Better Homes and Gardens Real Estate

175 Park Avenue, Madison, New Jersey 07940

[email protected]

Upgrade to View

Better Homes and Gardens Real Estate LLC is a Delaware limited liability company, originally formed on November 20, 2007. They are a direct wholly owned subsidiary of Realogy Services Group LLC, a Delaware limited liability company. Their principal business address is 175 Park Avenue, Madison, New Jersey 07940. They began offering franchises for real estate brokerage offices in January 2008.

We offer franchises for real estate sales offices in the United States to owners of existing real estate brokerage businesses and in certain situations we may offer a franchise to persons who want to start a real estate brokerage business (the “Franchise” or the “Business”). If you meet our financial, professional, operational and other standards you will operate in a market in which we seek to be represented, and agree to pay our initial franchise fee, we may grant you a Franchise. The Franchise permits you to offer residential real estate brokerage services and commercial real estate brokerage services from a specified office location (the “Main Office”) and other authorized Office locations (the Main Office and other authorized office locations collectively referred to as a “Better Homes and Gardens® Real Estate Office” or “Office”), using the Better Homes and Gardens® Real Estate service mark and other trademarks, service marks, trade names, designs, logos and other commercial symbols we periodically designate (collectively, the “Marks”) and using the system we have developed, which includes access to brand specific systems, productivity resources, basic business development support, education, real estate referral and broker communications procedures, marketing and advertising services, products and other support funded by the Better Homes and Gardens® Real Estate marketing fund (“Brand Marketing Fund” or “BMF”) and various other items (the “System”), all in accordance with the terms of our Real Estate Franchise Agreement (“Franchise Agreement”) and the mandatory provisions of our Policies and Procedures Manual (“P&P Manual”). You will be required to sign our Franchise Agreement (see Exhibit C) and Security Agreement (Exhibit F to the Franchise Agreement), and you will be able to offer only real estate brokerage services at your franchised location, unless we provide written approval of other real estate related excluded businesses that may be operated from the Office(s), subject to the restrictions of the Franchise Agreement. For any additional Branch Offices (as defined in the Franchise Agreement) you elect to open and that we approve, you will be required to sign our Location Addendum to the Franchise Agreement (See Exhibit C-1) before the Branch Office can begin operation. Except for those expressly stated obligations in this disclosure document, the Franchise Agreement or any other agreement, including those agreements referenced herein or attached as Exhibits to this disclosure document that you sign, we and our parents, subsidiaries and affiliates make no representations or implied warranties to you either by course of conduct or otherwise We have a diversity and veteran program under which eligible franchisees may pay a reduced initial franchise fee. As of the issuance date of this disclosure document, the reduced initial franchise fee under this program is $5,000. This program may be modified without notice at any time. We may establish and/or eliminate any benefits as we deem in the best interests of the System. We may from time to time introduce pilot programs to qualifying franchisees who operate at least one franchised office. These pilot programs may be offered in certain test markets and the terms and conditions of each office will vary depending upon the circumstances. We also may permit a qualifying existing franchisee to open a limited purpose office. We have the right to waive or vary the criteria described below in our reasonable business judgment. Limited purpose offices are designed to accommodate special market conditions and related situations, and as of the issuance date of this disclosure document include the following: Seasonal Offices, Temporary Tract Offices, Team Offices or Administrative Offices as described below (“Limited Purpose Offices”). The duration and general terms of each Limited Purpose Office will vary based on its particular function and other circumstances. We enter into a limited number of new Limited Purpose Office Addenda each year and rarely enter into one at the time a franchisee signs its franchise agreement. To obtain a Limited Purpose Office, you must sign the applicable then-current “Limited Purpose Office Addendum” to your Franchise Agreement. While we reserve the right, at any time, to modify the terms of the Limited Purpose Office Addenda, they typically: (i) will, be for a one-year term (although we have the right to permit to extend this period for one or more additional one-year terms); (ii) require the payment of a non-refundable initial franchise fee of $1,000; (iii) contain a 30-day mutual termination right; (iv) prohibit or limit your ability to transfer your rights under the Limited Purpose Office Addendum to an existing franchisee, without our approval; (v) require all Gross Revenue (defined in Exhibit C to the Franchise Agreement) from the respective Limited Purpose Office to be reported through your Main Office and to be aggregated with the Main Office for all purposes under the Franchise Agreement; and (vi) will not hinder or prevent us from placing a new franchise location in close proximity to the Limited Purpose Office