Property consultancy Savills - which has a major office in Birmingham - yesterday said it was on course to meet expectations for this year after demand remained strong in the commercial sector.
The group, which recently paid its staff a £79.4 million windfall because of strong results last year, said it was comfortable with the way 2005 was progressing, despite lower volumes in the residential market.
In a trading update, Savills said the commercial property investment market in the UK had kept its strength with a high level of transaction volumes and hunger from both private and institutional buyers.
And while residential markets got off to a quiet start to the year, the sector has begun to see more activity, particularly in London.
Buyers in the regions were showing greater caution, while markets for new homes were more affected than second hand sales, it added.
Savills said: "The current level of our residential order book remains encouraging but market volumes are not expected to be at the exceptional levels achieved in 2004, especially in the new homes market.
"Overall, we are confident that owing to the quality, flexibility and broad base of our global businesses, we are well placed to meet our expectations for 2005."
Analysts have pencilled in profits of around £44 million for this year, compared with the figure of £50.2 million achieved in a buoyant 2004.
Savills sells office blocks, retail parks, warehouses, hotels and care homes in addition to a residential sales department where houses carry a typical price tag of more than £1 million.