SOTHEBY'S INTERNATIONAL REALTY®
Collections For the Connoisseurs of Life.
April 2009
WORLDWIDE GROWTH The Sotheby’s International paRIs, KenTucKy, usa
aspen, coLoRado, usa
Foundations of Success
A
s we enter the second quarter of 2009, I would like to call your attention to the great strides we have made as a brand in the first three months of the year.
We began the year by welcoming Bluegrass Sotheby's International Realty in Lexington, Ky., to our network. We also announced an important initiative that would make our Web site, www.sothebysrealty.com, multilingual with the addition of seven new languages to the current English. Spanish, Portuguese, French and Italian are live, and German, Russian and traditional Chinese will follow soon. This is a crucial step to making our Web site truly global. In February, we welcomed Morris & Fyrwald Sotheby’s International Realty in Aspen, Colo., to our brand, and celebrated the fifth anniversary of the launch of the Sotheby’s International Realty network. Last month we introduced the Business of Extraordinary Living, our microsite on The Wall Street Journal’s Web site. Designed to provide insights into the real estate market from our worldwide network, present the many values of real estate as a long-term investment and showcase your unique properties, the microsite is an exciting and innovative way to position you and our brand in front of 40 million monthly visitors.
Realty® network currently boasts more than 500
offices in 39 countries and territories worldwide.
In the last month... The brand welcomed the following companies to its network: Sailfish Point Sotheby's International Realty (Stuart, Fla.)
In March we also were ranked second on Franchise Times’ Fast 55 list, published in the March 2009 issue. Building on that great news, this month we learned our brand won Franchise Business Review’s Best in Category for Real Estate Franchisee Satisfaction award for the second year in a row.
The following branch offices have opened:
The Best in Category award measures franchisee satisfaction with their franchisors and is part of the 4th annual Franchisee Satisfaction Awards presented by Franchise Business Review. Sotheby’s International Realty Affiliates LLC also was ranked No. 7 for all franchise categories with more than 200 locations. This is the second year the brand was rated in the top 10 of all franchise categories.
Brasil Natal Sotheby’s International Realty (Natal)
As we continue to build on this momentum, I look forward to all that we can achieve together the rest of the year. I hope you enjoy this issue of Collections, and wish you many successes in the coming months!
Michael R. Good President & Chief Executive Officer
S
Brasil Rio de Janeiro Sotheby's International Realty (Rio de Janeiro)
A PASSION FOR REAL ESTATE casa beLLa vIsTa III In MexIco Is beInG oFFeRed THRouGH Los cabos soTHeby's InTeRnaTIonaL ReaLTy
WHEN
IT COMES TO
CENTRAL
AND
SOUTH AMERICAN
REAL ESTATE, Carlos Gonzalez is a
veritable wealth of information. As chairman of the board for Stewart Title Latin America, the largest provider of title services in the area, he also owns four Sotheby’s International Realty® offices across Mexico and has the rights to develop additional firms across Costa Rica, Nicaragua and Panama. Raised in a family that ran several successful businesses across Costa Rica, Carlos knew at an early age that he wanted to develop his own business one day. After graduating from law school he started a law firm in San Jose, and today is the senior partner of what has become one of the largest law firms in Costa Rica, also based in San Jose. Then, in 1997, he ventured into real estate as the second home market began to gain momentum in Latin America with the creation of Stewart Title Latin America and an affiliation with Realogy Corporation, becoming one of the most important real estate players in the region.
caRLos GonZaLeZ
In February 2004, when Realogy entered into a long-term strategic alliance with Sotheby’s to license the Sotheby’s International Realty name, Carlos immediately began taking steps to acquire the master franchise for Mexico, eventually expanding the brand there despite global economic difficulties.
Carlos’s experience as a real estate lawyer and in the title and residential brokerage industries provide him with a unique perspective on buying and selling luxury real estate that equates to a distinct advantage in the marketplace. “My legal background allows me to move quickly on things I want to do and deals I want to make,” he said. “By continuing to practice law, I see opportunities that others might not see until they are made public. Right now, several big players are positioning themselves to get back in the real estate game. That knowledge influences my work in residential real estate and in the title business.” Despite the economic crisis, Carlos sees many opportunities to grow his business and attributes his success so far to staying true to his business model and focusing on quality. “Right now we are concerned with representing owners of top quality listings that there is a good market for. We are not wasting any time in projects with presales, for example, because that is not what buyers want right now,” he said. “The Sotheby’s International Realty brand has helped position us well for attracting the kinds of listings we want, as well as the agents that want the backing of a strong name.”
