Realtors in Kingston, Ont. will cast their vote—again—in June to decide whether they will form a single entity with their peers across Eastern Ontario, but some members are citing concerns with the process.
A special meeting of the Kingston and Area Real Estate Association (KAREA) will be held on Jun.12, after members voted against an amalgamation with neighbouring boards in March.
Of the nearly 300 votes, 163 (55 per cent) were in favour of the amalgamation, failing to reach the 66 per cent majority required to pass.
Joel Thompson, a Realtor with eXp Realty in Kingston, said members need more information to make an informed decision, and the process feels rushed.
“We’re expected to put a firm offer on amalgamation with very questionable language in the draft documents,” he said.
“But we would never give that advice to our own clients, so why are we expected to just trust the board?”
The board, in accordance with the Ontario Not-for-Profit Corporations Act, is compelled to hold a second vote as a member-led petition met the minimum 10 per cent threshold to request a special meeting.
Thompson said key information has not been shared with members, such as full financial disclosure from each board, a staffing plan including executive structure, roles, salaries and locations of services, a dues and fees analysis, a finalized governance and voting structure, and a draft amalgamation agreement in the final form.
Kingston members have been told that financial reports for the other boards are under a non-disclosure agreement.
“It’s being set up in a way that’s creating all this conflict,” said Thompson.
“To me, this is a five-year process. This isn’t a one-year thing.”
Real Estate Magazine heard from several Kingston Realtors who say they feel they have not been given a clear explanation of how an amalgamation would benefit them. Further, one member cited concerns that they have been presented with “one-sided” information, with inadequate attention given to potential downsides.
Members requested anonymity to protect their professional relationships and reputations.
Ambrose defends the process
In a statement to Real Estate Magazine, KAREA president Mary Ambrose cites a list of six ways that membership have been engaged, such as 24 email updates, discussion at the annual meeting, several townhalls, an educational website, documents on the members portal and participation in brokerage office meetings.
“KAREA and its board of directors are committed to a transparent and member-driven process,” said Ambrose. “We firmly believe that Members have been given, and continue to have, ample time, tools, and opportunities to inform themselves and make thoughtful decisions about the proposed amalgamation.”
What are the upsides?
Thompson said he sees little benefit from merging with other boards, since they now have access to shared data on MLS provider Realm.
Sylvie DesHaies, chair of the integration task force, said the collaboration has the potential to give members a stronger voice in government lobbying, leadership opportunities and training.
“We each offer something unique to our membership, and we can share it,” she said in an interview.
“Having the resources available to do that helps our members in general, and provides services and products they can all benefit from.”
She declined to speculate what may happen if the upcoming Kingston vote falls through.
“There would have to be a task force meeting,” she said.
She said the fact that Kingston already voted it down once does “absolutely not” make her question whether amalgamation is in the best interest of members.
Task force was formed one year ago
In June, members of the KAREA, Ottawa Real Estate Board (OREB), Renfrew County Real Estate Board (RCREB) and Rideau-St. Lawrence Real Estate Board (RSLREB) learned of a plan for regional integration, spearheaded by a task force made up of representatives from all five Eastern regional real estate boards.
The proposal focused on enhancing professional services, increasing advocacy, and better positioning members to meet evolving industry demands and opportunities.
In December 2024, each of the five boards of directors gave tentative approval to a proposed amalgamation, pending affirmative voting results by the members of each board.
The Ottawa and Renfrew County boards have already voted in favour of the merger.
This amalgamation would create the third-largest real estate association in Ontario.
Cornwall board bows out
Cornwall and District Real Estate Board proposed the amalgamation to its members, but formally withdrew from the process before it went to an official vote.
Cornwall’s membership was scheduled to vote in March. However, Kingston’s defeated vote upended the entire motion for the five boards to merge, CDREB president Derek McEwen told Real Estate Magazine.
Rather than a formal vote, “Cornwall’s Board conducted a poll of our membership, and the results came back with an overwhelming majority that, had it been an official vote, our members would have voted against amalgamation,” said McEwen.
The topic of amalgamation is not unique to Eastern Ontario. In August 2023, several Ontario boards merged to form the Central Lakes Association of Realtors.
Courtney Zwicker is a digital reporter and associate editor for REM. Based in Atlantic Canada, she has over a decade of experience covering daily business news.