Property consultancy reports robust performance despite dip in turnover and profits
Residential and commercial property consultancy Knight Frank said it continues to perform well during uncertain times, with its Leeds office contributing with particular success.
The business reported its annual results for the year ending 31 March 2019, with Group turnover down 2% to £517.4m (2018: £525.9m), Group pre-tax profits down 11% to £148.4m (2018: £166.7m) and a balance sheet with net assets at £260.8m (2018: £262.9m).
Henrie Westlake, head of the company’s Leeds office, said: “We have had a successful and productive year, despite the challenging economic and political times.
Henrie Westlake
“The Leeds office is proud to have made a significant contribution to Knight Frank’s success. The partnership understands the importance of the UK’s regional cities with a collegiate approach that helps to attract the best possible staff. I’m pleased to say our team in Leeds, across all sectors, is exceptionally strong.
“Highlights include advising Legal and General on the Funding of the £211m Government Hub at Wellington Place; the sale of the Project Vantage portfolio for Network Space for £93m: and the funding of a distribution facility at Logic for £60m on behalf of Muse.
“The refurbishment and letting of 33 Wellington Street to Walker Morris and the regeneration of 34 Boar Lane by Kinrise, to create superb office, retail and co-working space, were other notable successes.
“All are excellent examples of the strength and buoyancy of the Leeds occupational and investment markets right now.
“The outlook for Leeds has never been so positive, with the city having a real belief in itself; buoyed by unprecedented levels of inward investment. The quality of life in the city is unmatched in the country. Notwithstanding ongoing political uncertainly, there is every reason to be optimistic given the outstanding fundamentals both for the city and the Yorkshire Region.”
Alistair Elliott, senior partner and group chairman, said political and economic uncertainty had caused a slowdown in transactions activity across many of the company’s principal markets.
But he noted that in the UK, the firm’s capital markets, valuations and residential lettings teams excelled, while its regional commercial offices continued to do well.
He added: “While the geopolitical turmoil remains self-evident and the prospects of a slowing world economy increase, it is evident that real estate remains at the forefront of investors’ minds.
“I believe Knight Frank is exceptionally well placed to engage with this capital when it is released noting that, in the range of options, property returns still appear competitive. Our much broader occupier offering will add further valuable insight.
“We lead the field in engagement with private wealth, which enhances our residential activity and enables a much-needed conduit into the broader real estate arena.
“It remains remarkable to me that whilst activity is constrained in some areas, our trading year to date is similar year on year. There is enormous scope for growth and we remain committed to building our platform.”
