Inman

Warren Buffett’s new real estate franchise brand grows affiliate count to 39

Warren Buffett’s new real estate franchise brand, Berkshire Hathaway HomeServices, has signed 13 more brokerages affiliated with Prudential Real Estate, bringing the total number of brokerages affiliated with the new brand to 39.

The identities of two brokerages that have not shared the news of their new affiliation to agents yet were not disclosed in a press release issued today. The remaining 11 firms in the new crop of brokerages slated to convert to Berkshire Hathaway HomeServices as soon as the first quarter of 2014 are:

Those firms join the 26 brokerage already committed to affiliating with Berkshire Hathaway HomeServices, which opened for business on Sept. 23 when Prudential California Realty (San Diego) became Berkshire Hathaway HomeServices California Properties.

The new franchise brand gives Buffett — already a heavyweight in the residential real estate brokerage business, through Berkshire Hathaway’s ownership of the second-biggest U.S. brokerage company HomeServices of America — a new way to expand his footprint.

HomeServices of America created the new brand when it took a majority stake in the Prudential Real Estate and Real Living brands from Brookfield Asset Management in October 2012. It will eventually replace the Prudential Real Estate brand, which is slated to disappear in the 2020s as a condition of Prudential Financial Inc.’s sale of its real estate franchising business to Brookfield Asset Management in 2011.

Since then, several large Prudential-affiliated firms, including Prudential Connecticut Realty, Prudential Anderson PropertiesPrudential Florida Realty and Seattle-based Prudential Northwest Realty Associates (transitioned today), have officially converted to Berkshire Hathaway HomeServices. So far, only Prudential-affiliated firms have committed to Buffett’s new brand.

“Berkshire Hathaway HomeServices’ growth is accelerating as strong companies continue joining our ranks,” Earl Lee, CEO of HSF Affiliates LLC — the joint venture between HomeServices and Brookfield that manages the Berkshire Hathaway HomeServices, Prudential Real Estate and Real Living brands — said in a statement.

“These brokerages are well-respected in their regions, and are known for their expertise and superior service,” he said. “We’re proud they will represent our network.”

All 10 of the Prudential-affiliated firms HomeServices of America owns, including Fox & Roach Realtors, one of the nation’s largest brokerages it acquired in August for undisclosed sum, will transition to the new brand, HSF Affiliates has said. Four have yet to make the transition.

Before the conversions that began in late September, an HSF spokesman said there were approximately 550 brokerages affiliated with the Prudential brand. HSF Affiliates President Stephen Phillips says that the firm expects to transition a majority of the largest Prudential affiliates by the end of 2014.

Editor’s note: This story has been updated.