The top 20 Wealthiest Angelenos’ profiles are broken out individually, here are numbers 21 – 50. For the list of 1 – 20, please click
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21
DONALD STERLING
Net Worth: $2 Billion
Last Year: $2 Billion*
Age: 71 – Residence: Beverly Hills
Source of Wealth: Real Estate
The Money: Sterling rose on list after the Business Journal recalculated the value of his real estate portfolio to $1.4 billion based on new information about its size. Sterling owns 135 apartment properties in the Los Angeles area, which have benefited from rising rents despite rent control. The value of his Los Angeles Clippers also is being raised. Sterling is said to have received a recent purchase offer for $600 million, while other estimates put the value closer to $550 million.
Buzz: Sterling spent about $150 million to purchase apartment developments in the Las Vegas area last year. And Sterling’s ubiquitous newspaper advertisements which proclaim that he “has a check for you” indicate he’s still on the prowl. Trophy holdings include the Beverly Hills Plaza Hotel. The Clippers missed the playoffs for the second consecutive year, but the franchise is becoming more valuable not only because it is in Los Angeles but because Sterling is investing in the organization. Sterling bought the team in 1981 for half the cost of a new $25 million practice facility he is building. Sterling also has taken out ads hailing his $50 million homeless services center, but downtown boosters don’t know much about his plans. In 2006 Sterling purchased a 65,000-square-foot parcel near Skid Row to house the center, but there has been no activity at the site. He is said to be looking for an operator.
22
GARY MICHELSON
Net Worth: $1.8 billion +6%
Last Year: $1.7 billion*
Age: 59 – Residence: Los Angeles
Source of Wealth: Surgical Devices
The Money: The spinal surgeon and inventor credits business manager with investment strategy that has grown net worth even as income is siphoned off to fund various ventures. Early move to oil futures and energy-related partnerships helped offset declines in equity and debt portion of portfolio. Wealth drawn from $1.3 billion plus patent settlement from Medtronic in 2005 for spinal surgical devices.
Buzz: Though he moved to a larger home after settlement, Michelson strives to live simply, doing his own grocery shopping and driving a pet-friendly 8-year-old PT Cruiser. An animal lover who recently adopted his third rescue dog, Michelson formed the Found Animals Foundation, which works toward more humane animal control services. His for-profit C & M; Investments acquired land in Costa Rica and Panama for hardwood reforestation. Eco-friendly harvesting of scarce, valuable trees like teak likely won’t begin for at least 20 years. Philadelphia native went into spinal surgery because grandmother suffered from rare spinal condition. Holds 600 U.S. and foreign patents, many developed while working at L.A.’s Centinela hospital. Has two foundations that fund cutting edge medical research. *revised to reflect new information.
23
ALFRED E. MANN
Net Worth: $1.75 billion -17%
Last Year: $2.1 billion
Age: 82 – Residence: Beverly Hills
Source of Wealth: Aerospace, Medical Devices, Biotech
The Money: Ugly year for L.A.’s best-known serial entrepreneur, founder of 16 companies. Forced to pour more of his personal fortune into his one public company, inhaled insulin developer MannKind Corp. Failure of similar product already on market caused MannKind shares to plunge 83 percent over past year. Buzz: Valencia-based MannKind moving closer to offering diabetics an alternative to insulin injections, with application to FDA for inhalable insulin pump likely by end of year. But safety concerns and sales failure of competing Pfizer product led two other companies to halt similar development programs. MannKind’s Technosphere, considered to be superior, will have to jump higher hoops with FDA and doctors. Mann also has several private medical device start-ups he either controls or in which he owns significant stakes. Biggest past success was diabetes treatment company Minimed, acquired by Medtronic for $4.2 billion. Portland, Ore. native moved to L.A. after World War II. Got entrepreneurial start by founding two aerospace companies in 1950s. Plans to donate bulk of fortune to charity and medical research.
24
RICK CARUSO
Net Worth: $1.7 billion +42%
Last Year: $1.2 billion
Age: 49 – Residence: Los Angeles
Source of Wealth: Commercial Real Estate
The Money: Caruso’s epic rise continues with the success of his Southern California mixed-use and retail developments. His net worth took a big leap with the May opening of Americana at Brand. The Glendale project, with its luxury condos, apartments and shops, is valued at $500 million but carries debt. Best known for developing the Grove, the Fairfax District retail destination valued at $750 million that he owns outright. Has several other retail centers and development sites throughout the region.
