Consolidation activity is under way among boutique residential agencies aiming to remain competitive as the property sector continues to soften.
The latest agencies to merge are Claremont-based Abel McGrath Property Group and Paxton Hoad West, following Abel McGrath’s buyout of its competitor.
Abel McGrath director Simon McGrath said the move would strongly position his three-year-old company in the western suburbs market by incorporating an agency with a long history of service excellence.
Its strategy was to build a strong and profitable brand rather than wait to be absorbed by larger western suburbs competitors, he said.
“Abel McGrath offers vendors a truly personalised service and can help buyers prepare their homes for sale with advice about interior decorating, renovations and repairs.”
Paxton Hoad West was established in Claremont in 1990 by James Paxton and Lesley Owen.
Abel McGrath directors Adrian Abel, Simon McGrath and Carmel Gardiner will operate the company from existing Paxton Hoad West and Abel McGrath offices at 236 and 238 Stirling Highway Claremont.
The Claremont merger follows that of Como agencies Nik Jones Realty and Quin Ballard Real Estate, which formed JonesBallard Property Group in March.
Nearby South Perth stalwart Alan Bourke also decided on a merger deal, signing over his established agency, Alan Bourke Real Estate, to Acton Group in August last year.
Mr Bourke told WA Business News at the time the level of demand for housing would come off markedly over 2007-08, triggering a number of mergers and acquisitions of smaller discount operators by major branded agencies.
