Lakeshore Holdings selectively advises and partners with clients to increase profitability by…
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Improving the performance and governance of investment teams
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Profitably growing assets under management
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Profitably repositioning portfolios
Established in 2003 by Jeff Johnson, Lakeshore Holdings was originally sponsored by a major investment bank.
“We implement value-investing techniques to find opportunities in the differences between Price and Value.” Making superior value-based investments requires broad macro research (“top-down”) and detailed product and submarket knowledge (“bottom-up”). Lakeshore’s track record has proven this method provides outperformance over long periods of time.
Track Record
Lakeshore has been involved in over $70 billion of investment transactions and ownership spanning 30+ years. More important than volume, Lakeshore Principals have consistently delivered outsized returns for their investors
Over $70 billion in transaction value through M&A, acquisitions and dispositions
Total return outperformance in both AUM growth and portfolio repositioning
Both private equity and Public REIT experience
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Repositioning
From 2003 to 2007, Equity Office was repositioned by acquiring $4.2 billion of strategic assets - creating a $1.3 billion development portfolio, disposing of $8.3 billion of non-strategic assets, and completing a stock buyback of $2.6 billion of stock. Eventually sold to Blackstone, the sale was the largest public-to-private transaction up to that time, at the peak of the US REIT market. Achieving an annualized total shareholder of over 37%, EOP share price increased 113%, from $25.97 to $55.50.
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Profitably Growing AUM
Lakeshore principals have worked together to grow Assets Under Management by over $40 billion for various entities. They have realized outsized returns for investors by finding ways to invest throughout differing economic cycles whether one-off acquisitions, development, or M&A. They have invested through private equity vehicles using cash and debt, through Public Reits using cash, debt, OP units, stock, as well as proceeds from non-strategic asset sales.
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Repositioning
From 2012 to 2017, with Jeff Johnson as CEO, Dividend Capital Diversified Fund (“DPFIX” now “AREIT”) was restructured into the largest Public Daily NAV REIT from a vehicle that had generated no return, or liquidity, to shareholders for over five years. Sandy Deets joined to help lead the effort to reposition by selling $1.4 billion of non-strategic assets, acquiring $656 million of strategic assets, and raising $200 million of new capital. DPF outperformed the listed REIT index (“IYR”) in total shareholder return, share price volatility, and dividend payout, while providing liquidity to shareholders.