Real estate may be one of the most rewarding opportunities of 2024. For one, according to the National Association of Realtors (NAR), home prices could rise by 2.6% in 2024, as noted by CNBC. Two, “NAR expects mortgage rates to drop closer to 6% in 2024. This will further stoke demand and keep prices elevated throughout the year,” they added. That’s all a solid catalyst for companies like La Rosa Holdings (NASDAQ: LRHC), eXp World Holdings (NASDAQ: EXPI), CBRE Group (NYSE: CBRE), FRP Holdings (NASDAQ: FRPH), and Realty Income (NYSE: O).
Even better, companies such as La Rosa Holdings could see massive growth. All thanks to its agent-centric commission model where agents keep 100% of their commission. So, instead of taking a hefty chunk of an agent’s commission – like most of the more well-known real estate brokerage companies – agents at La Rosa get to keep 100% of their commissions. This means that La Rosa realty agents simply earn more than agents from other brokerage companies. All of which could lead to further growth for the overall company.
La Rosa Holdings Corp. (NASDAQ: LRHC) Has a Strong Commitment to Agents
La Rosa Holdings Corp., a holding company for seven agent-centric, technology-integrated, cloud-based, multi-service real estate companies, today announced that it has previously launched La Rosa Holdings 2022 Agent Incentive Plan. The purpose of Agent Incentive Plan is to further reinforce the Company’s commitment to empowering agents and solidify their role as agent-owners, which the Company believes represents the future of real estate.
As previously announced in the Company's filings with the United States Securities and Exchange Commission, Agent Incentive Plan was adopted in 2022 as a voluntary compensation plan for the Company’s agents.
The Agent Incentive Plan supports La Rosa real estate agents that seek to invest in the Company and participate in its expected success. The plan offers eligible agents an opportunity to acquire the Company’s restricted common stock at a 20% discount to the market price (calculated based on the terms of the plan) by utilizing a portion of their commissions from transactions as described in the plan. This plan is designed to align the long-term interests of agents and the Company by empowering them as co-owners of the Company they help building.
Not only is the Company rewarding its dedicated agents, but those agents also have the potential to receive restricted common stock grants of up to $2,000 per year as a further reward for closing more than 20 sales or reaching a milestone of $6 million in total sales and staying with the Company for 12 months thereafter. La Rosa’s commitment to creating opportunities extends beyond its agents' individual success. Reflecting the Company’s focus on teamwork and collaboration, it also offers agents an opportunity to earn $200 in restricted common stock grants for every agent they refer to the Company under conditions described in the plan. Additionally, when they refer more than ten agents in the calendar year, they qualify for a bonus from $8,000 to $10,000 in stock grants. This means that for every eleven agents an individual refers within a calendar year, they can earn up to $10,000 in stock grants. The referral program is designed to not only promote the growth of the Company but also enable agents to benefit from expanding the Company's network of like-minded professionals.
The participation in the Agent Incentive Plan is subject to the eligibility requirements and terms and conditions described in the plan, which the Company encourages its agents to carefully review before joining the program.
Joe La Rosa, CEO of the Company, commented, “At the heart of the Company’s philosophy is the belief that the future of the real estate industry lies in creating opportunities for agents to become true agent-owners, fostering the next generation of real estate professionals. We believe that we have consistently been at the forefront of innovation in the real estate industry, and our Agent Incentive Plan further cements our reputation as a company that prioritizes the success and well-being of its agents.”
“We believe our Agent Incentive Plan is a game-changer for agents who are poised to benefit, not only from their individual achievements, but also from their collective stake in the Company. With a focus on agent ownership, empowerment, and rewards, in our opinion, the Company is well on its way to becoming a true leader in real estate. As La Rosa continues to grow and thrive, our agents can look forward to benefitting from what we believe will be a very bright and prosperous future for the Company,” concluded. Mr. La Rosa.
Other related developments from around the markets include:
eXp World Holdings, “the most agent-centric real estate brokerage on the planet” and the core subsidiary of eXp World Holdings, Inc. announced the launch of its new Thrive program, designed to incentivize culturally aligned, producing teams to join the eXp Realty family. Once onboarded, the team lead will receive an equity award based on their previous 12-month production, subject to future vesting. “As a company committed to continuously pushing the boundaries in support of our agents, eXp Realty is always looking for new ways to enhance the agent experience,” said Michael Valdes, Chief Growth Officer, eXp Realty. “Earlier this year, we introduced two incentive programs, Boost and Accelerate, aimed at helping independent brokerages and individual agents transition to eXp Realty. Now with the addition of Thrive, we are offering teams an accelerated equity opportunity. We understand that each team has its own unique culture and way of doing business, and we want to provide a platform for them to thrive in our agent-centric environment.”
CBRE Group reported financial results. “Commercial real estate capital markets remained under significant pressure in the third quarter. As a result, we experienced a sustained slowdown in property sales and debt financing activity, which drove the decline in core earnings-per-share. This decline was exacerbated by delays in harvesting development assets which we will sell when market conditions improve," said Bob Sulentic, president and chief executive officer of CBRE. "Over the last several quarters, we have detailed the increased importance of our resilient and secularly favored businesses. These businesses saw continued solid growth in the third quarter, led by Global Workplace Solutions."
FRP Holdings Inc. reported net income for the second quarter of 2023 was $598,000 or $.06 per share versus $657,000 or $.07 per share in the same period last year. The second quarter of 2023 was impacted by the following items: Operating profit increased $701,000 compared to the same quarter last year due to improved revenues. Management company indirect increased $235,000 due to merit increases and new hires along with recruiting costs. Interest expense increased $390,000 compared to the same quarter last year due to less capitalized interest. We capitalized less interest because of fewer in-house and joint venture projects under development this quarter compared to last year. Interest income increased $2,005,000 due primarily to an increase in interest earned on cash equivalents and increased income from our lending ventures. Equity in loss of Joint Ventures increased $2,281,000 primarily due to losses during lease up at The Verge and .408 Jackson.
Realty Income announced that it has declared the 640th consecutive common stock monthly dividend. The dividend amount of $0.256 per share, representing an annualized amount of $3.072 per share, is payable on November 15, 2023 to stockholders of record as of November 1, 2023. The ex-dividend date for November's dividend is October 31, 2023.
Legal Disclaimer / Except for the historical information presented herein, matters discussed in this article contains forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. Winning Media is not registered with any financial or securities regulatory authority and does not provide nor claims to provide investment advice or recommendations to readers of this release. For making specific investment decisions, readers should seek their own advice. Winning Media is only compensated for its services in the form of cash-based compensation. Pursuant to an agreement Winning Media has been paid three thousand five hundred dollars for advertising and marketing services for La Rosa Holdings Corp. by La Rosa Holdings Corp. We own ZERO shares of La Rosa Holdings Corp. Please click here for disclaimer.
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