imately $13 billion via funds and joint ventures into more than 550 transactions
worldwide with an aggregate value of over
$60 billion. Arguably its best-known JV is
the Time Warner Center in Manhattan,
which it developed in partnership with the
Related Cos. This past spring, AREA sold a
35% minority, non-controlling interest to
nabInvest, the direct asset management
arm of National Australia Bank Ltd.
“National Australia Bank is exactly the type
of partner we sought to open greater international channels and to increase our capital for investment in real estate assets around
the world,” Mack said in a statement.
PETER L. MALKIN
Beginning in the 1950s, Peter L. Malkin
was associated with the late Lawrence Wien
in acquiring and operating real estate—
including the Empire State Building,
which a syndicate led by Wien and Malkin
bought in 1961. Today, he is chairman of
Malkin Holdings LLC, Malkin Properties
and their affiliates, including Malkin
Construction, which he co-founded with
Wien in 1965. Malkin has had interests in
more than 100 property investments
throughout the US and is general partner
or manager in investment entities that own
and operate approximately 11. 4 million
square feet of office, showroom and retail
space and 2,700 apartment units. Among
the Malkin Properties portfolio is the nine-
building W&H Properties group of pre-
war Midtown Manhattan towers, high-
lighted by the ESB, which is in the latter
stages of a $550-million repositioning
campaign. Malkin has also lent his time
and energy to the community in a variety
of capacities. He is founding chairman of
two business improvement districts in
New York City—Grand Central Partnership
Inc. and 34th Street Partnership Inc.—
and is a founder and director of a third
BID, the Fashion Center Business
Improvement District. Outside of his
involvement with BIDs, the list is extensive:
co-chair of the real estate and construction
council of Lincoln Center; co-chairman
emeritus of the Real Estate Council of the
Metropolitan Museum of Art; chairman of
the Dean’s Council of the John F. Kennedy
School of
Government at
Harvard
University; and
co-founder and
honorary co-
chair of the
Committee
Encouraging
Corporate
Philanthropy,
among others. Malkin
GEORGE M. MARCUS
George M. Marcus made a commitment to
exclusive representation—an off-the-beaten-track idea at the time—when he
founded Marcus & Millichap Co. in 1971.
Today, M&M is the parent company of a
diversified group of real estate service,
investment and development firms. The
company was reportedly the first brokerage
Marcus
to be on the Internet and it had the first
intranet in the 1980s, which enabled internal cooperation. Marcus & Millichap is also
said to be the first to integrate research into
the decision-making process and transaction execution. Outside of the firm, Marcus
serves as chairman of Essex Property Trust,
a publicly held multifamily REIT. He was
one of the original founders and directors
of Plaza Commerce Bank and Greater Bay
Bancorp, both publicly held financial institutions. Marcus continues to serve on the
board of directors of Greater Bay Bancorp.
than ever that the US economy is inextricably linked to the greater world economy. The increasingly globalized economy prompted more and more US businesses to venture overseas, seeking to gain market share inbothestablishedandemerg- ing markets around the world. At the same time, foreign entities also sought access to the booming US market and cross-border commer- cial property investment escalated. In an effort to keep up with their cli-
ent needs—not to mention tap into
that market share themselves—US
commercial real estate services
firms set up partnerships or their
own offices in offshore markets. Of
course, all of the biggest names in
the industry, including Colliers,
Cushman & Wakefield, CB Richard
Ellis and Jones Lang LaSalle, have
operated outside of the US for
decades, but it wasn’t until the early
part of the past decade that their
efforts have really ramped up.
OFFSHORE OUTSOURCING
Outsourcing was not a new con-
cept for US businesses, but it
wasn’t until the turn of the century
that offshore outsourcing really
began to take hold as US busi-
nesses turned to lower-cost for-
eign markets to increase efficien-
cies and improve bottom lines.
The first wave involved manufac-
turing, which never bounced back
from the 2001 recession, as com-
panies involved in a variety of
products sent those operations
overseas. Between 2001—which,
incidentally, was also the year
China entered the World Trade
Organization—and 2009, it was
reported that the US lost more
than 42,000 factories and, in the
nine years leading up to October
2009, the manufacturing sector
lost 32% of its jobs. Despite the
controversy over sending US jobs
overseas, the US remains the
world’s largest manufacturing
