Joseph Chetrit
Joseph Chetrit | |
|---|---|
| Born | Morocco |
| Nationality | American |
| Children | Jonathan Chetrit Daniel Chetrit Sam Chetrit Mikey Chetrit |
Joseph Chetrit is an American real estate investor and developer and founder of the Chetrit Group, which privately owns more than 20 million square feet of real estate.
Early life
[edit]Chetrit was born to Simon and Alice Chetrit, a Jewish family in Morocco.[1][2] He has three brothers: Meyer, Jacob and Juda Chetrit.[3] The Chetrit family made their initial fortune in textiles[1] and shipping.[4] In 1996, his father and his brother David were arrested and jailed in Morocco for smuggling and were cited as an example of injustice by the U.S. State Department in their annual human rights report. They were pardoned and released in 1998.[4]
Career
[edit]Chetrit arrived in the United States initially tasked with furthering the family's textile business working as an importer/exporter. After pleading guilty to one felony count of violating customs laws in 1990 (and being sentenced to three years’ probation), he turned to real estate assembling a portfolio of outer-borough residential properties which he sold for $70 million in the early 1990s.[1] In 1994, he entered into his first commercial real estate transaction, purchasing an office building on West 44th Street for $13 million.[1] In 2002, he partnered with Brooklyn-based Simon Dushinsky's Rabsky Group to develop a portfolio of properties he purchased out of bankruptcy in Williamsburg, Brooklyn.[5] In 2004, Chetrit was the lead investor in a group that purchased the 110-story Sears Tower in Chicago for $840 million with partners Joseph Moinian, and Israel Gluck, eventually changing the name to the Willis Tower in 2009.[1][6]
Other purchases include Park West Village on the Upper West Side, the International Toy Center on Madison Square Park, 500 and 512 Seventh Ave. in the Garment District, and the Caledonian Hospital complex in Sunset Park, Brooklyn.[7] In 2009, Chetrit purchased a portion of the real estate portfolio of prolific Brooklyn real estate developer Isaac Hager who declared bankruptcy.[8]
In 2011, after a disagreement, the Chetrit brothers divided the family business into two entities with Joseph and Meyer operating under the Chetrit Group; and Jacob and Juda under the Chetrit Organization.[3][9] Also in 2011, partnering with David Bistricer, he purchased the Chelsea Hotel for $80 million;[10][11] they sold their interest in 2013.[12][13]
In 2013, he and his partner David Bistricer, purchased 550 Madison Avenue in New York City for $1.1 billion with plans to convert the building into condominiums.[14][15] In 2016, they halted the project due to fears of an over-supply of luxury housing; instead selling the building for $1.4B+ to The Olayan Group of Saudi Arabia.[16] Additional projects include the renovation of 5 Beekman Street with Charles Dayan,[17][18] and the $290 million 2005 purchase along with partners Charles Dayan and Yair Levy of the 800,000 sq ft (74,000 m2) 620 Sixth Avenue and its 2011 sale to RXR Realty, LLC for $500 million.[19]
As an investor who made his primary wealth from buying low in a downturn and selling high later, Chetrit's strategy has been market timing rather than development. He typically selects structures with flexible zoning (which broadens the pool of future purchasers) in areas seeing a downturn and thanks to his minimal use of debt, he has the ability to wait the market out. At times this approach creates conflict with local businesses who want immediate change.[20]
Personal life
[edit]Chetrit and his wife Nancy have four children. Chetrit speaks four languages: Arabic, Hebrew, French, and English. Chetrit practices Orthodox Judaism, and lives in New York City.[1]
References
[edit]- ^ a b c d e f Acitelli, Tom (July 5, 2011). "Joseph Chetrit, the Most Mysterious Big Shot in New York Real Estate". Observer. Retrieved May 1, 2025.
- ^ Friedman, Jeanette (April 15, 2011). "Sephardic Center dedicated at Ahavath Torah". The Jewish Standard. Archived from the original on May 24, 2012. Retrieved May 1, 2025.
- ^ a b "Feuding Chetrit brothers split into two firms". The Real Deal. June 29, 2011. Retrieved May 1, 2025.
- ^ a b Nathan-Kazis, Josh (August 11, 2011). "Chelsea Hotel Braces for New Owners". The Forward. Retrieved May 1, 2025.
- ^ Maurer, Mark (May 1, 2015). "The Rabsky riddle". The Real Deal. Retrieved May 1, 2025.
- ^ "The Untold Story of Real Estate Mogul Joseph Chetrit". The Real Deal New York. Retrieved July 11, 2022.
- ^ Rubinstein, Dana (April 25, 2011). "Condo Project Comes Alive". The Wall Street Journal. ISSN 0099-9660. Retrieved May 1, 2025.
- ^ Maurer, Mark; Small, Eddie (May 1, 2018). "Isaac Hager's higher power - The developer is gaining outer borough market share, despite a trail of foreclosures and lawsuits from his early real estate days". The Real Deal.
- ^ Taylor, Candace (September 1, 2011). "Chetrits deny split". The Real Deal. Retrieved May 1, 2025.
- ^ Karmin, Craig (May 16, 2011). "Hotel Chelsea's New Proprietor". The Wall Street Journal. ISSN 0099-9660. Archived from the original on August 27, 2013. Retrieved October 13, 2023.
- ^ "Chetrit revealed as Hotel Chelsea buyer". The Real Deal. May 16, 2011. Archived from the original on October 21, 2023. Retrieved October 13, 2023.
- ^ Jones, David (August 28, 2013). "Chetrits, King & Grove break up hotel partnership". The Real Deal. Archived from the original on September 26, 2023. Retrieved September 16, 2023.
- ^ Heyman, Marshall (August 28, 2013). "A New View at Chelsea Hotel". The Wall Street Journal. Archived from the original on October 6, 2013. Retrieved October 14, 2023.
- ^ Geiger, Daniel (January 26, 2013). "How did this man buy that building?". Crain's New York Business. Retrieved May 1, 2025.
- ^ Bagli, Charles V. (January 19, 2013). "Sony Building to Be Sold for $1.1 Billion". The New York Times. ISSN 0362-4331. Archived from the original on April 14, 2021. Retrieved April 14, 2021.
- ^ Bagli, Charles V. (April 29, 2016). "Plan to Turn Sony Building Into Luxury Apartments Is Abandoned". The New York Times. ISSN 0362-4331. Retrieved May 1, 2025.
- ^ Barbanel, Josh (June 17, 2010). "Hopes Rise for Landmark". The Wall Street Journal. ISSN 0099-9660. Retrieved May 1, 2025.
- ^ Horsley, Carter (August 20, 2010). "Jacob Chetrit Sues Partner at Foreclosed 5 Beekman Street". cityrealty.com. Archived from the original on September 15, 2020. Retrieved June 27, 2020.
- ^ "RXR acquires 620 Sixth in deal that values building at $500M". The Real Deal. September 19, 2011. Retrieved May 1, 2025.
- ^ Scott, Anna (February 12, 2010). "To Have and to Hold, and Hold and Hold and Hold". Los Angeles Downtown News - The Voice of Downtown Los Angeles. Retrieved May 1, 2025.