Taiwan Realty Co (台灣房屋) yesterday entered a strategic alliance with China’s largest broker, 5I5J Realty Services Group (我愛我家), in the hope of increasing mutual customer numbers, especially Taiwanese with business connections in China.
The unprecedented alliance between property brokers across the Taiwan Strait will at first be limited to exchanges of information, know-how and personnel training, before further opportunities for cooperation are explored, Taiwan Realty chief executive Kevin Peng (彭培業) told a media briefing in Taipei.
“The cooperation will allow Taiwan Realty quick and extensive access to the huge Chinese market without owning any outlets,” Peng said.
Generally, Taiwanese competitors have preferred to set up their own outlets to maintain better control over operations in China. Sinyi Realty Inc (信義房屋), the nation’s only listed broker, has yet to turn a profit on its operations in China, while Evertrust Rehouse Co (永慶房屋), the largest operator by number of outlets, is struggling to reverse the impact of a series of tightening measures by Beijing to counter a potential housing bubble.
5I5J Realty has 1,500 outlets in top-tier cities in China and aims to open 200 more this year, company president Du Young (杜勇) said.
He added that the company, which closed 400,000 deals last year, is looking for opportunities to expand its business at home and abroad. As cross-strait ties deepen, Chinese with business interests in Taiwan may also seek services, he said.
“I believe Chinese brokers will soon replace their US peers in the world’s leadership position, as we are expanding aggressively,” Du said.
The partners have yet to work out a mechanism on how to divide service charges and other details, but aspire to this year reach 100,000 of the 4 million Taiwanese doing business in China, Peng said.
The firm’s ambition is not restricted to Greater China and it is set to open a flagship outlet in Kuala Lumpur, Malaysia, on Sunday, he said.