Luxury boutique brokerage Deasy Penner Podley (DPP) has been acquired by Compass, one of the largest real estate companies in the United States. The terms of the deal were not disclosed. DPP co-founders George Penner and Mike Deasy will continue to lead the newly-branded firm, DPP @ Compass.
The acquisition of DPP will help Compass expand its presence in the competitive Los Angeles real estate market. Parker Beatty, a regional executive at Compass, believes that the deal will be beneficial for both companies. By joining Compass, DPP will receive the support it needs to navigate the challenging market conditions, while Compass will gain more visibility through DPP’s established reputation and network of agents.
Located in Pasadena, DPP has specialized in representing architecturally significant homes and will now contribute to Compass’ Architecture + Design Division. The company’s portfolio includes the listing of the highly-priced 2 Oak Knoll property, which was originally listed for $38.5 million before being taken off the market in August.
With nine offices in the Los Angeles area, including branches in exclusive neighborhoods like La Cañada Flintridge and Sierra Madre, DPP brings a strong presence to Compass. Over 175 agents are affiliated with DPP, adding to the already substantial workforce of over 300 agents at Compass’ Pasadena office.
The acquisition has both advantages and disadvantages, according to Steve Clark, founder of Pasadena boutique firm Backbeat Homes. While being part of a larger company can provide support and resources, agents may also face increased competition within their own offices.
Overall, the acquisition of DPP by Compass signifies a strategic move to strengthen Compass’ position in the Los Angeles real estate market. With DPP’s expertise in luxury properties and Compass’ resources and network, both companies are well-positioned to thrive in this competitive industry.