RE/MAX Premier picks up 5 former Compass offices in Chicagoland
The offices, located in the upscale North Shore region, mark a major expansion for RE/MAX in the greater Chicago area.
Big moves are afoot in the Chicago suburbs. This week, RE/MAX Premier Chicago announced the acquisition of five former Compass offices across the high-end North Shore suburbs. The transaction comes as RE/MAX seeks to gain stable footing while Compass posted record earnings last quarter.
Rockin' the suburbs: RE/MAX Premier Chicago shared the news of the acquisition over Labor Day weekend on social media, signaling the expansion into the north suburban markets of Lake Forest, Highland Park, Glencoe, Winnetka and Glenview. The area features some of the highest median listing and sales prices in the Chicagoland region — in Lake Forest, for example, the typical home costs $1.4 million, according to Realtor.com data.
The new offices will complete their transition from Compass to RE/MAX by October 13, the company said in an announcement, adding that the acquisition doubles the number of offices that RE/MAX Premier operates in the Chicago area.
What the deal means for RE/MAX: In a news release, RE/MAX corporate said that acquiring the former Compass offices "brings the full strength of the REMAX brand to one of the most prestigious real estate markets in the Midwest" and provides clients in the North Shore with "access to unmatched global exposure, innovative technology and marketing tools that elevate every listing."
Broker/owner Janice Corley also signaled a pivot from the Compass brokerage model to one that she deems as being more agent-centric.
"Unlike many real estate companies today that are owned by venture capital or hedge funds with no local presence," Corley said in the announcement, "REMAX was founded to empower entrepreneurial agents — giving them the freedom to run their business as they see fit, with the support of a brokerage owner who is truly invested in their success."
Real Estate News has made multiple requests for comment from Corley.
Why did Compass sell these offices? The deal comes as Compass has aggressively pushed its 3-phased marketing strategy and "Private Exclusives" effort in major markets across the country — including Chicago, where Compass is now the leading brokerage after acquiring @properties Christie's International Real Estate.
Compass also recently announced 10 new performance records — including all-time high revenue, net income, cash flow and more — during the company's second quarter earnings call.
But Compass' takeover of @properties and Christie's may have had a role in its selloff of the five North Shore offices to RE/MAX. According to a company source, the brokerage reduced its brick-and-mortar presence in Chicago's North Shore due to the acquisition of the area market leader earlier this year.
However, the company remains committed to Chicago and continues to serve the North Shore community through other nearby Compass offices, the source added.