Turf war in sight as estate agents split

A turf war could break out in central London's lucrative estate agency market after the resignation of the head of the ultra-competitive Foxtons agency.

Peter Rollings has quit as Foxtons managing director to set up his own firm selling homes to rich City workers after failing to gain a stake in the firm he helped build into London's largest.

Foxtons is known for its fleet of minis - numbering some 460 - which take prospective buyers to million pound homes from St John's Wood to Mayfair and Fulham.

But it rode into controversy 18 months ago when it admitted to having instructed contractors to tear down rivals' For Sale boards.

Mr Rollings, 42, said he had repeatedly asked the firm's 51-year-old founder and chief executive, multi-millionaire Jon Hunt, for a stake in the business. "But I knew in my heart of hearts it would never happen so I decided to leave and do my own thing."

His new firm, which has backing from " business angels" is likely to operate in many of the same central London areas as Foxtons, which has 18 London outlets as well as 18 newer Surrey branches.

Under Mr Rollings' leadership Foxtons had become synonymous with high commission rates, charging up to 3 per cent on multiple and

2.5 per cent on sole agency. The new firm is expected to charge similar rates "in line with the market," Mr Rollings added.