Gerald Guterman

Last updated

Gerald Guterman is an international real estate developer and investor. He is one of the largest multi-family apartment owner/operators (78,000+- apartments) and condominium converters in the United States, [1] converting through 2017, 16,028 rental apartments to cooperative and condominium ownership throughout the United States. He also served as Operations Adviser to the Minister of Privatization, Government of Romania; Chairman, Committee on Romanian Banking & Finance Operations, United States Center for Strategic and International Studies, Washington, DC; Co-Chairman, Committee for Romanian Enterprise Development and Operations, United States Center for Strategic and International Studies, Washington, DC; Operations Advisor to the Interior Minister, Government of Austria; Operations and Financial Advisor to the President, Government of Romania. [2] He is currently the chairman and CEO of Guterman Partners, LLC.

Contents

Gerald Guterman was born on June 13, 1942. He began a career in real estate at the age of 18 as a night porter for Fred Trump, father of famed developer Donald Trump. [3] The Brooklyn-born son of a beverage wholesaler, Guterman amassed a fortune with over 18,600 rental apartments purchased for his own account as well as an additional 16,028 apartments which he purchased and converted to condominium and co-ops in sixteen states and separately, operated more than 60,000 rental apartments in fourteen states for unaffiliated, third-party owners. Guterman also purchased, rehabilitated and resold 605 single family houses in 7 states and purchased and operated more than 3,250,000 net rentable square feet of office properties in eight states, as well as large-scale housing and commercial developments throughout the United States, Europe and the Middle East.

Beginning in the 1980s, he became one of the largest owner/operators and property managers in the United States, owning and operating over 18,600 rental apartments in 55 residential communities for his own long term interests, together with an additional 16,000 apartments which he purchased and operated for condominium and cooperative conversion in 21 residential communities in sixteen states. He also operated more than 60,000 apartments in over 250 third party owned rental communities nationwide. [1]

Guterman's companies were also the original builder/developer of Roosevelt Island's residential housing as well as the developer of Harris Branch, the 1808 acre planned unit development in Austin, Texas and several developments in Europe and the Middle East.

Additionally and in order to enhance is firm's construction capabilities, Guterman acquired two nationwide construction companies known as the Titan Group, Ltd and Sovereign Construction Co. Ltd. Historical projects include:

Beginning in the 1990s through 2016, Guterman planned, organized and directly negotiated the acquisition of the largest single, direct purchase of office properties (Patriot American Investors) in the history of The Federal Deposit Insurance Corporation, hereafter known as Mack-Cali Real Estate Investment Trust as well as thirty-one multiple tenant office buildings containing more than 3,250,000 net rentable square feet of office space located in Eight States

Additionally, during the same period in the 1990s, Guterman also directly negotiated and completed the purchase of the original hotel properties together known as the “Patriot American Hospitality Portfolio” from The Federal Deposit Insurance Corporation (“FDIC”). Thereafter known as Wyndham Hotels and Resorts.

Through 2016, Guterman has also acquired 14 luxury hotels containing approximately 2,366 keys, located in New York, New Orleans, London, Europe and the Middle East, as well the purchasing the only magnetic monorail system in the United States.

Guterman continues to develop condominium housing, with recent communities in Chicago, Illinois; Fort Myers, Florida; Fort Pierce, Florida; Naples, Florida; Ocean Springs, Mississippi; Biloxi, Mississippi; St. Paul, Minnesota and Phoenix, Arizona and Houston, Texas [4]

A bar mitzvah aboard the QE2

In September 1986, Guterman drew media attention when he chartered the famed ocean liner Queen Elizabeth 2 along with a crew of over 1,000, for his 13-year-old son's bar mitzvah party. [5] Although the QE2 had been chartered for cruises by corporations, the Guterman family party was a first of its kind, said a spokesman for the Cunard line. The guests were mostly relatives, friends and neighbors of Gutermans who lived in Bedford, N.Y., in Westchester County, or friends of the children from camp or school. In attendance were numerous politicians and real estate figures including New York City Council, President Andrew J. Stein, Comptroller Harrison J. Goldin. The ship set sail at 6 p.m. though helicopters continued to touch down on the sports deck to drop off late-comers, including Ivan F. Boesky, the stock and investment speculator. [5] When asked about the cruise in a recent interview for his upcoming biography, Guterman remarks that he maintains mixed feelings about the event. "On the one hand, it was a fantastic and extraordinary celebration for my family. As a father, I was proud of my children and wanted to give them the things I never had growing up as a poor kid in Brooklyn. On the other hand, when you wind up on the front page Leisure Section of New York Times, you leave yourself open for backlash, especially in those rare times of financial struggle."

