Social restrictions around open homes and auctions, and now the onset of a recession, have had a significant impact on the real estate industry. However, one real estate agency and its principals are bucking the downturn in business activity, having achieved 83 transactions since March and a 20 per cent growth in local area market share. In particular, its leading agent has made $150 million in sales and 47 transactions in the same time period.
Jason Boon, Co-Director of Richardson & Wrench Elizabeth Bay/Potts Point, is one of Australia’s most successful real estate agents, having sold properties for celebrities the likes of Michelle Bridges and Mark Bouris. However, his sales success since March only represents a fraction of his overall success: in his 27-year real estate career, he has attained over $2 billion in residential sales and settled 2500 deals.
At the recent annual Richardson & Wrench awards, Jason won the title of the Most Outstanding Selling Principal for both transactions and income earned – for the 12th time – along with the Ronald H Pillinger Award. The trio of directors – Jason, Greg McKinley, and Andrew Hoggett – also won the agency awards in 12 categories, including Most Outstanding Office (based on income) and Most Outstanding Leasing Office.
Jason’s recent standout sales include 5/40a-42 Macleay Street, Potts Point, which sold this month for $6.66 million, beating its reserve by $200,000, and 1/22-24 Macleay Street, Elizabeth Bay, which sold for $3.85 million – $300,000 above its reserve. In June, his sale of 112 Surrey Street, Darlinghurst, achieved $4.6 million – surpassing its reserve by $620,000.
He also holds the record for the highest-priced terrace in Australia at 29 Challis Avenue Potts Point, which sold for $13.5 million in 2016. More recently, he has the record for the highest-priced one-bedroom apartment at $4.25 million in 2017.
The real estate market in Sydney’s inner-Eastern suburbs kicked off 2020 with one of its strongest ever starts. Although conditions changed rapidly with the onset of the pandemic, Jason says low supply and high demand are driving prices up again. “We’re fortunate to be operating in a tightly held, established market where there is still solid demand from downsizers, investors and expats. In fact, with the pandemic forcing Australian expats to return home, they are currently one of our strongest vendor demographics – accounting for 20 per cent of our current sales.”
“We’re also seeing a lot more properties sold through private treaty, with the current climate forcing us to work more closely with buyers who are concerned about social distancing. These account for up to 40 per cent of our current sales – an increase of 10 per cent from 2019.”
Jason believes that, despite the impact of coronavirus, Sydney’s inner-Eastern suburbs, especially Potts Point, will remain a sound investment – no matter what happens to the economy. “The introduction of Sydney’s controversial lock-out laws fast-tracked the diversification of Potts Point with an increasing number of downsizers and investors realising the advantages of residing in an area that is close to the CBD and Sydney Harbour. Today, it is really the ‘Soho’ of Sydney with its high-end luxury apartments, famous lifestyle and dining options.”
Jason, Greg and Andrew have been a formidable trio in the inner-east for 21 years. It is through their local area experience, the local network they have nurtured, and their efficient teamwork that the agency increased its market share in the area by 20 per cent since March.
Greg, who has won multiple real estate awards, has 32 years’ industry experience and has been Director of the agency since 1988, and who lives in the east, has attained an encyclopaedic knowledge of the area. Through his leadership, the agency has long-nurtured stable management and a strong culture, client trust, and a focus on strong, personal client communication.
Andrew – who joined the agency in 1986 and has been a director since 1993 – is an astute business leader who oversees the agency’s sales department and property management teams. His large number of repeat and referral-based clients has contributed strongly to the agency’s success.
Greg says these business successes have helped the principals achieve strong results during a difficult period, and he believes the agency’s market share will grow another 10 per cent by Christmas.
“During the social restrictions, we have realised we need to maintain ‘business as usual’ as best as we could. Having been part of the community for decades, we were ‘there’ to help residents buy, sell and lease, listen to their individual challenges, and help them feel secure during this unprecedented time.
“While we operate in a high-end, fast-paced and established market, we have worked hard to develop a ‘family-like’ team. It’s not so much about the transaction, as it is about being honest, transparent and, in a time when remote working and technological solutions are becoming increasingly relied on, keeping it simple.”
Greg adds: “At its core, real estate remains a person-to-person transaction and picking up the phone and offering honest advice has never been so important.”