Buzz: Grove is drawing big crowds and proving to be a tourist destination. Meanwhile, Americana boasts higher-end retail than the Grove, along with fancy condos and top-end apartment units. It took Caruso years to develop the project as he fought off challenges from competitor General Growth Properties, which owns the adjacent Glendale Galleria. Won $89 million judgment from General Growth last year following an antitrust lawsuit. Got into the retail game more than a decade ago. Promenade at Westlake Village and the Commons at Calabasas among first projects. Son of Dollar Rent-a-Car founder Henry Caruso. Attended USC and received law degree from Pepperdine. Latest projects include another Grove-like retail center next to Santa Anita race track in Arcadia.
25
GEORGE RANDOLPH HEARST JR.
Net Worth: $1.7 billion
Last Year: $1.7 billion
Age: 81 – Residence: Los Angeles
Source of Wealth: Newspaper Publishing
26
David Whitmire Hearst Jr.
Net Worth: $1.7 billion – Last Year: $1.7 billion
Age: 63 – Residence: Beverly Hills
Source of Wealth: Newspaper Publishing
The Money: Newspapers not having a good year, but grandchildren of legendary publishing tycoon William Randolph Hearst held their own. Privately held Hearst Corp. was boosted by stakes in cable television networks, including Disney’s ESPN franchise. Other properties include business rating service Fitch Group, O Magazine joint venture and Internet broadcasting. A drag has been 21 percent share price drop in public Hearst-Argyle Television Inc., which owns 26 television stations.
Buzz: The cousins share in inherited trusts of William Randolph Hearst’s five children. George is board chairman of Hearst-Argyle, where two Hearst Corp. subsidiaries have 74 percent of voting power. In challenging media environment, Hearst-Argyle’s net income fell 35 percent in 2007. Hearst Corp. revenues were down less than 1 percent to $4.52 billion in fiscal 2006, most recent year available. Hearst family foundations make significant contributions to Los Angeles-area institutions each year. Local recipients in 2007 included Los Angeles County Museum of Art and Keck Graduate Institute of Applied Life Sciences. George is president of Hearst Foundation, a director of related William Randolph Hearst Foundation and trustee of Hearst Family Trust. Spends much of his time at his Paso Robles ranch near his grandfather’s famed Sam Simeon estate. David leads a lower-profile life as a private real estate investor. Both men are regular contributors to Republican Party causes.
27
ALEC GORE
Net Worth: $1.65 billion +18%
Last Year: $1.4 billion
Age: 55- Residence: Beverly Hills
Source of Wealth: Private Equity
The Money: 2007 was a banner year for Gores, whose business and personal investments made double-digit gains. Over past year, his private equity firm invested about $750 million and currently has about $1.7 billion in assets under management in 15-firm portfolio. Recent deals include acquisition of a majority stake in French company Sagem Communications, and acquisition of high tech security firm CompuDyne Corp.
Buzz: Gores is chairman and chief executive of Gores Group, which he founded 20 years ago. Born in Israel, raised in Michigan. Long interest in technology. Holds computer science degree from Western Michigan University. Gores collaborated with his younger brother Tom until they split in 1995. Gores received unwanted publicity during the Anthony Pellicano trial when it was disclosed he had hired the gumshoe to investigate whether his estranged wife, Lisa, was having an affair with his younger brother, according to the New York Times. Lisa denied on the stand that she slept with her brother-in-law. The couple is now divorced.
28
MICHAEL MILKEN
Net Worth: $1.55 billion 10%
Last year: $1.4 billion
Age: 61 – Residence: Los Angeles
Source of Wealth: Investments
The Money: Milken’s net worth is derived mainly from wide ranging private investments. Holds stakes in Knowledge Universe Education and other companies that focus on education. Savvy investor presumed to have cashed out gains before market soured.
Buzz: A native of San Fernando Valley, Milken spends much of his time with philanthropy. Recent initiatives include founding Melanoma Research Alliance. The Milken Institute Global Conference held11th conference this year at the Beverly Hilton with 3,000 attendees from 60 nations. Completed undergraduate studies at UC Berkeley and MBA from Wharton. Started at Drexel Burnham Lambert in 1969 and pioneered issuance of high-yield bonds for non-investment grade companies before being indicted on securities fraud in 1989. Pled guilty to six felony counts, served 22 months in prison and paid $200 million in fines. Claims term “junk bond” is creation of former Wall Street adversaries.
