Koll Real Estate Acquires Holdings, Rights to All Profits for $9 Million

Koll Real Estate Group said Wednesday that it will pay an additional $4.25 million for its property holdings to end a contract requiring it to pay half of its profits to Koll Co. over the next four years.

The publicly traded real estate company, which acquired Koll Co.’s domestic real estate operations Oct. 1 for $4.75 million, said it will pay Koll Co. in cash for the right to claim all the profits as its own.

The new deal brings the total purchase price to $9 million.

Koll Co. is privately owned, but various executives, including its president, Ray Wirta, are shareholders of Koll Real Estate. To avoid possible conflicts, Wirta said that the new terms were approved by a committee of the real estate company’s directors who are not affiliated with Koll Co.

Koll Real Estate, formerly known as Bolsa Chica Co., owns the 1,700-acre Bolsa Chica property next to Huntington Beach as well as other properties in Southern California and New Hampshire. The company also markets a variety of real estate management and development services from offices in California, Seattle, Denver and Dallas.