“If you have patience, you can position yourself well in a down market to make a serious profit when there’s a rebound. There still is money to be made; it’s just around the corner.”
Seen & Heard
Unique Listings... fuller Sotheby’S international realty Has LIsTed THIs eco-FRIendLy HoMe In bouLdeR counTy, coLo.
T
Around the Network
• fuller Sotheby’S international realty in Colorado has listed a new construction home in Boulder county that combines luxury with eco-logic. The home features a solar hot water system, high-end water saving plumbing and a photovoltaic system that produces 60 percent of the home’s electrical needs. Other unique amenities include an in-floor radiant heat system and an Energy Recovery Ventilator system that exchanges the indoor air quality as programmed by the homeowner. For more details contact Steve Caplan, sales agent, at steven.caplan@sothebysrealty.com or go to: http://www.sothebysre alty.com/en/PropertyDetails.aspx?R=104138344 &N=12+149+4294967274+4294966924+4294 964965&lang=en&No=1&PSeq=0
SKbK Sotheby’S international realty In MIcHIGan Has LIsTed sTone HILL ManoR In bLooMFIeLd HILLs
SKbK Sotheby’S international realty in Michigan has listed Stone Hill Manor, the highest-priced residential listing in the northern suburbs of metropolitan Detroit, for $11,500,000. The firm got the listing on the recommendation of other clients and professionals the sellers knew. The home features radiant-heated floors and a fitness suite with a workout room, massage room and spa bath. The owner, a model train aficionado, created a 20x40 train room with a hand-painted mural and cork floors. Completed in 2008, the home has more than 15,000 square feet of living space on three levels. For more details contact Nanci Rands, associate broker, at nrands@skbk.com or go to: http://www.sothebysrealty.com/en/Proper tyDetails.aspx?R=104162086&N=12+149+4294967274+4294963393+4294963389&curr=USD&lang=en&No=-1&PSeq=0
Seen & Heard
Around the Network Brand Ads Leave a Lasting Impression • a print effectiVeneSS rating survey recently was conducted to measure reader involvement, advertising effectiveness and edito-
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rial readership of Architectural Digest’s ’s March 2009 issue and determined the Sotheby’s International Realty® brand ranked second out of 48 ads measured for total recall! A total of 257 respondents were surveyed to determine the 48 advertisements’ effectiveness and the editorial readership of five articles appearing in the issue.
© MMVIII Sotheby’ s Internatio Sotheby’s Internatio nal Realty Affiliates LLC. A Realogy Company nal Realty Affiliates . All Rights LLC. An Equal Opportunity Company Reserved. Sotheby’ s International . Equal Housing Realty® is a registered Opportunity. trademark licensed Each Office is Independently to Owned and Operated .
Previewing Success soTHeby's InTeRnaTIonaL ReaLTy - downTown ManHaTTan bRoKeRaGe in New York closed two sales thanks to leads generated from Preview magazine. The first, a townhome in Murray Hill, N.Y., was purchased by a man based in London who saw an ad for the home in Preview, called the agent to see it and subsequently bought it. For the second sale, a New York executive also saw a property ad in the magazine and called the listing agent to see the home and several others. He bought one of the other homes the agents showed him, and sold his Upper West Side property through the office!
