Wednesday, 31 August 2016
Last updated 18 hours ago
Dec 16 2013 | 10:42am ET
The past two weeks have been filled with turmoil at Canyon Capital Advisors' real-estate business.
The Los Angeles-based firm "removed" Canyon Capital Realty Advisors co-founder and CEO K. Robert Turner, whose exit was followed by the resignations of principal Daniel Millman and general counsel Bari Sherman. The departures bring to five the number of top real-estate executives at Canyon to have left this year.
At issue, according to Pensions & Investments, was Turner's desire to launch a new firm focused on social-impact investing. His talks with Canyon Capital apparently did not go well, leading to his exit and Canyon's plan to integrate CCRA, which has $3 billion in assets under management, into its main operations.
"After extensive considerations regarding the future of the CCRA business and its leadership, we determined that it is in the best interests of CCRA and its clients to remove Bobby Turner as managing partner and to restructure the management of the business and strengthen the alignment of our real-estate expertise within Canyon," co-founders Joshua Friedman and Mitchell Julis wrote to investors. Friedman and Julis will now serve as co-chairmen of CCRA, which Jonathan Roth will serve as president.
Turner's departure triggers CCRA's key-man provision, allowing investors to redeem without penalty.