A longtime real estate executive has been named managing partner of Dallas-based Site Selection Group after acquiring a minority stake in the firm that advises companies on their real estate decisions and economic incentives.
Josh Bays, who has spent nearly two decades at Site Selection Group, has acquired a "significant minority interest" in the firm's ownership in a move expected to help the company continue its growth trajectory, King White, Site Selection Group's founder and CEO, told CoStar News in an exclusive interview.
"Josh is a top producer who has ownership mentality," White said. "This brings stability to the firm and gives us an opportunity to lean in and further grow the company."
White founded Site Selection Group nearly 20 years ago after working for Trammell Crow Co. for about a decade. At Trammell Crow Co., White was tasked with starting a site selection and incentives business at a time when many in the commercial real estate industry didn't understand this part of the business and it was in its infancy. White started his own company just prior to CBRE closing on its roughly $2.2 billion acquisition of Trammell Crow Co. in December 2006.
White recalled he had a lease in his briefcase for Site Selection Group's new office when he resigned from Trammell Crow Co. as a 27-year-old taking a risk to venture out on his own.
"It was an eye-opening experience, truly betting on yourself. But fast forward to today, I'm now betting on Josh and other future leaders in our organization," White said.
Bays is one of a handful of partners at Site Selection Group with a stake in the firm. He has the largest minority interest stake with the purchase of this additional interest and will play a central role in taking Site Selection Group to the next level, White said. Terms of the acquisition were undisclosed.
White said Bays has been "instrumental" in building the firm from the ground up, with him having been at the company since the get-go and has helped shape Site Selection Group. The firm helps Liberty Mutual Insurance with its incentives and consulting, as well as Boom Supersonic Jet's growing business.
"This is the first big domino in long-term succession planning, and I'm committed to the long-term viability of the company," Bays told CoStar News. "This is a milestone achievement."
Bays' expanded role and stake in the firm comes as the industry has matured and evolved from decades ago into what is a "competitive as a space as it's ever been," he said.
"We want to grow with the continued investment in the U.S.," he added.
Both Bays and White are seeking to grow the business, adding both revenue-producing consultants and brokers to its incentives business, as well as professional talent to help support clients.
"If we are doubling our revenue, we'll double our headcount, too," Bays said, when asked about the firm's growth plans. Currently, Site Selection Group has about 50 employees. In addition to its Dallas headquarters, the company has consulting teams in Austin, Texas; Greenville, South Carolina; and New York City.
Besides Bays and White, Site Selection has six other partners with a financial stake in the firm, White said, with an equity plan in place to allow for future partners as it continues to grow. The firm has successfully been recruiting top talent from big brokerages this year, including Jeff Eiting, who came from CBRE, and Tyler Tillery, formerly of Whitebox Real Estate and NAI Robert Lynn.
"We have created a very diversified business that has driven up our valuation and our ability to win big projects," White added.