"I turned 66 [on Tuesday] and I think it's my turn to enjoy my life with Monique, my wife, McLaughlin said as he described his new part-time advisory role with Compass earlier this week. After his two-year contract as chief real estate strategist ended this summer, McLaughlin's now settled into semi-retirement, if you can call it that. Aside from his role at Compass, he's an advisor in Homeowner.ai and mortgage lender Realfinity through past investments made via his venture fund, McLaughlin Ventures."
"All that said, McLaughlin's not stepping away from the M&A world entirely. In fact, before he hung up the phone with The Real Deal, he offered his final comment: Make my phone ring. That was after plenty of shop talk around the current state of play for brokerage M&A. McLaughlin expects continued industry consolidation, acknowledging that, while this may not look like a good time to sell, earnouts and other clauses baked into a contract could make a trade more palatable to sellers."
Mark McLaughlin entered semi-retirement at age 66 while taking a part-time advisory role with Compass and advising Homeowner.ai and mortgage lender Realfinity through McLaughlin Ventures. He is unlikely to take additional brokerage clients because of conflicts of interest tied to his Compass insights. McLaughlin led Pacific Union as CEO from 2009, expanding it through a dozen acquisitions and growing it to $14 billion in annual sales before Compass acquired it; he served as Compass California president from September 2018 to December 2020. He expects continued industry consolidation and notes that earnouts and contract clauses can make deals more palatable. Brokerages generally trade at three to 5.5 times EBITDA, but EBITDA conversations are more nuanced now because non-recurring expenses like legal fees and a National Association of Realtors-related commission settlement can distort that cash-flow metric.
Read at therealdeal.com
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