Ameriprise Financial Inc. (NYSE: AMP) announced it will begin to shut down operations for Lionstone Investments, its US real estate investment subsidiary, and exit this business.
“The company is fully supporting Lionstone’s clients as it transitions their assets in an orderly way to new investment managers,” said Ameriprise in an unattributed press statement, adding that the “financial implications from exiting this business are expected to be immaterial. The company remains focused on growing its Alternatives business profitably, with significant opportunity in UK and European real estate, as well as with its hedge funds, CLOs and private equity.”
Houston-based Lionstone was founded in 2001 and was acquired by Ameriprise in 2017. According to its website, Lionstone focused on 17 US markets and invested in over 22 million square feet of real estate covering the mixed-use, multifamily, retail, and office sectors. As of Sept. 30, it had approximately $5.5 billion of institutional assets.
Ameriprise did not provide a timeline of when Lionstone will officially cease, nor did it state the future of the company’s assets and workforce.
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