MADISON, NJ—Realogy Holdings Corp. is stepping up its game in the single-family rental arena, having formed a new national residential property management division within its NRT LLC brokerage subsidiary and most recently acquiring one of the Dallas/Fort Worth market’s leading property management firms. The formation of the management division within NRT consolidates local operations under a national platform, which currently has about 20,000 long- and short-term rentals and bank-owned properties under management.
“This is the first of several adjacent growth initiatives underway to complement NRT’s residential real estate brokerage model and enhance overall profitability,” says Bruce Zipf, NRT’s president and CEO. “We are going to leverage our presence in 40 of the top 100 US markets to grow our position in residential property management services in order to better serve single family rental investors, who are buyers today and may be sellers in the future, as well as to develop relationships with today’s renters who may be tomorrow’s home purchasers.”
In the DFW Metroplex, NRT has acquired the assets of Dallas GTF Inc., which does business as Get There First Realty Services and is based in Dallas. Get There First Realty, which has about 1,600 rental properties totaling $131 million under management across the Metroplex, will become an integral part of NRT’s newly created property and asset management services division.
The 33-year-old company’s founder and president, Mark Kreditor, will join NRT as a VP. Kreditor is past president of the National Association of Residential Property Managers, and is regarded among the foremost national authorities on single-family property management.
Boosted by more than five million foreclosures during the downturn, the rental-home industry has grown to about 14 million properties, Jade Rahmani, an analyst at Keefe Bruyette & Woods Inc. in New York, told Bloomberg on Tuesday. That has spurred demand for managers as both mom-and-pop investors and major players such as American Homes 4 Rent and the Blackstone Group’s Invitation Homes platform make acquisitions across the US.
NRT’s management division was formed last month, and is being led by Robert Way, a 17-year Realogy veteran, who most recently served as an SVP with its Title Resource Group subsidiary. Previously, Way served as COO for TRG’s Texas American Title and American Title Co. of Houston, and its underwriter, Title Resource Guaranty Co.