Industry News

Massive layoffs at discount brokerage Foxtons

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Real estate discount company Foxtons' turbulent ride through the U.S. real estate market is approaching an end. Foxtons, a low-commission real estate firm that had grown to 500 employees who served consumers in New Jersey, New York and Connecticut, this week announced that it is releasing 350 of its 380 remaining employees "and may be filing for bankruptcy protection in order to close the business in an orderly fashion." The company blamed the real estate market downturn as a contributor to the company's financial problems. "The plain fact is that we have been battling against a real estate market that recently has turned into a sharp decline, and the company no longer has the liquidity to operate as a going concern," Foxtons' Senior Vice President and General Counsel John D. Blomquist said in a statement. "We understand the impact of the action we are taking, but there comes a point when you can't stand in the way of a hurricane, and it is a property hurricane we are facing." First l...