Floyd 'Money' Mayweather Makes $402 Million Move into NYC Real Estate
Oct 30, 2024 • 10 min read
Floyd 'Money' Mayweather Makes $402 Million Move into NYC Real Estate
Boxing legend acquires 1,000 affordable housing units in a deal signaling renewed momentum in New York City's property market
Floyd Mayweather Jr., the undefeated boxing icon known as "Money," is living up to his moniker in the world of commercial real estate. The 47-year-old sports legend is under contract to spend $402 million acquiring a 1,000-unit affordable housing portfolio in New York City, marking one of the largest real estate deals of 2024.
Mayweather, whose net worth exceeds $1.2 billion, confirmed the deal in a post on X (formerly Twitter), stating that the acquisition "holds deep emotional significance for me and my family." The portfolio consists of 60 buildings, primarily located in Upper Manhattan, and is being purchased from Black Spruce Management, a major player in Manhattan's multifamily market.
While Black Spruce Management did not immediately respond to requests for comment, the firm has been actively investing in the city's real estate. In 2022, it partnered with Orbach Affordable Housing Solutions on a $1.8 billion acquisition of a 1,700-unit portfolio, further cementing its status as a significant investor in Manhattan multifamily properties.
A Strategic Investment
This isn't Mayweather's first foray into real estate but stands as his most substantial investment to date. In a 2022 appearance on the "Earn Your Leisure" podcast, he mentioned investing in nine New York City skyscrapers alongside SL Green, Manhattan's largest commercial landlord. He also hinted at involvement in SL Green's bid to develop a casino in Times Square, a project that includes Caesars Entertainment and Jay-Z's Roc Nation.
"I got a casino coming to New York City in Times Square," Mayweather said during the podcast. "SL Green is a company that I’ve been working with for so many years."
However, SL Green spokesperson Jack Lynch clarified Mayweather's role, stating, "Mayweather is not a partner in the proposed development of Caesars Palace Times Square. SL Green Realty, Roc Nation, and Caesars Entertainment are the sole partners in that project."
Impact on Affordable Housing
Mayweather's acquisition arrives at a crucial time for New York City's affordable housing sector. With rising rents and a scarcity of affordable units, his investment could bring much-needed relief. While specific properties in the portfolio haven't been disclosed, the infusion of capital might lead to renovations and improvements that benefit current residents.
As a New Jersey native, Mayweather expressed a personal connection to the region. "This acquisition holds deep emotional significance for me and my family," he told The Real Deal in a statement.
Market Momentum
The deal is expected to close in several smaller transactions, the first of which was finalized this week. It stands as one of the largest sales of the year, highlighting a resurgence in New York City's investment market. According to Avison Young, there were $4.9 billion in commercial real estate sales in the third quarter across the five boroughs, 63% ahead of the pace set in 2023.
Industry experts view Mayweather's substantial investment as a positive signal. "When a high-profile investor like Floyd Mayweather makes such a significant move, it underscores confidence in the New York City real estate market," said Ethan Rothstein, Deputy Managing Editor at Bisnow.
A Complex Public Figure
While celebrated for his undefeated boxing career and business ventures, Mayweather has also faced multiple allegations of domestic violence over the years. These controversies have been a part of his public narrative but haven't deterred his entrepreneurial pursuits and investments.
Looking Ahead
As details of Mayweather's real estate endeavors unfold, the impact on New York City's affordable housing landscape will be closely monitored. His entry into this sector could influence other investors and potentially contribute to addressing the city's housing challenges.
For now, Floyd "Money" Mayweather continues to expand his portfolio beyond the ring, making strategic moves that could shape the future of urban real estate development.