KNIGHT Frank, the global property consultancy, is to merge its Scottish operations to form a "devolved" business with the ability to operate with greater independence.
The restructured operation will be headed by Drew Oswald, who becomes one of only two senior partners in the UK, the other being Nick Tomlinson in London.
Oswald will link the three Scottish offices, Glasgow, Edinburgh and Aberdeen, to form a si
ngle unified company.
The development comes as Scotland's housing sector looks set to outperform the rest of the UK, escaping "relatively unscathed" from the turbulence in the global financial markets.
A report by the firm shows that prices in Scotland will continue to rise this year, bucking the trend across the rest of the UK.
Oswald, who employs more than 90 staff in Scotland, said the move demonstrated the health of the Scottish market. "It's an important step in that the partnership has recognised we have made great strides in Scotland and it means we can now run the Scottish business to suit the Scottish market.
"The new operation will give us greater flexibility and shows what an important market Scotland is for Knight Frank."
A record number of homes were sold in Scotland last year, amounting to a value of £23bn.
Sales rose by 7% as the housing market north of the border remained buoyant during 2007, despite a general slump across the UK.
Oswald admitted that the market going forward looked quite difficult and that the year ahead would be challenging but there was still "plenty of work out there".
He said: "It will be harder, there is no doubt about that. We have had a bull run for four years but we never thought that would continue, indeed we didn't build our business plan on that bull run.
"But prices haven't gone down in Scotland and there is certainly no indication that prices are falling. Despite the financial turmoil we haven't seen any effect on the top end of the market. There has been a major re-pricing on investment property.
"On the investment front, there is simply no credit in the market at all. I don't think investment pricing has bottomed out in Scotland yet and it still looks a bit expensive."
Under the new operation, Oswald will co-ordinate all departments in the business, including both commercial and residential property, building consultancy, planning and hotels and leisure.
Last year, he bolstered the leisure side of the business by poaching top leisure sector dealmaker David Reid, formerly director of Christie & Co in Glasgow, to spearhead a major expansion in the hotel and pub market.
Reid has handled some of Scotland's biggest hotel deals of recent years, including One Devonshire Gardens and Bewleys in Glasgow.
Oswald also said he will be extending Knight Frank's estate agency, opening a country homes section in the west coast, and hiring new staff.
The full article contains 483 words and appears in Scotland On Sunday newspaper.
