Northwood Realty to acquire Berkshire Hathaway Preferred Realty
Northwood Realty Services will acquire Berkshire Hathaway HomeServices The Preferred Realty, the company announced Tuesday night.
In a statement, Northwood Realty Services said the combined company — which will operate as Berkshire Hathaway HomeServices The Preferred Realty by mid-August — will become the largest real estate broker in the region in volume, sales and active listings. Both companies are based in McCandless.
“This is a win for all of us – and for consumers,” Northwood CEO and President Tom Hosack said in a statement. “While it is bittersweet for us to retire the ‘Northwood’ name, it’s important to remember that the legacy of Northwood is much more than a name. It is a solid foundation of culture and values that will continue for a long time. Leaders at both companies agree that we are a great fit together.”
Hosack will continue to serve as co-president and CEO of the new company. James Saxon, the current president and CEO of Berkshire Hathaway HomeServices The Preferred Realty, will become co-president and chief operating officer.
Combined, the new company will include more than 1,800 real estate agents, and have more than 50 offices across 22 counties in Western Pennsylvania and Eastern Ohio.
The companies, when gross commissioned income figures are combined, generated $85 million in 2017, according to a statement. That figure would place the new company among the top 10 across all Berkshire HomeServices brokerages. The Preferred Realty group is a locally owned affiliate of the Berkshire Hathaway HomeServices, which is part of the Berkshire Hathaway multinational conglomerate, whose chairman and CEO is Warren Buffett.
In a statement about the acquisition, Saxon said the real estate market is “more competitive than ever, and industry and business models are changing fast. More nontraditional companies are getting involved in real estate. As our company is doubling in size and blending our expertise, we are effectively positioned to provide agents with the best technology, tools, education, and experience to help them succeed.”