From left: Tommy Kelly, CastleGate; Marian Finnegan, CEO Sherry FitzGerald; Anne Heraty, Chair Sherry FitzGerald; Kevin Dufficy, CFO/COO Sherry FitzGerald; Declan O’Reilly and James Meagher, co-founders Knight Frank Ireland
CastleGate, the family office of serial entrepreneur Tommy Kelly, has agreed a deal to acquire, through Sherry FitzGerald Group, a rival estate agency HT Meagher O’Reilly, trading as Knight Frank Ireland.
The long-flagged deal will see Knight Frank Ireland (KFI) continue to operate under its existing brand, focusing on commercial property and new homes.
KFI’s used-homes sales division, including its country homes business, which had focussed mainly on upmarket properties, will be integrated into the Sherry FitzGerald residential network.
The takeover will strengthen Castlegate’s commercial property presence in the market as KFI was especially strong in offices and development land activity as well as in industrial and retail sales and lettings.
The move reflects a turnaround to some extent as in 2016 Sherry FitzGerald sold its 80pc interest in its then commercial property division, which had traded as DTZ Sherry FitzGerald, to Cushman & Wakefield after the latter took over DTZ internationally. That Sherry deal included a no-compete clause which expired in recent years after which Sherry FitzGerald re-entered the commercial market.
Under the latest deal, Sherry FitzGerald Group’s current owned commercial operations will transfer to the Knight Frank Ireland brand, while Sherry FitzGerald franchise members will continue offering full commercial services, supported by the expertise of Knight Frank Ireland where required.
Some years prior to the Cushman deal, James Meagher and Declan O’Reilly, the directors and co-founders of HT Meagher O’Reilly (HTMOR), had previously worked with DTZ Sherry FitzGerald before leaving to set up HTMOR which later took over the KFI franchise for Ireland.
In 2023, KFI’s turnover reached €13m and it currently employs 80 people. Sherry FitzGerald Group turnover reached €34.8m for that year.
Mr Kelly, who has also invested in a number of properties, said that the KFI’s agreement “underscores CastleGate’s commitment to long-term growth by scaling and enhancing our property advisory services and capability. Knight Frank adds real depth in commercial property, in particular, and is highly complementary to Sherry FitzGerald’s outstanding market presence and brand.”
James Meagher added: “This partnership is a natural evolution for our business. Together we are creating a platform built on shared values, deep market expertise and a commitment to excellence.”
CastleGate Investments holds a global investment portfolio which is invested across both public and private markets. CastleGate plans to expand through investment in people, technology and trusted brands.