HomeServices of America Inc. is acquiring Chicago-based Prudential Rubloff Properties, and will merge the 860-agent firm with Koenig & Strey Real Living Real Estate to create the second-biggest brokerage in the region.
The company will rebrand next spring and affiliate with Warren Buffett’s new franchise brand, with nearly 1,600 agents doing as Berkshire Hathaway HomeServices KoenigRubloff Realty Group.
Nancy Nagy, president and CEO of Koenig & Strey Real Living, will serve as CEO of the combined companies. Michael Pierson, president and chairman of Prudential Rubloff Properties, will serve as president of the merged firms. Prudential Rubloff Properties CEO Chris Eigel will be the COO of Berkshire Hathaway HomeServices KoenigRubloff.
“Combining Prudential Rubloff with Koenig & Strey represents a new chapter in the history of our great companies and is a game changer in Chicago real estate,” Nagy said in a statement. “I have tremendous respect for both Michael and Chris and look forward to working closely with them as we bring Berkshire Hathaway HomeServices KoenigRubloff Realty Group to the Chicago market.”
With offices throughout the metro Chicago area and a branch office in New Buffalo, Mich., serving Northwest Indiana and Southwest Michigan, Prudential Rubloff Properties tallied up nearly $2.2 billion in sales volume last year. The deal includes Rubloff Insurance and Sterling Title Services LLC, which provide title insurance and escrow services, and property and casualty insurance.
Koenig & Strey Real Living, which HomeServices of America acquired four years ago, is one of the largest brokers in the Chicago-area market. The brokerage’s more than 730 agents and staff had nearly $2 billion in 2012 sales volume.
The merger with Prudential Rubloff and Koenig & Strey will create the second-biggest brokerage by sales volume based on historical data provided by Lisle, Ill.-based multiple listing service MRED, the companies said.
The acquisition gives Minneapolis, Minn.-based HomeServices of America nearly 22,000 real estate professionals operating in 25 states. The company — the majority owner in the Berkshire Hathaway HomeServices, Prudential Real Estate and Real Living Real Estate franchise networks — says it is focused on growing by “identifying market-leading companies” with “deep and enduring reputations within their community.”
“Nancy, Michael and Chris are each highly regarded for their leadership skills, their real estate experience, and their unwavering commitment to their agents, employees and buyers and sellers,” said Ron Peltier, chairman and CEO of HomeServices of America, in a statement. “Bringing together the leadership, resources and talent of these two companies uniquely positions them to deliver on their shared mission of providing an exceptional customer experience and creates an outstanding opportunity for introducing Berkshire Hathaway HomeServices to the Chicago market.”