hamburg Sotheby’S international realty in germany created an eGallery display that has generated approximately thirty positive, direct comments since they launched it last July, as well as two interested parties who walked inside for more information on properties they saw on the screen. According to Anita Gärtner, managing partner for the firm, the illuminated advertising above, combined with the screen in the window, has people “stopping in front of the firm to view the amazing properties represented by the Sotheby's International Realty® network around the world.” hamburg Sotheby’S international realty’S eGaLLeRy Has peopLe sToppInG In THe sTReeTs To vIew IT
m
Tools You Can USE The newly-launched ePostcards and eNewsletter tools were designed to offer brokers a quick, efficient and savvy way to connect with past, present and future clientele. “Both tools allow users to create polished products that highlight recent significant sales, promote features listings or new properties and share timely information,” said Chris Sisco, director of marketing, Sotheby’s International Realty Affiliates LLC. “Templates are available for brokers and agents to easily build an eMarketing campaign that ensures brand consistency is maintained.” The eNewsletter tool offers pre-written industry-related articles and information, or users can create their own copy. The ePostcard choices are consistent with those in the Postcard Studio so that a cohesive and consistent direct mail campaign can be created both digitally and in print form. According to Janet Blanton, vice president of marketing for Atlanta Fine Homes Sotheby’s International Realty in Georgia, the firm has found “tremendous success” using the tool to create an e-mailable custom flyer advertising their networking events and broker open houses for development projects to a database of 19,000 local agents and interior designers and architects. Because the flyer contains several images and graphics, they also created a text-based version to cater to those using hand-held devices.
THe eposTcaRd and enewsLeTTeR TooLs aLLow useRs To cReaTe cusToM MaRKeTInG MaTeRIaLs
“We have truly seen historical attendance for these events from all over metro Atlanta as a direct result of the campaign we created using the ePostcard/eNewsletter tool,” said Janet. “In the past there was not an effective way to invite everyone. Now we have more than 200 attendees coming to our events. Before, we typically had about fifty. Needles to say, our developers are thrilled with what we have done.” For more information on the tool, go to the Members’ Web site at: http://members.sothebysrealty.com/PresentationStudio.aspx?terms=enewsletter
Midwest Brokers MEET in Michigan S
otheby’s International Realty brokers across the midwest United States met last month to discuss their respective markets and share cost-saving techniques, marketing ideas and best practices. Doug Hardy, chairman, SKBK Sotheby’s International Realty in Birmingham, Mich., and Chris Crawford, owner, Crawford Group Sotheby’s International Realty in Illinois developed and coordinated the event, which was held March 18 and 19 at The Westin Detroit Metropolitan Airport in Michigan. The agenda featured a brand and Realogy Corporation update from Mike Good, president and chief executive officer, Sotheby’s International Realty Affiliates LLC, a roundtable discussion on recruiting and generating business and a feature address from John Tenza, noted performance coach for agents and brokers.
soTHeby's InTeRnaTIonaL ReaLTy bRoKeRs acRoss THe MIdwesT unITed sTaTes RecenTLy MeT aT THe wesTIn deTRoIT MeTRopoLITan aIRpoRT In MIcHIGan
Attendees also included Jeff Greenway, vice president affiliate services, Sotheby's International Realty Affiliates, LLC; Andy Dielmann, Dielmann Sotheby's International Realty, Saint Louis; Denis Andrus, Andrus Sotheby's International Realty, Grosse Pointe Farms, Mich.; Connie Antoniou and Mike Popowcer, Hunter's Fairway Sotheby's International Realty, North Barrington, Ill., Sergio Martinucci, Sudler Sotheby’s International Realty, Chicago; and Scott Street, Street Sotheby's International Realty, Upper Arlington, Ohio. “Our goal was to bring everyone together in a casual and small informal setting,” said Doug. “Some people have great ideas on things we are all struggling with, so our aim was to share best practices for all to benefit.” For more information, please contact Doug at dhardy@skbk.com.
Welcome to Brazil
ABOVE LEFT | Ignacio Robles, managing director, Brasil Rio de Janeiro Sotheby’s International Realty, explains his office’s primary Mike before the grand opening. ABOVE RIGHT | The ACL luxury development in Sao Paulo is being marketing by Brasil Sao
markets to
Paulo Sotheby’s International Realty
S
ince the 2007 opening of Brasil Sotheby’s International Realty in Sao Paulo, the firm has added an additional four offices under the leadership of Fabio Rossi, president and chief executive officer.
Last year the firm opened Brasil Sao Paulo Sotheby’s International Realty, and this year added Brasil Natal Sotheby’s International Realty in Natal, Brasil Rio de Janeiro Sotheby’s International Realty in Rio de Janeiro and Brasil Farms & Agribusiness Sotheby's International Realty in Campo Grande.