29
HOWARD MARKS
Net Worth: $1.5 Billion
Last Year: Not on List
Age: 62 – Residence: Los Angeles
Source of Wealth: Money
Management, Private Equity
The Money: Chairman of Oaktree Capital Management LLC, Marks founded company with Bruce Karsh and five other principals. Clients include public and corporate pension funds, endowments, insurance companies and high net worth individuals. Oaktree’s assets under management grew by more than 30 percent in 2007, rising to $52.14 billion in December.
Buzz: Formerly an executive at First National Citibank, moved to Trust Company of the West in 1985. Founded Oaktree in 1995 to focus on distressed securities and high yield bonds. “Other people plant the seeds and when it goes bad we harvest,” he told Reuters. Penn graduate. University of Chicago MBA. Married with two children.
30
BRUCE KARSH
Net Worth: $1.5 Billion
Last Year: Not on List
Age: 52 – Residence: Los Angeles
Source of Wealth: Money
Management, Private Equity
The Money: Karsh is portfolio manager of Oaktree Capital Management LLC. Stake equivalent to co-founder Marks.
Buzz: A graduate of University of Virginia Law School, Karsh got early start in learning how to make money serving as Eli Broad’s assistant at SunAmerica in 1980s. Joined Trust Company of the West where he met Marks. Oaktree’s recent investments include Fu Sheng Industrial Co. of Taiwan, world’s largest maker of golf club heads; Czech spirits maker Stock Plzen; and half percent stake in the Bank of China. Last year, Oaktree received nearly $900 million selling minority stake to institutional buyers. Karsh and wife donated $20 million to alma mater Duke, where Karsh is a trustee. Has three children.
31
BARBARA DAVIS & FAMILY
Net Worth: $1.45 billion -28%
Last Year: $2 billion
Residence: Los Angeles
Source of Wealth: Oil, real estate,
entertainment
The Money: Widow of late oil and entertainment tycoon Martin Davis is living quietly off uncertain remains of husband’s fortune. Davis sold much of family’s oil contracts and leases before 2004 death. Remaining operation, Davis Petroleum Corp., filed Chapter 11 bankruptcy and was sold to private equity firm for just $150 million in 2006. Lawsuit by eldest daughter Patricia Davis Raynes claims father cheated her out of hundreds of millions and calls into question earlier estimates of family fortune.
Buzz: Barbara Davis was once the undisputed queen of L.A.’s social scene. Held court at the Carousel of Hope charity ball at the historic Knoll mansion, which was sold after Marvin’s death. Continues to live quietly in the Beverly Hills area, often escorted to events like post-Oscar parties by daughter Nancy. Known for her philanthropy, including two diabetes charities.
32
STEWART & LYNDA RESNICK
Net Worth: $1.4 billion +8%
Last Year: $1.3 billion
Residence: Beverly Hills
Source of Wealth: Agriculture, Retail
The Money: Stewart, 70, and Lynda Resnick’s agricultural and retail empire Roll International Inc. has been buoyed by success of POM Wonderful, which made pomegranate mainstream and reached $150 million in 2007 sales. Teleflora flower business is growing too, with $800 million in sales last year. The pair share the chairman’s title at the privately held family company.
Buzz: Resnicks have long had their hands on America’s grocery aisles from produce and packaged nuts to bottled water and juice. Now they’re invading small screen. To drive Mother’s Day floral sales to online flower distributor Teleflora, Resnicks hired a Hollywood producer to create reality TV show “America’s Favorite Mom.” Prime time show, aired on Mother’s Day, was featured on NBC’s Today Show for a week. Roll International’s portfolio includes POM, Paramount Farms, Paramount Citrus and Fiji Water. POM and recently acquired Fiji Water have proven branding triumphs. Sued rival Purely Juice accusing it of passing off adulterated pomegranate juice as real thing. Trial pending in L.A. federal court. Paramount Farms continues to thrive as nation’s largest almond and pistachio grower. Also sell oranges under Sunkist brand. Roll International’s total revenue hit an estimated $2.1 billion in 2007. Democratic party faithful, pair donated to Hillary Clinton’s campaign in 2007 but most recently Stewart contributed to rival Barack Obama.
