CBRE priced a $750 million senior notes offering due 2033 on November 5, 2025. The notes carry a 4.9% coupon and were priced at 99.813% of face value, yielding net proceeds of about $741.4 million after underwriting discounts and fees. Settlement is scheduled for November 13, 2025. The notes are issued by CBRE Services, Inc. and are fully guaranteed by CBRE.
The proceeds will be used to retire borrowings under the company’s commercial paper program that financed the acquisition of Pearce Services, as well as to support other corporate purposes. By adding this debt instrument, CBRE bolsters a liquidity position that stood at $5.2 billion at the end of Q3 2025, while preserving a net leverage ratio of 1.23x and a strong credit profile reflected in a BBB+ rating for the notes.
CBRE’s Q3 2025 earnings reinforced the company’s financial strength. Core earnings per share rose to $1.61, beating the consensus estimate of $1.47 by $0.14 (9.5%). Revenue reached $10.26 billion, surpassing the $10.08 billion forecast by $0.18 billion (1.8%). The earnings beat was driven by robust demand in core segments, especially a 40% year‑over‑year increase in data‑center services revenue, and disciplined cost management that kept operating margins steady.
The acquisition of Pearce Services for approximately $1.2 billion in cash, with a potential earn‑out of up to $115 million, is a key element of CBRE’s strategy to expand its digital and power‑infrastructure capabilities. Management expects the deal to be immediately accretive to earnings and to enhance CBRE’s position in high‑growth markets such as data centers, renewable energy, and telecommunications. CEO Bob Sulentic highlighted the strategic importance of the acquisition, noting that CBRE’s scale supports its broader real‑estate strategy.
In light of the strong earnings performance, CBRE raised its full‑year core EPS guidance to $6.25–$6.35, an increase from the prior range of $6.10–$6.20. The guidance lift signals management’s confidence in sustaining growth momentum while maintaining profitability through cost discipline and selective capital allocation. CFO Emma Giamartino emphasized that the company remains confident in its valuation, stating that it continues to believe its share price is undervalued.
Market reaction to the notes issuance was mixed. While the earnings beat and guidance raise attracted positive sentiment, investors expressed caution about the sustainability of growth amid tougher year‑over‑year comparisons and broader market volatility. The debt issuance, priced at a 4.9% coupon, reflects improving debt market conditions and a normalization of credit spreads, positioning CBRE to fund future acquisitions and share‑repurchase programs without compromising its strong balance sheet.
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