Fabio Rossi (left), greets Adolpho Lindenberg and Mike Good (right) at ACL, a luxury development the firm is representing. Adolpho is seen by many as the premier developer of luxury residential towers in Sao Paulo. In his 50-year career, he has built more than 400 luxury apartment complexes. RIGHT | Fabio Rossi (Left) celebrates the opening of Brasil Rio de Janeiro Sotheby’s International Realty with Katia Mindlin Leite Barbosa, head of the Sotheby’s Auction House in Rio de Janiero; Antonio Pedro Figueira de Mello, secretary of tourism for Rio de Janeiro; Heloise Guinle, regional associate for the Sotheby’s Auction House in Rio de Janiero; Ignacio Robles, managing director, Brasil Rio de Janeiro Sotheby’s International Realty (center); Mike Good; and Marcos Felipe Magalhães, marketing director, Brasil Rio de Janeiro Sotheby’s International Realty (right).
Mike Good, president and chief executive officer, Sotheby’s International Realty Affiliates LLC, visited Brazil in March for the opening of Brasil Rio de Janeiro Sotheby’s International Realty and to tour the Sao Paulo firms, where he also gave a brand update to local real estate professionals and media.
DID The Sotheby’s International Realty® Web Site… You By the Numbers Know? The Sotheby’s International Realty Web site, www.sothebysrealty.com, was designed to encourage visitors to continue searching by clicking on brokers’ Web sites. Here is a look at the extraordinary results achieved in 2008: • 772,033 total handoffs, which is a visitor being passed from the brand Web site to a broker’s Web site • 64,336 average monthly handoffs • 2,962,156 total unique visitors • 26 percent of visitors clicked through to a broker’s Web site • 12.3 minutes: average length of a visit In the first quarter of 2009, water continues to be the most sought after amenity for those searching on www.sothebysrealty.com: • More than 28 percent of visits were for an Ocean/Beach lifestyle search and more than 17 percent were for a Waterfront search. Historic/Antique came in third with more than 13 percent. • Nearly 20 percent of visits were for an Oceanfront amenity search while more than 18 percent were for Waterfront and more than 10 percent were for Inground pool. • Other significant searches were for: • Terraces/outdoor space • Historic amenities • Indoor pool • About 23 percent of visitors this quarter came from outside the United States, with Canada, the United Kingdom and Brazil providing the most. “The ultra-wealthy buy luxury items because the products fit in with their lifestyle, not because they want to feel superior. There is a growing desire to learn more about brands and the craftsmanship behind them.With baby boomers becoming more inquisitive and authoritative, and questioning what makes luxury goods so great, connoisseurship is on the rise,” said Greg Furman, chairman and founder of the Luxury Marketing Council. – From Prestige New York Wealth Update, March 10, 2009
European Brokers Network in London Sotheby’s International Realty® brokers across Europe recently gathered together at the Sotheby’s Auction House on New Bond Street in London to share ideas and provide local market updates. The
Sotheby’s
International
Realty
Affiliate
Business
Meet-
ing was held April 2 to 3 for owners and managers and featured a roundtable discussion on market conditions and possible synergies.
Attendees also heard an international marketing
update from David Russell, director, international marketing and public THe soTHeby's aucTIon House on new relations for the brand, and news from the Auction House.
bond sTReeT In London
In addition, the group discussed the recently scheduled Auction House-
Greim of Mallorca Sotheby’s International Realty, Spain; Alexander
sponsored events, which are open to all Sotheby’s International Realty
Kraft and Sibylle Mueller of Sotheby’s International Realty France; Tiago
companies and designed to provide a forum for networking with other
Queiroga and Eurico Ferreira da Silva of Sotheby’s International Realty
affiliates and the Auction House’s executives and clientele.
Portugal; Charles Smith of Sotheby’s International Realty-London; Louise
Attendees included Peter Turtzo, vice president, international affiliate services, for the brand; representatives from Four Communications and
Swan of Kristina Szekely Sotheby’s International Realty, Spain; and Gareth Zundel of Greece Sotheby’s International Realty.
the Sotheby’s Auction House; Ann-Marie Doyle of Venice Estates Sothe-
For more information on the Auction House-sponsored events, please
by's International Realty, Italy; Simone Foth, Anita Gaertner and Leonhard
go to the “Sotheby’s Auction Events” section on the Members’ Web site
Gaertner of Hamburg Sotheby’s International Realty, Germany; Stefan
at: http://members.sothebysrealty.com/events.aspx.
