John Aaroe Group of Los Angeles has entered into a merger agreement with Pacific Union. The combination of the two firms will bring them in line with both Alain Pinel Realtors and RealtyONEGroup, two other California based firms in the National top 10 with sales in the $12 Billion range. John Aaroe Group will retain all of its branding and management.
John Aaroe Group is one of the leading independent firms on the west side of Los Angeles with more then 400 agents across 9 offices in the communities of Pasadena, Downtown LA, Toluca Lake, Studio City, Sherman Oaks, Baldwin Hills, Sunset Strip, Brentwood, and the fabulous Rodeo Drive office in Beverly Hills. The firm does just under $2.5 Billion in transactions and currently has just under 200 listings ranging from a low of $840,000 to a high of $135 Million. Here is an overview of the combined entity.
This is the second deal of this size completed by Pacific Union CEO Mark McLaughlin. No one is really sure what inspired McLaughlin in 2009 when he was operating his boutique Morgan Lane office. But inspired he was. That was the year that he purchased Pacific Union from Brookfield which was the same size as the John Aaroe Group. At the time, Pacific Union was doing about $2.2 Billion in transactions with 430 agents across 17 offices. Since that time, Pacific Union has grown to one of the 10 largest real estate firms in America with sales under $9 Billion. Pacific Union was grown by developing brokerage operation excellence, hard work and the development of great agents. The expectation is that similar growth projection are available for John Aaroe Group.
The similarity of the transaction size is uncanny. The two firms have the same DNA, they are independent, strong brands, great agents, full service, offering luxury real estate services to the middle and upper price points of the market. Both firms work smart, agile, and 100% focused on the culture within their company. To be sure, a real estate agent has arrived in real estate when they are invited to join Pacific Union or John Aaroe group. Neither firm wants very many agents, but both seek to attract the industry’s best professionals and to support each one at cultivating a strong, successful book of business. Pacific Union has seen some remarkable growth through many of their technology innovations that John Aaroe Group will now enjoy.
Press Release:
Pacific Union International and John Aaroe Group Announce Merger Strategic West Coast Expansion Focuses on Firm of the Future
San Francisco and Los Angeles, Calif., Dec. 14, 2016 – San Francisco’s Pacific Union International, Inc., the ninth largest real estate brokerage in the U.S. by sales volume, and John Aaroe Group, a leading Southern California luxury brokerage, announce their merger. This strategic business collaboration links two of the strongest residential real estate firms on the West Coast, supporting combined 2015 production of $10.5 billion.
“Pacific Union has been aggressively looking to partner with a top-tier brokerage with clear momentum on the West Coast,” Pacific Union CEO Mark A. McLaughlin says. “John Aaroe Group is a premium brand that embraces our culture of teamwork, trust and innovation. The combination will permit Pacific Union to continue to invest in marketing and technology programs to support our real estate professionals in this highly competitive market. ”
“This strategic collaboration with Pacific Union delivers on our brokerage’s mission to expand our international reach and accelerate the adoption of the most advanced technology and innovative thinking for our real estate professionals in the industry today,” John Aaroe, president of John Aaroe Group says.
The combination of Pacific Union, The Mark Company, John Aaroe Group, and Chartwell Escrow seamlessly link the Northern and Southern California offices of these two brokerages. The combined organization results in 1,100 real estate professionals operating in 36 offices. Northern California markets include San Francisco, Marin, Contra Costa, Alameda, Napa, and Sonoma counties, Silicon Valley, and the Lake Tahoe region. Greater Los Angeles markets include the Westside, Downtown, and the San Fernando and San Gabriel Valleys.
Pacific Union vigorously executes against a unique, high-performance vision for the development of the real estate firm of the future. Key to this vision is its Innovation Lab, led by 25 agile real estate professionals who accelerate technology development unsurpassed in the industry. The technology stack created through this initiative includes a robust array of proprietary tech tools that connect the cloud to the street, putting faster business analytics into the hands of elite real estate professionals and creating the ideal road map for the ultimate client experience.
Pacific Union’s international reach includes an award-winning Chinese Concierge program established in 2013 in Beijing, with extensive marketing outreach to Chinese investors — a key success driver in the Los Angeles and San Francisco markets.
Through this merger, John Aaroe Group, noted for brokering the largest sale in Beverly Hills, at $70 million, will extend its strength into Los Angeles’ highly competitive new-condominium market with urban sales and marketing authority, The Mark Company. The Mark Company was acquired by Pacific Union in 2015, and leads the West Coast in the development of new, luxury high-rise residential condominium projects, which are powerfully transforming downtown residential markets in San Francisco, Los Angeles, and Seattle.
About Pacific Union
Founded in 1975, Pacific Union is the San Francisco Bay Area’s premier luxury real estate brand operating in nine regions. With more than 25 offices and nearly 700 of the region’s top-performing real estate professionals, Pacific Union is the ninth largest residential real estate brokerage in the U.S. based on 2015 sales volume of $8.22 billion. The company offers a full range of personal and commercial real estate services, including buying, selling, and relocation, and it founded a unique concierge program for Chinese homebuyers. In addition, the company operates joint-venture businesses that provide rental and commercial property management, urban residential marketing and sales, and insurance services. Locally owned, Pacific Union operates with an entrepreneurial mindset and unwavering commitment to deliver exceptional service and expertise. For more information, please visit us at www.pacificunion.com.
About John Aaroe Group
John Aaroe Group is a leading real estate brokerage specializing in high-end property in the greater Los Angeles area. The company has represented some of the region’s most prestigious properties, including the highest-priced sale in the history of Beverly Hills. John Aaroe Group offers in-depth knowledge through its nine offices in Beverly Hills, Brentwood, Downtown Los Angeles, the Sunset Strip, Baldwin Hills, Toluca Lake, Sherman Oaks, Studio City, and Pasadena. It also serves an international clientele through Aaroe Estates. In 2015, the firm participated in 2,834 closed transactions with a combined market value of over $2.3 billion. www.aaroe.com
MEDIA CONTACTS:
Terri Tiffany Brandon Shaw
Sand Hill PR Partners Fifteen Minutes PR
Terri@SandHillPRPartners.com Brandon@FifteenMinutes.com
650 387.7720 323 556.9700
