USAA Agrees to Sell Controlling Interest in Real Estate Arm

USAA, headquartered in San Antonio, agreed in principal to sell a controlling interest in USAA Real Estate (USAARE) to the real estate arm’s current management and an unnamed private investment group. When the transaction closes in early 2020, USAA will still retain a significant ownership stake in USAARE, while Len O’Donnell, USAARE President and CEO, will continue to lead the business.

The move is meant to simplify USAA’s operating structure by allowing USAARE, the investment and management business, to operate more independently. USAARE expects to maintain its current workforce.

“This change enables us to provide an even greater level of service to our clients and partners, as we strive to maximize performance for their portfolios,” O’Donnell said. “It creates a deeper and richer alignment between our clients, USAA and the management team, from which all will benefit immensely.”

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