Transitioning leadership, a case study
In 2016, Westwood Financial Corp. transitioned from a family-operated real estate syndication business with private investors, to an institutionally structured, fully integrated and self-sustaining real estate operating company. As part of this transition, the firm created a succession plan and named Randy Banchik and Joe Dykstra co-CEOs. Banchik and Dykstra had been with the firm for 24 years and 27 years, respectively.
“We realized that the company’s previous structure was closely intertwined with the two founding principals and needed to be restructured in order for successful operation into the next generation,” says Banchik.
Westwood recently instituted the first part of its succession plan, which restructured the entire firm in a way that would allow it to continue after its founding leadership departs. Until recently, the firm owned its properties through a multitude of individual limited partnerships, operated by a common set of general partners and manag