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In October, Michael S. Liebowitz took over the reins as CEO and chairman of Douglas Elliman, following the retirement of Howard Lorber. Liebowitz had served on Elliman’s board because the firm went public on the tail-end of 2021 and has a background in insurance coverage and finance.
Friday marked the CEO’s debut on the Inman Join New York stage and he appeared excited concerning the future that lies forward of him with Douglas Elliman.
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Michael S. Liebowitz | Douglas Elliman
“It seemed like an exciting opportunity,” Liebowitz instructed moderator and managing director of Period Ventures Clelia Peters of his transfer to CEO. “Our model is synonymous with luxurious actual property, I feel it’s the very best model on the planet.
“I thought there was a real opportunity to take that brand to the next level.”
As somebody who comes from a background outdoors of actual property, Liebowitz stated he thinks the trade “is truly on the cusp of tremendous change, but I think it’s also going to stay somewhat traditional.”
Douglas Elliman is specializing in know-how and information to make brokers’ lives simpler, Liebowitz added, to be able to be the “expertise lead” within the enterprise.
However the human side of wanting an agent to signify a consumer’s greatest pursuits, and be there to clarify value and residential worth won’t ever go away, Liebowitz added.
“The negotiation is always going to be human. You’re always going to want a great agent negotiating for you,” he stated.
“You always just focus on what’s right for your client, putting them first,” after which have the laborious information to again up what brokers are advising, Liebowitz continued.
Serving on an organization’s board versus working within the ranks as CEO are two very various things, Peters famous.
“I think I said [being on the board is] like trying to run a ground team from a helicopter,” Liebowitz stated, recalling a dialog the 2 had backstage. “I’ve had a real lesson in being a board director.
“I had a lot of ideas when I was on the board. I was definitely a vocal board member … but as a board member, you really have to have your management team implement the ground game.”
As CEO, Liebowitz stated he pays consideration to opponents far more than he ever did as a board member. He discovered it fascinating how some corporations appear to be focusing their efforts on “aggregating” a bunch of brokers.
For Douglas Elliman, it’s extra about being nimble proper now because the trade continues to rework within the post-settlement panorama.
“We’re going to be a really reputable, credible disrupter,” Liebowitz stated, with an extra concentrate on collaboration, connectivity and tradition. The corporate can also be working to assist brokers enhance their gross fee earnings (GCI) since, he defined, “agent splits are what they are, but companies have a responsibility to work within the reality they have.”
Douglas Elliman has targets for 2025, Liebowitz added, however the firm is de facto taking part in the lengthy sport, how they’ll succeed 10 years from now. A part of that plan is looping brokers extra into the administration decision-making course of, by making administration extra accessible to conversations and creating numerous committees the place they’ll weigh in from a boots-on-the-ground perspective.
“So what you’re talking about is a culture shift,” Peters stated, noting how, traditionally, Lorber was recognized to have made quite a lot of unilateral selections for the brokerage.
“I’m a much different leader,” Liebowitz acknowledged. “I’ve always been this way. I’m not just adapting to the business we’re in … This is my brain trust, and this is not going to be a company that’s going to be run in a dictatorial way — we want more players on the field.”
One of many issues that provides the Douglas Elliman model energy is its agent groups, Liebowitz stated. Opposite to what he heard some brokerage CEOs talk about at earlier Inman Join New York panels, Liebowitz stated the brokerage’s groups are what have helped make it a frontrunner in luxurious.
“Our teams are in the luxury end of the market,” he stated.
Groups’ entrepreneurial spirit are additionally a giant a part of the agency’s success, Liebowitz continued, which is one thing the corporate plans to lean into sooner or later. Liebowitz stated the brokerage can also be working towards localizing and “entrepreneurializing” the brokerage’s totally different areas throughout the nation, “not being so corporate and localizing where we’re going, giving more leadership to the people who are out there.”
He stated the mannequin they’re capturing for in the meanwhile is a hybrid one which’s not actually franchise or licensing — though he stated that it’s all nonetheless up for dialog.
“[Different regions are] going to have more ability to make decisions, they’re going to have more skin in the game,” Liebowitz stated. “I think the other thing is, we’re willing to make different deals in different regions … So we’re going to be really nimble in how we structure things internally.”
On the finish of the day, although, Liebowitz stated the aim is for others to equate the Douglas Elliman model with “expertise,” from information analytics to extremely expert brokers to a top-notch tradition.
“I think we’re synonymous with luxury real estate throughout the world,” he added, noting that when the announcement went out about him turning into CEO, he had contacts in Paris and elsewhere in Europe ask him why Douglas Elliman didn’t but have a presence within the area. That gave him one thing to consider.
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