Monday, January 30, 2023

Inside Real Estate reduces staff following BoomTown acquisition

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Inside Real Estate CEO Joe Skousen confirmed the layoffs in an email to Inman, saying the cuts are the result of overlapping positions following the acquisition, which was first announced on Friday.

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Inside Real Estate has laid off an undisclosed number of employees following the acquisition last week of BoomTown, Inman has confirmed.

Inside Real Estate CEO Joe Skousen confirmed the layoffs in an email to Inman, saying the cuts are the result of overlapping positions following the acquisition, which was first announced on Friday.

“Given the combination of two meaningfully sized companies in the space, we made the difficult decision to eliminate certain redundant positions between the two organizations,” Skousen told Inman. “All impacted employees were notified and provided with severance packages last week.”

Skousen did not confirm the total number of people let go or what specific teams were most impacted.

Inman was informed of the staff reductions first by an anonymous source early Monday morning, who said the layoffs began, “a couple days ago,” and shared a screenshot of a consecutive LinkedIn posts, the first announcing the layoffs, and a response from a person with the title of “Software Engineer at BoomTown – Real Estate Platform,” saying they had been let go and were now seeking job referrals.

The post cites a work history in software development.

Skousen and BoomTown CEO Grier Allen on Friday acknowledged to Inman on Friday that redundancies at the combined company would be addressed.

Allen, now Chief Strategy Officer at Inside Real Estate, said the acquisition will result in the company having more than 700 employees. He said the decision to sell BoomTown, which he co-founded, had nothing to do with the company’s financial stability.

Staff reductions are not uncommon after the acquisition of a healthy company, especially in scenarios where a number of roles will overlap.

Skousen and Allen agreed that the acquisition was a long-time in the making, despite formal talks happening for only a few months.

“We’re bringing these two industry leaders together, and we’re pumped about it,” Skousen said. “We’ve observed and respected each other for years, and it’s certainly not the first time I’ve thought these companies would make sense if together. The DNA of the companies really lines up.”

A public announcement of the acquisition will take place at Inman Connect New York on Tuesday, Jan. 24.

This is a developing story.

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