AN ESTATE agency has closed down with a warning that the cost of living crisis is discouraging people from moving.

Clarke Mews had been operating for more than 40 years, with branches at West End, Botley and Netley.

All three offices have closed and its sales and lettings books have been sold to Charters Estate Agents.

Fareham-based restructuring specialist Portland Leonard Curtis said Clarke Mews Lettings Ltd remained solvent but its parent company, CMS Southampton Limited, had been placed into liquidation.

It assisted with the sale of the lettings book, which was owned by Clarke Mews Lettings, and of the sales book owned by the parent company.

It said the business’s turnover had generally increased every year, but a “multitude” of market related issues has resulted in the closure of Clarke Mews.

A statement for Portland Leonard Curtis said: “The current owners purchased the business in 2018, but struggled with staff recruitment and retention, leading to high staff turnover. This made it very difficult to get a stable team in place to be able to build the business in the mould the new owners wanted.

“Although property prices have been on the rise since 2018, part of this increase is due to the lack of supply of properties for sale, attributed initially to the uncertainty of how Brexit would impact the economy.

“Then the Covid-19 pandemic hit which effectively shut down all of the Clarke Mews branches and slowed down the number of successful transactions being concluded. This was followed by lockdown restrictions, which led to increased costs and much lower sales volumes.

“At the present time, fear around the recent and future anticipated cost of living increases and interest rate rises has contributed to lower confidence in the property market, with both buyers and sellers becoming more cautious and prioritising paying the bills, rather than moving house.”

Portland Leonard Curtis was called in to advise the owners in June and the owners subsequently decided the business was no longer viable.

Andrew Rumsey, client director at Portland Leonard Curtis, said: “Clarke Mews had a long-standing reputation in the local area and, whilst circumstances in recent years have meant that the business has struggled, the interest in acquiring the pipeline was still strong, resulting in the successful sale to Charters Estate Agents.”

 

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