Commercial real estate giants DTZ and Cushman & Wakefield plan to merge their companies by year’s end to form one of the largest global property services companies in the world.
The combined company will operate under the name Cushman & Wakefield, and is expected to pose a substantial competitive threat to other mega real estate service firms.
Chicago-based DTZ reportedly will pay $2.04 billion to acquire Cushman & Wakefield, located in New York City, from Exor. The merged company will employ 43,000, take in more than $5.5 billion in annual revenue, and operate in 250 offices in more than 50 countries.
The newly merged firm will take its place in the global real estate world behind industry leader CRBE and second-place JLL, whose revenues are reportedly about the same as the combined Cushman & Wakeman/DTZ firm has projected for itself.
Brett White, CRBE’s former chief executive, will run the new firm, which he called a “third formidable competitor at the highest end of this industry,” which has been in “a bit of a two-horse race,” according to The Sydney Morning Herald.