Ohio-based software company MRI Software is making a bid for the MLS just days before it could be sold to another buyer.
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A controversial pending sale of a major Colorado MLS became more complicated this week when another buyer unexpectedly emerged with what it described as a “very competitive” acquisition offer.
The offer comes from MRI Software, the Ohio-based parent company of contract software provider CTM Contracts, and is a bid to acquire REColorado. The multiple listing service describes itself as the 16th largest MLS in the U.S. The MLS was thrust into the spotlight last month thanks to news that its owners — Denver Metro Association of Realtors (DMAR) and the South Metro Denver Realtor Association (SMDRA) — plan to sell to a newly formed company.
The proposed sale generated significant pushback and, amid the controversy, DMAR and SMDRA ultimately ousted the MLS’s board of directors, at least one of whom had been publicly critical of the deal.
John Ensign
In a statement Thursday, John Ensign — president and managing director for North America at MRI Software — said his company stepped up with an offer “after learning of the potential sale of REColorado, when it was publicly reported.”
“Having integrated and worked with REColorado for many years, we know that REColorado is a valuable asset to the real estate industry in Colorado,” Ensign continued. “The goal of the proposed acquisition is to secure REColorado’s future while supporting and improving its MLS and contract platforms.”
The statement further explains that details of MRI Software’s offer are confidential, though Ensign adds that “we feel it will be very competitive.” It also asked DMAR and SMDRA to consider the offer when voting on the previously announced deal at the end of this month.
That previously announced deal has been shrouded in controversy from the moment it made headlines. That was in part because a group of industry members that included now-former REColorado Vice Chair Shelly Vincent had been previously trying to buy the MLS. Vincent told Inman in June that her group was blindsided by news that DMAR and SMDRA were instead planning to sell to someone else.
Information about the would-be buyer was also initially sparse. Eventually, REColorado’s owners revealed the buyer to be Equity Title of Colorado President Joseph E. Burks and his newly formed company MAZL, though questions about Burks and the sale have persisted.
Inman has also continued to receive unsolicited comments from REColorado users, all of which have been critical of the proposed sale to MAZL. Just on Thursday, for example, Guide Real Estate founder Bret Weinstein reached out to say that “this whole thing feels like a joke” and that it “exposes the dark side of selling the MLS to private companies.”
Whether the new MRI Software offer has a chance at prevailing remains to be seen, but Inman has reached out to DMAR and SMDRA for comment and will update this story with any response it receives.
Read MRI Software full statement here: