NEW YORK and MADISON, N.J., Nov. 17,
2021 /PRNewswire/ -- Sotheby's, the world's
premier destination for fine art and luxury goods, and Realogy
Holdings Corp. (NYSE: RLGY), the largest full-service
residential real estate services company in the United States, today announced the acquisition
of Concierge Auctions, the leading global luxury real estate
auction marketplace. Under the terms of the agreement, Sotheby's
and Realogy will take a joint 80% ownership stake in Concierge
Auctions, while company co-founders Chad
Roffers and Laura
Brady will remain President and Chief Executive Officer,
respectively. Concierge Auctions will operate independently,
continuing to partner with real estate agents affiliated with many
of the industry's leading brokerages to host luxury online auctions
for clients. A newly formed Board of Managers will be made up of
Sotheby's and Realogy executives and chaired by Philip White, CEO and President of Sotheby's
International Realty, a Realogy brand. Financial terms were not
disclosed.
Luxury online auctions is a growing sector of the real estate
industry, particularly at the high-end, where a more limited buyer
pool exists and properties can be harder to value and sell.
Concierge Auctions, founded in 2008, creates predictability and
liquidity for sellers in an accelerated timeframe and is designed
to work with real estate agents as trusted advisors, not
disintermediate them. In fact, co-founders Roffers and Brady have
both successfully served as licensed real estate agents, and the
company has never auctioned a property without working in
partnership with a local real estate broker. With an extensive
network of independent luxury agents and high-net-worth clients,
Concierge Auctions' technology platform serves as an additional
tool for agents to market and sell unique, one-of-a-kind luxury
properties around the world.
In 2020, Concierge Auctions reported processing more than
$3.4 billion in competitive bids with
an average home sell price of $3.5
million. And, just this year, the company broke its fourth
world record for highest price of a single-family home ever sold at
auction with the sale of Villa Firenze, one of the most expensive
residential properties in the world, listed for sale at
$165 million. Prior world records
have included the sale of Villa Passalacqua in Lake Como, Italy (listed for €100 million); Playa Vista
Isle in Hillsboro Beach, Florida
(listed for $159 million); and Walnut
Place in Dallas, Texas (listed for
$48.9 million).
With Realogy's more than 300,000 globally affiliated real estate
agents across six brands, including Sotheby's International
Realty®, Corcoran®, and Coldwell Banker®, Concierge Auctions
will benefit from increased distribution, lead generation, and
industry-leading data scale, along with enhanced marketing
visibility from the brands and affiliated agents. Sotheby's will
provide Concierge Auctions with deep luxury auction expertise,
including innovation in online and live auctions, and access to an
unmatched global network of fine art and luxury goods
collectors.
QUOTES:
"Realogy is the market leader in luxury real estate, an area in
which we continue to strategically invest to drive future growth,"
said Ryan Schneider, Realogy
Chief Executive Officer and President. "As demand for luxury real
estate auctions increases, we believe Realogy and Sotheby's can
jointly bring powerful data and network scale to Concierge
Auctions, a valuable tool for real estate agents helping clients
expertly navigate the global high-end property market. Laura and
Chad have expanded how agents and clients can sell and buy a home,
and I look forward to what we can now achieve, together."
"Since 2004, Realogy has had a very successful relationship with
Sotheby's as the operator and steward of the Sotheby's
International Realty brand," said Philip
White, Sotheby's International Realty CEO and President
and newly appointed Chairman of Concierge Auctions. "Just as the
power of Sotheby's and Realogy has fueled the tremendous growth of
Sotheby's International Realty, we are excited for what this new
partnership can bring to Concierge Auctions as Laura and Chad grow
their lead in the luxury real estate auctions sector while keeping
the agent at the center."
"I look forward to deepening our long-standing and successful
partnership with Realogy as we work with Concierge Auctions to
develop the luxury real estate auction market further," said
Charles F. Stewart, Sotheby's
CEO. "As leaders in digital innovation and fine art and luxury
auctions, this partnership is another exciting way to bring
Sotheby's expertise for the benefit of our current and future
clients."
"This investment is another sign of our growth ambition to
expand our portfolio of offerings and leverage our auctions
expertise in a growing sector of the real estate
industry," said Jean-Luc
Berrebi, Sotheby's Chief Financial Officer.
"We founded Concierge Auctions with a vision to enhance the way
luxury properties are bought and sold," said Laura Brady, Concierge Auctions Co-Founder
and CEO. "Thirteen years and billions in sales later, we are the
largest auction marketplace for high-end homes, have one of the
most comprehensive databases in the industry, and are active in 30
countries and 44 U.S. states. We couldn't imagine better partners
than Sotheby's and Realogy for our next phase of growth."
"This joint partnership presents a unique opportunity to benefit
from two of the most established and renowned companies in the
industries that we serve — real estate and auction — and to be
part of an even greater vision," continued Chad Roffers, Concierge Auctions Co-Founder
and President. "We look forward to helping more clients than ever
before sell their one-of-a-kind real estate assets to the world's
most capable buyers, with speed and certainty."
ADVISORS:
Stifel served as financial advisor to Concierge Auctions, and
Locke Lord LLP served as legal
advisor to Concierge Auctions.
About Realogy Holdings Corp.
Realogy (NYSE: RLGY) is
moving the real estate industry to what's next. As the leading and
most integrated provider of U.S. residential real estate services
encompassing franchise, brokerage, relocation, and title and
settlement businesses as well as a mortgage joint venture,
Realogy supported approximately 1.4 million home
transactions in 2020. The company's diverse brand portfolio
includes some of the most recognized names in real estate: Better
Homes and Gardens® Real Estate, CENTURY
21®, Coldwell
Banker®, Coldwell Banker
Commercial®, Corcoran®, ERA®,
and Sotheby's International Realty®. Using innovative
technology, data and marketing products, high-quality lead
generation programs, and best-in-class learning and support
services, Realogy fuels the productivity of its approximately
191,700 independent sales agents in the U.S. and more than
135,000 independent sales agents in 117 other countries and
territories, helping them build stronger businesses and best
serve today's consumers. Recognized for ten consecutive years as
one of the World's Most Ethical Companies, Realogy has also been
designated a Great Place to Work four years in a row, named one
of LinkedIn's 2021 Top Companies in the U.S., and honored on the
Forbes list of World's Best Employers 2021.
About Sotheby's
Established in 1744, Sotheby's
is the world's premier destination for art and luxury. Sotheby's
promotes access, connoisseurship and preservation of fine art and
rare objects through auctions and buy-now channels including
private sales, e-commerce and retail. Our trusted global
marketplace is supported by an industry-leading technology platform
and a network of specialists spanning 40 countries and 50
categories, which include Contemporary Art, Modern and
Impressionist Art, Old Masters, Chinese Works of Art, Jewelry,
Watches, Wine and Spirits, and Interiors, among many others.
About Concierge Auctions
Concierge Auctions is the
world's largest luxury real estate auction marketplace, with a
state-of-the-art digital marketing, property preview, and bidding
platform. The firm matches sellers of one-of-a-kind homes with some
of the most capable property connoisseurs on the planet. Sellers
gain unmatched reach, speed, and certainty. Buyers receive curated
opportunities. Agents earn their commission in 30 days. Since its
inception in 2008, Concierge Auctions has generated billions of
dollars in sales, broken world records for the highest-priced homes
ever sold at auction, and conducted auctions in 44 U.S. states and
30 countries. The firm owns one of the most comprehensive and
intelligent databases of high-net-worth real estate buyers and
sellers in the industry, and it has committed to build more than
300 homes through its Key For Key® giving program in partnership
with Giveback Homes™, which guarantees that for every property the
company sells, a new home is funded for a family in need. For more
information, visit ConciergeAuctions.com.
Forward-Looking Statements
Certain statements in this
press release constitute "forward-looking statements." Such
forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of Realogy Holdings Corp. to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements. Any statements that refer to expectations or other
characterizations of future events, circumstances or results are
forward-looking statements. Various factors that could cause actual
future results and other future events to differ materially from
those in forward-looking statements include, but are not limited
to, the failure to achieve the anticipated benefits of the
transaction and those factors set forth under the headings
"Forward-Looking Statements" and "Risk Factors" in Realogy's
filings with the Securities and Exchange Commission, including its
Annual Report on Form 10-K for the year ended December 31,
2020, its Quarterly Reports on Form 10-Q for the quarters
ended March 31, 2021, June 30,
2021 and September 30, 2021
and its other filings made from time to time. Realogy undertakes no
obligation to release publicly any revisions to any forward-looking
statements, except as required by law.
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SOURCE Realogy Holdings Corp.