The ‘Why’ behind Placemaking: A conversation with CBRE’s Head of Place & Community
- Rico Naylor
- 13 minutes ago
- 3 min read
As the commercial real estate market grapples with the transition to a future-proofed, human-centric model, new roles are emerging at the very top of the industry. Ten years ago, a title like "Head of Place & Community" at a global firm like CBRE might have been rare; today, it is essential.
This shift signifies a profound change in the market, from a focus on the physical asset to a focus on the human experience within it.
We sat down with John McHugh, CBRE's Head of Place & Community, to understand this evolution. Drawing on a unique client-side career in real estate at Bruntwood and MAG Property, he explains why placemaking has moved from a "nice-to-have" to a critical driver of commercial value.
Defining Modern Placemaking: 'It's About the People'
The term "placemaking" is often ambiguous. An architect might define it as being about "urban design and physical assets". But for John, whose background is in marketing, the answer is simpler and more direct.
"The simple answer for me would be it's all about the people aspect of real estate in terms of the occupiers and visitors," he explains. "It's about how do people use those spaces?".
He argues that a building's success is not just its design, but its engagement. "It could be the greatest ever space. But if no one's engaged with it," it's a missed opportunity.
John’s team, which is now eight strong, acts as the "informed client" for landlords and developers. They are not just an agency; they are an extension of the client's team, grounded in real estate but bringing a creative, marketing-led mindset to an operational world.
The Client-Side Lesson: A Blueprint for 2025
This human-centric perspective was forged during his seven years at Bruntwood.
He notes that their customer-centric model from 2005 is "still pretty much remains best practice now in 2025," reflecting that "however in recent years there are now more and more positive examples, but there’s more to be done.”
The critical difference, he explains, was the business model. Bruntwood is both the "landlord and the managing agent".
"When you do both aspects, you've got different levers you can pull," he says. "You could make less money on service and invest it, because if you're making the returns on the rent and the capital value... people are often the differentiator".
This "owner-manager" culture allowed for long-term investment in service, a lesson that the wider market is only now fully embracing.
Why Now? The New Board-Level Imperative
For years, this "Bruntwood style thinking" was a niche approach. Now, it's a board-level imperative, driven by three key factors.
Post-COVID Expectations: What was once an "early adopter" trend has started to become "mass market". John notes a "larger expectation from businesses and occupiers that this is part of the offer. And it's not a nice to have, it's starting to become expected".
The 'S' in ESG: The rise of ESG has put a new focus on social value. "The majority of fund investor-level clients," John says, "will have their own corporate goals... but what they don't usually have is the way of delivering the social community element in that plan". A credible placemaking strategy is the direct solution.
The Commercial Return: Most importantly, investors now see the financial value. John notes they are "working with more investment and fund managers who I imagine 10 years ago wouldn't have considered speaking to someone about placemaking". They now understand that a strong "place" strategy is a key tool to "attract and retain" tenants, which ultimately de-risks the asset and adds measurable value.
The Insider Take
John McHugh's perspective confirms a fundamental shift in the market. The old, passive model of property management is being replaced by an active, service-led model.
The skillset that matters most is no longer just technical; it's human-centric and creative.
Empathy, a marketing mindset, and the ability to build a community are now essential skills for modern Asset Managers.
In the flight to quality, occupiers are not just choosing better buildings; they are choosing better experiences.
As John notes, the "big missed opportunity" in real estate is still landlords having only 20 contacts for a building, not 2,000. The future of asset value lies in engaging with the individuals who use the space, not just the company that signs the lease.