By Julie Hayes » Business reporter - The Press

LSL GROUP is looking to grow significantly in the next three to five years.
The York-based business, which comprises estate agency brands Your Move and Reeds Rains, invested in all its estate agency branches, new employees, training, a new call centre and launching new products for private buyers in its surveying business.

During 2010, the business increased its number of employees by 1,205 people to 4,490 people and acquired the loss-making Halifax Estate Agencies Limited (HEAL) for just £1, as well as financial services business Home of Choice and Pink Home Loans.

The business more than doubled pre-tax profits from £16.6 million in 2009 to £36 million in its preliminary results for the year ended December 31 and increased turnover from £157.7 million to £206.6 million.

LSL Group now intends to target higher value properties in its estate agency division, with its Your Move 'Premier' or Reeds Rains 'Cream' marketing packages. The business said its Your Move and Reeds Rains branches also get about 50 fewer instructions per year than the best of the competition, which represents a “significant opportunity” to increase targets to £30,000 to £50,000 profit per branch in the next three to five years.

During 2010, the business Both its estate agency and surveying divisions contributed profit growth and grew market share, despite further contraction of the market, with mortgage approvals just 575,000 for the full year, 4 per cent lower than 2009 and less than half the historic norm of 1.2 million per year.

Roger Matthews, chairman of LSL Group, said the business had a strong cash position to fund its growth both organically and through acquisition, using only 6.5 per cent of its £75 million available debt facility: “LSL still has a cautious view of the market for 2011 in view of the ongoing shortage of available mortgage finance and broader well documented economic challenges. However, we are confident that the group can build on the market share gains made in 2010 and grow the business even in these market conditions.”