Strutt & Parker, one of the UK’s oldest and most venerable estate agencies has been bought by French bank BNP Paribas.
The acquisition, which is still under way, will see BNP Paribas’ UK operation with head quarters off the Marylebone Road in London merge with Strutt & Parker, which is based in Mayfair (pictured, right) and has 60 branches around the UK.
Two years ago Strutt & Parker bought two estate agent rivals in Surrey and Berkshire, making it the biggest player in the rural market and third largest in residential.
Strutt & Parker was founded in 1885 and operates largely in the London prime markets as well as rural markets including country estates and agricultural where it manages some 1.5 miles acres of land, but also commercial including logistics and offices.
The move gives BNP Paribas a presence in almost all of the UK’s property market’s different sectors including development, investment management, property management and residential and commercial sales and lettings.
Opportunity for growth
Strutt & Parker’s statement about the merger suggest that the company sees its absorption into BNP Paribas as an opportunity for growth, giving it access to the bank’s huge UK and international contacts and client database.
Strutt & Parker turned over £107.7 million in 2016, its latest accounts show, down from the previous year’s £111.4 million, while profits before taxation also dropped from £28.4 million to £18.3 million over the same period.
“I am very keen on the idea of uniting our brand with the strength of BNP Paribas Real Estate,” says Andy Martin (pictured, left) a Senior Partner at Strutt & Parker.
“It gives us a distinguishing feature and a new impetus in a constantly-evolving global market. I have been impressed by the respect that they have shown for our values, and by their emphasis on the relationship with employees and clients across all our business sectors.
“This merger not only creates attractive commercial real estate opportunities, but also opens up new prospects in the rural and residential sectors thanks to the size and strength of the group that we are creating together.”
Thierry Laroue-Pont (pictured, right), the CEO of Paribas Real Estate, says: “We are delighted to have this opportunity to create a new major real estate player that combines the skills of our two companies.
“This combination will enable us to offer our clients, all over the world, a broadened and deeper expertise as well as new, even more innovative services and solutions.
“In this new stage of development, we shall carefully take into consideration the expectations of both groups’ employees and clients.”