Realty One affiliated businesses, also part of the sale, include First Ohio Mortgage Corp., which originated roughly $410 million in home loans last year. Realty One last year generated approximately $102.8 million in revenue and EBIDTA earnings of about $5.1 million. In 2001, the company sold homes valued at more than $3 billion. The sale of Realty One, which Insignia acquired in 1997, will result in a pre-tax loss of approximately $20 million.

"This sale is a strategic transaction for Insignia," said Andrew L. Farkas, the firm's chairman and chief executive officer. "Insignia elected not to pursue the business plan upon which Realty One was to be the foundation. As a result, the business became a non-strategic asset."

In September 2001, Insignia announced that its New York residential brokerage subsidiary would be re-named Insignia Douglas Elliman, LLC, to reflect its position within the Insignia organization, and to facilitate cross-selling and business-development initiatives with Insignia Residential Group, the firm's manager of cooperative and condominium apartments, and Insignia/ESG, its commercial real estate services company.