Cushman & Wakefield has made layoffs across the country as the company reorganizes, sources said.
In a statement, the brokerage acknowledged the layoffs after a review of its business last year. The statement did not specify how many employees will be let go, or from which divisions.
“We have made the difficult, but necessary, decision to reduce our workforce in select areas of our organization in order to align our business to our new strategic priorities,” the statement said.
Brad Kreiger, a spokesperson for the firm, declined to comment beyond the statement.
A source close to the layoffs said the job cuts affected the brokerage’s West Coast operations, and they largely impact senior staff. It coincides with the recent hiring of a new COO, Michelle MacKay. Sources were not aware of the layoffs prior to Friday’s cuts.
Cushman has about 53,000 employees in 400 offices globally. In 2015, the company went through a round of layoffs following a merger with Chicago-based DTZ that cost some 250 employees nationwide their jobs.
The firm has 1,900 employees in the New York metropolitan area, according to its website. Cushman is one of the city’s leading investment sales brokerages. Last year, its brokers completed $10.85 billion in investment sales deals across the five boroughs — more than any of its competitors. But that represented a nearly 35 percent drop for Cushman from 2018. Last year was another tough year for New York City’s investment sales market, and the total dollar volume of sales continued to fall from the 2015 peak.
The announcement comes about a week after the firm reported strong earnings. Cushman & Wakefield’s fee revenue rose 9 percent for all of 2019 and for the fourth quarter. Total revenue for the Americas division was $1.8 billion in the fourth quarter, up from $1.67 billion the year before.
Another brokerage, CBRE, said late last month that it planned to cut 40 members of its digital and technology team in New York.
This is a developing story. Check back for updates.
Write to Mary Diduch at md@therealdeal.com and Eddie Small at es@therealdeal.com