This is part two of a two-part series on joint ventures in the housing industry. To read the first part of this series, go here.
On a sunny, serene fall afternoon, the Chicago neighborhood of Ravenswood featured quiet socializing on outdoor brewery patios, cyclists of all ages, and, hidden alongside the elevated train tracks, the headquarters of mortgage lender Guaranteed Rate.
Founded in 2000 by its current CEO, Victor Ciardelli, Guaranteed Rate has Chicago brand recognition after it paid $2 million a year to rename where the White Sox play baseball. The lender’s headquarters features a side entrance that headquarters three more companies: Guaranteed Rate Affinity, Proper Rate, which is the Guaranteed Rate/@properties joint venture, and OriginPoint, the forthcoming Guaranteed Rate/Compass JV.
Ciardelli has put together a literal side door of joint ventures, to the annoyance of his competitors.
“It’s not like we just announced a deal with Guaranteed Rate like everybody’s got to have a Guaranteed Rate kind of thing,” said eXp CEO Glenn Sanford during an August earnings call discussing the partnership with Kind Lending. “This is actually something much more strategic.”
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