Douglas Elliman sells property management arm for $85 Million

"Douglas Elliman has sold its property management division to PMG Holdings, a subsidiary of Associa, in an $85 million deal. The sale was approved by all but one member of Douglas Elliman's board of directors. The exception was board member David K. Chene, a principal at Kennedy Lewis Investment Management, who recused himself from the vote. The deal closed Oct. 24, the same day it was signed, an U.S. Securities and Exchange Commission filing shows."

"Elliman said it expects to report a gain of more than $75 million from the sale in the fourth quarter. The company plans to use the proceeds, along with existing cash, to pay off debt it issued to Kennedy Lewis last year. As part of the transaction, PMG Holdings will continue using the Douglas Elliman name for its property management services under a five-year licensing agreement."

Douglas Elliman sold its property management division to PMG Holdings, a subsidiary of Associa, for $85 million. The transaction closed on Oct. 24 and was approved by all but one board member, who recused himself. Elliman expects to report a gain of more than $75 million in the fourth quarter of 2025 from the sale. The company will use the proceeds, together with existing cash, to repay debt issued to Kennedy Lewis last year. PMG Holdings will operate the management business under the Douglas Elliman name through a five-year licensing agreement. The two firms will continue a referral relationship, and Elliman agreed to a five-year noncompete in New York, Texas and other markets along with restrictions on poaching employees or clients tied to PMG. The management division oversaw cooperative, condominium and rental buildings across New York and other markets.

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