33
FRANK & JAMIE MCCOURT
Net Worth: $1.21 billion +10%
Last Year: $1.1 billion
Ages: Both 54
Residence: Holmby Hills
Source of Wealth:
Real Estate, Sports
The Money: Frank and Jamie McCourt are in the blue with the Dodgers. The team’s value has risen to nearly $700 million and likely will continue to grow, especially when recent stadium renovations plans go forward. Other assets include a dozen homes and properties owned around the country.
Buzz: McCourts are moving forward with plans to renovate and develop Dodger Stadium at a cost of $500 million. Plans unveiled last month call for construction of shops, restaurants and picnic areas surrounding the stadium. Five-year plan will revamp Chavez Ravine location in time for 50th anniversary in 2012. To date, renovations inside stadium walls have cost the McCourts at least $110 million. Franchise itself continues to increase in value as its local and international brand grows. Team participated in Major League Baseball’s first game played in China in March and has a recognized brand in Latin America. Team worth an estimated $694 million according to Forbes magazine, up 61 percent from $430 million the McCourts paid News Corp. four years ago. Franchise valuation does not include stadium and surrounding acreage couple own. Attendance topped 3.8 million last year, a record year, but still below goal of four million. Team hired manager Joe Torre to help it win its first playoff series since 1988. Additional properties include 100-acre Cape Cod estate.
34
GEORGE JOSEPH
Net Worth: $1.2 billion -8%
Last Year: $1.3 billion
Age: 86 – Residence: Los Angeles
Source of Wealth: Insurance
The Money: Founder and chairman of insurer Mercury General Corp. did not have a good year. The property and casualty insurer reported losing $23 million in October’s Southern California wildfires, sending earnings down and the stock swooning 20 percent. With 18.8 million shares, Joseph took a big hit. But increasing dividends put $39 million in his pocket, cushioning his fall.
Buzz: Two years ago Joseph handed over his chief executive post to Gabriel Tirador, but he continues to serve as chairman of the company he founded in 1961. Mercury writes auto insurance in 13 states across the country. Also writes mechanical breakdown and homeowners insurance in various states. Harvard educated, completed degrees in math and physics in less than three years. Started career as actuarial trainee at Occidental Life, but liked paychecks in sales department and became an entrepreneur.
35
LOUIS GONDA
Net Worth: $1.1 Billion -32%
Last Year: $1.6 Billion
Age: 59 – Residence: Beverly Hills
Source of Wealth: Aircraft Leasing
The Money: Gonda has seen his 19.4 million shares of insurance conglomerate American International Group lose 44 percent of value due to bad investments in subprime-related securities. Ironically, the airplane leasing subsidiary Gonda co-founded, International Lease Finance Corp., had solid 2007 performance, spurring talk of spin off. Gains at investment firm, Lexington Ventures LLC, have tempered losses.
Buzz: Lexington sold PortAuthority Technologies Inc., a maker of information leak protection software. Holds interests in other tech companies. He and wife Kelly’s philanthropic foundation has supported elementary education and construction of Georgetown University’s performing arts center. Family also owns El Campeon Farms and Windy Hill Ranch, an equestrian facility in Thousands Oaks. Gonda co-founded ILFC in 1973 with father, and friend Steven Udvar-Hazy.
36
JEFFREY KATZENBERG
Net Worth: $1.05 BILLION +5%
Last Year: $1 Billion
Age: 57 – Residence: Beverly Hills
Source of Wealth: Entertainment
The Money: The longtime entertainment executive needs to send a thank you note to Shrek the ogre. Media and entertainment stocks have been in the dumps this year but the success of the latest film in the series helped shares of DreamWorks Animation hold steady. Katzenberg owns $250 million worth of the stock. Majority of other holdings private.
