Change Agent: Sébastien Hylands, Kevric

Connect CRE Canada has launched a new leadership series in which we interview Canadian commercial real estate industry leaders about emerging trends, keys to their companies’ success and other factors that enable them to be difference-makers.

This interview is with Sébastien Hylands, president of Montreal-based investment and development firm Kevric. Hylands was recently promoted to president after serving as head of development. Here, he talks about how his company has dealt with challenges at its 600 De La Gauchetière West office redevelopment in downtown Montreal. The building will serve as the future headquarters of CN Rail.

Hylands also offers insights on challenges that the industry is facing and where it needs to go.

How do you navigate the transition from established practices to pioneering new frontiers within your organization?

Our core expertise lies in redevelopment and development projects, where we excel in agility and innovation. We prioritize testing and validation of new ideas throught pilot-project to ensure the viability of new approaches before full-scale implementation, especially given the physical and long-term nature of real estate investments. This is very different than, for example, digital products where correcting bugs or implementing improvements can be done through software updates.

To stay ahead of industry trends, we actively research global best practices, particularly in sustainability. Our 600 De La Gauchetière project is a prime example of this approach, where we’ve focused on decarbonization, climate-related impacts, and innovative solutions.

During COVID, we’ve successfully implemented a touchless elevator system, a project that originated from in-house brainstorming, collaboration and testing. No off-the-shelf solutions were available, so this initiative showcased our ability to innovate, test, and scale solutions efficiently within our organization.

By fostering a culture of open-mindedness and collaboration, we’re able to identify and implement innovative solutions that set us apart in the real estate industry.

What recent organizational accomplishment brings you the most satisfaction?

Our 600 DLG transaction is a testament to our ability to execute complex projects, even in challenging market conditions. Despite the pandemic, we successfully secured a long-term lease with CN, affirming the enduring value of high-performance and sustainable office spaces in downtown cores.

This project showcases our commitment to innovation and sustainability. We’ve implemented cutting-edge practices, including a unique exterior structure for the execution and quantified the carbon impact to look into offsetting, setting a new forward-thinking approach for urban real estate developments.

What specific challenges did that project overcome and what key factors led to its success?

The COVID-19 pandemic presented significant challenges for the 600 DLG project, disrupting our original construction timeline, financial projections, and supply chain. To mitigate these risks, we conducted a comprehensive re-evaluation of the project, including redesigning and re-engineering aspects to ensure project viability.

One of the most critical challenges was securing glass materials amidst global supply chain disruptions. We implemented a proactive strategy to ensure that all glass components were delivered to Montreal before construction began, mitigating potential delays and cost increases.

Additionally, the pandemic impacted office market demand, requiring us to re-position the project and target specific tenants. We successfully attracted CN, a major corporation with unique requirements, necessitating further customization and value-engineering efforts.

The 600 DLG project demonstrates our ability to navigate complex challenges and deliver successful projects even in the face of adversity.

What recent industry advancement impresses you the most? And why?

While the real estate industry faces significant challenges, such as uncertain office demand, housing shortages, and workforce scarcity, I’m encouraged by the innovative solutions emerging in response.

One promising development is the growing discussion around worksite productivity and off-site construction. One much discussed example is manufactured housing, a concept that has been successfully implemented in other countries to address housing shortages and reduce construction timelines.

Additionally, the 600 DLG project demonstrates our commitment to innovative construction methodologies. By utilizing a suspended platform, we’ve reduced traffic congestion and created a more efficient work environment.

As we strive to decarbonize our cities, it’s essential to maximize existing infrastructure through adaptive reuse and innovative land use strategies. This will require collaboration between municipalities, developers, and investors to implement necessary policy changes and financial models.

As we acknowledge the industry’s rising stars, what guidance can you offer them to become catalysts for positive change?

While I’m still in the first half of my career, I believe that success in the real estate industry requires a combination of dedication, continuous learning, and mentorship.

It’s essential to invest time in honing your skills and staying updated on industry trends. By doing so, you’ll be better equipped to generate innovative ideas and contribute to the industry’s advancement.

Additionally, seeking guidance from experienced professionals can provide invaluable insights and lessons learned from their decades of experience. Learning from their expertise can help you avoid common pitfalls and accelerate your career growth.

Click here to see the full Change Agents: Leaders Driving Progress series.