JLL to Acquire HFF for $2B

The global real estate giant will purchase the Dallas-based brokerage firm in a cash-and-stock deal expected to close in the third quarter.

JLL, the global real estate and investment management firm, has agreed to acquire HFF, a Dallas-based brokerage firm. The transaction, which is slated to close in the third quarter, is valued at roughly $2 billion. Once the cash-and-stock deal is completed, JLL shareholders will own about 87 percent of the shared company.

HFF was launched in 1998 and provides capital markets and brokerage services to commercial real estate owners. Since its inception, the company has closed more than $800 billion in more than 27,000 transactions. In 2018, HFF reported record revenue of more than $650 million.

HFF CEO Mark Gibson will join JLL as CEO of capital markets for Americas & co-chair of its global capital markets board.

“We have long admired HFF for its expertise and leading reputation in the industry, as well as its client-first culture of teamwork, ethics and excellence, which aligns with our own,” said Christian Ulbrich, global CEO of JLL, in prepared remarks. “I believe that combining our organizations will deliver a range of compelling benefits for our clients, employees and shareholders.”

The deal is the latest in a string of high-profile real estate mergers, including Brookfield Asset Management’s acquisition of Oaktree last week, a deal valued at $4.7 billion, and Avison Young’s acquisition of GVA last month.