Buzz: Katzenberg’s animation unit scored big last year with third installation of Shrek franchise, grossing $800 million worldwide. The fourth film in franchise slated for 2010. Company looking to capitalize on success with Broadway musical based on original storyline that will open in Seattle and New York. Animation studio plans to release “Kung Fu Panda” and “Madagascar 2: The Crate Escape” this year. On political front, Katzenberg has teamed up with many others in Hollywood to support Barack Obama in his 2008 Presidential bid. Katzenberg is former prot & #233;g & #233; of Michael Eisner, who forced him to resign from his position with Disney when Katzenberg wanted promotion to second in command. He later sued Disney to recover money he felt he was owed, resulting in out-of-court settlement. Katzenberg serves on boards of Motion Picture and Television Fund, Museum of Moving Image, Cedars-Sinai Medical Center, California Institute of the Arts and Simon Wiesenthal Center.
37
LOWELL J. MILKEN
Net worth: $1.02 billion +5%
Last year: $970 million
Age: 59 – Residence: Los Angeles
Source of Wealth: Investments
THE MONEY: Significant equity investments with his brother in Knowledge Universe Education. Serves as chairman for London-based Heron International, a property investment and development firm. Normally heady investment gains presumed more limited given souring worldwide economy and portfolio heavy with real estate.
BUZZ: Younger brother of Michael Milken founded Lowell Milken Center in 2007 in partnership with educator Norman Conard. Focuses on teaching respect and understanding among people regardless of race and religion. Pursues mission through various educational projects. Also serves as chairman of Milken Family Foundation, which focuses on education and medical research. Has strong interest in Jewish music and founded the Milken Archive of American Jewish Music in 1990. Graduated from Berkeley, received law degree from UCLA and took job at L.A. firm Irell & Manella. Joined brother in 1978 at Drexel Burnham Lambert, which pioneered issuance of high-yield corporate bonds for non-investmetn grade companies. Indicted for securities fraud like brother, but charges dropped.
38
STEPHEN BING
Net Worth: $1.01 Billion +4%
Last Year: $970 Million
Age: 43 – Residence: Beverly Hills
Source of Wealth: Inheritance,
Entertainment
The Money: “Beowulf” became a surprise hit for Bing’s Shangri-La Productions, but its $150 million budget meant that it barely broke even. The scion of the Bing New York real estate empire is presumed to have recorded some investment gains, though the slowing economy nibbled away at those gains in the first few months of 2008.
Buzz: Landed a minor role in the Anthony Pellicano epic: The snoop once snatched Bing’s dental floss from a garbage can for a paternity test in keeping with Bing’s playboy reputation. The billionaire bachelor has fathered children with actress Elizabeth Hurley and Lisa Bonder Kerkorian and has new squeeze in rock singer Sheryl Crow. Meanwhile, Bing has assumed a low profile this political cycle. Offered early support for Hillary Clinton, but sums paled in comparison to the $49 million put up in 2006 for failed Proposition 87, which would have taxed oil companies to fund alternative energy research. Also gave $5 million for Brad Pitt’s scheme to rebuild New Orleans in eco-friendly fashion. Wealth stems from $600 million inherited from grandfather, New York real estate baron Leo S. Bing.
39
ROBERT ADDISON DAY JR.
Net Worth: $1 billion -27%
Last Year: $1.37 billion
Age: 64 – Residence: Los Angeles
Source of Wealth: Financial Services
The Money: The founder of Trust Co. of the West is another billionaire who saw net worth sliced by the subprime fiasco. Sits on board and owns 1.9 million shares of French bank Soci & #233;t & #233; G & #233;n & #233;rale S.A., which took big mortgage-related losses, pummeling its stock. Gave away $200 million to Claremont McKenna College, claimbed to be the largest individual donation ever made to a liberal arts college.
Buzz: Day founded money management company in 1971, and completed its sale recently to SocGen, making Day the biggest individual shareholder of the French bank. In March, a class-action lawsuit was filed against SocGen, Day and another company executive seeking hundreds of millions of dollars in damages resulting from more than $7 billion lost by a rogue trader and $3 billion in losses tied to company’s portfolio of subprime U.S. mortgage loans. Day was accused of improperly benefiting from the sale of $200 million worth of shares unloaded eight days before losses were made public. In February, the Securities and Exchange Commission announced an investigation into the trade. Day denies misconduct, maintaining he was not advised of the losses at the time of the sale, and that shares were sold during approved window to make his college donation. Money will go to the Robert Day Scholars Program, which combines undergraduate and graduate curricula in economics and finance. Day’s real estate holdings include 550 acres of Florida timberland and an 1,800-acre resort in Los Cabos, Mexico, featuring Jack Nicklaus-designed golf course and planned community along beachfront.
