An Engel & Völkers shop in Barcelona.
By Jim Adair
Engel & Völkers, a German-based company that sells luxury residential properties, commercial real estate and yachts, is coming to Canada.
The firm has more than 500 residential offices (or “shops” as they prefer them to be called) and 45 commercial offices in 38 countries. Established in 1977, the company’s headquarters are in Hamburg, Germany.
Richard Brinkley, recently named Engel & Völkers’ senior vice-president of market development for Canada, is introducing the brand in this country. Brinkley was formerly the director of business development for Sutton Group.
“I truly believe there is a need for this sophisticated brand in Canada, so I jumped at the opportunity to launch it,” says Brinkley. “I’m excited about the uniqueness of the brand and the European flair about everything they do.”
The Engel & Völkers shops have a strictly controlled design identity, wherever they are in the world, to “convey elegance and attention to service” says Brinkley. “The boutique concept is best compared perhaps as part Louis Vuitton shop, part Apple store and part Starbucks,” he says. The typical shop is 2,000 to 4,000 square feet, although they can be much smaller in more trendy locations, he says.
Richard Brinkley
Only about 30 real estate franchises will be sold in Canada “to maintain our exclusivity,” says Brinkley. “In the first year we are thinking quite aggressively. I’d like to see somewhere in the neighbourhood of five or six cities in the first year. But we’ve had so much interest already that I wouldn’t be surprised to see that many just in Ontario.”
All franchise owners are required to take training courses at the E&V Academy, which will happen in Canada a minimum of four times a year. “The clientele we are serving is accustomed to being treated in a very professional manner and require a much higher level of advice on their sales and purchases,” says Brinkley.
He says potential franchise owners must have a successful track record serving the top 15 to 20 per cent of the real estate market. “We’ll teach them the Engel & Völkers method but we want them to have experience in that market.”
In addition to residential real estate, the company’s yachting division offers specialised help in the sale and purchase of exclusive sailing and motor yachts, as well as in the commissioning and redevelopment of new boats and the chartering of yachts. It says it deals only with yachts that are longer than 25 metres or are “particularly exclusive”. The firm also has an aviation division. Brinkley says eventually these franchises will also be sold in Canada, along with separate commercial real estate shops, but for the moment the focus is strictly on the residential real estate side.
Engel & Völkers also publishes GG, a luxury lifestyle magazine that showcases the firm’s best residential and yacht listings. At first the magazine will be available exclusively from Engel & Völkers shops but eventually it will be sold on the newsstand.
Brinkley met with Engel & Völkers founder and CEO Christian Völkers and COO Anthony Hitt about a year ago during a NAR conference in the U.S. Brinkley offered to buy the master franchising rights for Canada, but Engel & Völkers wasn’t interesting in selling them. Eventually the firm offered Brinkley the job of spearheading the Canadian launch.
“Many U.S. brands have been expanding to Europe for awhile,” says Brinkley. “But now a German luxury brand is bringing its style to North America.”
