Background of  Property 100

The traditional 50% Agency model is under pressure. The competitive climate has intensified to such an extent that a lot of agents and real estate offices in the traditional model are struggling to maintain profitability. Because of pressure on sales turnover, real estate offices are forced to look at alternative income steams or ways to cut cost.

A real estate office’s sales turnover is determined by the number and quality of agents it employs, but managers offering a 50% split to agents generally face two challenges: the first is to recruit agents and the second is to retain them. Usually, within a period of two years various agents leave the company for either better splits, or to open their own businesses.

Attorneys and originators are also affected and are finding it increasingly more difficult to secure business in the open market. More and more attorneys are opening up real estate offices in order to secure business but are frustrated with the lack of support available in the industry.

Real estate agents, originators and attorneys mostly operate as independent entities. Industry trends show that if these role players want to create sustainable business models and increase profitability, they will have to consider integrating their services.

Through an integrated model of legal and financial services as well as consulting and training programmes, the Property 100 Group will now be in a position to offer agents a more competitive commission split than the traditional 50% split. Agents will still receive all the necessary admin support as well as monthly in-office training by industry specialists.

Introduction

To address this need in the market, Van den Heever Tikana, Green Door Home Loans and the Exodus Group have joined forces to develop the ultimate service and support model for Property 100 members nationally.

Through an integrated model of legal and financial services as well as consulting and training programmes, the Property 100 Group is in a position to offer agents an 80% commission split, all the support of a traditional 50% office, monthly in-office training by industry specialists and the backup of a national brand.

Member offices are supported through monthly in-office visits where agents are trained and educated while managers are supported through a monthly consulting program. The preferential split towards Property 100 agents offers the opportunity to recruit and retain agents with more success while receiving back up support and training.

Property 100 has already established a network of more than 15 offices with more than 250 agents nationally. Bondable business through Green Door totalled R100m in August ‘07 and we are growing on a monthly basis.

Conclusion
By combining our efforts and expertise through the integration of legal, financial and marketing services, we aim to create a service offering where everybody wins and profit is maximised.

A company is just as strong as the agents it employs. By creating an offering to agents that surpasses any offering currently in the market, we will recruit and retain the best agents in the market and establish Property 100 as a market leader in the real estate industry.

Business Model



Property 100 Consulting Division

Monthly in-office training and consulting programmes for agents and managers have been developed in conjunction with the Exodus Group.

Managers:
Managers are supported through a management consultation program. The objective of this program is to provide practical training and assistance to managers at their place of business. The consulting program covers all areas of operational and sales management.

Agents:
Monthly in-office training workshops are presented to all agents. Practical issues of the real estate industry are addressed and the aim of these workshops is to assist agents in building their skills and to remain productive. With the upcoming new NQF 4 qualification for estate agents, the relevant training will also be provided.

Alex Fenwick and Stefan Louw heads up the Property 100 Consulting division.


Experience at a glance:

• 1993 - Alex started as an estate agent with a national real estate franchise.
• 1994 - Appointed as a branch manager, the youngest in the group at the age of 21.
• 1995 - Expanded the business to 3 branches, managing in excess of 40 estate agents.
• 1996 - Won the award for Best National Franchisee of the Year.
• 2001 - Joined the AIDA group as franchise consultant and trainer.
• 2002 – Appointed as National Manager of the AIDA Group.
• 2003 - Appointed as CEO and MD of AIDA National Franchises by the age of 30.
• 2005 - AIDA National Franchises, under his management, was recognised in the Best Companies to work for in SA publication , a feat that was repeated again in 2006.

Alex started his studies with a BPL degree in 1993, completed the CRS (SA) courses in 1995/96, a CM Course in Management in 2002 and also obtained his DMS qualification in Management in 2003. He completed his MBA exams in 2004 and has more than 14 years experience in real estate, working as an agent, manager, franchisee and CEO of AIDA, a national real estate network with more than 100 offices.



Experience at a glance:

• 1983 - Stefan started his real estate career as an agent & building consultant.
• 1988 - He acquired the AIDA Franchise in Kempton Park.
• 1990 - Joined the family business Mike Louw Estates as the Pretoria East Manager.
• 1991 - He opened the Centurion branch for Mike Louw Estates.
• 1995 - Took over management of Mike Louw Estates (5 branches and 80 agents).
• 2003 - Joins the Jigsaw Group as a national trainer of agents & managers for Realty1.
• 2004 - Appointed as the National Training coordinator for the Jigsaw Group (DITASA).
• 2004 - Oversee alignment of all training models in Jigsaw to the SETA Unit Standards.
• 2005 - Appointed Regional Manager and 2IC of AIDA National Franchises.

Stefan has more than 24 years experience in the South African real estate environment working as an agent, manager, franchisee, trainer and management consultant. He completed his CRS (SA) courses in 1994, obtained his NQF 5 qualification 2005 and also qualified as an assessor in the same year. As Regional Manager and 2.I.C for the AIDA group he managed the Mpumalanga, North West, Northern Province, KZN, Free State and Gauteng regions

Property 100 Marketing Division


Alinda oversees all marketing activities of the Property 100 network. Her responsibilities include:

• Identifying markets where Property 100 will establish offices;
• Procuring offices in the identified areas;
• Liaising with new member offices during the set-up faze.

Property 100 Network Communications



Lynette coordinates all operational issues within the Property 100 network and her responsibilities include:

• Internal communications
• Operational support
• Events.

Property 100 Human Resources

Monique created the Human Resources Guide for the group and is available to assist member offices on various HR issues.

Bond Origination

Green Door Home Loans has provided a structure where Property 100 offices can facilitate their own origination without the burden of creating a back office support involved with origination.



Legal Services



Andre from Van den Heever Tikana Attorneys is the founder and chairman of Property 100. Attorneys throughout South Africa are already integrating their businesses with estate agents and originators but until now, no system provided adequate support to these businesses.

Property 100 has structured a unique offering by creating a service and support system for integrated offices so they can truly offer a 100% ONE-STOP SERVICE to their clients.