40
FREDERICK “TED” FIELD
Net Worth: $995 Million +5%
Last Year: $950 Million
Age: 55 – Residence: Beverly Hills
Source of Wealth: Inheritance,
Entertainment
The Money: The critics may not have loved last year’s release “The Heartbreak Kid” but the low-cost film grossed $128 million worldwide. Film profits and nominal investment gains helped boost the net worth of the movie producer and record label founder.
Buzz: Field’s Radar Pictures has four movies in pipeline for 2008; highest profile project is horror flick “The Box” starring Cameron Diaz. Field stepped down as chairman of ArtistDirect Inc., a publicly traded music label that has been long-term money drain. The heir to the Marshall Field department store fortune came from Chicago to Los Angeles and co-founded Interscope Records in 1989. Label struck gold with Dr. Dre and Snoop Dogg. In 1995, Universal bought Interscope for $330 million. Field turned to movies, earning producer credits on more than 50 features including “Runaway Bride” and “The Last Samurai.” Last year, Chicagoans, angry that Marshall Field store now bears the Macy’s name, held a vigil to keep memory alive.
41
MARC NATHANSON
Net Worth: $990 million
Last Year: Not on list
Age: 62 – Residence: Bel Air
Source of Wealth: Communications, real estate, private equity investments
The Money: Founded Falcon Communications in 1975, which grew to nation’s 10th largest cable television operator before sold to Charter Communications for $3.7 billion in 1999. Invested share of proceeds in real estate, radio stations and media startups via his Mapleton Investments LLC. Also chairman of Mapletone Capital Management.
Buzz: Latest investment to turn profit is audience research firm IAG Research, in which he has minority stake. Media conglomerate Nielson Co. announced in April it would buy IAG for $225 million. California native raised in Chicago. Father launched industry magazine in 1940 and bought his first radio station in Wyoming in 1952. Nathanson worked as door-to-door cable TV salesman while attending University of Denver. Earned master’s at UC Santa Barbara. Eventually took job running Malibu-based Able Cable in 1969. At age 28, founded Falcon cable company with dad’s help. After selling Falcon, became vice chairman of Charter’s board. Current investments include Falcon Waterfree Technologies, maker of waterless urinals. Nathanson, an art collector, and psychologist wife Jane, a Los Angeles Museum of Art trustee, donated $10 million in to the new Broad Contemporary Museum of Art. Jane and Marc Nathanson Family Foundation contributes to arts, AIDS causes. Is lifelong Democrat and friend of Clintons; Hillary was on board of Falcon Cable TV years ago. Trustee of USC’s Annenberg School of Communications and Board of Visitors of the UCLA Anderson School of Management.
42
JOHN SHEA
Net Worth: $975 Million -25%
Last Year: $1.3 Billion
Age: 81 – Residence: Pasadena
Source of Wealth: Homebuilding, Real Estate
The Money: Shea owns a sizable commercial real estate portfolio, but his primary home building business has been devastated by the subprime meltdown and crash of the housing market. The stock price of rival home builders has been hit hard in the last year, with most losing 25 to 50 percent of their value.
Buzz: Parent company J.F. Shea Co. controls eight subsidiaries that range from golf and resort operator to concrete supplier. On real estate side, company controls a 10-million-square-foot office, industrial and retail portfolio and has development pipeline of 3,000 apartments about only real estate now in big demand. Shea is chairman of parent and has half interest in company founded in 1881 by patriarch J.F. Shea. Construction unit, J.F. Shea Construction, built American icons Golden Gate Bridge and Hoover Dam. Company building Legacy Park in Tustin, an 820-acre, master-planned community on former Marine base. The project will include over 2,000 units, retail, offices and hotel. Construction began in spring.
43
NEIL KADISHA
Net Worth: $925 million +3%
Last Year: $900 million
Age: 52 – Residence: Beverly Hills
Source of Wealth: Telecommunications, Investments
The Money: Former Qualcomm Inc. chairman retains significant stake in San Diego wireless communications giant. Shares have slid 4 percent to under $600 million in value. But his Ominet Capital investment firm is doing well, including with Las Vegas condo project that has been hugely popular and is nearly sold out.
