While WeWork tries to pick up the pieces after filing for bankruptcy protection last week, its co-founder and former CEO who left the office-sharing company four years ago with a hefty payout appears to be doing just fine.
The New York Post reported Monday that Adam Nuemann, who was ousted from WeWork in 2019, is now living in a “lavish” new home in Florida while building his new company as the old one reels.
Sources told the outlet that Neumann, his wife, Rebekah, and their six children are living in a private neighborhood in Miami, two years after the American-Israeli entrepreneur purchased two properties there for $44 million with plans to build a 14,500-square-foot mansion.
“Adam and Rebekah are a big part of the Jewish community,” one friend from the couple’s gated community told The Post. Another source told the outlet, “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.”
Meanwhile, a former WeWork staffer told The Post morale at the company is “horrific,” adding that “there is no company culture and everybody is just watching the stock go down, down, down.”
Neumann was CEO of WeWork from its founding in 2010 and oversaw the office-sharing company’s rise to an estimated valuation of $47 billion in 2019, when it first tried to go public. But that effort was scrapped after investors balked at the firm’s high levels of debt and massive losses.
WeWork’s major backer, Japanese conglomerate SoftBank, took control of the company with a bailout and offered Neumann a massive golden parachute that was initially reported as being about $1.6 billion, which was later reduced to several hundred million dollars.
SoftBank later sought to claw back its offer to Neumann, who then sued, resulting in the renegotiation of the deal that was ultimately settled to make way for WeWork’s public debut in 2021.
Last year, Neumann launched a new company called Flow that will operate in the residential real estate space and is scheduled to formally launch its operations this year.
According to The Wall Street Journal, Flow received an initial investment of $350 million from Andreessen Horowitz, which received a stake in its real estate portfolio.
FOX Business’ Eric Revell contributed to this report.
This story has been updated to clarify the details of Adam Neumann’s WeWork exit package
Original article source: WeWork co-founder Adam Neumann has ‘lavish’ new Florida mansion as bankrupt company reels: report