recolor This week I was surprised to learn that its major shareholder— Denver Metro Area Association of REALTORS (DMAR) and Denver South Metro Area Association of REALTORS (SMDRA) — has agreed to sell the company to a private equity firm.
REcolorado is the 16th largest MLS in the country with 25,000 members.
Relations between the two parties have reportedly become increasingly frosty over the years, and now REcolorado leadership wants to know what’s going on. DMAR and SMDRA declined to answer house lineBut in a statement, they said the sale was in the best interest of association members and MLS users following antitrust litigation related to the company. national association of realtors (NAR) and many major brokerage firms.
“Our respective associations agree that this decision will help provide real estate agents and licensees in the Denver metro area, members of our associations, and REcolorado users who rely on the MLS to provide the important market information they need to best serve consumers. expanded and improved service opportunities for their home buying and selling process,” the statement reads.
“Having completed our due diligence as shareholders, we are confident in the Letter of Intent and that the proposed buyer is committed to operating the MLS service in the long term for our professional brokerage community and that the resources of the MLS will be used to enhance the service provided to all subscribers, And the company will not resell it.
“We firmly believe that now is the right time to sell the MLS as the industry continues to advocate for decoupling from the real estate associations that have long owned the MLS. As has been widely reported in industry reports and media reports, decoupling the MLS and REALTORS® associations can help protect the MLS organization. Protection from ongoing antitrust litigation.
“Separation could also improve the management of MLSs, according to the latest Swanepoel Trends Report, which also recommends that MLSs be structured as for-profit businesses, while REALTORS associations should be nonprofit organizations.”
