Lionstone Investments Raises $745 Million for Latest Value-Add Fund

HOUSTON--(BUSINESS WIRE)--Lionstone Investments is pleased to announce the final close of Lionstone U.S. Value-Add Five (“LVA Five”), a diversified value-add real estate investment vehicle that uses advanced analytics to identify, acquire and fix transitional assets in locations where innovation, economic vitality and today’s most productive companies and people intersect. The firm raised $745 million across a commingled fund and co-investment side car, exceeding the target raise of $625 million. In addition to the recommitment of 100% of the partners from the previous fund, Lionstone Value-Add Four (“LVA Four”), LVA Five also added new investors from Asia and the Middle East.

“We are delighted to expand our flagship value-add strategy with the support of our parent company Columbia Threadneedle Investments,” said Dan Dubrowski, Co-Founder and Head of Capital Formation. “We also are pleased to welcome new partners to what we believe is a truly differentiated value-add fund.”

LVA Five has already acquired two assets and is under contract to purchase a just delivered multifamily project in Raleigh, NC. “Lionstone believes that opportunity exists to improve and reposition multifamily, office, and retail assets, especially those located within mixed-use developments,” said Bryan Sanchez, CIO of Lionstone. “Using sophisticated and evolving analytics, we are able to gain early intelligence on potential market developments and the types of space desired by the workforce driving today’s digital economy.”

Launched in 2005, Lionstone’s value-add program has invested in and advised on over $2.4 billion of equity in value-add properties.¹ LVA Four, which closed in January 2017, invested $500 million in a portfolio of nine multifamily, office, and mixed-use retail assets across the U.S. LVA Five will pursue the same underlying investment strategy, but now with the benefit of more evolved and advanced data analytic tools.

About Lionstone Investments

Lionstone Investments is a data-analytics driven real estate investment firm that conceptualizes, analyzes, and executes national investment strategies using proprietary algorithms and advanced analytics to understand the changing ways people in America want to live and work — Places for Productive People.^® Lionstone Investments is a wholly-owned subsidiary of Columbia Management Investment Advisers, LLC. Columbia Threadneedle Investments is the global brand name of the Columbia and Threadneedle group of companies. Please visit our website at: LionstoneInvestments.com.

¹ As of Q3 2020

AdTrax #3445804