In this episode, JP interviews Tom Bacon, founder of Civicap. Prior to founding Civicap, Tom Bacon was Co-Founder of Lionstone Investments. Lionstone was founded in 2001 as a privately-owned real estate investment firm specializing in researching, conceptualizing, and executing national investment strategies based upon proprietary analytics and investment themes. Lionstone invested approximately $9.5B, sold approximately $3B of real estate assets and subsequently sold Lionstone to Columbia-Threadneedle in November 2017 with $6B of AUM. Tom served as CEO and lead partner responsible for the firm's national urban investments and US land investment and development strategies and was also a member of the Investment Committee for the entire 17 years. Prior to forming Lion stone, Tom served as a Senior Vice President at Hines. During his 15-year tenure at Hines, he was involved in the acquisition, development, financing, leasing and sale of office, residential and industrial real estate domestically, and established Hines' operations in Latin America. Tom's community activities include serving as the Chairman of Houston Parks Board and Veritas Impact Partners, a nonprofit dedicated to provides services for our Working force in America. Where Tom could easily have left real estate after a massive exit in 2017, he pivoted and has decided to tackle the massive affordability crisis in America. Our industry generally says we cannot afford to create great housing in good neighborhoods for Americas working class, because the numbers don't pencil out. Studies show that where one lives (community and location) can greatly affect their outcome.
Tom questioned this premise and in now building is Class A units in desirable, urban locations while targeting rents $200-$600 lower than adjacent competitors changing people lives for the better. According to a recent Harvard Housing Study: The physical and social characteristics of your neighborhood are the greatest determines of one's health, financial and educational outcomes. Where you live really matters, and Tom is working on making those conditions better for thousands of people around the world.