1st Jun 2023 15:10
(Alliance News) - LSL Property Services PLC on Thursday said it agreed contracts with its remaining 40 branches to become franchises, as part of its plan to convert its entire 183 branch network.
Following the strategy announced in early May, the Newcastle, England-based estate agency said of the remaining 40 branches, 37 have now been completed and the remaining three are expected to complete this month, following completion of some administrative registrations.
As a result of the completion of these agreements, LSL Property Services said it is now "one of the largest providers of estate agency franchise services in the UK, supplying services to a network of just over 300 branches.
Franchise agreements were agreed for 143 of LSL Property Services' owned branches when the company announced the plan in early May.
"The new franchisees are experienced estate agents and I am sure they will ensure these branches go from strength to strength," said Chief Executive David Stewart.
LSL Property Services noted one of the new franchisees, Greg Young, is a former director of one of its subsidiaries. In return for Greg Young entering a franchise agreement with the company, LSL Property Services will receive a long-term royalties based agreement and a de minimis consideration for the assets transferred.
Shares in LSL Property Services were down 5.3% to 251.00 pence each in London on Thursday afternoon.
By Greg Rosenvinge, Alliance News reporter
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