G R E AT I D E A
TO
IMPLEMENT
Nestler Poletto Sotheby’s International Realty in Boca Raton, Fla., is separating itself from the competition by utilizing the brand’s marketing resources in innovative ways. The firm is running eGallery and a rotation of their own listings on multiple screens from only one computer thanks to UltraMon software, a utility for multi-monitor systems. The software allows them to run eGallery in their conference room and on a screen in the office front. An additional software package enables them to showcase a rotating powerpoint of their own listings next to the eGallery clients see when they walk in, providing a key point of interest as soon as they enter. The firm also is creating customized jumbo postcards as an alternative to the standard Multiple Listing Service (MLS)/Listing sheet used when showing properties to buyers. One of the templates was designed specifically for mailing. They will be stored at Merrill so their agents can order quantities quickly and easily. Network members that would like to order this product, which is called "Data Mailer," can do so at the Merrill online store. It is available under "Property Brochures," then "Brochure Mailers." For more information, contact broker/owners Mark Nestler at mark.nestler@npsir.com and John Poletto at john.poletto@npsir.com or Bruce Landis, marketing director bruce.landis@npsir.com.
THe eGaLLeRy aT nesTLeR poLeTTo soTHeby's InTeRnaTIonaL ReaLTy In boca RaTon, FLa.
Auction Calendar Highlights
from the Global Real Estate Industry:
May 2009
5
8
6
13
Impressionist & Modern Art Evening Sale Exhibition: 1 May – 4 May Sales: 5 May (NY) The Greek Sale Sales: 6 May (London) Impressionist & Modern Art Day Sale Exhibition: 1 May – 5 May Sales: 6 May (NY)
7
Sporting and Marine Art Sales: 7 May (London) Natural History, Travel, Atlases and Maps Sales: 7 May (London)
NEWS & VIEWS
Important French Furniture Exhibition: 2 May – 7 May Sales: 8 May (NY)
Contemporary Art Day Auctions Exhibition: 8 May – 12 May Sales: 13 April (NY) Fine Chinese Ceramics & Works of Art Sales: 13 May (London)
20
20th Century British Art Sales: 20 May (London) American Indian Art including Property from the Collection of Frieda and Milton Rosenthal Exhibition: 16 May – 19 May Sales: 20 May (NY)
27 & 28
Genoese Silver and Furniture From a Private Swiss Collection Sales: 27 May (London) Latin American Exhibition: 23 May – 27 May Sales: 27 & 28 May (NY) Fine English & Continental Furniture, Including Silver, Ceramics & Clocks Sales: 28 May (London)
“Sales of new homes rose in February for the first time in seven months, the Commerce Department reported….The increase was fueled by higher activity in the South and West, where deals on foreclosures and other "distressed" properties, particularly in California, are helping to drive interest….Sales of new homes nationwide rose 4.7%...to a 337,000 annual rate...” --“New-Home Sales Rise 4.7%,” by Kelly Evans, The Wall Street Journal, March 26
“The rapid fall in the price of prime properties in London has slowed over the past three months as new buyers have begun to emerge in the expectation that the market will soon find a floor. Average values fell 4.2 percent in the first quarter of 2009, a halving of the rate of fall seen in the final quarter of 2008, helped by the fact that transaction levels for March were the highest for 12 months. Buyer registrations in the prime London markets have also doubled over the past quarter.” --“Price fall slows for expensive homes in London,” by Daniel Thomas, Financial Times, March 27
TaMaRa de LeMpIcKa PORTRAIT DE MARJORIE FERRY, 1932 esTIMaTe: $4,000,000 – 6,000,000
Editor:
Jennifer Zimmerman Jennifer.Zimmerman@sothebysrealty.com
Designer: Amanda Pardo
© 2009 Sotheby’s International Realty Affiliates LLC. All Rights Reserved. Sotheby’s International Realty Affiliates LLC fully supports the principles of the Fair Housing Act and the Equal Opportunity Act. Each Office is Independently Owned and Operated. Sotheby’s International Realty and the Sotheby’s International Realty logo are registered (or unregistered) service marks licensed to Sotheby’s International Realty Affiliates LLC.