_Private View 2019: Bayleys – building a legacy in real estate

In this year’s edition of Private View, we talked to Mike Bayley, the managing director of Bayleys real estate, and discovered how it grew from a small family-run business to New Zealand’s largest real estate company. The article can be originally found in Private View 2019, Knight Frank’s definitive guide to luxury property and lifestyle in the UK and beyond.

Bayleys’ first office opened in 1973, it was in the basement of the family home in a small Auckland suburb. “There were a total of three staff,” recalls Mike Bayley, “my grandfather and great uncle were the brokers, and my grandmother was the company secretary, financial controller and head of HR. Their first deal was the sale of a state house for NZ $20,000.”

Over the subsequent 46 years, Bayleys has grown to become New Zealand’s leading real estate organisation. It has 93 offices, employs around 2,000 people and generates over NZ $12 billion in annual transaction value. A remarkable success story for a family-run business, which today remains underpinned by its founders values and ethos.

“A family business is about working with the people you know, trust and love the best, with a shared vision, values and commitment to working towards common goals with a long-term view that lasts for generations, not just to the end of the next financial year.”

Mike Bayley currently works alongside 11 relatives but strives to make all 2,000 of the company’s personnel feel like family members.

New Zealand has no capital gains tax or stamp duty, and has a British-based legal system, and a stable political system and economy thereby making it a “safe haven” for property investment.

“Domestically, over the past two to three years we’ve seen the emergence of a two-speed residential property market in New Zealand, with activity and values running hot across many regions but consolidating after previous rapid growth in our largest cities of Auckland and Christchurch. “This dynamic still has some way to run, but regardless of regional differences, opportunities remain to be found and residential and commercial property values look set to maintain growth momentum.”

Last year, Knight Frank and Bayleys announced a strategic partnership, embarking on a collaborative relationship which draws on Bayleys’ local expertise and allows them to leverage Knight Frank’s global insights and reach. Mike Bayley is positive about the new business relationship, and outlines the dynamics: “Teamwork and collaboration are at the heart of this partnership and our team draws strength from the ability to source expert personal representation from Knight Frank representatives all over the world.

“In partnership with Knight Frank, Bayleys has an ability, unmatched by its competitors, to connect buyers and sellers on a global scale.”