Something shady?

Maybe it's a relo company, but those numbers still don't make sense: http://donfritsch.com/working-with-a-relocation-company-is-a-headache/

Scenario: Condo sold by individual to LLC for 200k, seller realizes minimal profit, so doesn't have much capital gain, or profits that have to be split with newly divorced wife. LLC (which maybe seller has a less than arm's length distance from) then sells condo, seller cleans up via LLC/company & different tax structure. Maybe? Alternative suggestions invited.

if its a condo, the board should have exercised its right of first refusal to take it at 200k if its really worth 500k.

Thanks Snuffles and Aaron2. Snuffles, how would that first refusal price be arrived at? It's something already included in the original sale agreement?