Compass Acquires Pasadena Real Estate Firm DPP

After eight months of navigating Los Angeles real estate as an independent firm, luxury boutique brokerage Deasy Penner Podley/DPP was acquired by Compass for an undisclosed amount.

DPP co-founders George Penner and Mike Deasy will continue to lead the newly-branded firm DPP @ Compass. For 18 months DPP was affiliated with Side, before becoming independent in January 2023.

The deal will help Compass expand in the crucial Los Angeles market, said Parker Beatty, a regional Compass executive in Southern California and Hawaii.

The deal could help DPP in a tough market, said Stephen Shapiro, a veteran agent and co-founder of prominent boutique firm Westside Estate Agency.

“In a real estate world where transactions are down, rent and overhead don’t go down,” Shapiro said. Compass could help DPP with its obligations. DPP should give Compass even more visibility, said Shapiro, who was not familiar with the details of the deal.

Headquartered in Pasadena, DPP developed a speciality in representing architecturally significant homes and will be contributing to Compass’ Architecture + Design Division. It also represented 2 Oak Knoll, the priciest home in Pasadena, which was listed for $38.5 million in 2023 before being taken off the market in August.

DPP runs nine offices in the Los Angeles area, which includes branches in exclusive Eastside neighborhoods such as La Cañada Flintridge, Sierra Madre and Altadena. More than 175 agents work are affiliated with DPP.

Compass runs a large office in Pasadena at 680 Colorado Blvd, with more than 300 agents at that location, according to its website.

Steve Clark, founder of Pasadena boutique firm Backbeat Homes at Side, worked for both Compass and DPP when they were smaller companies and sees pros and cons in the deal.

“Being part of something bigger can be a good thing and has its downsides,” Clark said. “Agents have to reconcile how they feel about being part of a larger company. You get the support of a big company, but you’re also likely to be competing against other agents in your own office.”