HML has acquired the block property management business of Philip R Gibbs (PRG) based in Bolton, Lancashire.
The consideration for the acquisition is GBP300,000 which will be satisfied in cash from HML’s working capital. GBP240,000 is payable on completion and the balance of GBP60,000 is deferred over one year and subject to client retention performance conditions.
The business acquired manages over 1,500 units in and around the Greater Manchester area. For the year ended 31 March 2013, the block portfolio produced annual revenues of approximately GBP220,000 and is expected to be immediately earnings enhancing.
PRG is a firm of Chartered Surveyors which also undertakes lettings management and professional services to the property investment community. HML will not be acquiring these divisions of the business.
Rob Plumb (pictured), chief executive of HML, says: “The PRG portfolio is an excellent fit for our expanding operations in the North West. Earlier this year the Group purchased the property management business of The Guthrie Partnership (now HML Guthrie) in Knutsford, Cheshire which has successfully grown under HML ownership. We are optimistic about our opportunities to expand further given the synergies arising from the 5,500 units we now manage in the area.”