Upmarket London estate agent Foxtons is taking on US realtors in an aggressive expansion strategy on the other side of the Atlantic.
Foxtons is looking to hire a $400,000-a-year chief operating officer to roll out its practice across the States.
It is offering between $200,000 and $400,000, plus share options, for the top post.
Foxtons owner and chief executive officer Jon Hunt said: “We are looking for one of the top businessmen in the world for this fantastic opportunity.”By charging 2% commission, Foxtons’ US operation significantly undercuts other US estate agents, which traditionally charge around 6%.Since its $20m investment in New Jersey start-up YHD in 2001, Foxtons USA has expanded to 10 locations, including New York and Connecticut, and claims to cover the entire tristate area.
In the past three years, staff numbers have risen from 40 to 400. Foxtons USA, now worth around $50m, wants to expand across the “key markets” of the country.
It operates through an internet and call-centre format, with licensed estate agents working remotely from Foxtons-branded sport utility vehicles instead of the Mini Coopers familiar in London.
In the UK, the agent has recently expanded into Surrey as part of a national growth programme. It intends to open offices in Chelsea, Muswell Hill and Shoreditch in 2004 and has started publishing a free weekly residential property magazine.
Foxtons was dogged by allegations last year that it hired teams of contractors to rip down rivals’ For Sale boards in order to increase its market share. The company said at the time there were “one or two incidents where, out of frustration with the antics of rivals, we may have removed boards”.
