The Canadian franchisor who operates the Real Living network is buying Prudential Real Estate and Relocation Services for $110 million.
When I read that the first thing that struck me was the price. $110 million? Really? For 1,700 offices? That’s less that $1,000 per franchise!
HFS bought Century 21 in ’96 for $200 million.
They bought Coldwel Banker the same year for $710 million.
Heck, in 2004, they bought Southebys’ 1oo offices for $110 million!
Everybody knows Pru never made a dime on the real estate side of their business and after 20+ years of operation, they have a brand that the consuming public still does not equate with real estate. But $110 million? Really? What am I missing?