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The network has acquired a century-old Launceston business as it makes its first foray into the island state.
In an ASX announcement, the company has revealed it has entered into a share sale and purchase agreement with the owners of Bushby & Co.
To be renamed The Agency – Team Bushby, the outfit will continue to be spearheaded by family members Phillip and Mark Bushby, as well as long-term shareholder Eric Andersen, it was reported.
All three will remain in leadership roles within the large “hub” office, which touts nine sales agents and 32 staff members in the business and has been in operation as a family business since 1914, when George Bushby purchased the business.
Managing director of Bushby Property Group Phillip Bushby said that after serving the Launceston community for more than 100 years and through four generations, the acquisition by The Agency “is a significant move” for the business.
“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,” he commented.
Expressing that the business has “full confidence” in The Agency’s ability to continue the Bushby legacy, Mr Bushby also shared that they are “delighted to be bringing The Agency business to Launceston and surrounds”.
The ASX statement detailed that the Bushby team had sold more than $125 million worth of residential property over the past year and has circa 1,300 properties under management that hold a combined value of more than $500 million.
Speaking of the expansion into Tasmania, and the acquisition that has made it possible, The Agency managing director and chief executive Geoff Lucas said the network is “pleased to welcome another high-quality real estate brand to The Agency”.
Praising the Bushby Property Group as one of Australia’s oldest family-owned real estate businesses, the CEO said that “their depth of experience and results align with our objective to bring the nation’s best real estate professionals together under our brand”.
“Rarely do we see agencies with over 100 years’ experience, especially in one local area,” he continued.
“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.”
From his perspective, the Bushby team’s 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,” Mr Lucas said.
The Agency chairman Andrew Jensen has also weighed in on the alliance, calling the Bushby brand “a pillar in the community” — speaking as a “born and bred” Launceston local himself.
“It’s a privilege to bring the highly respected Bushby brand under The Agency umbrella and continue the Bushby legacy of providing the highest quality service to the community through excellence in performance and strong results,” he stated.
“We are excited to retain the heritage of the Bushby name as part of The Agency and value the reputation for excellence that has been cultivated by the Bushby family over generations.”
The sale agreement sees consideration of approximately $5 million — subject to a number of earn-out provisions based on performance and growth, with The Agency revealing that the sale is to be funded via a combination of bank debt and existing cash reserves.
The latest acquisition, which is expected to reach settlement over the next two weeks, will mean that The Agency now has circa 400 sales agents and 4,800 properties under management across six Australian states and territories.
With the acquisition of the Bushby rent roll, it’s a more than 35 per cent boost to the network’s number of properties under management.
According to Mr Lucas, the news of The Agency’s entrance into the local Tasmanian market follows an assessment period by the company, which culminated in a deliberate selection process — all part of the group’s “strategic move to establish a presence in the flourishing market”.
It follows two years of significant growth in Tasmanian property prices and a tightening rental market, which The Agency has attributed to the recent rise in mainland buyers.
ABOUT THE AUTHOR
Grace Ormsby
Grace is a journalist across Momentum property and investment brands. Grace joined Momentum Media in 2018, bringing with her a Bachelor of Laws and a Bachelor of Communication (Journalism) from the University of Newcastle. She’s passionate about delivering easy to digest information and content relevant to her key audiences and stakeholders.
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