Forest City Enterprises

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Forest City Realty Trust, Inc.
Public company
Traded as NYSEFCE.A
NYSEFCE.B
Industry Real estate investment trust
Founded 1920
Founders Charles, Leonard, Max and Fannye Ratner
Headquarters Cleveland, Ohio
Key people
James A. Ratner, Chairman
David J. LaRue, President & CEO
Robert G. O’Brien, CFO[1]
Revenue Decrease US$0.929 billion (2016)[1]
Decrease -US$0.153 billion (2016)[1]
Total assets Decrease US$8.228 billion (2016)[1]
Total equity Decrease US$3.784 billion (2016)[1]
Number of employees
2,075 (2016)[1]
Website www.forestcity.net

Forest City Realty Trust, Inc. is real estate investment trust that invests in office buildings, shopping centers and apartments in Boston, Chicago, Dallas, Denver, Los Angeles, Philadelphia, and the greater metropolitan areas of New York City, San Francisco and Washington D.C. As of December 31, 2016, the company owned 36 office buildings, 32 shopping centers, and 115 apartment complexes.[1]

History[edit]

In 1920, Forest City was founded as a family-owned lumber and household hardware business by siblings Charles, Leonard, Max and Fannye Ratner, immigrants from Poland.[2]

Beginning in the 1930s, the company invested in residential garages, apartments, retail strip centers. During World War II, the company manufactured and prefabricated governmental housing during World War II.[2]

In 1960, Forest City became a publicly traded company.[2]

In 1987, the company sold its retail lumber business to Handy Andy Home Improvement Center.[3]

In 2011, the company sold a 49% stake in a retail portfolio in New York for $172.3 million.[4]

In 2013, the company acquired a 100% interest in a mall in Pittsburgh.[5] The company also sold a Sheraton hotel in Station Square in Pittsburgh for $61 million.[6] It also announced plans to redevelop Ballston Common Mall.[7] The company acquired a key parcel from Macy's for $13.4 million.[8]

In 2016, for tax purposes, the company converted into a real estate investment trust.[9] The company also sold its stake in the Brooklyn Nets and the Barclay's Center to Mikhail Prokhorov,[10] sold its military housing division to Hunt Companies for $208.8 million, [11] sold Terminal Tower to K&D Group for $38.5 million,[12] and sold 7.7 acres and 8 buildings in Cleveland to an investor group for $3.5 million.[13]

In June 2017, Forest City shareholders voted to eliminate the dual share structure that had enabled the founding Ratner family to control the company.[14] The City of New York also filed a lawsuit against the company in conjunction with the rent due pursuant to a ground lease.[15]

In August 2017, the company sold 25 acres in Cleveland.[16]

Investments[edit]

Forest City developed The New York Times Building in New York City in 2008.

Notable projects owned by the company are:

References[edit]

  1. ^ a b c d e f g Forest City Realty Trust, Inc. 2016 Form 10-K Annual Report
  2. ^ a b c Perez, Christine (June 1, 2007). "From Lumberer to Developer, Forest City's Roots Run Deep". National Real Estate Investor. 
  3. ^ "Handy Andy Purchase". Chicago Tribune. January 15, 1987. 
  4. ^ Sumner, Justin (April 4, 2011). "Forest City Sells 49% Stake in New York Retail Portfolio for $172.3M". CoStar Group. 
  5. ^ "Forest City Acquires Partner's Share of Pittsburgh Regional Mall; Sells Its Interest in Adjacent Specialty Center to Partner" (Press release). PRNewswire. April 18, 2013. 
  6. ^ Gough, Paul J. (July 19, 2013). "Sheraton Station Square Hotel sold for $61M". American City Business Journals. 
  7. ^ Sernovitz, Daniel J. (September 17, 2013). "Forest City details Ballston Common mall makeover". American City Business Journals. 
  8. ^ Sernovitz, Daniel J. (September 12, 2013). "Forest City completes deal with Macy's for Ballston Common mall redevelopment". American City Business Journals. 
  9. ^ "Forest City completes conversion to REIT status" (Press release). PRNewswire. January 4, 2016. 
  10. ^ Jarboe, Michelle (February 1, 2016). "Forest City no longer owns stake in Brooklyn Nets, Barclays Center". Cleveland Plain Dealer. 
  11. ^ "Forest City closes sale of military housing business to Hunt Companies" (Press release). PRNewswire. February 22, 2016. 
  12. ^ Jarboe, Michelle (September 15, 2016). "Terminal Tower sold to K&D Group in $38.5 million deal; apartments planned for 12 floors (photos)". Cleveland Plain Dealer. 
  13. ^ Jarboe, Michelle (December 21, 2016). "Forest City sells Flats properties to Cleveland-area investor group eyeing development (photos)". Cleveland Plain Dealer. 
  14. ^ Bullard, Stan (June 12, 2017). "Forest City shareholders OK changing stock structure". Crain Communications. 
  15. ^ Rothstein, Matthew (June 1, 2017). "City Files Suit Against Forest City For Times Square Ground Lease". Bisnow Media. 
  16. ^ Jarboe, Michelle (August 4, 2017). "Forest City sells 25 acres on Scranton Peninsula in Cleveland (photos)". Cleveland Plain Dealer.