Hedge Funder Makes Most Expensive Residential Real Estate Purchase
What is the most expensive residential real estate purchase in the United States to date? It looks like that honor now goes to Ken Griffin. The CEO of the hedge fund firm Citadel shelled out $200 million on multiple floors of a new condo tower in midtown Manhattan, according to CNBC. His triplex will be on the midlevel floors of the building and total more than 18,000 square feet.
His piece of the 65-story building will feature a central residence for Griffin and separate units for staff and guests. The Robert Stern building is not yet finished but has already become a coveted real estate goal for the business elite. So who is Ken Griffin and how could he afford such a decadent purchase? As mentioned, he is the CEO of the hedge fund firm Citadel. It had an 18% return last year, bolstering his wealth and security. It manages around $24 – $26 billion in assets, with Griffin having a personal net worth of about $7 billion.
This makes the self-made billionaire number 216 on the Forbes worldwide billionaires list and 72 in the United States. Additionally, he was number four on their 2015 highest-earning hedge fund manager list.
Citadel is a Chicago-based firm, which makes this purchase even more telling. Perhaps Griffin won’t mind the commute from New York or wants to be closer to the action. Just this summer, The Wall Street Journal reported that he was interested in going public with the company again. He had gone private with the firm after nearly losing it all during the peak of the financial crisis years back. It took time to rebuild but now it is as strong as ever.
Whether or not the move to go public turns out in his favor, it is impressive to watch. Between the most expensive residential real estate purchase in the United States to date and the potential to be the guy who brought back the hedge fund IPO, we’d say Ken Griffin is as business rich as it gets.