Merger set to boost efficiency

It will add strength and improve market penetration, efficiency and profitability.Mark Morison, Bayleys Wairarapa franchisee A Masterton real estate franchise is one of three in the lower North Island that will merge on April 1.

The franchises of Bayleys Wairarapa, Bayleys Hawke's Bay and Bayleys Whanganui and Manawatu have formed a new agency for the region - Coast to Coast Ltd.

Each franchise will take up a shareholding in the new company.

Mark Morison, owner of the Wairarapa franchise, said bringing the franchises together would create a stronger company that would be able to provide a better service to its customers, as the new company would have information on properties throughout the region.

There were a lot of synergies between the Wairarapa and Hawke's Bay markets in particular, he said.

"It will add strength and improve market penetration, efficiency and profitability."

The move has the support of Bayleys head office.

Bayleys Realty Group executive director David Poole said the combined trio of franchises would create a powerful belt of representation for property vendors in the region.

Bringing the ownership together through the new agency would allow it to work more efficiently and effectively with the likes of regional and district councils or corporate clients with multiple locations and sites, Mr Poole said.

"It was a business model that has already proven successful for the Bayleys brand in Northland, Bay of Plenty and Waikato/King Country, Canterbury and Central Otago/Southland, he said.

"We will be bringing on board many of the existing management practices, which those regional franchises have previously initiated and consequently rolled out to deliver greater levels of customer service," he said.

Mr Poole said the existing offices would retain their premises and more than 100 sales personnel.