Brooklyn, NY – Despite stock market analysts’ concerns about the state of the economy and rising interest rates, Clipper Equity, a Borough Park family-owned real-estate business run by the Bistricers, has announced its intentions to sell a large chunk of the family’s portfolio in an initial public offering in the hopes of raising $144 million on the New York Stock Exchange.
Join our WhatsApp groupSubscribe to our Daily Roundup Email
Jacob “J.J.” Bistricer, and his father, David, revealed their IPO plans in an interview with The Wall Street Journal (http://on.wsj.com/1G98ddu). “We’ve always been interested in the public market,” David, 66, said. “We think it is a good way for us to grow.”
But analysts say the family’s IPO plans may be ill-advised since real-estate assets in public markets are currently only valued at a 5% to 10% discount in the private market.
Originally established by Holocaust Survivor Moric Bistricer, 95, in 1951, Clipper Equity has acquired some 75 buildings, several in conjunction with the Chetrit Group. Among their notable purchases is the Sony Building on Madison Avenue which sold for $1.1 billion in 2013. That edifice is slated to be converted into a retail, residential and hotel site next year.
The two companies also jointly own a Brooklyn Hospital building in Prospect Park South and the former Cabrini Medical Center in Manhattan, with plans to turn those properties, as well as the former New York Telephone Co. building in Brooklyn into condos.
Now Clipper Equity’s chief operating officer, 34 year old J.J. is working with his father David to get the IPO off the ground. He reflected on his very first project at Clipper, a Brooklyn rent-regulated complex now named Flatbush Gardens, which had over 12,000 violations and was on then Public Advocate de Blasio’s watch list for its deplorable conditions.
Acquiring the complex was “a huge undertaking,” J.J. remarked. “There was no focus on management at the company and how everything comes together.”
Today, nearly all the violations have been corrected, and the Bistricers are considering expanding the complex to increase the number of affordable housing units in the City. “It’s not so much that I changed,” said David, who first joined the company at the age of 24. “The business changes.”
At least $100 million of the proceeds will be earmarked for acquisitions and $30 million will go towards restoring existing properties.
Bs’d. Hatzlocha!
Hatzlacha Ubracha to the Bistricer family. Anyone who gets to know them will tell you how smart and savvy people they are.
And to all those who complain about lack of secular education in the Orthodox community, there you go folks again how a Holocaust survivor built up from scratch a successful real estate empire with very little secular education. By just knowing the basics which most frum yidden know “the sky is the limit”.
Wishing all good Mazel to them to the Bistricer family and partners.
I’m in
“And to all those who complain about lack of secular education in the Orthodox community, there you go folks again how a Holocaust survivor built up from scratch a successful real estate empire with very little secular education. By just knowing the basics which most frum yidden know “the sky is the limit”.
He was street smart and didn’t spend his entire life sitting and studying Torah. Please don’t advocate for our kids to not learn how to read, write, speak English, and study math and science. You are trying to cripple the next generation.
#4 . U r correct. What needs to be needs to be. Math, reading & writing is paramount important regardless if ur gonna Mk it in life or not.
U don’t HV to compromise on Torah learning and yet be a “mentch between mentchen”
And BTW. The Bistrizers might be smart people but their furtone is hashems gift to them period!!
what is the big deal, the freshwater group is 5 times bigger then they are and they went public years ago O and Y went public, Lev Liviv went public and there and there dozens of other frum companies then went public what is the big deal?