The boss of The Property Franchise Group told The Neg the company is looking to make more acquisitions.

Just six months after TPFG bought Belvoir, the group is close to snapping up a financial services firm, with another in the pipeline.

We have a good record of acquiring and integrating.”

And Gareth Samples, CEO at TPFG, says: There might be a big estate agency franchise business that decides they want to sell, and they would always be our top choice.

“We have a good record of acquiring and integrating,” he says.

Other acquisitions

As well as Belvoir, TPFG also bought The Guild and Fine & Country this year, as it expanded its network of franchise offices. It now has 1,900 franchisees/licensees in the UK.

TPFG, which is best known for owning Martin & Co, recently reported group revenue more than doubled, increasing 104% to £26.9 million in H1.

Profit before tax increased by 15% to £4.8 million, and the underlying profits by 71% to £9.1 million.

The group enjoyed its highest ever sales agreed pipeline of £47.5 million after jumping 67%.

Lettings is backbone

Lettings income though forms the backbone of the company’s financial strength, and Samples doesn’t see this changing.

“The business was worth £110 million in March and is now worth £300 million. We are now a very different business.

Lettings delivers that to the lion’s share of our business.”

However, lettings will remain the primary income source: “It is the piece that we really try and drive…Recurring revenue is really important, and lettings delivers that to the lion’s share of our business.”

No threat

Samples, who has been CEO for more than four years, says the company is watching new legislation in the shape of the Renters’ Rights Bill with great interest, but doesn’t believe it represents a threat to the PRS.

He believes property still represents a good long-term investment, and demand from tenants is very strong, of course.