Tim Green speaks to Paul Coates, Head of Debt Advisory and Structured Finance (EMEA) at CBRE.
Paul Coates has been with CBRE for just under two years, having joined to build out the company’s debt advisory platform across EMEA. He previously spent more than 25 years in the real estate finance world, being part of some major UK corporate finance and development projects. From 2008 for ten years he led RBS’s real estate lending teams across the UK and Europe, which he describes as an interesting, challenging and rewarding role to take in the wake of the global financial crisis.
Paul is currently chairing the Property Industry Alliance initiative to create an industry wide loan database to promote greater transparency in the UK real estate lending markets. Following the Vision for Real Estate Lending report in 2014 the initiative seeks to provide accurate, timely and relevant information about the flow of credit into the UK Real Estate market and trends within the market to seek to promote more informed decision making and risk taking.
Coates lives in Richmond, south-west London, where he enjoys the space around Richmond Park and the River Thames as well as being close to Twickenham, where he is a member and avid follower of the Harlequins rugby team.
What was your first job, and what is the worst job you’ve ever done?
My first job was working at B&Q, from selling carpets to designing kitchens. Worst job… I think delivering 380 free papers every week for less than £2 a week. In business I think a lot of the enjoyment (or not) is shaped by the leaders and the environment they create – I’ve had the fortune to work for some great bosses and mentors.
Was finance your first career choice and what were you doing before?
I turned down British Airways pilot training to go into the financial world. Who know where that alternative route could have taken me – literally…
Why did you choose a career in the commercial real estate sector?
In a way it just happened: as banks started to specialise in sectors, I had a number of clients in the property sector – including George Wimpey, long before its current guise – so it was a natural progression.
Why do you enjoy the sector?
I love the real estate sector – I have been lucky enough to be involved with many amazing clients and projects over the years, from financing the buyout of Canary Wharf Group to leading the financing for the new Arsenal stadium.
What’s a typical day like?
There isn’t one really, and I enjoy that diversity. Client meetings and calls, planning and strategy, spending time with the team – and, as we are in growth mode, lots of recruitment discussions, and trains, planes and automobiles.
Who or what has had the biggest impact on your career?
When I was recruited into RBS I met Roy Harris and I knew within minutes I wanted to join them; by the time I got home from the interview the offer was sitting in my inbox. I admire that agility and decisiveness. Also my father – he passed away suddenly in his fifties when I was partway through a two-day assessment process for a senior role. It was the belief he would want me to carry on and give it my best shot that took me through that tough 48 hours.
What advice would you give to people at different levels on developing their careers?
The advice to your younger self question! Be curious and get some breadth in your experiences early in your career. You will never know until you look back the various experiences you will draw upon. Learn to be comfortable in ambiguity.
Who inspires you and why?
Sarah Sparks, an executive coach I had the privilege to work with – one of those people in life who energises those who meet her. Her life story is inspirational and led her to her mission to ‘strive to thrive’ and tackle the issues of executive stress and mental illness in business. And, importantly, my daughter – she’s just 21 and in the last six months has suddenly suffered from some life-shaping and -changing conditions. She is having to change her previously held ambitions and expected direction in life and forge a new future. Her resilience and positivity are incredible to see and make me very proud and humble.
What are your strengths and weaknesses?
Better for others to answer this one… I suppose I have been told I have the ability to make the complex simple, which might have helped me navigate through building the teams and businesses I’ve worked with. I’m pretty determined too, but perhaps I can be a little too much of a perfectionist sometimes, which can be a strength and a weakness.
What do you think are the common qualities that the best leaders have?
Those who, when the pressure is on – either in a fast-growth scenario or in a crisis – can continue to act in a calm, assured manner to give confidence to those around them. Some of the leaders with the biggest roles and broadest interests can seem always to have time, which is a skill I have yet to acquire
What are you most proud of?
Despite difficult times through my ten years at RBS, the friendships and comradery we built up within the team, which made dealing with some of the tougher days easier. And the three birdies I somehow managed on the back nine around Pinehurst No. 2 last September – never done before or since!
Why do you feel championing inclusion and diversity is so important?
Talent should be given a chance whatever the colour, creed or gender, and business needs to take more risks with those who have potential – they might surprise you. For me diversity is actually about diversity of thinking. There is no point having an apparent diversity and inclusion strategy if the culture of the organisation is then to drive that originality and challenge out of people so the status quo is maintained.
Where do you see the real estate sector in ten years’ time?
It will still be a major asset class for investment and fundamental to the economy; however, the way we use space will continue to follow what seems to be the trend of consumers to have everything on demand at the point of need – Airbnb, Uber, Netflix – so the trend for real estate to provide flexibility and essentially become an operating asset class will continue. And ten years’ time will be here before we know it.
What are key challenges for business directors/partners in 2020?
Prioritisation and focus: in a world where we have access to so much information 24/7, how to focus on what’s important and filter what you need from the ‘nice to know’. Also talent attraction and retention, in a world where the labour market is increasingly mobile and agile.
Finally, what do you do to relax?
Good food, wine and laughs with friends, and cold Saturday afternoons at the Twickenham Stoop to follow Harlequins rugby. And sleep – I learned it’s vital and I don’t protect it as much as I should sometimes.
