Savills Takes First Steps Into US Market

Property services firm Savills Plc achieved the first stage of a long-term strategy to expand its presence in the U.S real estate market on Wednesday by buying Granite Partners in a deal worth up to £26.6 million.

The move marks the UK company's first independent venture into the U.S and consolidates its position as one of the world's biggest property consultancy firms with more than 180 offices and affiliates worldwide.

In a press statement , Executive Director of Savills, Simon Hope Said

"We see Granite as the ideal fit for our first US office due to an outstanding cultural synergy, New York City location, access to capital markets and strong leadership which will carry the business forward. We see this acquisition as placing Savills on the map in the US and we have exciting expansion plans for the business under the leadership of John and his team.

"The US market is highly competitive and we are looking forward to the opportunities it provides and the challenges it will raise. We have an excellent team in Europe and Asia, who will be working closely with Granite to integrate them into our global network so that we can provide a wider geographical service to our clients."

Under the terms of the deal, Savills will pay an initial consideration of $54 million and could pay up to $84.6 million for Granite depending on the New York-based firm's financial performance over a two-year period.