Back To List Print Page
  • Seller
  • Buyer
  • Type
  • Date Announced
  • Seller AUM
  • TriStone Realty Management
  • Allegiancy, LLC
  • Real Estate Managers
  • June 3, 2015
  • $500 Million

Seller Details

Based in Houston, TriStone Realty Management ("TriStone") is a full-service real estate investment and asset management company founded in 1997.  TriStone specializes in acquisition, structuring, and asset management services for investors seeking opportunities to invest in institutional quality real estate.  TriStone currently manages a portfolio of approximately 3 million square feet in 9 states with a total asset value of over $500 million.

Buyer Details

Headquartered in Richmond, Va., and led by a team of seasoned professionals and more than 100 years of experience, Allegiancy, LLC ("Allegiancy" or the "Company") manages properties that have outperformed their peers by 45 percent since 2006.  Since 2014, the Company has more than doubled its assets under management (AUM), delivering clients attractive returns and profitable, hassle-free investments in commercial real estate.  Allegiancy is changing the business of asset management for commercial real estate owners and investors.  With an advanced technology platform and singular focus on serving as the owners’ advocate, the Company brings fresh vigor to an often poorly understood business.

Transaction Summary

Allegiancy and TriStone, two commercial real estate asset managers, have completed a multimillion dollar transaction that accelerates Allegiancy’s growth, and gives TriStone and its clients access to additional sophisticated technology and analytical infrastructure.

While the specific details of the investment remain private, both firms expect to see rapid growth and increased profitability as a result of the collaboration.

Value For TriStone
TriStone CEO Randy McQuay said: “The decision to join with Allegiancy as an affiliate brings TriStone and our clients an industry-leading technology platform, specialized analytical tools, and an expanded team of top-flight professionals.  The infusion of capital, expertise, and operating platforms relieves us of administrative burdens, and frees us to focus on delivering high-value services to our institutional clients.”

In addition, McQuay stated: “We at TriStone are enthusiastic that we will now have a ‘deeper bench’ of asset managers and other experts bringing value to our clients.  As we scale up, that increased strength will allow us to deliver our clients more products and services more seamlessly.”

Value For Allegiancy
For Allegiancy, TriStone brings a sizable portfolio of quality assets under management and a talented, experienced team – both doubling Allegiancy’s portfolio for the second time in 14 months and demonstrating the success of its growth strategy.

Allegiancy CEO Steve Sadler said: “Making this investment in TriStone and bringing TriStone on as an affiliate validates an important part of Allegiancy’s growth strategy.  In 2014, we doubled our portfolio of assets under management through organic growth.  With this transaction, we have grown by 400 percent in just over a year."

Back To List