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Family business behind Empire State Building to go public

The family behind Malkin Holdings, which controls the iconic Empire State Building, plans to list its shares on the New York Stock Exchange to boost liquidity at the family business.
The family business behind the iconic Empire State Building is going public

The family behind Malkin Holdings, which controls the iconic Empire State Building, plans to list its shares on the New York Stock Exchange to boost liquidity at the family business.

This is according to a filing with the Securities and Exchange Commission, which said Malkin Holdings, owned by the eponymous family, will soon become a publicly traded real estate investment trust.

The pricing of shares or the expected market capitalisation of Empire State Realty Trust was not disclosed, but the company said it will have a dual-class share listing.

Class A shares, which will be sold to the public, will carry one vote each while class B shares, to be majority held by the family, will be worth 50 votes each.

Controlled by the father-son team of Peter and Anthony Malkin, the holding company has a portfolio of 12 office properties in New York, including its flagship Empire State Building.

The 102-floor landmark, which has played an important role in films such as Sleepless in Seattle and An Affair to Remember, is the group’s top revenue-generating property. The building accounted for more than 16% of the company’s pro forma revenues over the past two years.

Since taking control of the Empire State Building a decade ago, Malkin Holdings has reportedly invested tens of millions of dollars to refurbish and improve office spaces.

The IPO has been seen by many as an attempt to improve liquidity at the family business and repay debt.

Malkin Holdings, founded by Lawrence Wien in the 1920s, is currently headed by his son-in-law Peter who is chairman of the group.

Once the IPO is finalised, Peter’s son Anthony will reportedly become chairman and chief executive of the realty trust company.

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