Would-be owner of REcolorado gets ‘positive response’
At a meeting Monday, association members approved a change in bylaws that will allow the sale of the nation’s 16th-largest MLS to move forward.
Despite a late offer from MRI Software and a meeting that some hoped might lead to a shift in plans, the REcolorado sale appears to be moving forward.
Members of the Denver Metro Association of Realtors (DMAR) and the South Metro Denver Realtor Association (SMDRA) met Monday to discuss the sale to a private entity headed up by Joseph E. Burks, the president of Equity Title of Colorado, and approve bylaw changes to support the transaction.
"We are more than happy with how the meeting ended today," a representative for DMAR and SMDRA told Real Estate News via email. "While a few members expressed concern, the majority of the members in attendance appreciated the opportunity to engage and provided positive feedback, including thanks, hugs, and support."
Burks "presented his vision, which elicited a positive response from the members and helped ease some of the concerns from the misinformation that has been seen in the public," the rep said.
What's next? The board will meet next week. "At this time, this is all we can disclose, as guided by our legal counsel," the rep for DMAR and SMDRA said.
How we got here: It has been a tumultuous five weeks for REcolorado, starting with the June 24 revelation that the MLS' owners — Denver Metro Association of Realtors (DMAR) and the South Metro Denver Realtor Association (SMDRA) — reached an agreement in principle to sell the nation's 16th-largest MLS to an LLC led by Burks.
MLS leadership made an effort to become self-owned, and the decision to go another way generated industry-wide interest and for some, concern. Over the past month, the association owners of REcolorado replaced its board, appointed an interim CEO, and denied profiting from the potential sale.
Last week, MRI Software submitted an "Indication of Interest" in purchasing REcolorado, saying in an email that "although the contents of the IOI are confidential, we feel that it will be very competitive." They asked that the offer be considered at this week's meeting, but it was not clear to what degree that occurred.
A Denver-based Realtor's perspective: "In my opinion, the vote was a waste of time," said Bret Weinstein, founder and CEO of Guide Real Estate and a member of DMAR. "Regardless of the vote, the board members would be able to sell the MLS and that was their intention the entire time."