Knight Frank reports record profit and turnover for 2015

Matthew Phillips, Managing Partner at the Cardiff office of Knight Frank

Knight Frank has announced its financial results for the year ended 31 March 2015 reporting a record £162m profit and £443m turnover.

Alistair Elliott, group chairman and senior partner, Knight Frank said: “I am pleased to report another strong set of results for our latest financial year. We have achieved a 19% increase in profit, whilst continuing to invest significantly in recruitment and expanding our global platform.

“We continue to grow our network, recruiting the best people in key markets across the world. We believe it is this approach, as well as our unique partnership model that allows us to maintain a strong unified culture, the benefits of which our clients experience across our network.

“Our priority for the year ahead is to continue to develop our key services in the principal cities of the world.

“Our global strategy is working and we are winning more best-in-class instructions, especially in capital markets, valuations, residential sales, tenant representation and office leasing. The benefits of a balanced business are, I believe, being delivered.

“At a time when activity in commercial occupier markets is increasing in many cities around the world, we see the return of rental growth drawing more investor interest. For many investors, total returns still represent fair value. As yields harden further, we believe this will culminate in an increasingly active development market with investors focussing on development returns to counterbalance the flatter yield profile.

“Cross-border growth in residential development and investment continues. While some of this activity relates to portfolio and risk diversification, in the main it is a reflection of the closer economic interdependence of our key markets. In particular our growing presence in prime locations across London and our enhanced coverage of New York, Miami, LA and Sydney has helped to cement our offering to clients looking for access to the world’s leading employment centres.

“The specialist property sectors (including hotels, student property, healthcare, residential capital markets and automotive) are becoming a more central part of investors’ portfolios and solid returns over turbulent periods have increased their appeal. We will continue to invest in these key components of Knight Frank’s global offering.

Matt Phillips, Managing Partner at the Cardiff office of Knight Frank, said: “Knight Frank’s highly successful performance nationally and internationally has been reflected in Wales, too, where we have achieved a number of key milestones.

“Knight Frank is one of the very few large international practices which retain a partnership model which we believe is beneficial to both clients and staff. We have a settled and dynamic team in our Cardiff office which has meant that we have been able to stay at the forefront of commercial activity in South Wales. In the last year we have also added a residential land consultancy/brokerage service under the leadership of Leah Mullin which is proving very successful.

“The Knight Frank Cardiff office has recently advised Legal and General on its investment into the Central Square scheme in Cardiff City Centre which have a gross development value of circa £450 million.”