Craig Deitelzweig, Chief Executive Officer of Marx Realty, is dedicated to enhancing the company's office portfolio with the aim of transforming workplaces into destinations rather than mere obligations. A former lawyer and graduate of Fordham University Law School, he assumed the CEO position at Marx Realty in 2017. His ambition was to reposition the company's portfolio, foster growth, and increase the value of its office properties in the key markets where Marx Realty operates.
Deitelzweig describes property repositioning as an area for which he developed a great passion. He values the process of transforming the old into the new, which the company successfully implemented with its two flagship properties in Manhattan: 10 Grand Central and 545 Madison Avenue. Although Marx Realty owns some of Manhattan's most prominent office buildings, the company's portfolio also includes properties in Washington, D.C., including The Herald at 1307 New York Avenue and The Grogan at 819 Seventh Street.
Deitelzweig’s career began in the litigation, and later the real estate, group at Skadden Arps. He then moved to a private developer, where he initially worked in legal and business capacities, but quickly discovered his aptitude for repositioning office properties. He achieved his first successes with distressed properties in Boston, transforming them into distinguished and special spaces. He later successfully applied this concept of creating warmth, spirit, and a sense of place in office buildings in D.C. and New York.
After his time with the developer, Deitelzweig moved to a private equity firm, expanding his expertise to various asset classes, including multifamily homes and hotels. The hotel industry, in particular, highlighted the potential of special spaces and inspired him to transfer design tactics and the hospitable nature of hotels to other sectors. He observes this convergence of sectors as an ongoing trend. After several further positions with developers and private equity firms, he eventually joined Marx Realty.
Marx Realty's portfolio spans 16 states, which often surprises people as the company is strongly associated with New York. A significant portion of the portfolio is also in D.C. It comprises a mix of office and retail spaces. In the retail sector, Marx Realty owns the Cross County Center in Yonkers, N.Y., the nation's first open-air shopping centre. Here too, the company has continuously invested in further development. Similar to the assumption that the office market was facing its demise, Marx Realty feels its continuous innovations disprove the notion of retail's end. Construction is currently underway for two new, large retail spaces of 58,000 square feet, as well as a 4-hectare park that will serve as the centre's entrance and be equipped with trees and seating. The aim of these measures is to future-proof the centre and create spaces for collaboration and enjoyment.
Deitelzweig is drawn to repositioning because he loves the opportunity to transform something underperforming into something successful. He possesses the ability to look past outdated or inconsistent elements of a building and recognise the potential to make it what it should be through creative approaches. Marx Realty is known for its hospitality approach to office properties, the origins of which Deitelzweig developed long before joining the company.
He could never understand why every office building had to look the same. He referred to many of these buildings as 'REIT special,' as they are often owned by Real Estate Investment Trusts and their design approach is not always sufficiently thought through, leading to a standardisation of buildings. At Marx Realty, he wanted to integrate hospitality throughout the entire portfolio and fundamentally rethink the concept of the office. The company was a pioneer in this area, long before the market understood this development.
