOCHTIEF Facility Management's presence in Bahrain enables it to respond flexibly and quickly to the growing needs in this region.

Sustainability is an issue of growing significance in the facility management market. Clients require end-to-end concepts that enable them to optimize processes and manage buildings in a cost-effective and environmentally sustainable manner. HOCHTIEF Facility Management can offer them added value through a combination of modern facility and energy management.

Energy contracting

Energy contracting provides clients with an efficient route to energy-saving solutions. In light of rising energy costs, it is now a recognized cost-efficient tool in Germany. Contracting allows businesses to reap the benefits of contractually agreed energy savings while relieving them of the need to make the necessary investment. A contractor refinances an investment in efficient technical installations through energy-cost savings, useful energy or a combination of the two.

According to a study by market research institute trend:research, the German contracting market is potentially worth some EUR 20 billion. Growth rates for the period to 2015 are far in excess of ten percent. So far, only seven percent of this has been tapped. As many businesses are now focusing on their site costs, energy contracting will continue to gain in significance. The fastest-growing segments are industry, the public sector and healthcare, all segments in which HOCHTIEF Energy Management is very well positioned. Environmental aspects

are also becoming increasingly important. On projects implemented by HOCHTIEF Energy Management, CO2 emissions are being sharply reduced. The combination of process-optimizing facility management and cost-efficient contracting models offered by HOCHTIEF is also meeting with interest in the market.

Property management

Especially in times of economic difficulty, professional property management plays an important role. Although in the past gains have been realized mainly through sales, active property management is now the only way to ensure a sustainable return. Industry experts therefore expect a clear trend toward professional management by specialists over the coming years. HOCHTIEF Property Management is best placed to cater to this trend.

There are already signs that relatively large property owners such as in the insurance industry will continue to outsource in 2009 and the years thereafter. Further growth is expected to come from the various insurance companies' plans to increase the percentage of their investments in real estate.

In Australia, the companies in the Leighton business portfolio provide a wide variety of services ranging from the maintenance of toll routes and tunnels through telecommunications services to innovative waste management. It is anticipated that these profitable segments will continue to see good rates of growth.

Concessions and operation

Public-private partnerships (PPP)

The PPP model – whereby the expansion and operation of public infrastructure is privately financed – is now being used in a number of European countries. In Germany, there were a total of 94 new projects last year at federal, state and municipal level, most of them in public building construction, with investment totaling some EUR 3.3 billion. Further projects are in the pipeline: At the end of 2008, the number of tendered or firmly planned projects stood at 98. It is estimated that investment in the public buildings segment alone will top EUR 20 billion in the period to 2011. The PPP task force at the Federal Ministry of Transport,
 
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