The Guterman Collection

Beginning in the 1970s, Guterman acquired a collection of 17th-century, Dutch and Flemish Old Master paintings. The collection was referred to by experts as one of the very best in America. [6] The paintings were housed in a 3,000 sq ft (280 m2) gallery (created in the image of Manhattan's famous Frick Gallery) in a wing of Guterman's Bedford Estate. Artists in Guterman's collection included Rembrandt, Renoir, Barent Fabritius, Solomon van Ruysdael, Frans Hals, Hendrick Avercamp, Jan Lievens, Govaert Flinck, and Jan van Goyen, to name a few. [7]

1988 tax law reversal

In 1988, a new tax law eliminated the tax shelter aspect of the co-op conversion model, making them less desirable and resulting in heavy financial setbacks for Guterman and his Companies. [8] Having already taken financial losses in the "Black Monday" stock market crash of 1987, Guterman placed his Stanhope Hotel (purchased in 1985 for $19,600,000) into Chapter 11 and immediately sold the hotel to Tobishima (a property company from Japan) for over $76,000,000. [9]

Further setbacks were created by a divorce decree that forced Guterman to sell his renowned art collection, considered at the time to be the most valuable such selection of Old Master paintings ever auctioned in New York. [10] While the sale of Guterman's paintings brought "the highest total ever for an Old Master sale in America" and set 11 artist's records for price, [10] to some it was disappointing.

Describing the buying as "very selective", John L. Marion, Sotheby's chairman, said: "On the one hand, it is the highest total ever for an Old Master sale in America and there were 11 artist's records set. On the other hand, you could observe the fact that there was little or no bidding from dealers. I think this means these were not the kind of pictures they buy for stock." [10]

Guterman's active support of some New York politicians, such as Ed Koch and Comptroller Harrison J. Goldin also brought repeated scrutiny from the New York news media. [11] A new law was passed in 1988 that limited private campaign contributions and drew scrutiny to both Donald Trump and Gerald Guterman. While their contributions were discussed at the hearings, the new law did not prohibit their practices that drew so much attention:

For example, the developer Donald Trump told the commission that in 1985 he spread tens of thousands of dollars in contributions to City Council President Andrew J. Stein among 18 subsidiary companies to skirt the state's limits of $50,000 for individual and $5,000 for corporate contributions. Another developer, Gerald Guterman, contributed $100,000 in one month to Mr. Goldin by parceling the gifts among 21 companies. [11]

The Patriot deal drew criticism from congress in a report that called the RTC model for disposing of savings and loan properties in bulk "wasteful" and "uncompetitive." [12] Further, the report criticized the RTC for negotiating with Guterman while he was under investigation, though it was also noted that Guterman had been falsely accused and that all charges had been withdrawn or dismissed. [12]

Trusteeships and charitable participation

Guterman served as a trustee of The Metropolitan Museum of Art, Adelphi University, New York City Opera, Dallas Opera, Young Men's Philanthropic League, Rippowam Cisqua School, and Harvey School. [13] He also served as a commissioner of the United States Romania Action Commission under the sponsorship of the United States Center for Strategic and International Studies, [14] as well as Chairman of its banking and financing committees. Guterman served as personal financial advisor to the Minister of Privatization, Government of Romania.

Guterman is a founder of Albert Einstein College of Medicine as well as a member of the Society of Founders of Miami University College of Medicine He was awarded "Humanitarian of the Year" by the Juvenile Diabetes Foundation. Guterman is a founding benefactor of Research Laboratory for the Study of Tumor Cell Biology and Research Laboratory for the Study of Immunodeficiency Disease at the National Asthma Center. He also established a joint Research Chair in Medical Engineering at Harvard University and The Massachusetts Institute of Technology.

Related Research Articles

<span class="mw-page-title-main">Plaza Hotel</span> Hotel in Manhattan, New York

The Plaza Hotel is a luxury hotel and condominium apartment building in Midtown Manhattan in New York City. It is located on the western side of Grand Army Plaza, after which it is named, just west of Fifth Avenue, and is between 58th Street and Central Park South, at the southeastern corner of Central Park. Its primary address is 768 Fifth Avenue, though the residential entrance is One Central Park South.

<span class="mw-page-title-main">995 Fifth Avenue</span> Residential building in Manhattan, New York

995 Fifth Avenue is a 16-story co-op apartment building at the southeast corner ofFifth Avenue and East 81st Street on the Upper East Side of Manhattan, New York City, across Fifth Avenue from Central Park and the Metropolitan Museum of Art's Fifth Avenue building. It was constructed in 1926 as The Stanhope Apartment Hotel and designed by Rosario Candela. The building was converted to a residential co-op with 26 units in 2005 and renamed The Stanhope. It has since been renamed to its address.

