Shlomo Rechnitz Is An Entrepreneur
Shlomo Rechnitz Is An Entrepreneur It’s been a rough year for the Jewish business and finance community. The Rechnitz brothers — once the golden boys of American Jewish finance — have been embroiled in an influence peddling scandal that has brought to the fore questions of corruption and political connections.linkedin.com
Their finances, which are likely far more extensive than the scope of this article can reveal, have been the subject of intense scrutiny. But beyond politics, Shlomo Rechnitz has begun to enjoy another kind of fame. Last month, Rechnitz bought the most expensive condo in Miami.
And, if you’re interested in business or politics in New York, you’ve probably heard about Rechnitz’s new venture. It’s called the Young Leaders Initiative, and it’s in the early stages of recruiting business leaders to develop a series of innovative programs to improve the lives of young Americans.
Political Elite
Rechnitz’s goal is to leverage his vast connections and his access to both the business and political elite in New York to advance his agenda. Meet Shlomo Rechnitz Through The Ages – Read The Full Series This story comes to us from Gimme Shelter, the New York Times’s brand new website covering the business of homes and design.
Click here to subscribe. The son of a South African family who were Jews, Ismael Ismailer spent the first seven years of his life in Johannesburg. He grew up in a Jewish middle-class neighborhood and attended the University of Cape Town. After graduating with a degree in law, Ismailer decided to pursue a more religious life. He enrolled in Yeshiva University and decided to give up a lucrative law career and pursue a religious life in Israel.
Soon after arriving, Ismailer took his first job as a real estate broker in Rehovot. Rechnitz, a Brooklyn native, immigrated to New York in 1985, at the age of 20. He worked a series of odd jobs before finding his niche in the real estate business. Rechnitz started out in a dental supply store as a sales clerk. He eventually went into the real estate business.
Investment
In 1994, he bought his first building in lower Manhattan for $4.6 million. Rechnitz used an initial investment of $300,000 to start a business servicing and renovating rentals. In 1997, Rechnitz’s business partner and cousin, Dan Isenberg, opened a construction company called Shlomo Rechnitz Construction. Isenberg hired Rechnitz to manage the company’s finances.
Promoted Rechnitz to chief financial officer and head of financing. Isenberg and Rechnitz also started a real estate brokerage firm that offered loans for commercial real estate purchases. When Rechnitz graduated from night school, Isenberg named him chief executive officer of the real estate brokerage.
Rechnitz, in turn, offered Isenberg a job working for him. Isenberg accepted. In 1998, Rechnitz’s company had 16 employees. Today, the company operates out of six buildings, each representing a different project. There are 14 brokers and 35 salespeople working with Rechnitz’s company.
Democratic Congressman
Rechnitz’s success in the real estate business gave him the experience he needed to run a business that worked closely with people like former New York Mayor Michael Bloomberg and Democratic Congressman David N. Shiner. Rechnitz’s impressive personal wealth is not the only aspect of his life that has made him one of New York’s most celebrated entrepreneurs.
Shlomo is also an avid art collector, an entrepreneur in the hospitality industry, and an executive in the financial business. Rechnitz has become an entrepreneur through a combination of hard work and luck. After founding a brokerage firm called One Realty in 1998, Rechnitz sold the company in 2003.
Rechnitz invested a portion of the sale into a real estate management company called Milco Properties. Shlomo Rechnitz remained involved in Milco Properties, becoming president of Milco Realty Corporation in 2006. Rechnitz is Milco Realty Corporation’s chairman of the board. At the time of Milco Realty Corporation’s initial public offering on the Nasdaq Stock Exchange in 2007.
Rechnitz had 50 percent of Milco Realty Corporation’s common shares. The company now has nearly 50,000 clients, representing thousands of apartments and thousands of commercial properties. In 2012, Rechnitz stepped down from Milco Realty Corporation. He left Milco Realty Corporation after it was sold to Citywide Holdings Corporation for nearly $1.8 billion. Today, Rechnitz is primarily involved in developing real estate.
He also works in the financial business. He is on the board of directors of the Rechnitz Family Foundation. Rechnitz’s charitable contributions focus on education, children and arts programs. He also works in conjunction with the JLC Rechnitz Family Foundation.
Rechnitz Children’s Center
His father, Shlomo Rechnitz, was one of the founders of the Rechnitz Children’s Center, a non-profit organization that works with children who have a parent who was incarcerated. Rechnitz’s foundation funds a variety of charities, including local arts programs, and benefits the children of low-income parents.
