Berkshire Hathaway, the investment vehicle of Omaha billionaire Warren Buffett, is buying the Prudential network of real estate brokers and changing its name.
The new brokerage will be called Berkshire Hathaway HomeServices, and Prudential agents will begin switching to the new brand next year. The terms of the deal weren’t disclosed. The Prudential network had been owned by Brookfield Asset Management, and Berkshire’s HomeServices of America unit is the network’s new majority owner.
The Prudential name will be eliminated over the next few years, to be replaced by ‘Berkshire Hathaway Home Services.’
Buffett said he’s happy to lend Berkshire’s name and financial strength to the new company, which will be based in Irvine, Calif., and be led by a team of executives from Prudential Real Estate.
“I am confident that these partners will deliver value to the residential real estate industry, and I am pleased to have Berkshire Hathaway be a part of the new brand,” Buffett said in a statement.
Financial terms of the deal weren’t disclosed, but Berkshire’s HomeServices of America will be the majority owner. HomeServices already owns local brokerages with 16,000 real estate agents in 21 states.
Buffett is putting his money right where he recommended you and I do in this CNBC interview with Becky Quick, recorded earlier this year:
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