David Lichtenstein is an American billionaire entrepreneur and real estate investor. He is the founder and CEO of The Lightstone Group, which he founded in 1988. During the early years of the Lightstone Group, Lichtenstein focused on investing in multifamily properties. He rapidly grew his portfolio in the 1990s, before diversifying his portfolio and moving into retail. In 2003, Lichtenstein acquired Prime Retail for $638 million, seen as one of the largest retail purchases in United States at the time.

<span class="mw-page-title-main">Tower 270</span> Building in Manhattan, New York

Tower 270 is a 28-story mixed use building in the Civic Center and Tribeca neighborhoods of Manhattan, New York City. Completed in 1930 to designs by E.H. Faile & Company, it has 350,785 square feet (32,589.0 m2) of floor space, on a plot with 50 feet (15 m) facing Broadway to the east and 242 feet (74 m) on Chambers Street to the north.

<span class="mw-page-title-main">Trump Park Avenue</span> Residential skyscraper in Manhattan, New York

Trump Park Avenue is a residential building on the southern border of Lenox Hill at 502 Park Avenue in Manhattan, New York City. The 32-story building, designed by Goldner and Goldner in 1929, today contains 120 luxury condominium apartments and 8 penthouses converted by real estate developer Donald Trump.

<span class="mw-page-title-main">Apremont Triangle Historic District</span> Historic district in Massachusetts, United States

Apremont Triangle Historic District is a historic district in Springfield, Massachusetts, located at the junction of Pearl, Hillman, Bridge, and Chestnut Streets in its Metro Center district. The Apremont Triangle Historic District includes the Apremont Triangle Park, nicknamed "the Heart of Springfield" by the city's arts community; the historic, 10-story Kimball Towers Condominiums, a nine-story historic, former YMCA, which now houses apartments at 122 Chestnut Street, (1915); the six-story Neo-Gothic Tarbell-Waters Building (1923), a former office building that was auctioned in August 2011; the two-story Harris-Green building, a 1920s Rolls-Royce showroom, which is, actually, two buildings; and the two-story Birnie Building, a 1930s Pontiac showroom. Currently, the district is the center of Springfield's bohemian arts community, featuring multi-media organizations, artists' lofts, ethnic restaurants, and organizations like The Apremont Arts Community - group of multi-media artists, non-profit organizations, and businesses.

René G. Lépine was a Canadian real estate developer and philanthropist. Lépine was the chairman of Groupe Lépine, a real estate development and investment firm he founded in 1953. He is widely considered one of the most influential French Canadian real estate developers of his time. His companies developed over $5 billion of real estate in Canada and the United States since the 1960s. He also owned a portfolio of multifamily and retail properties in Montreal and Ottawa. Lépine developed many buildings considered landmarks in Montreal, including the Olympic Village and Le Sanctuaire du Mont-Royal. Lépine is also credited with having developed the first condominiums in Montreal in 1981.

<span class="mw-page-title-main">Louis Dubin</span>

Louis Myerberg Dubin is a fourth-generation real estate developer who develops upscale condominiums, typically in large east-coast United States cities. He is a founding partner of Redbrick LMD, an opportunistic real estate investment and developments company headquartered in Washington, D.C. His former New York based firm Athena often sold condominiums to middle and upper-middle class buyers. His firm converted landmark buildings into luxury condominiums, one of which was bought by Charles Bronfman. He designed buildings to feature art by artist-sculptors such as Jonathan Cramer. He was described by New York Magazine as being one of the "new generation of uptown A-listers".

<span class="mw-page-title-main">1049 Fifth Avenue</span> Residential skyscraper in Manhattan, New York

1049 Fifth Avenue is a 23-floor luxury condominium apartment building located in the Upper East Side, New York City. Built in 1928 as the Adams Hotel, the building underwent extensive renovation in its conversion to residential condominiums during the years 1990-1993. When the apartments were first offered for sale in 1991, they were the highest-priced residential apartments ever listed in New York City. Their sale prices set city records in 1993 and 1994.

Joseph Chetrit is an American real estate investor and developer and founder of the Chetrit Group.

David Bistricer is a New York-based real estate developer and the founder and principal of Clipper Equity. His firm focuses on the conversion of non-residential buildings to residential uses. One of Bistricer's latest ventures, in partnership with Chetrit Group, is the transformation of the shuttered four-building Cabrini Medical Center at 220 and 230 East 20th Street and 215 and 225 East 19th Street into a residential a condo project, Gramercy Square, with 223 units. The Woods Bagot-designed development features a different style for each property: a modern, a prewar, a boutique and a tower building. It also has about 38,000 square feet of amenities including a 75' sky-lit pool, a gym, a theater, a meditation room exclusively programmed by MNDFL and a wine cellar. And there's ample green space with a courtyard, a greenhouse and landscaping around the buildings.

