Northern California Luxury Residential Titans Merge in Multi-Million-Dollar Deal

SAN FRANCISCO, CA—The luxury residential market in Northern California apparently is alive and well.

Two titans of the industry are merging in a multi-million-dollar deal expected to close in August. Terms of the deal were not disclosed.

Pacific Union GMAC Real Estate, a 34-year-old firm, is being acquired by the principals of Morgan Lane Marin, Inc., a three-year-old fast-growing boutique real estate firm in Marin county.

The two companies will continue to operate under their existing names, as independently owned and operated franchised companies within Brookfield Residential Property Services’ U.S. real estate network.

Pacific Union will continue to be managed locally by its existing team of executives. Its 13 offices are located in Berkeley, San Francisco (Opera Plaza), San Francisco (Presidio), Danville, Larkspur, Mill Valley (downtown), Mill Valley (Strawberry), Montclair, Napa Valley (Napa), Napa Valley (St. Helena), Orinda, Sonoma and Sonoma Plaza.

Bucking the odds in a highly volatile, recession-stymied real estate market, Morgan Lane Marin has grown meteorically, from just $52 million in sales in 2006 to $315 million in 2008.

Combined, the two entities will have 17 offices, more than 430 real estate professionals and 2009 sales volume projected to be $2.2 billion, according to Mark A. McLaughlin, (top right photo) CEO of Morgan Lane.

McLaughlin says the goal of the combined operations is to become the Bay Area’s leading luxury real estate brand – an objective, he says, that will be achieved by retaining and recruiting the industry’s top-producing professionals and leveraging resources and international marketing programs of Christie’s Great Estates.

For Pacific Union, the acquisition brings the company full circle back to its roots three decades ago, restoring it to a locally owned and operated, high-end boutique brokerage.

“This is great news for Pacific Union, as it will now return to local ownership,” says Avram Goldman, (top left photo) CEO of Pacific Union. “These are two highly regarded companies with similar cultures.”

Adds Goldman, “Pacific Union is already well positioned as a leading Bay Area real estate company. By joining forces with Morgan Lane, we have a tremendous opportunity to expand both companies’ presence and further dominate in the regions we serve.”