A major reorganisation of Newcastle-based LSL Property Services is underway as the group has franchised its network of 183 estate agent branches.
The firm says long term agreements for 143 of the locations have already been reached, with the remaining 40 at advanced stages of talks. Investors were told the move is part of a strategic plan LSL is implementing to streamline its business, and one it thinks will bring higher margins.
It follows a slump in profits for the group, which includes the Your Move and Reeds Rains brands, amid the fallout from the Liz Truss Government's mini-Budget which derailed momentum and caused what it called a "market-wide hiatus of mortgage activity". LSL said that franchising would bring down costs and mean it was less exposed to volatility created by housing market cycles.