Henry Moskowitz was a New York-based real estate investor and founder of the real estate management company The Argo Corporation. He also built and owned hotels in Israel.

<span class="mw-page-title-main">William Zeckendorf Jr.</span>

William Zeckendorf Jr. was an American real estate developer. Son of William Zeckendorf Sr., he was the second of three generations of one of New York's great real estate dynasties. While keeping a lower profile than his famously flamboyant father, Zeckendorf Jr. was highly successful in his own right. Like his father, he became known for large-scale projects that transformed neighborhoods.

Arthur Falcone is an American real estate developer and chief executive officer and chairman of Falcone Group, a real estate and land development organization located in Boca Raton, Florida. He is known for commercial, residential and mixed-use projects and for his philanthropy to aspiring entrepreneurs.

Real estate in Panama is about how the Republic of Panama's real estate industry has grown since 2006, as foreign investments helped to fuel Panama's economy and housing market.

<span class="mw-page-title-main">Alfred Kaskel</span> American real estate developer and hotelier

Alfred Kaskel (1901–1968) was an American real estate developer and hotelier, best known for founding Doral Hotels and Resorts, Doral Construction, and Carol Management, which developed, owned, and managed a number of hotels, apartment buildings, and office buildings in New York City, Florida, Chicago, and Boston, primarily from the 1930s to the 1990s. This included more than 20,000 rental apartments.

Trump Parc and Trump Parc East are two adjoining buildings at the southwest corner of Central Park South and Sixth Avenue in Midtown Manhattan, New York City. Trump Parc is a 38-story condominium building, and Trump Parc East is a 14-story apartment and condominium building.

<span class="mw-page-title-main">Business career of Donald Trump</span>

Before entering politics and ultimately becoming the 45th president of the United States, Donald Trump pursued a career as a real estate businessman. He began his real estate career at his father's company, Trump Management, which he later renamed the Trump Organization. He rose to public prominence after concluding a number of highly publicized real estate deals in Manhattan, and his company now owns and licenses his name to lodging and golf courses around the world. Trump partly or completely owned several beauty pageants between 1996 and 2015. He has marketed his name to many building projects and commercial products. Trump's unsuccessful business ventures have included numerous casinos and hotel bankruptcies, the folding of his New Jersey Generals football team, and the now-defunct Trump University.

The Plaza, is a twin-tower condominium property located along the Intracoastal Waterway in West Palm Beach, Florida. The property was developed by Robert Armour and Michael Guider through their company, Armour Guider Development Corporation. Construction of the project, originally known as The Plaza, began in 1981. After several construction delays, The Plaza opened in October 1985, although Robert Armour had only minimal success in selling the condominium units.

References

  1. 1 2 Oser, Alan S. 1985, "Managing Those 'Occupied' Apartments" The New York Times, April 7, 1985
  2. ↑ Guterman Website "www.gutermanpartners.com"
  3. ↑ Steven Rea "Going Home Again-To A Hotel" The Philadelphia Inquirer , March 13, 1988
  4. ↑ Deborah Gimelson. "Portrait of a Businessman as a Collector." Art+Auction , September 1985
  5. 1 2 Georgia Dullea "Coming of Age on the Ocean: A Bar Mitzvah Aboard the QE2" September 16, 1986" The New York Times
  6. ↑ Deborah Gimelson "Portrait Of A Businessman As A Collector" Art And Auction Magazine October–November, 1986
  7. ↑ Sothebys: The Linda and Gerald Guterman Collection, New York, 1/14/88
  8. ↑ Brooks, Andree. 1988. "Guterman's Troubles Jolt Client Co-ops," The New York Times, April 17, 1988. pg2
  9. ↑ "The Associated Press, "Japanese Company Buys Hotel" The New York Times January 14, 1989
  10. 1 2 3 Rita Reif "Old Masters Sale Produces Mixed Results at Sotheby's" The New York Times January 15, 1988
  11. 1 2 Purdum, Todd S. 1988. "New Campaign Law: No Bar to Old Abuses," The New York Times, April 9, 1988
  12. 1 2 Gerth, Jeff. 1992. "Study Criticizes U.S. Deal On Sale of Bailout Property," The New York Times, January 3, 1992.
  13. ↑ "Guterman Partners | Real Estate Investors and Advisors". Archived from the original on 2008-07-13. Retrieved 2008-06-20. Guterman Partners Website
  14. ↑ "Archived copy". Archived from the original on 2009-01-26. Retrieved 2008-06-20.{{cite web}}: CS1 maint: archived copy as title (link) SME Conference

Further reading

This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.