As Valentine’s Day came and went, talk of flirtatious behaviour continued to swirl around the agent community. Unlikely partners are said to be cosying up. Suspicions have been aroused about whether certain office Romeos are merely leading others on. And the usual questions are being asked about whether short-term dalliances can really lead to long-term relationships.
Yes, in this season of romance, consolidation fever hangs heavily in the air once again.
It’s fast becoming an annual event. By this point last year, Drivers Jonas had consigned 285 years of independence to the dustbin of history by jumping into bed with financial services colossus Deloitte.
Outsourcing giant Capita Group, meanwhile, had just bought NB Real Estate for £10m.
And, as the clock counted down to MIPIM, the rumour mill had gone into overdrive with a tale, subsequently proved to be groundless, that BNP was to use the backdrop of Cannes to announce a tie-up with DTZ.
Fast forward to today, and recent weeks have seen Savills seal a deal with retail specialist Thomas Davidson. This week CB Richard Ellis pulled off a gigantic, game-changing deal with ING (see page 42).
What that means for the firm, its clients and its rivals will become clearer over the coming months.
Now it’s the turn of King Sturge to come under the spotlight. Senior figures within the firm are anxious not to fuel the fire by commenting on rumours that they are in serious talks with a rival. CBRE, its acquisition muscles already flexed, may or may not be continuing to cast an eye (see page 55).
In the last week or so, I have asked several senior partners of leading agents whether they are involved in M&A talks. The answers have varied from the theatrical (“how dare you”) to the media-trained (“we are always talking to parties bigger and smaller than ourselves; sometimes it’s teams, sometimes it’s entire firms”).
I like to believe none of them is being wilfully duplicitous. After all, more often than not, these talks fail to bear fruit.
Nevertheless, I believe it is only a matter of weeks before we see another sizeable deal pulled off by a big firm.
It may not involve King Sturge. It may not come this side of MIPIM. For good reason, attention will focus on those firms that have shown a willingness to satisfy their predatory appetites already.
But whichever direction it takes, there is clearly something in the near-spring air.
Further consolidation is imminent.
King Sturge, interestingly, was one of the big winners at last year’s Estates Gazette Awards, picking up the National Property Adviser of the Year gong.
It’s the sort of accolade that is bound to make a firm an attractive partner. More seriously, it gave a business that was already doing so much right an opportunity to shout about it.
The 2011 Estates Gazette Awards kick off this week with the regional legs. This year we are giving advisers the opportunity to make their case for why they stand out from their peers by submitting entries.
Property companies will continue to be nominated, but any propco that wants to boost its chances of making it onto the shortlist is encouraged to submit an entry.
And we are delighted to be teaming up with the RICS this year to present regional winners with their trophies at RICS events around the country.
Once again, the regional awards – this year sponsored by Ordnance Survey – will feed into the national awards. And regional winners will again be fast-tracked on to the national shortlist, which will be announced later in the year, and presented in December.
Good luck, and for more information go to www.estatesgazetteawards.co.uk.
