What Is WeWork Co-Founder Adam Neumann's Net Worth?

What is Adam Neumann's net worth?

Adam Neumann is an Israeli-American businessman, investor, and co-founder of WeWork with Miguel McKelvey. He served as the CEO of the company from 2010 to 2019. In 2019, he co-founded a family office named 166 2nd Financial Services along with his wife Rebekah Neumann, to manage their wealth. WeWork is now just We and it rents out communal spaces for as little as $45 a month and has developed into a multi-billion-dollar business. The company has raised billions of dollars from investors such as Goldman Sachs, JP Morgan Chase, Softbank, and Benchmark Capital. Adam Neumann's net worth was somewhere around $2.2 billion as of May 2023, per Forbes.

What are Adam Neumann's sources of income?

Adam Neumann built his massive fortune off the back of WeWork, which he co-founded with Miguel McKelvey in 2010. At his professional peak in mid-2019, his paper topped $4 billion based on its $47 billion private valuation. However, the WeWork IPO and business plummeted substantially in October 2019. At the time, the company's major investor SoftBank agreed to pay $3 billion to save the company. From that investment, around $1 billion was supposed to go to Neumann. However, as they say, "If it looks too good to be true, it probably is."

On April 2, 2020, SoftBank announced that it was pulling out of the deal entirely and Neumann lost close to $1 billion, resulting in a massive drop in his net worth, which hit $400 million. He eventually sued SoftBank and the ultimate agreement was for SoftBank to pay $700 million in payouts. In 2021, the company went public through a SPAC merger. Newmann has now shifted his focus to investing in real estate.

WeWork's downfall

The company filed for bankruptcy in November 2023. Some of the reasons that led to the company's ultimate demise are Financial problems, an unsustainable business model, and also a few poor decisions. Other factors that contributed to the downfall were a decline in demand and also decline in value. 

Adam Neumann's real estate assets

Adam and his wife Rebekah Neumann have owned many houses over the years. They once owned a house that cost them $35 million in New York, a 60-acre estate in Westchester County, a home worth $22 million in the Bay Area, and two lavish homes in the Hamptons. Their portfolio was around $90 million at one point.  He also has two side-by-side beach properties in Miami which he bought for $44 million in 2021. In 2023, he relisted his luxury penthouse in Gramercy Park for  $32 million, which is $5.5 million less than the original listed price. He then sold his Bay Area mansion for $22.4 million. 

Personal life

Adam Neumann was born in Beersheba, Israel in 1979 to parents who divorced when he was only 7. He then moved around a lot and had lived in 13 different homes by the time he was 22. He first founded a children's clothing company, Krawlers. He then started working with Miguel McKelvey whom he met through a mutual friend. They soon co-founded Green Desk which was a shared-workspace business with sustainability in mind. They later sold their interest in the company and used the funds along with a $15 million investment from Brooklyn real estate developer Joel Schreiber for a 33% interest in the company to start WeWork in 2010. He is married to Rebekah Neumann with whom he has six children. The pair donated $1 million to the "Be the Match Registry" of the National Marrow Donor Program. 

Controversial statements

The Wall Street Journal reported that Neumann has aspirations to live forever and also to become the world's first trillionaire. He also wanted to expand his business to Mars and also become Israel's prime minister, and become "president of the world".

FAQs

Are Adam Neumann and Rebekah Neumann still married?

Yes, the two are married and have six kids together. 

Is Adam Neumann still rich?

Despite the company's downfall because of "excess supply in commercial real estate, increasing competition in flexible space” (as per David Tolley), the company's interim chief executive, Neumann retained his fortune, per The Guardian. 

Where does Adam Neumann live?

He lives with his wife and kids in the Greenwich Village neighborhood of New York City.

Who is Miguel McKelvey?

Miguel McKelvey is an American businessman and the co-founder of WeWork.

How did the WeWork IPO impact Adam Neumann's wealth?

WeWork shares have fallen more than 99%  and have since hurt his net worth.

What is Adam Neumann's marital status?

He is married to Rebekah Neumann whom he married in 2008.

Who lost money from WeWork?

Softbank said it lost more than $8.7 billion on WeWork stock.

What is the WeWork business model?

The model was to rent an office at a low rate and then re-rent its client at a higher rate.