Having already spread its real estate agency footprint across most Australian states and territories, Perth-based The Agency (ASX: AU1) has now crossed the Bass Strait and acquired Launceston-based business Bushby Property Group for almost $5 million.
To be renamed The Agency - Team Bushby, the subsidiary will continue to be spearheaded by family members Philip and Mark Bushby, along with long-term shareholder and director Eric Andersen who will remain with the group.
The Bushby Property Group is one of Australia’s oldest family-owned real estate agencies, having been operated for more than 100 years by the Bushby Family, and currently consists of 32 staff and around 1,300 properties under management.
Over the past 12 months, the Launceston-headquartered team has sold more than $125 million in residential assets, and has been managing a portfolio of properties under management worth around $500 million.
“We’re pleased to welcome another high-quality real estate brand to The Agency. The Bushby Property Group is one of Australia’s oldest family-owned real estate businesses and their depth of experience and results align with our objective to bring the nation’s best real estate professionals together under our brand,” The Agency managing director and CEO Geoff Lucas said.
“Rarely do we see agencies with over 100 years’ experience, especially in one local area. This level of experience cannot be replicated and it’s why this partnership is so instrumental in helping our network secure a prominent and distinguished entry into the Tasmanian market.
“The Bushby team and their long-established family values align directly with our philosophies and culture. It’s obvious from the time we’ve spent with the Bushby family and management team, that there is a close cultural fit.”
Lucas described the Tasmanian property market as one that is currently “flourishing”, with property prices on the apple isle having risen steadily since 2017.
Over the past give years, property prices in Launceston for houses and units have almost doubled. As for the rentals, The Agency says tightness in the market has resulted in “significant” growth, which has assisted rental yields that are currently sitting at 4.4 per cent for houses and 4.8 per cent for units.
“Over the past two years there has been a significant number of mainland buyers flocking to Tasmania, with a view to relocate in future years,” Lucas said.
“Our direct engagement model with agents allows a national reach, which gives agents and customers alike access to the very best in lifestyle properties throughout Launceston and surrounding regions.”
For Bushby managing director Phillip Bushby, the move is a major change not just for the company, but for the head honcho himself who has been personally involved in running the business for 50 years.
“After serving the Launceston community for over 100 years and over four generations, this is a significant move for the Bushby Property Group,” Phillip Bushby said.
“We have full confidence in The Agency’s ability to continue our legacy and we are delighted to be bringing The Agency business to Launceston and surrounds.
“It’s a natural progression for our family business steeped in traditional values and we are pleased and excited to join with a business that’s leading the way in offering a new contemporary ‘direct model’ of engaging agents and customers.”
The acquisition means The Agency is now in six Australian states and territories, and brings its team to approximately 400 sales agents and properties under management to 4,800.
The $4.8 million acquisition will be funded via a financing facility with funder Macquarie Bank and out of existing cash reserves.
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