Rechnitz also worked in conjunction with the Rechnitz Youth Foundation. In 2002, Rechnitz also purchased the Bronx Coliseum, which he renamed Rechnitz Arena. Rechnitz bought the Coliseum for $54 million. Rechnitz’s involvement with sports is a mix of running a sports team and creating an entertainment venue.
Rechnitz also owns a restaurant, a brewery, and other buildings. In 2012, Rechnitz purchased another building in New York City. He owns the real estate for more than 20 buildings across Manhattan, Brooklyn, and New Jersey. Rechnitz’s investment portfolio also includes two shopping malls.
One of the malls is located in the Upper East Side of Manhattan. In 2012, Rechnitz completed the first phase of the Rechnitz Residential Buildings Project, which consisted of construction on five residential buildings in Brooklyn. Rechnitz’s newest project is the Century Realty Building, which is the largest commercial property in Brooklyn.
Bronx Coliseum
Rechnitz’s involvement in real estate has earned him an impressive amount of praise. After Rechnitz’s purchase of the Bronx Coliseum, Senator Robert Menendez called Rechnitz “one of New Jersey’s greatest entrepreneurs.” Manhattan Borough President Scott M. Stringer praised Rechnitz’s ownership of the Coliseum as “a legacy for the community.” Rechnitz’s success, however, has also caused his critics to say that Rechnitz is an opportunist.
Shlomo Rechnitz’s business and personal success has been praised by several prominent New York politicians. Rechnitz’s friendship with U.S. Senator Charles E. Schumer is also regarded as an impressive achievement. In 2002, Schumer supported Rechnitz’s efforts to build affordable housing.
In 2008, Schumer helped Rechnitz obtain a $25 million federal grant for affordable housing. Rechnitz and Schumer’s friendship stems from their prior involvement in New York’s real estate market. However, Rechnitz’s friendship with Schumer appears to have been relatively short-lived. In 2012, Rechnitz told the New York Post that he “went to the White House and tried to bribe them for billions.
Rechnitz also said he raised $2 million from New York businessmen to fund Rechnitz’s anti-fracking activism. In 2009, Rechnitz’s involvement in anti-fracking activism garnered him scrutiny. Rechnitz was originally accused of using illegal donations from a political campaign to finance a trip that he took to Israel.
Anti-Fracking Activism
Rechnitz’s anti-fracking activism drew criticism and accusations of hypocrisy. Rechnitz’s friendship with Schumer has also been questioned, particularly in light of Schumer’s involvement in New York City’s real estate industry. Personal: Rechnitz is the son of Shlomo Rechnitz. Rechnitz’s father was a prominent businessman, who was the majority shareholder of Rechnitz Enterprises.
Rechnitz’s involvement with the Rechnitz Family Foundation has raised the ire of opponents of Rechnitz’s philanthropic endeavors. The Rechnitz Family Foundation’s website says that Rechnitz and his father run the family businesses. Rechnitz’s involvement in a business is particularly upsetting to environmentalists. Rechnitz’s businesses are well known for their environmentally-destructive practices.
In 2012, Rechnitz agreed to an FTC consent decree that prohibited Rechnitz and his companies from engaging in “pay-for-play schemes.” The FTC agreement followed Rechnitz’s conviction in a real estate fraud case. Rechnitz married a New York native named Michelle Spruyt in 2001.
Owner Angelo Casolla
They are currently separated. Rechnitz and Spruyt have two children, and Rechnitz has an older brother named David Rechnitz. Rechnitz is Jewish. The Majority Owner Angelo Casolla, the majority owner of the Rechnitz Realty Fund, is a prominent New York businessman. Casolla is the chairman and founder of Rechnitz Enterprises.
In 1995, Casolla founded SeaPort Capital Management. SeaPort Capital Management, which is also known as Macaluso Investments, specializes in “developing and managing commercial, residential, and hospitality properties.” Casolla founded the Rechnitz Realty Fund in 2007.jpost.com
Casolla’s involvement in the real estate industry has allowed Rechnitz’s real estate funds to increase their income. The Rechnitz Realty Fund has increased its income by 562 percent. Rechnitz’s return on investment in 2012 was 27 percent. Casolla’s involvement in real estate has given Rechnitz’s business opportunities. Casolla’s investments have provided Rechnitz with one of his most significant assets.
