Sotheby’s, Coldwell Banker going bankrupt?

That’s what Bloomberg’s predicting. The last time I reported on this subject, last May, Coldwell Banker had my column terminated at The Greenwich Post by threatening to pull their advertising. They achieved their immediate goal, thanks to my pusillanimous publisher, Marty Greenberg, but they might have better spent their energies preparing for the bankruptcy of their own owner, Realogy. After all, I’m not the one who loaded up the company with junk bonds – that would be the investment banker geniuses who took control of Realogy.

(Thanks, CEA for forwarding me this long awaited story)

Update: You may want to read this NYT story on Realogy’s troubles and future. If you don’t, let me summarize: bleak. The comments to the article are even more discouraging but I assure you, I didn’t write them.

And again. Noted without comment:

“Given our previously stated view that Realogy’s ability to service its current capital structure over the intermediate term will be challenged, we view the exchanges as being tantamount to default,” Emile Courtney, an analyst at S&P, said in a report today.

 

Mark Panus, spokesman for Realogy, declined to comment.

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One response to “Sotheby’s, Coldwell Banker going bankrupt?

  1. Anonymous

    Chris, I have always wondered why certain brokers were with certain firms. The whole issue warrants some illumination for clients like me who don’t really know how the economic relationship between broker & agency works. Do some brokers jump ship to other brokerages because they get a better deal? What are the general terms of the commission split between house & broker? Who pays for marketing costs? What kind of fees do you pay to maintain the MLS? What is a standard commission to pay a broker to sell your home? Does that commission rate drop at the higher end of the real estate spectrum?

    I realize you might be reticent to discuss these issues but I have never known you to shy away from sensitive topics.