Buzz: Luxury condos is where Kadisha sees money despite declining real estate market. After completing Sky Las Vegas, Ominet Capital took on a similar project in Phoenix, the $200 million Ominet Phoenix. Investment firm has acquired land in San Pedro to build a $250 million high-rise luxury condo near the waterfront. Ominet also is majority shareholder of Vernon-based PWP Industries, which makes plastic containers for food industry and is expanding internationally. Stake in L.A.-based ethanol producer Altra Inc., which raised $50 million from Ominet in 2006, continues to grow in value. Kadisha has appealed a recent ruling by an L.A. judge that he misappropriated millions of dollars in trusts meant for a widow and two children. Money was allegedly used to buy his stake in Qualcomm. Kadisha donates to Israeli charities for homeless teenagers, abused children and school systems. Locally, is trustee of Jewish Community Foundation and sits on board of Phoenix House, which fights teenage drug abuse.
44
TOM WERNER
Net Worth: $914 million +2%
Last Year: $895 million
Age: 58 – Residence: Pacific Palisades
Source of Wealth: Entertainment, sports
The Money: Last year’s Boston Red Sox pennant generated some green for the legendary TV producer, who co-owns the team with former Florida Marlins owner John Henry. Bulk of net worth comes from appreciating Carsey-Werner Distribution library of hit TV series including “The Cosby Show,” “Roseanne” and “That ’70s Show.”
Buzz: Werner continues to executive produce TV pilots and movies under own shingle at Warner Bros., but no breakout hits in recent years. Broke up WGM production company formed in 2005 with manager-producers Eric Gold and Jimmy Miller. Werner spends much of his time these days as chairman of Red Sox, considered the third most valuable Major League Baseball franchise. Werner and partner Henry transformed Red Sox from rich man’s toy to valuable asset after team broke an 84-year drought by winning the 2004 World Series and followed with last year’s pennant. Corporate sponsorships soared and Forbes recently added 13 percent to the franchise’s value, now at $816 million. Partners own 50 percent stake in Nascar’s Roush Racing organization. Carsey-Werner stopped making new shows in 2005.
45
AUBREY CHERNICK
Net Worth: $895 million +6%
Last Year: $845 million
Age: 59 – Residence: Los Angeles
Source of Wealth: Computer Software
The Money: Post-9/11 world has been good to Chernick, a software developer and chairman of National Center for Continuity Coordination, better known as NC4. Company’s security products are winning contracts and customers. Personal investment vehicle Ignition Capital LLC has had success with video technology.
Buzz: Chernick smitten by Vividas Group Plc., a U.K. developer of video technology. Ignition upped stake to 23 percent in December. NC4 has become market leader in crisis management technology. Its security technology product locates and monitors suspicious activity around world; used at 2007 Super Bowl and 2005 presidential inauguration. Last year, NC4 secured $6 million contract with Department of Homeland Security. Los Angeles native grew up in Canada and earned chemistry degree from University of Manitoba. Hit it big with Candle Corp., which he founded in 1976 and became one of the largest software vendors in the world. Sold to IBM in 2004 for $641 million.
46
PETER LOWY
Net Worth: $880 million -12%
Last Year: $1 billion
Age: 49 – Residence: Los Angeles
Source of Wealth: Retail Development
The Money: The worldwide economic slowdown has meant fewer shoppers stepping into malls across the globe and Lowy has felt that personally. He, along with two brothers and father, own 179 million shares of Westfield Group, one of the world’s biggest mall owners. Shares in company have lost about 20 percent, but his one-third stake in a $500 million family nest egg helped cushion the shock.
Buzz: Westfield has 120 retail projects across the globe and Lowy is the managing director of U.S. operations, with 59 shopping centers valued at $19 billion, including Century City and Woodland Hills malls. Lowy and wife Janine are busy with Jewish causes. He serves as chairman of the American Jewish University, the Bel Air institution created last year by the merger he engineered between the University of Judaism and Simi Valley’s Brandeis-Bardin Institute. Also sits on board of the Simon Wiesenthal Center. Wife Janine is on board of local Camp Ramah. Couple has four children.
