Douglas Elliman Signs Deal to Acquire California Brokerage
Real Estate In-Depth | August 2017
NEW YORK—Residential real estate brokerage firm Douglas Elliman announced on Aug. 1 that it entered into a contract of sale to acquire Los Angeles-based Teles Properties.
Upon closing, the operations of Teles will be under the umbrella of Douglas Elliman, making Elliman the second largest non-franchise brokerage firm in the State of California. Teles partners Peter Loewy, Sharran Srivatsaa, Peter Hernandez and Evan Ageloff will continue to have integral roles within Douglas Elliman, Western Region. Completion of the transaction, which is subject to closing conditions, is expected to take place during the second week of August 2017, Douglas Elliman reported.
Once closed, Douglas Elliman will span 20 offices with 630 sales associates in California, from Coronado to Carmel; and 58 sales associates and five offices in Colorado. The acquisition will also add a Boulder location to Douglas Elliman’s Colorado brokerage, which already operates in four locations in Aspen and Snowmass Village. In 2016, the combined organization accounted for more than $27.4 billion in total closed sales volume nationwide. Across the United States, Douglas Elliman will boast 110 offices and more than 7,000 agents.
“Our search for an exceptional company that offered unrivaled technology and marketing platforms, whose agents mirrored the entrepreneurial spirit of Douglas Elliman, led us straight to Teles Properties,” said Howard M. Lorber, chairman of Douglas Elliman Realty, LLC. “For almost a decade, buyers and sellers in California and Colorado have trusted Teles with one of their most valuable assets and important life decisions. Teles’ well-known reputation as a major driving force for the past 10 years, combined with Peter Loewy, Peter Hernandez, Sharran Srivatsaa and Evan Ageloff’s leadership experience, make this an ideal union.”
Long time Elliman executive Stephen H. Kotler, who in 2016 was named president of Brokerage Douglas Elliman, Western Region, will expand his role as CEO of brokerage Douglas Elliman, Western Region, overseeing operations throughout California and Colorado.
“We are proud to welcome Teles Properties and its fine team of real estate professionals to Douglas Elliman,” said Kotler. “Both brokerages share the same high level commitment to advancements in technology and marketing aimed at delivering exceptional real estate experiences for clients. We are extremely impressed with Teles’ innovative marketing and technology platforms and approach to agent training and development. This move greatly strengthens our presence in California and Colorado where Teles’ impressive track record in the luxury home market speaks for itself.”
Since 2007, Teles Properties has been a prominent force in serving sellers and buyers of California and Colorado homes. With more than $15 billion in cumulative sales since 2012 alone, Teles was named by Inc. Magazine as one of the fastest growing companies in America as well one of the best entrepreneurial U.S. companies by Entrepreneur Magazine.
“After a decade of growing this company to nearly 600 licensed professionals and staff, I consider this union with Douglas Elliman to be our best growth initiative yet,” said Peter Loewy, who will serve as chief executive officer of brokerage for California. “We are gaining exposure in markets around the world via Elliman’s global alliance with Knight Frank and elevating our strategic planning in order to optimize growth as well as agent and customer satisfaction.”
“There is no other company that could match the national and international reach that our agents and clients will gain from this union,” said Sharran Srivatsaa, who will be named president of brokerage, Western Region.
“We are joining forces to bring the strongest global real estate experience together under one organization,” said Scott Durkin, COO of Douglas Elliman Real Estate. “This is an excellent acquisition for all, because, as part of Douglas Elliman, Teles agents will have more opportunities for exposure while expanding service areas and professional expertise for home buyers and sellers throughout California and Colorado. In addition, the referral opportunity for our agents grows even stronger for their clients in the multiple home market.”
Teles executive Peter Hernandez will stay on as president of brokerage for California, as will Evan Ageloff who will serve as chief operating officer of Brokerage, Western Region.
Douglas Elliman expanded into Westchester County in 2011 and opened its Scarsdale office in 2013. The company now has five Westchester offices, including in Armonk, Bedford, Chappaqua, Katonah and Scarsdale. Douglas Elliman opened its Greenwich, CT office in 2014.
Douglas Elliman has a strategic global alliance with London-based Knight Frank Residential for business in the worldwide luxury markets spanning 59 countries and six continents. The company also controls a portfolio of real estate services including Douglas Elliman Development Marketing; Manhattan’s largest residential property manager, Douglas Elliman Property Management with over 250 buildings; and DE Commercial.