He was ousted after failing to take the company public through an initial public offering in 2019.
Office space-sharing giant WeWork filed for bankruptcy in the United States last week, after the company struggled to recover from the effects of Covid-19 and its failed initial public offering in 2019. Even as the company is financially struggling, the company's founder, Adam Neumann, has made headlines for his extravagant lifestyle. Notably, the American-Israeli entrepreneur was ousted after failing to take the company public through an initial public offering in 2019. But thanks to a hefty payout, Mr Neumann is now living in a 'lavish' new home in Florida while building his new company, The New York Post reported.
The 44-year-old still has a net worth of $1.7 billion and owns millions in real estate. At present, he is living his best life in a luxurious mansion worth $40 million, with his wife Rebekah, and six children. He had purchased two Miami properties from local investor Joseph Imbesi for $44 million in an off-market deal, as per Fox News. A 14,500-square-foot house was being built on the property at the time and it is now where Mr Neumann and his family live full-time. The sprawling mansion boasts breathtaking waterfront views, opulent amenities, and extravagant features.
A source said, ''Adam skateboards all the time, all over town, taking business calls. Everybody runs into him — he's very friendly. He stops and kibitzes with people.'' He is currently looking for investors for another startup, claiming that it will reshape the world in the home this time.
As per The Post, Mr Newman is a close friend of Jared Kushner and Ivanka Trump and their children, who live 10 minutes away from their home. The couple are also said to be a big part of the Jewish community.
Prior to his departure from WeWork, Mr Newman had spent $90 million to purchase luxury residential real estate in the Hamptons, New York City, and Westchester County, New York, and San Francisco, according to The Wall Street Journal.
Last year, Mr Neumann launched a new company called Flow that will operate in the residential real estate space.
Notably, Mr Neumann founded WeWork in 2010, and by 2019, it was worth $47 billion. When Mr Neumann left the company, a significant amount of wealth was accumulated as it prepared for another public offering- time through a special purpose acquisition company (SPAC). In 2021, Mr Neumann reportedly received $480 million from SoftBank for half of his remaining WeWork stock as part of that SPAC process. Overall, it is believed that Mr Neumann made over $770 million in cash from the 2021 SPAC process alone, despite having been removed from a management position years ago.
He recently stated that WeWork's bankruptcy filing is "disappointing" and it has been hard for him to watch the company struggle. Meanwhile, a former WeWork staffer told The Post that the morale at the company is "horrific," adding that "there is no company culture and everybody is just watching the stock go down, down, down."