47
LESILE GONDA
Net Worth: $840 Million -40%
Last Year: $1.4 Billion
Age: 88 – Residence: Beverly Hills
Source of Wealth: Aircraft Leasing
The Money: Gonda has seen his 19.4 million shares of insurance conglomerate American International Group lose 44 percent of value due to bad investments in subprime-related securities. Ironically, International Lease Finance Corp. the airplane leasing subsidiary Gonda co-founded had solid 2007 performance, spurring talk of spin off.
Buzz: AIG announced $12 billion in losses from mortgage-related securities in 2007, showing how far the subprime debacle spread on Wall Street. The company expects further losses but remains on decent financial footing no small thanks to ILFC. The company co-founded with son Louis and friend Steven Udvar-Hazy has a growing fleet of 900 planes worth $48 billion. Partners sold the jet leasing operation to AIG in 1990 for stock. On philanthropy front, the Leslie and Susan Gonda (Goldschmied) Foundation supports medical research at UCLA, Mayo Clinic and Bar-Ilan University in Israel. Gonda, who holds a seat on the ILFC board, is reportedly still active in the company and likes to go for lunch hour swim.
48
GUILFORD GLAZER
Net Worth: $800 million -3%
Last Year: $820 million
Age: 86 – Residence: Beverly Hills
Source of Wealth: Real Estate
The Money: With his wide real estate holdings, Glazer saw his wealth increase over the past several years. But the developer of the Del Amo Fashion Center took his lumps with the market this year, though the high quality of his portfolio softened blow.
Buzz: Torrance Co. investment vehicle has diversified holdings. Sold the Del Amo mall in Torrance, once the country’s largest mall, to Mills Corp. for $442 million in 2003. In the last several years, Glazer has spent much of his time and money working to improve Israeli and Palestinian relations. Last year, Ben-Gurion University in Israel named its school of business and management for Glazer after he made a donation of an undisclosed amount to the university. In 2005, he paid for a $2 million Rand Corp. study of Palestinian transportation and infrastructure improvement. A World War II veteran, Glazer was born in Tennessee and ran family steel business before moving to Los Angeles in the 1970s. Began building his retail estate empire in 1951 and went on to work on several notable malls over the years.
49
MICHAEL EISNER
Net Worth: $780 million -1%
Last Year: $790 million
Age: 66 – Residence: Los Angeles
Source of Wealth: Stock Options and Grants
The Money: Eisner’s estimated wealth slipped slightly this year, reflecting a small drop in Walt Disney Co.’s share price. With 14 million shares, company’s former longtime chief executive is third largest individual shareholder after Steve Jobs and Roy Disney. Since leaving company in 2005, Eisner has founded venture capital firm Tornante Co., which has yet to cash out significantly in its investments.
Buzz: Eisner has been hot on digital media since leaving Disney. Tornante has invested heavily in Westwood-based Veoh Networks Inc., an Internet TV network. His new media studio Vuguru produced 90-second episodes of hit Web series Prom Queen, attracting 15 million viewers during first weeks of launch. Completed $385 million acquisition of Topps Co., maker of Bazooka bubble gum and baseball cards, after a year-long scuffle with company’s board members. Eisner Foundationgives about $7 million a year to local non-profit organizations serving children. Received star on Hollywood Walk of Fame last month.
50
ROY DISNEY
Net Worth: $775 million -45%
Last Year: $1.4 billion
Age: 78 – Residence: Los Angeles
Source of Wealth: Inheritance, Entertainment, Private Equity
The Money: Not a good year for nephew of Walt Disney, who saw wealth nearly halved after divorce from Patricia, wife of 53 years. The largest individual shareholder of Walt Disney Co. did relatively better with company stock, which just about held its own. Also saw gains with private investment company Shamrock Holdings Inc.
Buzz: Operates Shamrock with longtime business partner Stanley Gold. Shamrock has done well with investments in Israeli businesses. Last fall, forayed into yet another industry by buying $25 million worth of shares in nation’s No. 2 tax preparer Jackson Hewitt Tax Services. Other investments include Panera Bread chain. Rattled cages at both Jackson and Panera early this year by demanding one of Shamrock’s executives be added to each of the boards. Sold Modern Luxury, publisher of upscale lifestyle magazines, to Clarity Partners last summer for $250 million. An avid sailor, Disney is often spotted in New Zealand racing his 77-foot yacht. Last fall, donated Transpacific Yacht Race trophy to the new Newport Harbor Nautical Museum in Newport Beach.
*revised to reflect new information
