Jones Lang LaSalle moves for King Sturge
COMMERCIAL property services firm Jones Lang LaSalle has moved for rival King Sturge in a £197m deal, it was announced today.
Jones Lang LaSalle, which has an office in Leeds, is paying the sum to property consultancy King Sturge’s partners.
All 43 King Sturge offices, including its premises in Leeds, and businesses across Europe, including 24 in the UK, will become part of Jones Lang LaSalle and will operate under the Jones Lang LaSalle brand.
The deal, which will see £98m paid in cash now and the balance settled over the next five years, will complete on May 31 and the rebranding programme will begin immediately.
Earlier this year, it had been speculated that rival CBRE was to move for King Sturge.
Speaking to TheBusinessDesk.com, Jeff Pearey, head of Jones Lang LaSalle’s Leeds office said the merged group’s commercial and residential offices in Leeds would continue to operate and stressed it was too early to comment on whether the move would affect the 120 staff from the two businesses working in the region.
But Mr Pearey, who said a regional head for the operation would be announced shortly, added that the integration of offices would be looked at.
Jones Lang LaSalle said the combined firm would be “the clear leader in the UK and also in continental Europe, with greatly enhanced strength and depth of service capabilities across the region that will directly benefit the clients of both companies”.
Mr Pearey said: “This merger is very exciting and positive news for our clients and our business in Leeds.
“Bringing our two firms together is a highly complementary strategic and cultural fit. We will retain our shared focus on delivering great client service ensuring we can fulfil their needs by providing a comprehensive range of services.”
Colin Fell, partner in charge of King Sturge Leeds, said: “The combined business has substantially increased its strength and potency not only in Leeds, but in Birmingham, Edinburgh, Glasgow and Manchester while Jones Lang LaSalle gains new offices in Bath, Bristol, Cardiff, Exeter, Liverpool, Newcastle-upon-Tyne, Nottingham, Southampton and Plymouth. These locations, along with London, create a powerful new combined UK business.”
Andrew Gould will serve as chief executive of the merged business in the UK. Richard Batten will assume the role of UK executive chairman.
The merged business will operate in 30 countries employing 5,300 people providing real estate services worldwide to investor, owner and occupier clients. The UK business will have 2,700 employees.
