Property group expands into Florida

Michael Bruce, founder and group CEO of Purplebricks

Purplebricks is continuing to build its international network with its latest overseas expansion.

The property group has launched in Florida, expanding its American presence which began in Los Angeles last year and has been followed by San Diego, Sacramento, Fresno, Phoenix, Las Vegas and New York.

But its share price hit an 18-month low last week, having lost half of its value since January, amid investor concerns about fragile housing markets and the group’s ability to deliver significant profits.

Purplebricks’ global chief executive Michael Bruce said: “This is our fifth regional launch since starting out in Los Angeles twelve months ago, and reflects our confidence in the US opportunity and the reception we are achieving state by state.

“We are encouraged by our progress in the US and excited about the potential in Florida, and we continue to identify new markets in the US where our value proposition can greatly benefit both consumers and agents.”

It is operating in the Tampa and Orlando Designated Market Areas, which have annual real estate sales of more than 230,000 units.

The Solihull-based group, which recorded an EBITDA loss of £19.6m for the year to April, plans to announce its interim results on December 13.

They will be closely scrutinised by the market to judge how much momentum is in UK profit growth and to assess the progress of its expansion into USA and Australia.